01

Delivering Value
Beyond Measure
Our roadmap to Net Zero and a sustainable
world for future generations
September 2021

Malvern Panalytical Our roadmap to Net Zero

We arecommittedto Net Zero01

“We recognize that the greatest difference
we can make to a Net Zero world isthrough our products and solutions which
support our customers to make the world
cleaner, healthier and more productive
and this remains the purpose at theheart of our strategy”.
Mark Fleiner
President

We have set
a clear ambition
Our operations:
Net Zero by 2030
(Scope 1 and 2 emissions)
Our value chain:
Net Zero by 2040
(Scope 3 emissions)

Our science-basedtargets support thisambition
The 85% absolute reduction in
Scope 1 and 2 emissions by 2030
The 42% absolute reduction in
Scope 3 emissions by 2030
Both targets are aligned to a 1.5 degree
warming scenario and have been validated
by the Science Based Targets initiative.

Climate change is one of society’s greatestchallenges. Solving it requires all of us to act withurgency. As a leader in providing analyticalsystems and services, we are committed toreduce our Greenhouse Gas (GHG) Emissions –and by doing so, we will mobilize the entire value
chain, work with our customers and suppliers andinspire our employees to take collective action.
We are committed to achieving Net Zero in ourown operations by 2030 and across our value
chain by 2040. But what does Net Zero mean?
Put simply, Net Zero refers to the balance
between the amount of greenhouse gas
produced and the amount removed from theatmosphere. We reach net zero when the amount
we add is no more than the amount taken away.
So that our progress in reducing our footprint istransparent, we have set interim science-basedtargets which are aligned to a 1.5oC warming
scenario. Together with the 220+ employeesof Malvern Panalytical, we will take action
towards our Net Zero goals, a challenging job
but rewarding as our company makes progress
toward Net Zero. The areas of internal opportunity
to realize the benefits toward our Net Zeroambitions include our operations, processes,products, and transportation.

To achieve our Net Zero ambitions, we will
work with our suppliers to help them improvetheir input materials, production processes, andlogistics. At the other end of the value chain, wewill also work with our customers to help themachieve their own sustainability goals. We alsoneed action from governments and regulatoryorganizations to create clear guidance forcompanies to make progress.
But Malvern Panalytical must first lead by example.
It’s only by taking actions that can be measured
that we can convince others to do the same. And
it’s only together, taking small steps, that we will
make a big difference for future generations.

Malvern Panalytical Our roadmap to Net Zero02

Our Net Zero roadmap
Scope 1 and 2
Our baseline
2020 is the baseline
year for our ambition.
This is challenging
due to lower emissiongenerating activity
taking place in 2020and demonstrates
our commitment
to delivering
genuine progress.

Measuring ourprogress
We will report on our
progress annually andthis progress will beindependentlyassessed.

To support
our ambition,
we are:Aligningwith RE100– committing
to 100%
renewable
electricity
across ouroperations
by 2030

Aligningwith EV100– committing
to a fully
electric global
fleet by 2030

Key

Undertaking
global energy
efficiency audits
to reduceemissions at our
manufacturing
sites by 20%
by 2030

Building on ourcurrent solar
generation
capability

Scope 3
To support ourambition, we
are:Engaging ourworkforce – wewill actively
promoteinformation andactivities tokeep ouremployees
aware of ourenvironmental
footprint andgive them tools
so they can bepart of thesolution

Undertaking a
global supplierengagement
process with
EcoVadisCommitting tozero waste tolandfill before
2030

Sourcing
naturalrefrigerant
solutionsby 2030

Exploring amaterial shift
away fromair-logistics
routing by 2030
and working
with our airfreight carriers
to deliversuitableabatement andoffsetting
where this is
not possible

Developing
both thecircularity andefficiency ofour products,
building off apilot program
undertaken by
Servomex in
2021

Using
technology tolimit the returnof frequentbusiness travel

By 2030 we will have reached
Net Zero across Scope 1 and 2emissions and decreased 42%
of our Scope 3 emissions

Business as usual
Scope 1 and 2
Scope 3This work will besupported by the“greening of thegrid” which means
that, over time,
more of ourproducts will bepowered byrenewable energy

Living ourvalues
Beyond these targets,
we will continue toprioritize our strategy
of developing products
and services that
support our customers
on their own
decarbonization
journey. This is partof our broader ambition
to make the world
cleaner, healthier andmore productive.

