The NHS Evergreen Sustainable Supplier Assessment - Last Updated: August 19, 2024
The UK’s National Health Service (NHS) is implementing a sustainability and carbon emissions reduction plan (CRP) that includes new environmental reporting requirements for both the NHS and its suppliers. From 2023-2024 and onwards, companies and businesses looking to win NHS contracts and tenders will need to complete specific environmental reporting requirements to align with the NHS's net zero supplier roadmap.
The NHS's primary sustainability reporting and progress tracking scheme is the NHS Evergreen Sustainability Assessment tool, which is designed to help suppliers understand their sustainability performance and while aiming to reduce the NHS's own Scope 3 greenhouse gas (GHG) emissions. We’ve prepared this guide to summarize the NHS Evergreen Sustainability Assessment system, what it is, how it works, and how organisations and businesses can ensure they meet the NHS's sustainability standards in 2024 and beyond.
What is the NHS Evergreen Sustainable Supplier Assessment?
The NHS Evergreen Sustainable Supplier Assessment sets out corporate disclosure requirements for sustainability-related data related to carbon emissions and carbon reduction plans. The Evergreen assessment (a) provides NHS suppliers with an Evergreen Level which grades the company's sustainability maturity, and (b) will increasingly serve as a procurement criteria which factors into NHS tenders and purchase decisions.
The Evergreen Sustainable Supplier Assessment is an online tool and ranking system that allows suppliers to understand their current sustainability grade, as well as areas for improvement. Evergreen is a self-assessment and reporting tool designed for suppliers to share their sustainability data and information with the NHS, and receive feedback in return. Recognizing that 60% of the NHS’s overall GHG emissions inventory comes from Scope 3 - Purchased Goods and Services emissions, the NHS is aiming to use the Evergreen Sustainable Supplier Assessment to directly engage its suppliers on sustainability.
60%+ of the NHS's carbon emissions come from its supply chain purchases
Once a supplier completes the assessment, they’ll receive a sustainability maturity score from the NHS. There are four general maturity scores or levels, with Level 4 being the highest ranking:
- Level 1 - Publicly committed to net zero carbon and engaged with sustainability
- Level 2 - Comprehensive net zero targets and reporting for carbon emissions
- Level 3 - 2045 net zero targets that are independently validated
- Level 3 - 2045 net zero targets that are independently validated across the entire global organisation
Once a supplier completes the Evergreen assessment and receives a grade, their maturity score is valid for up to 1 year, when the next assessment is due.
How are NHS Evergreen Sustainable Supplier Scores (Levels) Determined?
The Evergreen Sustainable Supplier Assessment primarily scores suppliers based on (a) their GHG emissions disclosure, (b) whether or not they have a net zero target or CRP, (c) third party verification and disclosure of key sustainability data, and (d) their social value programs and compliance with other regulations like the UK Modern Slavery Act. Specifically, the Evergreen Sustainable Supplier Assessment scores suppliers across the following criteria:
- Scope of supplier's net zero target and GHG emissions (L1) - A supplier must disclose its Scope 1, 2 and a subset of Scope 3 emissions for level 1. If you're new to emissions scopes, please read our carbon accounting guide here.
- Scope of supplier's net zero target and GHG emissions (L2) - Scope 1, 2 and all relevant Scope 3 GHG are required to be disclosed to acheive Evergreen level 2 or higher
- Required net zero target year (L1, L2) - A minimum net zero target year of 2050 is required for level 1 and 2
- Net zero target & emissions geographic boundary (L1, L2) - A minimum UK geographical boundary for net zero target and reported emissions is required for level 1 and 2
- Net zero target & emissions geographic boundary (L3, L4) - Minimum global geographical boundary for net zero target and emissions is required for level 3 and 4
- Required net zero target year (L3, L4) - Minimum net zero target year of 2045 is required for level 3 and 4
- Environmental measures (L1, L2, L3, L4) - Having documented environmental measures in effect is required for level 1, 2, 3 and 4, and are assessed on the scope and comprehensiveness of the measures
- Corporate social value program (L2, L3, L4) - Corporate social value programme is required for level 2, 3 and 4
- Public modern slavery statement (L2, L3, L4) - Public modern slavery statement is required for level 2, 3 and 4
- Third party verification of CRP and GHG emissions (L3) - The supplier's net zero target and GHG emissions must be independently verified for level 3
- Modern Slavery Assessment Tool (MSAT) (L3, L4) - Completion of the MSAT is required for level 3 and 4
- Global entity providing target info (L4) - The reporting entity and global parent company (where relevant) must provide target information that meets net zero target criteria for level 4
- Mitigating modern slavery risks (L4) - Identifying and mitigating modern slavery risks is required for level 4
- Transparent reporting (L4) - Be recognised high performer via a global sustainability reporting platform (CDP, EcoVadis or B Corp) is required for level 4
- Target and emissions verified (L4) - Net zero target validation and emission verification is required for reporting entity and global parent company (targets only) for level 4
These factors all are considered to determine a supplier's Evergreen sustainability maturity levels as defined in this matrix:
Source: UK NHS
The Implementation Timeline for the NHS's Use of the Evergreen Sustainable Supplier Assessment
Overall, the NHS has set a goal to achieve net zero emissions by 2040 for their direct emissions (Scope 1 & Scope 2), and by 2045 for procurement emissions they influence through the purchase of goods and services from vendors and suppliers (Scope 3). To achieve these goals, the NHS has implemented a phase-in schedule as it relates to use and adherence around Evergreen, actively seeking cooperation from its suppliers in its use.
