Land Transport

Guidance for the land transport sector

Why take action?

Emissions from the transport sector have increased at the fastest rate of all end-use sectors, tied with industry. It is critical for this sector to rapidly reduce emissions to help keep global temperature rise to 1.5°C.

Call for Experts

In line with the Standard Operating Procedure (SOP) for the Development of SBTi Standards, the SBTi is calling for applicants to join its Expert Advisory Group (EAG) to support the evolution of its Land Transport Guidance into an Automotive Standard. The development of this new standard is planned to align with the SBTi’s Corporate Net-Zero Standard and incorporate best available practices for the sector to decarbonize. Find out more about the opportunity and apply today. Applications must be submitted by 11:59 PM PT June 26, 2024.

Read the SBTi Automotive Standard Terms of Reference (TOR) to learn more about this project.

Developing a target-setting standard for companies in the land transport sector

In March 2024 the SBTi published an updated guidance for land transport vehicles, including a new method for automakers to set 1.5°C emissions reduction targets.

For the first time, this updated guidance aligns automakers’ largest source of emissions - scope 3 category 11 ‘use phase’ i.e. those from driving sold vehicles - with 1.5°C. It also includes a pledge for companies to work towards the phase out of new Internal Combustion Engine (ICE) cars and vans by 2035 in leading markets including but not limited to Europe, Asia Pacific, USA, Canada, UK, South Korea and Japan, and globally by 2040, or earlier per local regulations.

Now, as a next step, the SBTi is evolving the relevant elements of the Land Transport Guidance into an Automotive Standard. The development process will include an in-depth review of the existing automotive section in the Land Transport Guidance, criteria and methodologies.

Aligning the land transport sector with 1.5°C

The Land Transport Guidance sets out a compilation of SBTi’s current target-setting criteria and recommendations found across existing documents for land transport, and includes a new method for automakers to set 1.5°C emissions reduction targets.

As the Automotive Standard develops, land transport companies, i.e. those dedicated to passenger and freight transport activities via road and rail, can set targets for their scopes 1 and 2 emissions using SBTi’s cross-sector methodologies and general criteria. Companies in any sector with large land transport emissions in their value chain can use the Sectoral Decarbonization Approach (SDA) Transport Tool to set scope 3 targets covering their subcontracted transport emissions. The SDA Transport Tool is a technical resource to model science-based targets for direct and indirect transport emissions. The tool is focused on land transportation for passenger and freight activities and it provides best practices for science-based target setting.

The SDA Transport Tool is available to assist companies with modeling scope 3 targets only. This tool is not applicable for companies that own and/or control transport operations nor automakers setting scope 3 category 11 targets. These companies should use the Corporate Near-Term Tool.

Near-term targets can be calculated using the scope 3 tab in the SBTi Corporate Near-Term Tool, where well-to-wheel absolute emissions for the lifetime of the vehicles sold within the base year, across the entire vehicle portfolio, shall be entered. Long-term targets must also be set and can only be validated in accordance with the SBTi’s Corporate Net-Zero Standard Criteria using the Corporate Net-Zero Tool.