The Science Based Targets initiative (SBTi) has announced that the number of businesses worldwide that have validated science-based climate targets has reached 10,000, a milestone in the adoption of emissions reduction commitments.
The 10,000 companies, which represent more than 40% of global market capitalisation, span all regions and sectors, as well as being located in over 90 countries.
The milestone comes just 11 years on from the SBTi validating its first company’s targets in 2015. In 2021, it validated its 1,000th firm, and following the validation of 2,800 companies last year, has hit its current total.
‘Growing commitment’
“Reaching 10,000 validated companies is a significant milestone – for the companies involved, and for corporate climate action more broadly,” commented David Kennedy, chief executive, Science-Based Targets initiative.
“Companies are setting science based targets because they recognise the strategic, reputational, and financial benefits of net-zero business transformation. This milestone reflects a growing commitment by companies to set credible, accountable targets, and we look forward to supporting many more as this transition continues.”
On a regional basis, European firms account for a ‘substantial share’ of all SBTi-validated businesses, but recent years have seen growth in Asia, with more than 2,000 companies in Japan now boasting validated targets, more than any other country. This is followed by the United Kingdom, the United States and China.
To achieve validation from the SBTi, businesses need to submit climate targets using the criteria laid out in the SBTi’s standards, tools, and guidance, which determines whether said targets align with approved pathways for emissions reduction and long-term net-zero goals.
Net-zero targets
Among the firms cited in SBTi’s announcement were Arsenal Football Club, Danone, ING, Lenovo, McLaren Racing, and Ørsted, with Ada Chávez, senior engineer, net zero lead at Lenovo, describing the SBTi’s achievement as reinforcing the “value of the Net-Zero Standard in creating a clear, credible pathway for organisations to communicate and build trust with stakeholders.”
Anders Johannes Enghild, head of global sustainability at Ørsted, added that the energy firm recognises the “value of SBTi Standards in defining a credible pathway for corporate climate action, which is why we also ask our suppliers to set SBTi targets”.
Elsewhere, Hannah Mansour, director of ESG at Arsenal FC, the only football club to have its net-zero target approved by the SBTi, said that it is continuing to “make strong progress in cutting our emissions and driving sustainable action with our supporters and communities.” Read more here.
