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2022 progress at a glance
2022 saw significant growth in the number of companies and financial institutions setting science-based targets, despite an increasingly challenging global backdrop of more frequent and destructive extreme weather, conflict and economic and political instability.
The number of companies and financial institutions setting science-based targets continued to grow. In 2022, 1,097 companies had their targets validated, a number greater than the total of the previous seven years combined.
As of July 2022, the SBTi has only accepted new target submissions which are aligned with 1.5ºC.
By the end of 2022, companies with science-based targets or which had committed to set targets represented over a third (34%) of the global economy by market capitalization.
Japan had the highest number of companies setting targets in 2022, followed by the UK and US. Asia saw the greatest proportional growth in companies setting targets, with Africa and Latin America also experiencing growth.
For the first time, we have observed growth in every continent. Companies in Albania, Malta, Myanmar (Burma), Romania and Tunisia set sciencebased targets, while companies in Liechtenstein, Morocco, Sierra Leone, and Trinidad and Tobago committed to set science-based targets.
88% of companies listed on France’s CAC Index had set or committed to set targets by the end of 2022, compared to 70% on Germany’s DAX Index, 69% of companies on the UK’s FTSE, 43% on Italy’s MIB, 42% of all S&P companies and 40% of companies listed on Japan’s NIKKEI Index.
There was significant growth in the number of small and medium-sized enterprises (SMEs) setting targets, with SMEs representing the majority (58%) of organizations setting targets in 2022.
130 companies set net-zero targets in 2022, making up 12% of all targets validated that year.
60% of companies setting targets came from the service, manufacturing and infrastructure industries. The materials industry saw the highest growth in the number of companies setting targets, while the three lowest represented industries – power generation, biotech, healthcare and pharma, and hospitality – saw little change.
79% of all companies with science-based targets were 1.5°C-aligned for scopes 1 and 2 by the end of 2022.
96% (excluding SMEs and financial institutions) of all companies with science-based targets covered scope 3 by the end of 2022.
The amount of company combined scope 1 and 2 emissions covered by science-based targets increased by 27% compared to 2021, representing 422 million tonnes of CO2e.
As of December 2022, total committed annual emissions reductions across all approved science-based targets was 76 million tonnes of CO2e, equivalent to eliminating Switzerland’s 2022 annual CO2 emissions more than twice over.