SBTi publishes new standard to help companies set science-based net zero targets

The Science-Based Targets initiative (SBTi) has launched its new Net-Zero Standard, which it claims is a world first. This is a framework for companies to set net-zero targets and ensure they are aligned with the goal of limiting global temperature rise to 1.5°C. 

Companies adopting the Net-Zero Standard will be required to set both near- and long-term science-based targets across Scope 1, 2 and 3 emissions. Near-term targets cover immediate emissions reductions for the next 5 to 10 years, while long-term science-based targets determine the total level of decarbonisation by 2050 or earlier. Most companies will require 90-95% reduction in emissions before 2050 to reach net-zero under the Standard. This will mean making rapid emissions cuts now and halving emissions by 2030. 

The SBTi has said it will start validating companies net-zero targets in line with the new standard from January 2022. 

In the absence of a common definition of net zero, the rapid proliferation of net-zero targets has led to confusion and accusations of greenwashing. The SBTi’s Net-Zero Standard is intended to provide a clear, science-based definition of net-zero that is externally verified. It has been described by some as a “powerful weapon against greenwashing”.