Combating climate change with science-based targets
As the impacts of climate change intensify, addressing greenhouse gas (GHG) emissions is imperative to secure a sustainable future. Science-based targets (SBTs) have emerged as a critical framework to guide businesses, including small- and medium-sized enterprises (SMEs), in aligning their climate goals with global standards. Rooted in the principles of a global carbon budget, these targets empower organisations to play a tangible role in meeting the commitments of the Paris Agreement.
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As the impacts of climate change intensify, addressing greenhouse gas (GHG) emissions is imperative to secure a sustainable future. Science-based targets (SBTs) have emerged as a critical framework to guide businesses, including small- and medium-sized enterprises (SMEs), in aligning their climate goals with global standards. Rooted in the principles of a global carbon budget, these targets empower organisations to play a tangible role in meeting the commitments of the Paris Agreement.
Science behind science-based targets
The concept of SBTs originates from the global carbon budget, which calculates the total permissible emissions to keep global temperature rise below 2°C—preferably 1.5°C—above pre-industrial levels. This approach incorporates robust data from the Intergovernmental Panel on Climate Change (IPCC) and other scientific bodies, distributing emissions reduction responsibilities among businesses through sectoral decarbonisation pathways.
Businesses adopting SBTs commit to measurable goals for reducing their GHG emissions across three scopes:
- Scope 1: Direct emissions from owned or controlled operations
- Scope 2: Indirect emissions from purchased electricity or heating
- Scope 3: Other indirect emissions across the value chain, such as supplier activities or employee commuting
The science-based targets initiative (SBTi), a collaboration of leading environmental organisations like the World Resources Institute (WRI) and World Wildlife Fund (WWF), provides the framework and tools for companies to establish these targets.
Role of SBTs in business and tourism
SBTs enable businesses to drive climate action while fostering innovation and competitiveness. The Travel & Tourism sector is a key example of an industry heavily affected by climate change and uniquely positioned to make impactful changes. Responsible for a significant portion of global CO2 emissions, primarily through transport and accommodation, the sector faces mounting pressure to reduce its footprint.
Companies within Travel & Tourism that set SBTs demonstrate leadership, aligning with global climate goals and enhancing their reputation. Businesses such as Hilton, Intrepid Travel, and Meliá Hotels International are already setting benchmarks. For instance, Hilton plans to reduce Scope 1 and 2 emissions by 61% by 2030, while Intrepid Travel aims to cut emissions by 71% by 2035. These actions showcase the viability of SBTs in driving meaningful change.
Benefits beyond emissions reductions
The adoption of SBTs not only contributes to combating climate change but also delivers substantial business benefits. These include:
- Cost efficiency: Reduced energy and resource use translates to operational savings
- Risk mitigation: Companies position themselves to adapt to future regulatory requirements, including carbon pricing mechanisms
- Stakeholder engagement: By involving employees, suppliers, and customers in sustainability efforts, companies foster loyalty and shared purpose
Furthermore, by demonstrating accountability and transparency, organisations gain better access to capital and solidify investor confidence.
Overcoming challenges for SMEs
While larger corporations lead in setting SBTs, SMEs often face unique barriers, such as resource constraints and limited expertise. However, adopting SBTs need not be overwhelming. Incremental steps, such as measuring emissions and setting preliminary goals, can pave the way for full alignment with SBTi frameworks. Support from industry associations and partnerships can also provide the tools and knowledge SMEs need to succeed.
Climate action is no longer optional for businesses; it is a necessity for long-term survival and prosperity. SBTs provide a roadmap to reduce emissions at the scale and speed required. For the Travel & Tourism sector, embracing these targets ensures resilience against climate threats while preserving the cultural and natural assets.