By 2040 we will
have decreased all
possible emissions
across our value
chain and balanced
remaining emissions
to reach Net Zero

Across the Spectris Group, beyond abatement
activity, 15% of Scope 1 and 2 emissions and
26% of Scope 3 emissions will be balanced
through offsetting.

2021

2030

2040Malvern Panalytical Our roadmap to Net ZeroOur total emissions
by scope
Emissions from our direct
operations, known as
Scope 1 and Scope 2,
accounted for just 8% of
our GHG (Greenhouse Gas)
emissions. The vast
majority of our GHG
emissions (92%) come from
activities in our supply
chain and so we will focus
most of our efforts here.

Total GHG emissions by Scope(Tonnes of C02e, in 2020)

2%

Scope 1(3,149)

Emitted directly

Scope 2from sources we own or control such as
on-site combustion (natural gas, fuelfor company’s vehicle fleet).

2%Scope 2 (market emissions)(4,264)

Emitted indirectlyfrom the generation of purchased energy likeelectricity and heating/cooling network.

Scope 3All other indirectemissions

Figures have been rounded.

96%(165,302)

in our value chain, both upstream anddownstream, such as sourcing and useof sold products.

Scope 1

172.7
Total kilotonnes of CO2e03

Malvern Panalytical Our roadmap to Net Zero04

Scope 1 and 2 emissions
We have committed toreach Net Zero in ourScope 1 and 2 emissions
by 2030 with a sciencebased target of 85%
abatement, set against
a 1.5°C warming scenario.
The chart to the right
explains how we will do
this, with a core focus
on renewable energy,employee engagement
and electric vehicles.
Our onsite solar generation capability
at our offices in the UK and theNetherlands produced 457.76 MWhof electricity in 2020. We will buildon this solar capability, and we haveestablished the potential to generate
13,323 MWh onsite at seven key
manufacturing sites. This capability will
be sufficient to generate c.28% of ourcurrent total electricity consumption.
Our EV100 commitment will see us
move to a fully electric fleet by 2030.
As part of our commitment to building
employee engagement, we are gifting
our employees the Giki Zero app toemphasize the role they can playindividually and as a team in lowering
our footprint.

Scope 1 and 2 – reaching Net Zero

100%

100%

Where weare now(2020)

Self
generation
at ownedsites

Renewableenergyprocurement(PPA/tariff)

3.6%*

54%

50%

Energyefficiency/
employeeengagement

Naturalrefrigerant
replacement

16%

0%

Biofuels
onsiteElectricvehicles<0%22%Neutralisation

5%0% Net Zero

* In addition to current self-generation at Malvern and Eindhoven

Scope 2 electricity
855

MWh

We have committed to RE100 and willconsume 100% of electricity produced
from renewable sources by 2030.

TheNetherlands

Canada5,747

UK

MWh934
MWhUSA

647

MWh

China

669

MWh

Non-renewable electricity
consumption accounts for 45% ofour total Scope 1 & 2 emissions.
The five countries identified on themap are the source of 99% of all ouremissions from purchased electricity.

Malvern Panalytical Our roadmap to Net Zero05

Scope 3 emissions
We have committed to reach
Net Zero across our Scope 3
emissions by 2040 with aninterim science-based target of
42% abatement by 2030 against
a 1.5°C warming scenario.
To achieve this, our key focus will be on
supplier engagement, partnering with our
suppliers to strengthen the environmental
performance of our supply chain. Our ambition
will be supported by the progressive “greeningof the grid” which means that, over time, moreof our products will be powered by renewableenergy during their use.

Scope 3 – reaching Net ZeroSupply chain
engagement
plus productcircularity

100%

100%

Where weare now(2020)

Productefficiency

Air-freight
reduction

Businesstravel policy

11%1%

1%

Waste
reduction

External
influence

Neutralisation29%<1%34%

50%

23%
0% Net Zero

Scope 3 emissions summary
Cat 5. Waste generated
in operations
13.1 tCO 2 e
Cat 3. Fuel and energy
related activities
1,230 tCO 2 e
Cat 1. Purchased
goods and services
59,340 tCO 2 e

Upstream activities

Cat 6. Business travel
778.1 tCO 2 e

Cat 4. Upstream
transport and distribution
3,564 tCO 2 e
Cat 7. Employee
commuting
1,908 tCO 2 eCat. 9Downstream
transport anddistribution
428 tCO 2 e

