Science Based Targets Initiative (SBTi) Definition
The Science Based Targets initiative (SBTi) began in 2014 and provides companies and financial institutions with standards, tools and guidance for setting greenhouse gas emissions reduction targets aligned with climate science and the goals of the Paris Agreement. It helps companies understand how quickly they need to reduce their greenhouse gas (GHG) emissions to prevent the effects of climate change and lead them on a clear path towards decarbonisation.
Carbon reduction targets are considered Science-Based if they are in line with the latest climate science which has been set out to meet the goals of the Paris Agreement and limit global warming to 1.5°C. For targets to be recognised by SBTi, they must meet the applicable SBTi criteria and methodologies and align with the organisation’s greenhouse gas inventory. Near-term science-based targets normally define the emissions reductions to be achieved over the next five to ten years, while net-zero targets set the longer-term reductions required to reach net zero by 2050 at the latest, or earlier where applicable. Targets must also be reviewed and recalculated when required by SBTi criteria, including following significant changes to an organisation or its emissions inventory.
An analysis of global greenhouse gas emissions in 2016 found that energy use, including energy used in industry, buildings and transport, accounted for 73.2% of global emissions. This has encouraged companies of different sizes and across a wide range of sectors to set science-based emissions reduction targets. More than 10,000 companies worldwide now have targets validated by SBTi Services, with further organisations formally committed to developing and submitting targets. Current figures are available through the SBTi Target Dashboard.
What are the Organisation Benefits of Science Based Climate Targets?
Not only is reducing your GHG emissions great for the planet, it also benefits your company.
- Setting Science-Based targets can inspire a long-term sustainability vision, as these goals align with your carbon reduction plan, they allow you to think beyond short-term solutions and look for GHG emission reductions that will last.
- Having a transparent target setting process demonstrates your commitment to challenging climate change and can increase your company’s reputation among stakeholders such as investors and NGOs.
- Setting science-based targets can create business as well as environmental benefits. In SBTi research involving 171 companies, 91% of respondents reported that science-based targets had an overall positive impact on their organisation, with benefits reported across areas including reputation, strategic cohesion, investor confidence and resilience to regulatory change.
- Having Science Based targets in place has also been proven to increase employer attractiveness for employee talent, as reports show that many prospective job seekers will consider an organisation’s environmental commitments when applying. By showing this dedication to futureproofing the company, it also increases retention of existing employees.
- Be better equipped to meet evolving energy and carbon legislation and compliance, and the UK Government’s Net Zero 2050 target.
- Futureproof your resilience against a world that is moving away from fossil fuels and towards affordable, cleaner forms of energy.
- Organisations with validated science-based targets, or an active commitment to develop them, are listed on the SBTi Target Dashboard. A validated target can provide stakeholders with greater confidence that an organisation’s targets have been assessed against the applicable SBTi standards and methodologies.
- The effective communication of Science-Based targets can help to guide your internal management decisions and foster support from employees when it comes to driving sustainability improvements.
Related Services
Tools and Resources
How to Set Science-based Targets
- Build the GHG inventory. Measure Scope 1, 2 and relevant Scope 3 emissions for a chosen base year. (See Scope 1, 2 and 3 emissions explained, then the Scope 1, 2 and 3 emissions example.)
- Choose the route. Most UK corporates use the Corporate Near-Term Criteria and, if they want net zero, the Corporate Net-Zero Standard. SMEs have a streamlined route. Some sectors have their own pathways (including buildings).
- Set the targets. Near-term targets usually cover 5–10 years and 1.5°C. If Scope 3 is 40% or more of the inventory, near-term Scope 3 targets must cover at least 67% of Scope 3. Net-zero targets raise coverage to 90% and require residual emissions to be neutralised only at the net-zero date.
- Submit for validation. Targets are assessed by SBTi Services against the current criteria. This is a paid process.
- Publish and deliver. Report progress annually (CDP is the usual channel) and put a carbon reduction plan behind the numbers.
The Corporate Net-Zero Standard is being updated (V2) to put more weight on delivery, near-term Scope 1 and 2 cuts, and practical Scope 3 expectations. See our briefing on the SBTi Net-Zero Standard V2 for what is changing, then come back to this page to set the target.
How TEAM Can Help With Your Science Based Climate Targets?
