Important information on SBTs methodologies and acceptable ambition for Scope 1 & 2 targets

The table below summarizes how the ambition of different types of Scope 1 and 2 targets submitted (absolute, activity-based intensity target, economic-based intensity target, and power generators targets) are evaluated by the SBTi technical reviewers. “OK” indicates the circumstances under which targets are considered as acceptable in terms of ambition. This table can be used as a guide for companies to verify whether their target(s) would meet the validation criteria regarding ambition.

Key takeaways are:

  • If an absolute target is submitted for validation and it is in line with the Absolute Emissions Contraction and/or with the SDA, it will be considered sufficiently ambitious. Note that for certain sectors and specific cases where these two methods lead to very different targets in terms of ambition, the targets might have to be in line with both of the methods.
  • Economic-based intensity targets can be considered ambitious enough if those targets align with the Absolute Emissions Contraction and/or SDA. Note that for certain sectors and specific cases where these two methods lead to very different targets in terms of ambition, the targets might have to be in line with both of the methods.
  • Power generators’ targets must be in line with the SDA. This is because they are the largest contributors to global GHG emissions and are expected to decarbonize the most aggressively. The SDA approach recognises this imperative, which may be underestimated by other methods.

Please note that the SBTi recommends companies to screen several of the methods and choose the method and target that best drives emissions reductions to demonstrate sector leadership. That is, companies should not default to the target that is easiest to meet but should instead use the most ambitious decarbonization scenarios and methods that lead to the earliest reductions and the least cumulative emissions.

Please note that targets have to meet all the SBTi criteria to be approved and this can only be determined after a rigorous assessment performed during the target validation.

 

When the target being validated is: The technical reviewer checks against:
Absolute Emissions Contraction SDA
Absolute Absolute, if covered in a heterogeneous or homogeneous sector Intensity, if covered in a homogeneous sectors
Absolute target OK and/or OK and/or OK
Activity-based intensity target Look at expected change in absolute emissions Look at expected change in absolute emissions
OK and/or OK and/or OK
Economic-based intensity target → convert values to check against other methods Look at expected change in absolute emissions Look at expected change in absolute emissions
OK and/or OK and/or OK
Power Generators N/A OK and/or OK