April 12th 2024 – The Board of the Science-Based Targets initiative (SBTi) has issued a “clarification” after a surprise announcement on carbon offsetting, which appeared to breach the body’s own decision-making procedures. This clarification highlights that no change had been made to SBTi frameworks and that proper procedures will be followed to establish any inclusion of environmental attribute certificates in targets. The Board is yet to reply to the letter sent by 49 Technical Advisory Group and Scientific Advisory Group members on its governance and lack of consultation.
The statement released by the SBTi Board of Trustees on April 9th suggesting it would let companies use carbon credits, against scope 3 emissions reduction targets, generated reactions from SBTi Staff and some Technical Advisory Group (TAG) and Scientific Advisory Group (SAG) members. No final decision has been made, according to the “clarification” published on the SBTi website, but there are still concerns about corporate lobbying for the relaxed standards, which would allow companies to buy offsets rather than take steps to reduce the emissions in their supply chains.
This clarification shows the Board of Trustees is feeling the heat after being exposed as having bypassed internal processes. While it at least makes it clear that no final decision has been made, and there is still an opportunity to ensure offsets are excluded from targets, we know the SBTi, which brings together more than 8000 companies worldwide, will be under strong pressure to go against the science and integrate offsets. The swift reactions from many corporate and carbon market players show they have sensed a real opportunity they will be reluctant to let go. We must stop companies that buy their way out of their climate commitments benefitting from SBTi approval.
Paul Schreiber, Senior Policy Advisor of Reclaim Finance and TAG member
