There has been a lot of progress lately in fighting climate change. But how will we know if it is enough to prevent the worst effects of global warming? One way is through science-based targets.
The Science Based Targets Initiative (SBTi) is a cooperative effort between business and environmental NGOs to achieve climate science goals.
Recognizing the risk climate change poses, many companies have already set greenhouse gas (GHG) emissions reduction targets. However, most targets do not reach the level of reduction and timeframe required to prevent a global temperature increase of greater than 1.5°C in the future.
SBTi offers companies a unique opportunity to have their emission reduction targets independently validated by its team of technical experts, given that climate science is nuanced and dynamic.
The validation ensures that companies set greenhouse gas reduction targets aligned with what climate science shows is required, building resilience and competitiveness.
And so far, more than 2,000 companies worldwide are setting emissions reduction targets through the Science Based Targets initiative (SBTi).
Setting emissions reduction targets consistent with the best available climate science has three main components:
1. A greenhouse gas (GHG) budget that is set using the transient climate response (TCR), which closely matches the way the CO2 concentration has changed in the past.
2. A set of emission scenarios that meet the criterion of being plausible, responsible, objective, and aligned with less than 2˚C of global warming.
3. An allocation approach that defines how the carbon budget is allocated to individual companies based on either sector-specific decarbonization pathways or absolute reductions using on climate science modeling.
Companies typically begin by setting targets for their operations and the energy they buy from the grid because these emissions are generally in their control. However, often the majority of a company’s emissions are from the supply chain.
Therefore, setting ambitious supply chain targets can help a company manage risk, engage stakeholders, and assess whether its current business model is compatible with a low-carbon future.
