Science Based Targets Initiative

The Science Based Targets initiative (SBTi) is a global collaboration that helps companies set greenhouse gas emissions reduction targets aligned with climate science. Launched in 2015, the initiative is a partnership between CDP (formerly the Carbon Disclosure Project), the United Nations Global Compact, World Resources Institute (WRI), and the World Wide Fund for Nature (WWF). The fundamental purpose of SBTi is to provide companies with a clearly defined pathway to reduce emissions in line with the Paris Agreement goals of limiting global warming to well below 2 degrees Celsius above pre-industrial levels, with efforts to limit warming to 1.5 degrees Celsius.

Science-based targets are emissions reduction goals that meet specific criteria defined by the SBTi. These targets are considered science-based when they align with what the latest climate science deems necessary to meet the goals of the Paris Agreement. Rather than companies setting arbitrary reduction percentages, the initiative provides methodologies and guidance that ensure corporate climate commitments are consistent with decarbonizing the global economy at the pace required to prevent the worst impacts of climate change. The targets typically cover a company's direct emissions (Scope 1), indirect emissions from purchased energy (Scope 2), and increasingly, value chain emissions (Scope 3).

The process for companies involves several steps. Organizations first commit to setting a science-based target, then develop their target using SBTi criteria and submit it for official validation. Once validated by the SBTi's independent technical advisory group, companies publicly announce their targets and begin the work of implementation, with annual reporting on progress. As of recent years, thousands of companies across various sectors and geographies have committed to or set science-based targets, representing a significant portion of global market capitalization.

The initiative matters for multiple reasons. For businesses, setting science-based targets provides competitive advantages, including improved investor confidence, enhanced reputation, increased innovation, regulatory preparedness, and resilience against climate-related risks. For society and the environment, widespread corporate adoption of science-based targets accelerates the transition to a low-carbon economy and helps close the emissions gap between current trajectories and what is needed to meet international climate goals. The initiative also creates transparency and accountability, as companies must publicly disclose their targets and report on progress.

SBTi has developed sector-specific guidance to address the unique challenges different industries face in decarbonization. Sectors covered include financial institutions, oil and gas, transport, buildings, power generation, and agriculture. The initiative continues to evolve its standards, including developing a Net-Zero Standard that provides guidance for companies aiming to achieve net-zero emissions by mid-century.

Critics have raised concerns about the rigor of validation processes, the quality of Scope 3 emissions data, and whether targets are ambitious enough. Nonetheless, the SBTi represents one of the most widely adopted frameworks for corporate climate action. For individuals, understanding science-based targets helps in evaluating corporate climate commitments, making informed investment decisions, and advocating for stronger climate action within organizations. The initiative's public database allows anyone to search which companies have committed to science-based targets and view their specific commitments.