CCP Science-Based Targets Initiative 2 — Questions and Answers
Question 1: Which SBTi pathway is specifically designed for the electric power sector to align with 1.5°C?
- Absolute Contraction Approach
- Sectoral Decarbonization Approach
- Linear Interpolation Method
- Power Sector Reference Pathway (Correct answer)
Correct answer: Power Sector Reference Pathway
The Power Sector Reference Pathway (PSRP) is the SBTi's sector-specific method for electricity generation companies targeting 1.5°C alignment.
Question 2: What is the SBTi's definition of 'near-term' science-based targets?
- Targets covering emissions reductions to 2030
- Targets covering a 5-to-10-year timeframe from the submission date (Correct answer)
- Targets reaching net zero by 2040
- Targets covering the next fiscal year
Correct answer: Targets covering a 5-to-10-year timeframe from the submission date
SBTi near-term targets cover a 5-to-10-year window from the year of submission, typically ending around 2030 for current submissions.
Question 3: Under SBTi Corporate Net-Zero Standard, what minimum percentage of a company's scope 1, 2, and 3 emissions must be covered by near-term targets?
- 50%
- 67%
- 80%
- 95% (Correct answer)
Correct answer: 95%
The SBTi Corporate Net-Zero Standard requires near-term targets to cover at least 95% of scope 1, 2, and 3 emissions.
Question 4: Which organization co-founded the Science Based Targets initiative alongside CDP and the UN Global Compact?
- IPCC
- World Resources Institute (Correct answer)
- UNEP Finance Initiative
- Climate Action 100+
Correct answer: World Resources Institute
WRI (World Resources Institute) is one of the four founding partners of SBTi alongside CDP, UN Global Compact, and WWF.
Question 5: What does the SBTi require companies to do if they acquire a new business unit after setting approved targets?
- Immediately resubmit all targets for re-validation
- Update targets to include the new unit within two years (Correct answer)
- Exclude the acquired unit until the target period ends
- Purchase offsets equal to the acquired unit's emissions
Correct answer: Update targets to include the new unit within two years
SBTi gives companies up to two years after a significant acquisition to update and resubmit targets to reflect the new emissions boundary.
Question 6: What is the primary purpose of the SBTi's FLAG (Forests, Land and Agriculture) guidance?
- Set targets for forestry offsets used in carbon markets
- Provide sector-specific target-setting methods for land-based emissions (Correct answer)
- Certify sustainable agriculture supply chains
- Quantify biodiversity co-benefits of emission reductions
Correct answer: Provide sector-specific target-setting methods for land-based emissions
SBTi FLAG guidance provides science-based methods for companies with land-related emissions to set targets covering deforestation, soil carbon, and agriculture.
Question 7: Under the SBTi framework, which scope 3 category is most commonly material for manufacturing companies and therefore must be included in targets?
- Category 1: Purchased goods and services (Correct answer)
- Category 7: Employee commuting
- Category 13: Downstream leased assets
- Category 15: Investments
Correct answer: Category 1: Purchased goods and services
Category 1 (purchased goods and services) is typically the largest and most material scope 3 category for manufacturers, making it a required inclusion.
CCP Science-Based Targets Initiative 2
Which SBTi pathway is specifically designed for the electric power sector to align with 1.5°C?