{"id":134279,"date":"2025-12-14T01:19:24","date_gmt":"2025-12-14T01:19:24","guid":{"rendered":"https:\/\/www.ecoonline.com\/?p=134279"},"modified":"2025-12-16T09:20:48","modified_gmt":"2025-12-16T09:20:48","slug":"what-you-need-to-know-about-the-sbti-net-zero-standard","status":"publish","type":"post","link":"https:\/\/www.ecoonline.com\/en-ca\/blog\/net-zero-standard-sbti\/","title":{"rendered":"What you need to know about the SBTi Net-Zero Standard"},"content":{"rendered":"\n
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The Corporate Net-Zero Standard was released in October 2021<\/a>. It aims to define how companies with 500 employees or more can set targets to align with global carbon budgets by 2050. <\/p>\n\n\n\n

The guidance was published by the Science-Based Targets initiative (SBTi), a collaboration between the Carbon Disclosure Project (CDP), World Resources Institute (WRI), World Wildlife Fund (WWF), and UN Global Compact.<\/p>\n\n\n\n

To understand the purpose of the net zero standard and how it impacts your organization, let\u2019s explore its history. <\/p>\n\n\n\n

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What is the purpose of the net zero standard?<\/h2>\n\n\n\n

The SBTi<\/a> net zero standard framework builds on previous Science-Based Targets (SBTs) for the near-term to develop criteria for long-term objectives. The main aim is to keep companies within the 1.5-degree temperature increase limit set by the Intergovernmental Panel on Climate Change<\/a> (IPCC). <\/p>\n\n\n\n

The first step for companies following the Net-Zero Standard is to develop a near-term target. The near-term period can cover between 5 and 10 years. <\/p>\n\n\n\n

A near-term target should reduce absolute emissions from the base year by a minimum rate common to all sectors or reduce emissions intensity according to the relevant guidance, if available for your industry (e.g. the power sector).<\/p>\n\n\n\n

This target must include at a minimum 95% of scope 1 and 2 emissions in addition to 67% of scope 3 emissions, if these total 40% from all scopes.<\/p>\n\n\n\n

Some sectors have additional requirements, including scope 3, category 11 (use of sold products) targets for the fossil fuel industry, and specific pathways for the Forest, Land-use and Agriculture (FLAG) sector.<\/p>\n\n\n\n

Companies have the option to replace scope 2 reduction targets with the objective of 80% renewable energy provision by 2025 and 100% by 2030.
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What near-term targets do I need to meet to achieve net-zero?<\/h2>\n\n\n\n

To achieve corporate net-zero, the following near-term targets must be met. These include:<\/p>\n\n\n\n