Science Based Targets Initiative (SBTi) Adopts Carbon Offsets to Drive Net Zero Targets
The Science Based Targets Initiative (SBTi), a collaborative effort between investor-backed non-profit CDP, the UN Global Compact, the think tank World Resources Institute (WRI), and the environmental group WWF, has recently released a paper aiming to establish the first science-based standard for corporate net zero targets and actions by 2050.
Traditionally, SBTi has been cautious about incorporating carbon offsets into its initiatives to ensure that global temperatures remain within 1.5°C above pre-industrial levels. However, there has been a shift in their stance, signalling that offsets can play a role in more ambitious corporate climate goals, including achieving net zero.
While emphasizing the importance of decarbonization, Cynthia Cummis, Director of WRI, expressed that organizations desiring to go beyond Science Based Targets (SBTs) and finance the transition to zero-carbon are encouraged to invest in offsets.
Out of nearly 1,000 companies that have committed to setting SBTs, only 280 have joined SBTi’s more rigorous “Business Ambition for 1.5C” campaign, making them the primary candidates for offset purchases.
Dan Linksy from ClimeCo highlighted that some large SBTi signatories had previously inquired about purchasing carbon credits, only to discover that such units were not permitted under the collaborative’s terms. Therefore, the relaxation of SBTs’ stance provides additional support to the voluntary carbon market.
To learn more about SBTi, explore options to utilize carbon offsets as part of an SBTi commitment, and discover our commitment to offset price transparency, please don’t hesitate to reach out to our expert team.