The Science Based Targets initiative (SBTi) today announced a major transformation to further boost the credibility and integrity of science-based targets for businesses and financial institutions.
The change will see the organisation split its validation and standard-setting services into two separate entities. This will help safeguard impartiality and enable the SBTi to upscale to meet growing demand, particularly on the target validation side.
The SBTi has also appointed a new Chair, Francesco Starace, and two new independent Trustees. Mr. Starace is a Partner at EQT Infrastructure and formerly the CEO of Italian energy giant ENEL.
The transformation comes as the SBTi is experiencing rapid growth. Last year, the number of companies setting science-based targets increased by 87%. By 2025, the SBTi forecasts that more than 10,000 companies will have set science-based targets.
“The moment for accelerating corporate climate action is right now,” said Luiz Amaral, SBTi CEO. “This action must be built on trust, as businesses require the highest level of credibility for their targets. This year we have witnessed the three hottest months ever recorded, we must accelerate on all fronts.”
As part of the announcement, the initiative will separate from its founding partners, the World Wide Fund for Nature (WWF), CDP, World Resources Institute (WRI), United Nations Global Compact, and the We Mean Business Coalition to become a company limited by guarantee in the UK. The initiative is aiming to become a charity regulated by the UK Charity Commission.
However, the SBTi will still have close links with its founding partners, as representatives will continue to serve on the SBTi’s Board of Directors, alongside new independent Trustees, former President Iván Duque of Colombia and Ester Baiget, a sustainability expert with over 20 years of experience in the private sector.
Francesco Starace, SBTi’s new Board Chair, said: “I am very impressed by the momentum the SBTi has built since its inception. Today, the organisation validates thousands of companies’ targets each year. The SBTi plays an important role in encouraging ambitious corporate climate action, which relies on credible target validation and robust standard-setting. I feel honoured to join as Chair during this phase of rapid growth.”
Despite its recent growth, the validator dropped 120 companies, including Amazon, last month for failing to establish credible goals for reducing carbon emissions by the deadline.
