Sustainability Consulting
The Sustainability
Full Credential Description
The Science Based Targets initiative (SBTi) launched the Forest, Land and Agriculture Science Based Target Setting Guidance (SBTi FLAG) in September 2022 to address a critical gap in corporate emissions accounting related to land use. The FLAG sector, which encompasses forestry, agriculture, and land use, is responsible for nearly 22% of global greenhouse gas emissions, yet these emissions were largely unaccounted for in corporate inventories due to a lack of standardized methods. The SBTi FLAG guidance provides companies with a structured approach to set science-based targets that include land-related emissions and removals, thereby enabling them to contribute to limiting global warming to 1.5°C.
The guidance was developed over two years through extensive data review, model development, and public consultation, engaging industry leaders and scientists. It offers two main approaches: a whole sector approach that encompasses all corporate land-related emissions and removals, and 11 specific mitigation pathways for major commodities such as beef, dairy, and palm oil. These pathways include regional data, allowing companies to tailor their targets based on their sourcing locations. Additionally, companies are encouraged to set long-term net-zero agriculture targets aligned with the SBTi’s Net-Zero Standard, aiming for a minimum of 72% emissions reduction by 2050.
A significant aspect of the SBTi FLAG guidance is its emphasis on carbon removals, which can account for half of the mitigation potential in the FLAG sector. Companies are now required to include carbon removals in their near-term targets, which can be achieved through improved forest management and enhanced soil carbon sequestration practices. This approach positions the FLAG sector to potentially deliver up to 30% of the global climate mitigation needed by 2050. However, it is crucial to note that carbon removals cannot replace the need for deep emissions cuts.
To further enhance the effectiveness of the guidance, SBTi FLAG mandates that companies commit to no-deforestation policies with a target date no later than 2025. This requirement is critical, as deforestation contributes to 10% of annual carbon emissions and represents a significant portion of the mitigation potential from land use changes. The guidance thus not only provides a framework for emissions reduction but also emphasizes the importance of sustainable land management practices to combat climate change effectively.
In summary, the SBTi FLAG guidance equips companies in the FLAG sector with the necessary tools to set ambitious, science-based targets that address land-related emissions, ultimately contributing to a more sustainable and net-zero future.