Science-Based Targets Initiative Flashcards
7 cards from real CCP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Science-Based Targets Initiative flashcards as text
What is the SBTi's 'two-degree of freedom' flexibility for scope 3 targets?
Answer: Companies can set either an absolute or intensity target for scope 3
SBTi allows companies flexibility to use either absolute reduction or economic intensity approaches when setting scope 3 science-based targets.
How does the SBTi treat renewable energy certificates (RECs) or guarantees of origin for scope 2 targets?
Answer: RECs count only if procured within the same grid region
SBTi requires that energy attribute certificates (EACs/RECs) be sourced from the same grid where consumption occurs to count toward market-based scope 2 targets.
Which SBTi validation status indicates a target has been submitted but not yet reviewed by the technical team?
Answer: Pending Review
After submission, targets enter 'Pending Review' status while SBTi's technical team evaluates them before granting approval.
What is the minimum absolute emissions reduction rate per year that SBTi requires for scope 1 and 2 targets aligned with well-below 2°C?
Answer: 4.2% per year
For well-below 2°C alignment, SBTi's Absolute Contraction Approach requires a minimum 4.2% linear reduction in scope 1 and 2 emissions per year.
Which SBTi-approved method allows heavy industry sectors to set targets based on production-weighted benchmarks?
Answer: Sectoral Decarbonization Approach (SDA)
The Sectoral Decarbonization Approach (SDA) uses sector-specific, production-based intensity benchmarks aligned with climate scenarios for hard-to-abate industries.
According to SBTi, what is required of financial institutions setting science-based targets for their portfolio emissions?
Answer: They must use the Portfolio Coverage, Temperature Rating, or SDA methods
SBTi's Financial Institutions framework allows banks and investors to use Portfolio Coverage, Temperature Rating, or Sectoral Decarbonization Approach methods for setting financed emissions targets.
What happens to a company's SBTi approval if it fails to meet interim milestones on its approved target trajectory?
Answer: SBTi issues a warning but retains approval unless the target is formally revised downward
SBTi may issue public notifications of non-compliance, but targets remain listed unless the company formally revises them; removal is a last resort after review.