UK HM Treasury Sustainability Reporting Guidance 2026-27 (FReM)
Chapter 4: finite resource consumption, potable water, other finite resources, environmental incidents and indirect water use (paragraphs 4.1 to 4.17) – UK HM Treasury Sustainability Reporting Guidance 2026-27 (FReM)

UK HM Treasury Sustainability Reporting Guidance 2026-27 (FReM) 4.14-4.17: Indirect water use where material: analyse and narratively disclose the indirect effects of activities and policies on water use including embedded water, considering suppliers' water volumes and sources, supplier engagement, and the blue, grey and green water types

What does 4.14-4.17 require?

For most public bodies the indirect share dominates the water footprint. Where that share is material, the body must go past the minimum, on a comply-or-explain basis, by analysing and describing in narrative form how its activities and policies affect water use, including the water effects of its policies and the water embedded in waste materials. Judging embedded water means looking at both how much water suppliers use and where it comes from: a large volumetric footprint drawn from a rain-rich, well-managed region may do less harm than a smaller one from a water-scarce region. A body may describe its work with suppliers to reduce virtual water use, including attempts to obtain supplier water data and steps taken to encourage sustainable practice, and any assessment of water and waste impacts in the supply chain. To match private sector practice, targets and performance should be disclosed by water type: blue (rivers, lakes, aquifers), grey (water polluted by agricultural, industrial or household use) and green (rainfall taken up by crops).

Maintained by Gerard Blokdyk

Other controls in Chapter 4: finite resource consumption, potable water, other finite resources, environmental incidents and indirect water use (paragraphs 4.1 to 4.17) – UK HM Treasury Sustainability Reporting Guidance 2026-27 (FReM)

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