Net Zero Commitment Policy

Net Zero Commitment Policy

At CMS our core values support all that we do, and these are reflected in our employment policies. We do this by living our values, which are based on people, operational excellence, profitable growth, and exceeding expectations. We expect your full support in living the CMS values and upholding our company policies.

Purpose

CMS Distribution recognises the urgent need to address climate change and reduce greenhouse gas (GHG) emissions associated with our operations and value chain. As an IT distributor operating within a global technology supply ecosystem, we acknowledge our responsibility to reduce emissions across logistics, operations, procurement, and product lifecycle activities.

This policy establishes our commitment to achieve Net Zero greenhouse gas emissions across Scope 1, Scope 2, and Scope 3 by 2035, and outlines the governance, measurement, and reduction strategies that will guide our decarbonisation journey.

Our approach is aligned with recognised UK decarbonisation frameworks and international climate science, though it is not currently accredited under any formal national or international certification scheme.

Scope

This policy applies to:

• All employees, contractors, and directors of CMS Distribution.

• All core operational locations including warehouses, offices, and distribution centres

• All business activities including procurement, logistics, warehousing, product handling, and IT services

• Key suppliers and logistics partners where emissions are generated within our value chain

Net Zero Commitment

CMS Distribution commits to:

Achieving Net Zero greenhouse gas emissions across Scope 1, Scope 2, and Scope 3 by 2035.

This will be achieved through:

• Measurement and transparent reporting of emissions

• Absolute emissions reductions across operations and supply chain

• Energy efficiency improvements

• Renewable energy adoption

• Low-carbon logistics and procurement strategies

• Supplier engagement

Our objective is to prioritise direct emissions reductions before offsetting.

Emissions Boundaries

We will measure emissions using internationally recognised carbon accounting standards and methodologies.

Scope 1 – Direct Emissions

Emissions directly generated from sources owned or controlled by the company, including:

• On-site fuel combustion (gas heating, generators)

• Refrigerants and cooling systems within warehouses or offices

Reduction Strategy

• Phase-out of fossil fuel heating systems

• Energy efficiency improvements in buildings

• Refrigerant management and low-GWP alternatives

Scope 2 – Indirect Energy Emissions

Emissions from purchased electricity, heating, or cooling consumed by company facilities.

Reduction Strategy

• Transition to 100% renewable electricity procurement

• Installation of on-site renewable energy generation where feasible

• Warehouse lighting upgrades (LED)

• Energy monitoring and smart building systems

Scope 3 – Value Chain Emissions

Scope 3 represents the largest proportion of emissions for IT distribution and includes upstream and downstream activities.

Relevant categories include:

Upstream Emissions

• • Purchased goods and services (IT hardware and accessories)

  • Capital goods

  • Upstream logistics and transportation

  • Packaging materials

  • Business travel

  • Employee commuting

  • Waste generated in operations

Downstream Emissions

• • Distribution of products to customers

  • Product use emissions where applicable

  • End-of-life treatment of sold products

  • Returns and reverse logistics

Reduction Strategy

• • Supplier decarbonisation engagement

  • Preferential procurement from low-carbon manufacturers

  • Low-emission freight partners
  • Reduced packaging and sustainable materials
  • Circular economy initiatives, including refurbishment, recycling, and reuse
  • Product lifecycle collaboration with vendors

Net Zero Roadmap

To reach Net Zero by 2035, CMS Distribution will implement phased reduction milestones.

By 2027

• Establish full Scope 1–3 carbon baseline

• Achieve 100% renewable electricity sourcing

• Implement supplier emissions reporting requirements

By 2030

• Reduce Scope 1 and 2 emissions by at least 80%

• Reduce Scope 3 emissions intensity across key categories

• Ensure majority of logistics partners have decarbonisation plans

• Implement circular product return and recycling programmes

By 2035

• Achieve Net Zero across Scope 1, Scope 2, and Scope 3

• Neutralise unavoidable residual emissions through verified carbon removal projects

Governance & Accountability

Net Zero implementation will be overseen by the Executive Leadership Team, supported by the ESG Team.

Responsibilities include:

• Monitoring emissions reduction progress

• Reviewing decarbonisation investments

• Integrating sustainability into procurement and logistics decisions

• Ensuring transparent reporting

Departmental leaders will be responsible for integrating emissions reduction initiatives into operational planning.

Supplier & Partner Engagement

As a distributor, our impact is heavily influenced by our supplier ecosystem.
We will:

• Encourage suppliers to disclose emissions data

• Prioritise suppliers with climate commitments

• Collaborate on packaging reduction and circular initiatives

• Work with logistics providers adopting low-carbon transportation solutions

Supplier engagement will form a key component of our Scope 3 reduction strategy.

Monitoring & Reporting

We commit to transparent monitoring of our emissions and progress against targets.

This includes:

• Annual measurement of Scope 1, 2, and relevant Scope 3 emissions

• Internal reporting to leadership and stakeholders

• Continuous improvement of carbon accounting methods

Employee Engagement

Employees play a critical role in delivering our Net Zero ambition.

We will support this through:

• Sustainability training and awareness

• Travel reduction initiatives

• Waste reduction and recycling programmes

• Employee participation in environmental initiatives

Review & Continuous Improvement

This policy will be reviewed annually to reflect:

• Progress against Net Zero targets

• Changes in climate science

• Industry best practice

• Technological developments in low-carbon logistics and IT distribution

Statement of Commitment

CMS Distribution recognises that climate action is both a responsibility and an opportunity to build a more resilient and sustainable business.

Through this Net Zero Policy, we commit to significant emissions reductions across our operations and value chain, working collaboratively with employees, suppliers, and customers to achieve Net Zero emissions by 2035.

Signed By:

CEO

Policy Effective Date: 10th March 2026

Next Review: 9th March 2027