Science Based Targets initiative
Science Based Targets Initiative (SBTi)
The Science Based Targets Initiative (SBTi) represents a groundbreaking collaboration between the CDP, the United Nations Global Compact, World Resources Institute (WRI), and the World Wide Fund for Nature (WWF). It is a testament to the collective effort of these organizations to drive ambitious climate action within the private sector.
Overview
Established with the mission to enable companies to set science-based emissions reduction targets, the SBTi serves as a pivotal platform for businesses committed to sustainable growth. It provides a clear pathway for companies to reduce their greenhouse gas (GHG) emissions in alignment with the latest climate science, thereby supporting the transition to a net-zero economy.
Milestones and Impact
Since its inception, the SBTi has garnered the participation of over 4,000 businesses across various regions and industries, all united in the goal of decarbonization. These companies have embraced science-based targets as a means to:
- Enhance profitability
- Bolster investor confidence
- Foster innovation
- Mitigate regulatory uncertainty
- Strengthen brand reputation
The initiative's influence is evident, with a significant portion of global market capitalization now committed to climate action through the SBTi. As of March 2023, over 2,300 companies have had their science-based targets approved, covering 1.5 billion tonnes of CO2 emissions.
The Net-Zero Standard
In October 2021, the SBTi launched the Net-Zero Standard, providing comprehensive guidance and tools for companies to set credible and effective science-based net-zero targets. This standard represents the world's first framework for corporate net-zero target setting grounded in climate science.
Future Directions
Looking ahead, the SBTi is developing the first Standard for science-based net-zero target setting for the Financial sector, with an expected launch in early 2024. This initiative underscores the SBTi's commitment to expanding its reach and impact, ensuring that all sectors can contribute meaningfully to climate action.
Getting Involved
Companies looking to join the SBTi and set their own science-based targets can follow a structured process:
- Commit: Submit a letter establishing the intent to set a science-based target.
- Develop: Work on an emissions reduction target that meets the SBTi's criteria.
- Submit: Present the target to the SBTi for official validation.
- Communicate: Announce the target publicly and inform stakeholders.
- Disclose: Report company-wide emissions and progress against targets annually.
Conclusion
The Science Based Targets initiative is more than just a program; it is a movement towards a sustainable, resilient, and prosperous future. By aligning corporate strategies with climate science, the SBTi is not only steering companies towards environmental stewardship but also towards long-term business success.