A Decarbonization Strategy Is a Capital Plan, Not a Target Statement

A credible strategy connects the GHG baseline to engineering choices, capital allocation, operating ownership and a measurement system that can show whether reductions actually occurred.

The minimum architecture

• Controlled inventory, organizational boundary and chosen base year.
• Emission hotspots by facility, process, energy carrier, product and value-chain category.
• Business-as-usual projection and the assumptions behind it.
• Reduction levers: efficiency, electrification, renewable energy, process change, materials, logistics and supplier engagement.
• Technical feasibility, abatement potential, CAPEX, OPEX, timing and dependencies.
• Governance, owner, milestone, performance indicator and MRV method for every material action.
• Residual emissions and claim rules treated separately from reduction activity.

The SBTi released Corporate Net-Zero Standard V2.0 in June 2026. Validation against V2.0 opens from February 2027, while Version 1.3.1 remains the applicable framework for target validation throughout 2026 and remains available during the published transition period. Companies should distinguish between internal transition planning and a target submitted under a specific external validation framework.

Official sources: SBTi V2.0 release ↗ · SBTi transition dates ↗