The SBTi has revised its Corporate Net-Zero Standard, introducing V2.0 with a stronger focus on implementation, measurable progress and real-world emissions reductions. The revised framework introduces new approaches to target-setting, implementation hierarchy, market instruments and complementary climate action while maintaining direct decarbonisation as the priority. Companies should prepare for the transition, with V2.0 submissions expected to open in Q1 2027 and becoming mandatory for new submissions from February 2028.
The Science Based Targets initiative (SBTi) has released a revised Corporate Net-Zero Standard V2.0, introducing significant changes to how companies set, implement and track science-based net-zero targets. The revised standard places greater emphasis on practical decarbonisation, continuous progress and the implementation of climate targets within corporate strategies.
The new framework introduces differentiated approaches for SMEs and companies operating in lower-income countries, while allowing targets to reflect specific business circumstances, including sectors, geographies, capital stock and value chains. Companies are expected to set two or more near-term targets, with the option to establish an overarching net-zero target.
A key change is the introduction of an implementation hierarchy, prioritising direct emissions reductions across companies’ own operations and value chains. The framework also provides greater flexibility around certain market instruments, including energy attribute and commodity certificates, subject to defined safeguards.
The revised standard strengthens expectations around implementation and continuous improvement. Companies are expected to disclose key assumptions, dependencies and implementation barriers, assess progress regularly and take action where performance falls behind targets. This shifts the focus from simply committing to science-based targets toward demonstrating credible progress against them.
The treatment of carbon credits and climate contributions has also been clarified. Emissions reductions remain the priority, while high-integrity carbon credits and broader climate contributions can complement corporate decarbonisation efforts rather than replace them. This distinction is particularly relevant for companies making net-zero and climate-related claims.
The transition to V2.0 will take place progressively. Target submissions under the revised standard are expected to open in Q1 2027, while V2.0 will become mandatory for new target submissions from 1 February 2028. Companies preparing new or renewed targets should therefore begin reviewing their emissions data, Scope 1, 2 and 3 inventories, transition plans, value-chain engagement and internal governance arrangements.
Read more at:SBTi – Corporate Net-Zero Standard V2.0 announcement