SBTi Warns World Off Track for 2030 Emissions Halving Without Faster Action

The Science Based Targets initiative cautioned that global emissions bounced back to near-2019 levels by end-2021, putting the world off track to halve emissions by 2030 as required by the Paris Agreement. Business, the SBTi argued, must play a central role in closing the emissions gap by adopting and delivering on near- and long-term science-based targets.

Citing a UN Global Compact and Accenture study, the SBTi noted that 49% of CEOs worldwide already report their companies are experiencing damaging effects of extreme weather events, including supply chain interruptions. The SBTi's strategy for the period to 2050 focuses on G20 economies and heavy-emitting industries, as well as financial institutions as enablers of system-wide emissions reductions. To support projected expansion, the initiative announced a governance and operating model update aligned with best practices for standards-setting bodies.

Despite exponential growth in 2021, SBTi companies still represent a fraction of total global corporate emissions. The SBTi highlighted that maintaining current levels of corporate and governmental action would result in a 3 degrees Celsius temperature rise by 2050. The convergence of energy security pressures and climate goals, underscored by geopolitical disruptions to fossil fuel markets, is increasing the urgency of the transition the initiative promotes.

The SBTi's 2021 strategic review concluded that the initiative should evolve into a credible global standard-setter for corporate emissions reduction targets, with strengthened governance and certification frameworks. This positions it alongside other major disclosure bodies such as ISSB and the CDP in shaping the emerging international corporate climate accountability architecture. For Indian companies facing growing export-market scrutiny on climate performance, alignment with SBTi pathways provides a credible signalling mechanism.

Key figure — 49% of CEOs worldwide report companies experiencing damaging extreme weather effects