SBTi Publishes Corporate Net-Zero Standard Version 2.0 for Business Climate Action

The Science Based Targets initiative has released Corporate Net-Zero Standard Version 2.0, its most comprehensive corporate climate framework to date, designed to embed science-based targets into core business decision-making across operations, value chains and capital allocation. The standard was developed through two rounds of public consultation, pilot testing and expert working group input, and approved by the SBTi's independent Technical Council.

Corporate Net-Zero Standard V2.0 builds on a decade of SBTi experience supporting more than 11,000 companies. It moves away from a one-size-fits-all approach, introducing a range of target-setting options reflecting different business contexts while maintaining alignment with 1.5°C science. Key features include a stronger emphasis on implementation beyond target-setting, including transparent reporting of progress and continuous improvement obligations. The standard establishes a clear hierarchy under which companies must prioritise direct emissions reductions in operations and value chains before deploying other interventions where direct decarbonisation is not feasible.

A significant new element is the framing of targets on a best-efforts basis, acknowledging that factors outside a company's control may affect progress. Companies experiencing such barriers are expected to be transparent about them and demonstrate use of all available levers to continue working toward targets — while remaining within the SBTi framework. The standard also introduces a voluntary recognition mechanism for companies that take early action to address ongoing emissions in the short term, alongside a longer-term requirement for larger companies to progressively take responsibility for residual emissions.

The V2.0 standard is available both to companies with existing science-based targets under the current V1.3 framework and to those setting new targets. Chief Executive David Kennedy framed the release as a response to business demand for an implementation partner rather than just a standard-setter, noting that the framework is designed to help companies manage transition risk and strengthen resilience in a carbon-constrained world. The standard is the most material update to the SBTi's corporate framework since the original Corporate Net-Zero Standard was launched in 2021.

Key figure — 11,000+ companies supported by SBTi across a decade of target-setting