Climate Discourse Session: Setting Your First Carbon Emission Goal

Climate Discourse Session: Setting Your First Carbon Emission Goal

In a webinar discussing practical pathways to setting a company's first emissions reduction target, Liam Salter, CEO at RESET Carbon, and Tirapon Premchitt, Principal Technical Consultant at Sustainability and Climate Change at ERM Thailand, along with Yuan Chun Kew, Head of Sustainability & Safety at Frasers Property Singapore, shared their insights.

The webinar emphasised that setting an emissions baseline and climate target is a strategic next step for companies. To set a first emissions reduction target with limited emissions data and in-house expertise, a pragmatic approach is recommended. This approach combines practical pathways, sectoral benchmarks, estimation tools, and free frameworks.

1. Leverage Sectoral Benchmarks and Pathways Start by using established sector-specific emissions reduction pathways and benchmarks to approximate target-setting. Organizations like the Science Based Targets initiative (SBTi) offer sector-specific tools and guidance relevant to major sectors such as cement, steel, and aviation, allowing you to align your targets with scientifically grounded decarbonization trajectories even if detailed data is missing.
2. Utilize Estimation Tools and Free Frameworks Access and use free publicly available tools like the SBTi Finance Tool for temperature scoring and portfolio alignment, or other sector-specific target-setting tools provided by SBTi. These tools help estimate emissions, set targets consistent with global climate goals, and evaluate alignment with a well-below 2°C or 1.5°C pathway. This supports target setting even when internal emissions data is incomplete or expertise is limited.
3. Apply Practical Pathways Based on Available Data and Proxy Metrics Use practical methods such as lifecycle assessments, carbon benchmarking, or modeling based on known activity data (e.g., energy consumption, production volumes) and proxy emission factors drawn from publicly available databases or sector averages. This supports an initial estimate that can be refined over time.
4. Adopt an Incremental, Engagement-Led Approach Establish near-term targets (e.g., five-year horizon) that catalyse early action and accountability while planning for longer-term goals. Engage stakeholders to improve data collection and enhance target specificity over time. Early targets should be achievable and based on realistic yet ambitious objectives, drawing on successful examples from similar organizations or municipalities.
5. Integrate Training and Capacity Building Expand internal expertise progressively by embedding training on carbon accounting and target setting, using lifecycle assessments and carbon baseline methodologies, aiming to improve accuracy and sophistication of emissions data and reduction plans over time.

In essence, begin by setting science-based, sector-aligned targets using publicly available tools and benchmarks, estimate emissions with proxy data and practical assumptions, and evolve your approach continually by enhancing data quality and expertise internally. By the end of the session, participants will have gained knowledge on setting their first emissions reduction target. The session offers a credible, accessible starting point for structured climate action, grounded in tools, not perfection. Imperfect data is not a barrier to credible climate action.

[1] Science Based Targets initiative. (2021). Setting a science-based target. Retrieved February 21, 2023, from https://sciencebasedtargets.org/resources/science-based-targets/setting-a-science-based-target

[2] World Resources Institute. (2021). Setting a science-based target. Retrieved February 21, 2023, from https://www.wri.org/resources/articles/2020/12/setting-science-based-target-your-company

[3] CDP. (2021). SBTi Finance Tool. Retrieved February 21, 2023, from https://www.cdp.net/en/resources/tools/sbti-finance-tool

[4] Carbon Disclosure Project. (2021). CDx Platform. Retrieved February 21, 2023, from https://www.cdp.net/en/resources/tools/cdx-platform

1. Companies can utilize sectoral benchmarks and pathways, such as those provided by the Science Based Targets initiative (SBTi), to approximate their target-setting even with limited emissions data and in-house expertise.
2. Accessing and using free tools like the SBTi Finance Tool or other sector-specific target-setting tools from SBTi can help estimate emissions, set targets consistent with global climate goals, and evaluate alignment with a well-below 2°C or 1.5°C pathway, supporting target setting when internal data is incomplete.
3. A pragmatic approach combines practical pathways, sectoral benchmarks, estimation tools, and free frameworks, allowing companies to set a first emissions reduction target even when they have limited emissions data and in-house expertise.
4. To align their targets with scientifically grounded decarbonization trajectories, companies can reference sector-specific tools and guidance offered by organizations like the SBTi, regardless of the availability of detailed data.

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