The Science-Based Targets initiative and what it means for projects and project management webinar

We were delighted to hear from Kim Schoppink, European Lead for the SBTi (Science-Based Targets initiatives), on Tuesday 2 December, about this important work and the ways project managers can support their own organisations to be part of the solution not the problem.

The Science-Based Targets Initiative is a global climate action organisation that enables businesses (as opposed to government) to set ambitious carbon emission reduction targets in line with the latest climate science. 

SBTi was founded on the idea that business emissions reduction targets should be based on climate science, and also should be consistent with the goals of the Paris Agreement (2015). Now, 10 years later, there are more than 12,000 companies that have validated targets or commitments to set targets. Half are in Europe, and almost 1,500 of those are in the UK. Perhaps surprisingly, the country with the largest number of commitments is Japan.

We’re facing an enormous emission gap in the emission reductions needed to limit global warming to 1.5 °C. We need the private sector to take action voluntarily to address these emissions.

We see devastating and destructive wildfires, floods, heat waves occurring more and more frequently. And currently, we are on a trajectory that leads to over 2.7 °C of warming this century, and such levels of heating are really threatening to our entire world. And this would not only be a humanitarian crisis, it will be also an economic one. If we don't reduce emissions, then by 2050, it could shrink the global economy by as much as 14%, or $23 trillion.

The good news is, that setting science-based targets is not only helping the climate, it's actually also good for business.

It’s good for business
SBTi did research among 170 companies who have set science-based targets at least 2 years ago, and 91% of these companies say that their science-based target has had an overall positive effect on their organisations.

• align with supply chain and customer requirements.
  positive impact on their competitiveness, for example, because of reducing energy consumption.
• improved resilience against future regulatory changes. An example: the UK government uses science-based targets as a proxy for sustainability criteria when assessing applications for the Clean Industry Bonus.
• target setting strengthened their investor perception of their companies and enhanced brand reputation.

The downside: there is a cost from the transition stage after setting a target. However 41 companies reported positive impacts on long-term financial performance after this initial transition, and this number increases to 92% if we include overall neutral impacts (i.e. long-term improvements compensate for the initial cost).

Standards and guidance
SBTi develops standards and guidance to help organisations and project managers to change processes to meet the requirement.  
SBTi's main standard is the cross-sector standard, and that can be used by all companies in all sectors. But there are some key differences between sectors and SBTi have developed guidance for 12 high-emitting sectors. 

Because of the range of organisations that will set targets, there are two different target-setting routes:

• Large companies and financial institutions can set targets and commit to them before delivering, however they are required to include Scope 3 in their targets.
• Small and medium-sized enterprises (SME) have a streamlined target validation process, which is slightly easier: it includes Scope 1 and 2 targets, they don’t need Scope 3 inventory or to immediately set a Scope 3 target.

SBTi also has an academy to help organisations and practitioners, and issues certificates and maintains a database of practitioners if you are looking for someone to help you set targets.


What’s to stop someone from setting targets and then not really achieving them?
Companies are required both to publish their targets on their own website, and to publish their progress annually showing how far they are getting. Because this is a requirement, companies that don’t publish make it fairly obvious that they aren’t making progress, and their stakeholders will respond accordingly. 

However SBTi recognises that without external audits a company could simply lie, and the version of the standards and guidance that is due to come out soon closes this loophole.

And companies can’t use offsets to meet their targets, they have to actually change their processes and plans. Offsets don’t count. However changes in the way their supply chain works will of course count towards their Scope 2 targets.

All in all, an absolutely fascinating explanation of the science-based targets initiative (limiting global carbon emissions to the 1.5 ° global warming level) and emphasising the importance of project managers in achieving this aim.

Webinar resources

Kim has kindly allowed their presented material to be made available for viewing. The webinar recording on Vimeo and the slides on Slideshare, will soon be available in our APM resources area and also embedded below for reference.

The questions submitted during the broadcast are being reviewed, and as an additional resource the answers will be added shortly were possible.

This webinar is suitable for professionals with an advanced level of experience. 

Speaker

Kim Schoppink, European Regional Lead, Science Based Targets initiative - LinkedIn

Kim is the Europe Regional Lead at the Science Based Targets initiative (SBTi). In this role, she leads engagement with European companies to support the adoption of science-based climate targets, ensuring their greenhouse gas (GHG) emissions reduction goals align with the latest climate science.

Kim brings extensive experience in corporate sustainability and environmental advocacy. Before joining SBTi, she served as Global Advocacy Lead at the Rainforest Alliance, where she worked with companies and governments to promote regenerative agriculture and advance sustainability initiatives. She has also held various roles focused on driving corporate action on climate and nature.

Video: Introduction to Science Based Target setting