The Science Based Targets Initiative (SBTi) is the largest validator of corporate net-zero targets, representing nearly 40% of the global economy by market capitalisation, through assessment against its Corporate Net Zero Standard.
In April 2024, the Board of SBTi announced it would update its Corporate Net Zero Standard to expand the ability of organisations to purchase carbon credits to abate their annual Scope 3 emissions: “The use of environmental attribute certificates for abatement purposes on Scope 3 emissions could function as an additional tool to tackle climate change. Consequently, SBTi has decided to extend their use for the purpose of abatement of Scope 3 related emissions beyond the current limits.” *
In response, in June and July 2024, researchers at Oxford Net Zero and the Grantham Institute at Imperial College London convened academic experts in corporate climate action and net-zero standards and governance. Experts discussed the potential implications of these proposed changes and alternative approaches for improving corporate Scope 3 emissions accounting and mitigation. Across four workshops, the researchers brought together nearly thirty researchers from across Europe, North America and Australia.
The workshops discussed:
1) Accounting methods and sector-based approaches in Scope 3
2) The use of carbon credits in Scope 3
3) Investment in permanent carbon removal and storage
The outcomes of discussion in these workshops can be found here: Oxford Net Zero_Grantham Institute Imperial_SBTi Workshop paper
This work was supported by the Natural Environmental Research Council (NERC) [grant number NE/W004976/1] as part of the Agile Initiative at the Oxford Martin School.
*These proposed changes are subject to public consultation, which closes on 12 September 2024.