Our Net Zero and Carbon Reduction Consultancy includes a plan to create, maintain and report on your Science Based targets. We can help you to achieve your goals by:
- Understanding your organisation’s energy and emissions output to design an achievable Science Based Target goal
- Advising on how you can achieve your carbon reduction goals as well as supporting on the concepts to include in your targets and strategies
- Summarising any opportunities for carbon reduction and how they will contribute to your targets as well as providing financial appraisal to assess their affordability
- Development of a plan including activities and target dates
- A review of how best to communicate your targets and complete strategy with key stakeholders and interested parties
- Explanation of additional opportunities and benefits of certain targets
- You will also receive a definition of how the targets will be measured and what factors may impact them as well as an overview of the challenges and risks involved in various options.
SBTi develops the standards, tools and guidance used to set science-based targets. Its target-setting pathways are informed by climate science and scenarios from scientific authorities including the Intergovernmental Panel on Climate Change and the International Energy Agency. Companies can submit their targets to SBTi Services Limited for assessment and validation against the applicable SBTi standards and methodologies. Validation services are subject to the relevant eligibility requirements and fees.
For more information, you can speak to a member of the team on 01908 690018 or contact us online.
Science Based Targets Initiative (SBTi) FAQs
SBTi Meaning: The Science Based Targets initiative (SBTi) is a global organisation, founded in 2015, that helps businesses set and validate greenhouse gas emissions reduction targets in line with climate science. Through its target-setting framework and validation services, the SBTi enables organisations to align their decarbonisation plans with a 1.5°C pathway and demonstrate credible progress towards net zero.
Setting science-based targets demonstrates a organisations commitment to reducing its greenhouse gas (GHG) emissions and contributing to global climate goals. By setting these targets, organisations can enhance their sustainability credentials, reduce operational risks associated with climate change, improve investor confidence, and gain a competitive advantage in a low-carbon economy. It also helps organisations align their strategies with future regulatory requirements and consumer expectations.
To set targets under SBTi, an organisation must first calculate its current GHG emissions and establish a baseline. The organisation then uses SBTi-approved methodologies and criteria to set targets that align with climate science. These targets are submitted to SBTi for validation. Once validated, the organisation can implement strategies to achieve its goals and report progress annually.
Setting science-based targets provides a clear framework for reducing emissions, enhancing corporate reputation, and ensuring long-term organisation resilience. Organisations with SBTi-aligned targets often experience benefits such as increased innovation, cost savings from improved energy efficiency, enhanced investor relations, and a stronger brand image. Additionally, these targets prepare organisations for future regulations and help them stay ahead in a rapidly evolving marketplace.
SBTi-approved targets must meet specific validation criteria. Near-term targets are typically set over a 5 to 10-year timeframe from the date of submission and must align with a 1.5°C pathway. Organisations must also account for their Scope 3 emissions where these represent a significant proportion of their total footprint. Under current SBTi criteria, companies with Scope 3 emissions representing 40% or more of total emissions must set Scope 3 targets, with validation requirements varying according to the proportion of emissions covered. Targets and inventories should be regularly reviewed and updated to reflect significant organisational changes and evolving climate science.
TEAM Energy provides comprehensive consultancy services to help organisations understand the SBTi process and develop actionable strategies for setting and achieving sustainability goals. Our multidisciplinary team of experts can assist with emissions calculations, target-setting methodologies, strategy development, and ongoing monitoring and reporting to ensure alignment with SBTi requirements and long-term sustainability objectives.
Science-based targets should be reviewed regularly, typically every 5 years, to ensure they remain aligned with the latest climate science and the organisations evolving business model and emissions profile. This process ensures that targets remain relevant and ambitious, driving continuous improvement in emissions reductions.
If an organisation fails to meet its SBTi net-zero targets, it is encouraged to reassess and adjust its strategy to get back on track. Continuous monitoring and regular reporting are essential to identify challenges early and adapt accordingly. SBTi provides guidance and resources to help organisations address gaps and strengthen their efforts to achieve their long-term sustainability goals.
No, setting science-based targets is not mandatory, but it is a proactive approach that many forward-thinking organisations are choosing to adopt. It signals a commitment to sustainability and climate leadership and can provide significant benefits in terms of reputation, risk management, and alignment with future regulations and market expectations. While voluntary, science-based targets are increasingly required in practice by investors, NHS and public-sector procurement frameworks, and customers that have their own Science Based Targets initiative (SBTi) commitments and expect emissions reductions across their supply chains.
For more information about the Science Based Targets Initiative and how TEAM Energy can assist with setting and achieving science-based targets, please contact our team of experts or visit the official SBTi website.
Contact us
Speak to a consultant on 01908 690018 to learn how our Net Zero and Carbon Reduction Consultancy services can help you