Definition 1
Net Zero Target means a target to achieve Net Zero by [2050 OR insert date] and validated by [the Science Based Targets initiative OR insert other standard].
Drafting notes and guidance
Net zero target setting
A number of countries have already set net zero targets (or have committed to do so) for reaching net zero greenhouse gas emissions on timescales compatible with the Paris Agreement temperature goals.
The net zero tracker shows each countries’ targets and progress. Organisations must ensure that their own net zero targets are also compatible with the Paris Agreement temperature goals.
Increasing climate ambition
To increase the climate ambition of these definitions, contract writers using this term need to include a requirement that the party adopt near- and long-term Science Based Target validated by the Science Based Targets initiative.
Interim target setting
To ensure that a net zero target is met, organisations and countries should set interim milestones that describe their trajectory to net zero. The appropriate trajectory will depend on the sector[s], level of ambition and available investment for the relevant entities or country, and is likely to be the result of advice from a Climate Professional.
Net zero target date
The net zero target date should align with the organisation’s net zero target date. This will vary, but for many organisations (particularly those in developed countries) their net zero target date will be 2050.
Distinguishing net zero from carbon neutral
While the terms Net Zero and carbon neutral are used interchangeably, the concept of net zero is distinct from carbon neutrality in several respects:
- Carbon neutrality can be achieved entirely through offsetting, allowing companies to continue to emit greenhouse gases as normal.
- Net zero, while allowing for some offsetting, requires companies to reduce their greenhouse gas emissions to achieve the Paris Agreement’s temperature goals.
- The Science Based Targets initiative compiled a list of common terms used in net zero discussions, including how carbon neutral is differentiated from net zero.