Downstream activities

Cat 11. Use ofsold product98,032 tCO 2 e
Cat 12. End-of-life
treatment ofsold products
8 tCO 2 e

165,302
tCO2 eMalvern Panalytical Our roadmap to Net Zero

Glossary
What is Net Zero?
Net Zero is a state where we add noincremental greenhouse gases to theatmosphere. This means achieving a balance
between carbon emissions and carbon
sinks through a combination of emissions
reduction within our business activities
and carbon sequestration.
Attaining Net Zero requires the abatementof our emissions output to as close to zero
as possible, consistent with a 1.5°C warming
scenario and then balancing any remaining
emissions via removal/sequestration ofan equivalent quantity of carbon fromthe atmosphere.

What are carbon emissions?
Carbon emissions are the release of carbon
into the atmosphere. Otherwise known as
greenhouse gas emissions; these are the main
contributors to climate change.

What is a carbon sink?
Carbon sinks are reservoirs (natural orartificial) that absorb carbon circulating in thebiosphere. By helping to reduce the amount ofatmospheric CO2, carbon sinks influence theclimate by slowing global warming. Naturalcarbon sinks include oceans, soil and flora(forests, peat bogs, grasslands) while artificial
carbon sinks refer to technologies that actively
extract carbon from the atmosphere.

06

Which initiatives are we aligningwith to support our ambition?

Carbon dioxide equivalent(CO2e)
The universal unit of measurement to indicate
the Global Warming Potential (GWP) of eachGreenhouse Gas Emission (GHG), expressed interms of the GWP of one unit of carbon dioxide.
It is used to evaluate the climate impact ofreleasing (or avoiding releasing) different
greenhouse gases on a common basis.
Most typically, the CO2 – equivalent is obtainedby multiplying the emission of a GHG by its
GWP for a 100-year time horizon. For a mix ofGHGs, it is obtained by summing the CO2 –equivalent of each gas.

What is carbon neutralization?
Neutralization offsets are activities that ‘remove’
carbon emissions from the atmosphere. By
investing in, or developing neutralization
projects we will be taking measures tocounterbalance/remove and permanently
store the impact of unabated emissions.

What is a 1.5°C warming
scenario?
A scenario of emissions of greenhouse gases
and other climate forcers that provides anapproximately one-in-two to two-in-threechance, given current knowledge of the climate
response, of global warming either remaining
below 1.5°C or returning to 1.5°C by around2100 following an overshoot. This is thelong-term temperature goal included in theParis Agreement which establishes 1.5°C as thewarming limit in the long term. The purposeof the goal is to ‘reduce the risks and impactsof climate change’ as assessed in thescience of the time, not to achieve a mere
objective in terms of a temperature number.

What does our Net Zero
Ambition cover?
Our ambition covers our Scope 1, 2and 3 emissions.
Scope 1 emissions
Our direct greenhouse gas emissions
resulting from our fuel combustion,vehicles and fugitive emissions.
Scope 2 emissions
Our indirect greenhouse gas emissions
which result from the procurement ofelectricity, steam, heating, or coolingfrom a third party.
Scope 3 emissions
The indirect greenhouse gas emissions
which occur in our value chain, not includedin Scope 2 emissions, related to the emissions
from our supply chain (‘upstream’) and ourcustomers (‘downstream’).

RE100 is a global initiative
bringing together theworld’s most influential
businesses committed to 100%
renewable electricity. Led by
the Climate Group and inpartnership with CDP, their
mission is to acceleratechange towards zero carbon
grids at scale. RE100 member
companies are already driving
enough renewable electricity
demand to power a medium
sized country.
EV100 is a global initiative ledby the Climate Group and inpartnership with CDP to bring
together forward-looking
companies committed toaccelerating the transition toelectric vehicles, who commit
to transition their fleets to EV
and install EV charging forstaff and customers by 2030.
The Science-Based Target
initiative (SBTi) is a partnership
between CDP, the United
Nations Global Compact(UNGC), World Resources
Institute (WRI) and the World
Wide Fund for Nature (WWF).
SBTi facilitates a third-party
validation process whichassesses whether corporate
climate targets are in line withthe emissions reductions
required by climate science.

Malvern Panalytical
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Malvern WR14 1XZEnglandwww.malvernpanalytical.com

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