SBTi Unveils Corporate Net-Zero Standard V2.0 To Drive Climate Action
The Science Based Targets initiative (SBTi) has launched the Corporate Net-Zero Standard Version 2.0, a major update to its flagship framework aimed at helping companies accelerate decarbonization while addressing the practical challenges of achieving net-zero emissions.
The revised standard introduces greater flexibility in target-setting, allowing businesses to adopt approaches that reflect their operational realities while remaining aligned with climate science. It places a stronger emphasis on implementation, transparency and continuous improvement, moving beyond target-setting to focus on measurable progress across operations, value chains and capital allocation.
Key features include a stronger focus on direct emissions reductions, a “best efforts” approach to target achievement and new mechanisms to recognize companies taking action on ongoing emissions. The framework also encourages businesses to address transition risks and integrate climate action into core business strategy.
“We are at a critical moment for climate action: companies have told us that they need a partner that can help foster implementation and that’s what the Corporate Net-Zero Standard Version 2.0 is designed to do,” said David Kennedy, Chief Executive Officer of SBTi.
He added that the updated standard provides companies with a practical framework to manage transition risks, strengthen resilience and improve competitiveness while contributing to global climate goals.
The new standard builds on more than a decade of experience supporting over 11,000 companies worldwide in setting science-based emissions reduction targets. It was developed through two rounds of public consultation, pilot testing and expert review before receiving approval from the SBTi’s independent Technical Council and Board of Trustees.
Francesco Starace, Chair of the SBTi Board of Trustees, emphasized the growing need to move from ambition to execution. “Companies have recognized that ambition alone is not enough, delivery is paramount. The updated standard will help businesses embed climate action into decision-making, manage transition risks and strengthen long-term competitiveness,” he said.
For the textile and apparel sector, where supply chain emissions represent a substantial share of overall carbon footprints, the Corporate Net-Zero Standard V2.0 is expected to provide clearer guidance on implementing credible decarbonization strategies and advancing progress toward net-zero by 2050.