As of April 2022, all NHS procurement decisions now incorporate a minimum 10% net zero and social value weighting based on disclosures via Evergreen and other related information shared during the bidding or contract process. Going forward, Evergreen assessment responses are now due each year. The first round of Evergreen assessments for the 2023-2024 reporting period were due February 4, 2024. The 2024-2025 Evergeen assessment submission deadline is currently scheduled for March 31, 2025.
Further Evergreen use and adherence is required under the following eligibility criteria and timeline:
Compliance Timeline and Key Milestones for NHS Evergreen Reporting and Sustainable Procurement
Eventually, annual Evergreen sustainability reporting is expected to become a mandatory requirement for active NHS suppliers. To be awarded contracts, suppliers will need to provide indepdently-verifiable evidence and documentation around Scope 1, 2, and 3 emissions, as well as their progress reducing those emissions over time.
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How Does a Supplier Submit an NHS Evergreen Assessment?
Evergreen assessments are open to any supplier that currently provides, or intends to provide, goods or services to the NHS or a related entity. Additionally, the Department for Health and Social Care and NHS systems in Northern Ireland, Scotland, and Wales can also access sustainability data submitted via Evergreen.
The Evergreen assessment portal is hosted on Atamis, an online e-commerce procurement system, and suppliers must register with Atamis to gain access. NHS recommends suppliers complete the assessment annually. However, suppliers can update their annual assessment with significant updates at any point throughout the year, as needed.
To access the Evergreen assessment:
- Sign in (or sign up) to the supplier portal on Atamis.
- Navigate to "My Supplier Assessments" (or visit "Find Opportunities" and search for 'Evergreen')
- Review the Evergreen documents, accept the invitation to participate, and complete and submit your assessment
Source: UK NHS
A Few Helpful NHS Evergreen Sustainability Reporting Recommendations
Your Next Steps With Evergreen Carbon and Net Zero Reporting
Both in the UK and elsewhere in Europe and around the world, there are a lot of new and evolving sustainability disclosure legislation going into effect in 2024 and future years. In fairness, it can feel very complex and daunting. However, from a positive perspective:
- The NHS's Evergreen reporting requirements are phased in over several years
- The NHS's Net Zero goals align with the overall UK Government's Net Zero ambitions, and aren't meant to put companies in the healthcare supply chain at a disadvantage. For one, other UK Government agencies are instituting similar schemes and policies. Second, the UK Department of Energy & Net Zero (formerly DEFRA and the BEIS) is also likely to implement standardized corporate sustainability reporting for mid-to-large UK companies by 2025, consistent with the disclosure structures of the NHS Evergreen Supplier Assessment system.
- UK regulators recognize they're at the forefront of global economic sustainable transition, and are looking to help UK companies successfully adopt and implement NHS and other UK sustainability reporting standards
- There's plenty of time to implement the necessary measures, standards, process changes, data collection, and reporting capabilities to keep pace - particularly for organisations who are proactive and already investing in these areas (or starting soon)
- There are lots of existing market resources to help organisations and investors track, manage, and report around these changes more efficiently and effectively, including Brightest's software and services
For organisations in the early stages of their NHS Evergreen carbon measurement and UK sustainability reporting journey, we have a few general recommendations, additional reading, and suggested next steps:
Assess your business model and data records - While this might go without saying, in order to disclose your organisation's sustainability performance and carbon footprint, you need to know what they are - with a high degree of accuracy. Is employee travel a big source of your organisation's carbon footprint? Facilities? Manufacturing sites? Energy use? Where does that data exist today, and how will you access or collect it? Many organisations start their sustainability disclosure preparations with relatively simple spreadsheets, surveys, and documents, but things can get complex fast - particularly for larger companies. If you're an organisation with a medium-to-large or complex environmental footprint, you likely need dedicated sustainability reporting and data management software, like the kind we design here at Brightest to help organisations stay compliant with the NHS, SECR, TCFD, and other UK sustainability disclosure standards. Ongoing report archiving, version control, audit readiness, and governance are also important to think about, since you'll be reporting every year.
Take it step-by-step and start with the big hotpots, but also make sure to collect easy wins - Carbon emissions data like the type required in Evergreen reporting is primarily tied to burning fossil fuels. This can be car, truck, or van fuel, fuel to heat your office, jet fuel from flights, etc. If you can identify big fuel usage hotspots in your business, work with your colleagues in finance, operations, IT, HR, and other teams to understand what data and documentation exist on these activities today, and if there are any opportunities, policies, or plans to reduce them. Focus on big items and measuring what matters, as those represent your biggest opportunity for net zero improvement over time.
Further reading - Our free guides to sustainability measurement and sustainability reporting provide additional, detailed guidance and insights on how to measure and report your sustainability performance for voluntary or future mandatory UK sustainability disclosures.
