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Learn How to align your ESG goals and targets with SBTi and CDP

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Aligning your ESG goals and targets with SBTi and CDP

Science-based targets (SBTs) are emissions reduction targets that are aligned with the latest climate science. The Science Based Targets initiative (SBTi) is a collaboration between CDP, the World Resources Institute (WRI), the World Business Council for Sustainable Development (WBCSD), and the United Nations Global Compact (UNGC) that helps companies set and achieve SBTs.

The Carbon Disclosure Project (CDP) is a global non-profit organization that helps companies and governments disclose their environmental data. CDP’s reporting platform is used by over 5,900 companies to disclose their greenhouse gas emissions, water usage, and forest risk data.

Aligning your ESG goals and targets with SBTi and CDP can help you to:

  • Reduce your environmental impact
  • Improve your brand reputation
  • Attract and retain customers and employees
  • Comply with regulations
  • Save money

How to align your ESG goals and targets with SBTi

To align your ESG goals and targets with SBTi, you will need to:

Set SBTs: To set SBTs, you will need to calculate your greenhouse gas emissions and identify reduction opportunities. You can use SBTi’s online tool to help you set SBTs.

Here are some steps to follow to calculate your greenhouse gas emissions:

1. Identify all of your sources of emissions. This includes direct emissions from your operations, such as those from your manufacturing plants and vehicles, as well as indirect emissions from your supply chain and energy consumption.

2. Gather data on your energy consumption and other sources of emissions. This data can be obtained from your energy bills, invoices, and other records.

3. Use a greenhouse gas accounting tool to calculate your emissions. There are a number of different greenhouse gas accounting tools available, both free and paid.

4. Once you have calculated your emissions, you can identify reduction opportunities. This may involve making changes to your operations, products, or services.

Submit your SBTs to SBTi for validation: SBTi will review your SBTs to ensure that they are aligned with the latest climate science.

Once you have calculated your emissions and identified reduction opportunities, you can submit your SBTs to SBTi for validation. SBTi will review your SBTs to ensure that they are ambitious and aligned with the latest climate science.

Implement your SBTs: Once your SBTs have been validated, you will need to implement them. This may involve making changes to your operations, products, or services.

Implementing your SBTs will require a commitment from all levels of your organization. You will need to develop a plan for how you will achieve your targets and track your progress along the way.

 Report on your progress: You will need to report on your progress towards your SBTs annually. SBTi provides a reporting template that you can use.

Reporting on your progress is important for a number of reasons. It helps you to track your progress and identify areas where you need to improve. It also helps to keep your stakeholders informed of your progress and to demonstrate your commitment to sustainability.

How to align your ESG goals and targets with CDP

To align your ESG goals and targets with CDP, you will need to:

Complete CDP’s climate change, water security, or forests questionnaire: CDP’s questionnaires are used by companies and governments to disclose their environmental data.

CDP’s questionnaires are comprehensive and cover a wide range of environmental topics. Completing the questionnaires can be a time-consuming process, but it is an important step in aligning your ESG goals and targets with CDP.

Publish your CDP disclosure: Once you have completed CDP’s questionnaire, you will need to publish your disclosure. Your disclosure will be made available to investors, suppliers, and other stakeholders.

Publishing your CDP disclosure is important for a number of reasons. It helps to demonstrate your commitment to transparency and accountability. It also helps to raise awareness of your environmental performance and to attract new investors and customers.

Use CDP’s data to improve your ESG performance: CDP’s data can be used to identify areas where you can improve your ESG performance.

CDP’s data is a valuable resource for companies that are looking to improve their ESG performance. You can use CDP’s data to identify areas where you need to reduce your emissions, improve your water usage, or reduce your deforestation risk.

Benefits of aligning your ESG goals and targets with SBTi and CDP

Aligning your ESG goals and targets with SBTi and CDP can help you to:

Reduce your environmental impact: SBTs are designed to help companies reduce their greenhouse gas emissions in line with the latest climate science. CDP’s questionnaires help companies to identify and manage their environmental risks.

Improve your brand reputation: Consumers and investors are increasingly looking to support companies that are committed to sustainability. Aligning your ESG goals and targets with SBTi and CDP can help you to improve your brand reputation and attract new customers and investors.

Attract and retain customers and employees: Employees and customers are more likely to work for and do business with companies that are committed to sustainability. Aligning your ESG goals and targets with SBTi and CDP can help you to attract and retain the best talent.

Comply with regulations: Governments around the world are introducing new regulations to address climate change and other environmental issues. Aligning your ESG goals and targets with SBTi and CDP can help you to comply with these regulations.

Save money: Reducing your environmental impact can save you money on energy costs and other expenses.

Future-proof your business: By aligning your business with the goals of the Paris Agreement, you can help to ensure that your business is well-positioned to succeed in a low-carbon economy.

Boost innovation: Setting ambitious ESG goals can drive innovation and help you to develop new products and services that are more sustainable and meet the needs of your customers.

Improve your supply chain: By working with your suppliers to reduce their environmental impact, you can improve the sustainability of your supply chain and reduce your own environmental footprint.

Build trust with stakeholders: By aligning your ESG goals and targets with SBTi and CDP, you can demonstrate your commitment to sustainability to your stakeholders and build trust with them.

Overall, aligning your ESG goals and targets with SBTi and CDP is a smart business decision that can help you to improve your environmental performance, boost your brand reputation, save money, and future-proof your business.

How to get started

If you are interested in aligning your ESG goals and targets with SBTi and CDP, there are a few steps you can take to get started:

Assess your current ESG performance: This will help you to identify your strengths and weaknesses, and to set realistic goals for improvement.

Set ESG goals and targets: When setting goals and targets, be sure to consider both your short-term and long-term priorities. You should also make sure that your goals and targets are aligned with the goals of SBTi and CDP.

Develop a plan to achieve your goals and targets: This plan should include specific actions that you will take to reduce your environmental impact, improve your social performance, and enhance your governance practices.

Implement your plan and track your progress: It is important to regularly track your progress and to make adjustments to your plan as needed.

Report on your progress: Reporting on your progress is important for a number of reasons. It helps you to track your progress and identify areas where you need to improve. It also helps to keep your stakeholders informed of your progress and to demonstrate your commitment to sustainability.

There are a number of resources available to help you align your ESG goals and targets with SBTi and CDP. SBTi and CDP both offer websites with information and tools to help companies set and achieve their ESG goals. There are also a number of consultants and other organizations that can help you with this process.

Aligning your ESG goals and targets with SBTi and CDP is a challenging but rewarding process. By taking this step, you can help to reduce your environmental impact, improve your social performance, and enhance your governance practices. You can also boost your brand reputation, attract and retain customers and employees, comply with regulations, and save money. Book a demo now!

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