CO2 Performance Ladder 4.0

The CO2 Performance Ladder is both a CO₂ management system and a procurement instrument. It helps organisations measure, reduce, and manage their greenhouse gas emissions using the PDCA (Plan–Do–Check–Act) cycle, while rewarding credible climate action with tender advantages. With version 4.0, published in January 2025 by SKAO (the Foundation for Climate-Friendly Procurement and Business), the scheme has been fundamentally updated to align with European climate goals and provide clearer, more ambitious requirements.

From Five Levels to Three Steps

Earlier versions of the Ladder had five levels. Version 4.0 simplifies this to three steps (“treden”) with sharper requirements. This change makes the framework easier to apply in practice, while also raising the bar for ambition and transparency. Each trede sets out progressively more demanding requirements, covering both direct emissions and value chain engagement.

• Trede 1: Focuses on your organisation’s own footprint (scope 1 and 2), setting reduction goals, and embedding CO₂ awareness. Requirements are outlined in the Trede 1 handbook.
• Trede 2: Expands to scope 3 value chain emissions and requires structured collaboration with suppliers and customers. See the Trede 2 handbook for details.
• Trede 3: Demands the highest ambition with a climate transition plan to 2050, independent validation, and leadership in sectoral initiatives. Full requirements are set out in the Trede 3 handbook.

The four well-known angles remain the backbone of the Ladder: A – Insight, B – Reduction, C – Communication, and D – Participation.

History & Development of the Ladder

The CO₂ Performance Ladder was introduced in 2009 by SKAO, initially as an initiative by Dutch rail infrastructure manager ProRail. Its original goal was to integrate climate action into public procurement, especially in infrastructure and construction. Over the years, the Ladder has evolved from a sectoral tool to a nationwide standard, supported by the Dutch government and used by hundreds of contracting authorities. Each new version has raised the bar: from a focus on internal CO₂ management in version 2, to value chain emissions in version 3, and now to climate transition alignment in version 4.0. The Ladder has therefore matured into one of the most effective climate instruments in European procurement.

International Adoption of the CO2 Performance Ladder

While the Ladder originated in the Netherlands, its success has led to adoption abroad. In Belgium, for example, the Ladder has been integrated into procurement for large infrastructure projects. There is also growing interest from other EU countries as they align public procurement with the European Green Deal and climate-neutrality goals for 2050. Because the Ladder closely aligns with the CSRD reporting framework, it has the potential to expand further as a European benchmark for sustainable procurement.

Tender Advantages: Why Companies Get Certified

The most tangible benefit is the notional discount in public tenders. Certified companies gain a fictitious price advantage—often up to around 10%—without lowering their actual bid. Public authorities such as Rijkswaterstaat apply the Ladder systematically in procurement, making certification a competitive edge. Guidance for contracting authorities is also provided on the SKAO website for buyers.

Practical Examples / Case Studies

Several contractors and engineering firms have used the Ladder to improve both sustainability and competitiveness. For example, infrastructure projects awarded by Rijkswaterstaat show how companies at Trede 2 or Trede 3 gain a real edge in tender evaluations. A contractor at Trede 3 may present a validated climate transition plan aligned with the Paris Agreement, while a Trede 1 competitor only shows internal footprinting. The Ladder therefore not only drives emissions reduction, but also creates measurable market advantage. More examples of organisations applying the Ladder can be found in the SKAO participants database.

Transition Timeline to the new CO2 Performance Ladder

The transition to version 4.0 is phased, as described in the official SKAO announcement:

• 2025: Organisations prepare; certification bodies (CIs) start accreditation for v4 audits by July.
• 2026: Early adopters begin certifying under v4; authorities prepare to include v4 in tenders.
• January 2027: All organisations must transition; v3.1 audits are no longer allowed.

What Version 4.0 Requires From Your Organisation

The new handbooks (Trede 1–3) set detailed requirements. Highlights include:

• Insight (A) – Establish organisational boundaries, compile a CO₂ inventory (scopes 1, 2, and relevant 3), and ensure data quality. Methodological references are aligned with the GHG Protocol.
• Reduction (B) – Define short-, medium-, and long-term goals linked to concrete measures, such as energy efficiency, electrification, and logistics optimisation.
• Communication (C) – Publish CO₂ policies, targets, and progress internally and externally on accessible web pages.
• Participation (D) – Join or lead sector initiatives that accelerate emissions reduction, such as industry-wide innovation platforms.

Challenges & Common Pitfalls

While the Ladder is powerful, many organisations encounter challenges when implementing it. One of the most common issues is collecting reliable data across scopes 1, 2, and especially scope 3 value chain emissions. Supply chain data is often fragmented or incomplete, making reduction planning difficult. Another pitfall is underestimating the effort required for transparent communication and annual audits.

To address these challenges, many organisations adopt ESG data management software that centralises emission data, supports audit-readiness, and aligns with frameworks like the CO₂ Performance Ladder. Ecocharting is one such platform, helping organisations track, manage, and report ESG and CO₂ data efficiently, while staying compliant with CSRD and procurement requirements. By integrating technology, companies can reduce the administrative burden and focus on actual emissions reduction.

Why the Ladder Works

Independent evaluations by SKAO and Dutch ministries show that organisations on the Ladder reduce emissions faster than average. The research library on the SKAO site confirms its proven impact. Because it is embedded in procurement, the Ladder turns climate action into a market advantage rather than a cost.

Practical Steps to Get Started

• Orient & Gap Analysis – Compare your current management system against the v4 handbooks.
• Choose Your Trede – Match ambition with tender relevance and organisational maturity.
• Build an Action Plan – Define targets, appoint CO₂ ambassadors, and schedule communications.
• Set Up Data Quality – Define emission factors, base year, and audits in line with ISO 14064.
• Schedule Your Audit – Engage an accredited certification body listed by the Dutch Accreditation Council (RvA).

Conclusion

CO₂ Performance Ladder 4.0 combines climate leadership with procurement advantage. By embedding CO₂ management across your organisation, planning towards 2050, and demonstrating credible action, you not only reduce emissions but also strengthen your competitive position in public tenders. The move from five levels to three treden makes the Ladder clearer, more ambitious, and better aligned with European sustainability frameworks.