The working language for SBTi Standards is English. As necessary, the SBTi may arrange translations of SBTi Standards into languages other than English. These translated versions of Standards are for information only; in case of doubt, the official English-language version shall be deemed definitive.
This document includes a table of key terms used in the Corporate Net-Zero Standard V2.0. The SBTi Glossary provides a comprehensive list of terms and acronyms used across the SBTi’s technical resources.
Important terms used within the Corporate Net-Zero Standard Version 2.0 are described below:
The criteria (CNZS-C#) and sub-criteria (C#.#) are the Corporate Net-Zero Standard’s requirements; companies shall conform to them to be assessed by an SBTi-recognized validation body. Each criterion indicates the following elements:
Criteria may be accompanied by recommendations (R#.#), which indicate best practices that companies are encouraged to follow.
The SBTi Standards are structured as a modular framework anchored by the Corporate Net-Zero Standard, which establishes the foundational cross-sector requirements for all companies in relation to scope 1, scope 2, and scope 3 emissions (categories 1–14), as defined by the GHG Protocol Corporate Standard. The framework also includes the Financial Institutions Net-Zero Standard, which provides requirements for financial institutions in relation to their financial activities (scope 3, category 15 as defined in the GHG Protocol Corporate Standard); and multiple Sector Standards designed for high-emitting industries.3 The Sector Resources Summary provides an overview of the available and planned Sector Standards and resources.
All companies shall use the Corporate Net-Zero Standard V2.0 as the foundational standard, and determine if any SBTi Sector Standards, including the Financial Institutions Net-Zero Standard, also apply. Where another applicable SBTi Standard specifies that certain Corporate Net-Zero Standard requirements are modified, superseded, or not applicable, companies shall follow that Standard’s criteria. In such cases, the applicable SBTi Standard governs the relevant emissions sources or activities. Companies are not required to set duplicative targets (i.e., more than one target covering the same emissions sources) where those emissions are already addressed under the Corporate Net-Zero Standard or another applicable SBTi Standard, unless otherwise specified.
The Corporate Net-Zero Standard is intended for companies globally.
The Corporate Net-Zero Standard V2.0 includes two company categories based on company size and geography4 as set out in Table 2.
Thresholds and conditions | Geography5 | Company category |
|---|---|---|
Meets at least one of the following:
| Any country | Category A |
Scope 1 and 2 emissions are ≥ 10,000 tCO2e, or at least two of the following:
| High-income countries | Category A |
Does not meet the Category A criteria in the rows above | Any country | Category B |
The following notes apply to the thresholds and conditions set out in Table 2 above:
Companies that have any level of direct involvement in exploration, extraction, mining, and/or production of oil, natural gas, coal, or other fossil fuels cannot validate targets at this stage until methods and/or guidance for the sector are finalized. This includes, but is not limited to, integrated oil and gas companies, integrated gas companies, exploration and production pure players, refining and marketing pure players, oil products distributors, gas distributors and retailers, and traditional oil and gas service companies.
Exceptions apply, including for companies that derive less than 50% of revenue from: (i) the sale, transmission, and distribution of fossil fuels; or (ii) providing equipment or services to fossil fuel companies. For the full scope, definitions, and exceptions, refer to the SBTi Fossil Fuel Policy.
The Corporate Net-Zero Standard V2.0 introduces the SBTi Assurance Model to support the assessment of continuous improvement throughout companies’ net-zero journeys. This represents an evolution of the SBTi Assurance Framework: from validating target ambition at the point of Target Validation through an SBTi-recognized validation body, to now also recognizing company-reported progress against validated targets during subsequent target cycles, based on independent third-party-assured data in specified instances.
Neither the SBTi nor any SBTi-recognized validation body independently verifies the emissions data or other information provided by companies. Responsibility for the accuracy and completeness of data submitted to the SBTi during any assessment remains with the company and any third-party assurance provider it uses. Where required under the Corporate Net-Zero Standard V2.0, companies are expected to obtain independent third-party assurance of specified information.
The validation cycle includes two main assessments:
At the time of any Target Validation or End-of-cycle Assessment, companies are expected to apply the applicable version of the Corporate Net-Zero Standard and any mandatory SBTi Sector Standards (see Section A3).10 Companies are expected to resolve any material non-conformances identified through previous assessments before Target Validation can be approved.
Companies seeking validation shall adhere to the requirements established by the SBTi Assurance Model and corresponding SBTi normative assurance documents, when available.
Any communication related to the Corporate Net-Zero Standard and any other applicable SBTi Standards shall adhere to the requirements established by the SBTi Claims System and corresponding SBTi claims normative documents and related guidance, when available. The SBTi Claims Policy and related guidance shall define the conditions under which companies may make claims related to validated targets, progress against those targets, and participation in recognition programs under the Corporate Net-Zero Standard. The SBTi Assurance Model does not constitute assurance of companies’ broader environmental performance or responsibility claims. Companies remain responsible for ensuring that any public claims they make are accurate, appropriately substantiated, and consistent with applicable regulations and guidance.
