Stockholm (NordSIP) – To achieve the 1.5°C IPCC/Paris agreement cap on global warming, greenhouse gas (GHG) emissions must halve by 2030 – and drop to net-zero by 2050, according to the Science Based Targets initiative (SBTi).
Science-based targets show companies how much and how quickly they need to reduce their GHG emissions to prevent the worst effects of climate change. To help companies in this task, the SBTi defines and promotes best practices in science-based target setting, offering a range of target-setting resources and guidance, and independently assessing and approving companies’ targets in line with its strict criteria.
One of the most recent companies to join this effort, global asset manager Schroders, announced that its GHG emission reduction goals have been formally validated by the Science Based Targets initiative (SBTi), which confirmed that Schroders’ Scope 1 and 2 targets are in line with a 1.5°C trajectory.
“Schroders believes that in order for businesses to survive and thrive they need to adopt long-term sustainable business models. Setting ambitious targets now will catalyse change to protect and enhance business value in the long term. Our dedication to achieving our reduction goals is paramount to our business strategy. We believe that in tomorrow’s investment world, profits and planet are interlinked,” Andy Howard, Global Head of Sustainable Investment, Schroders, commented.
“We believe we should lead by example in terms of managing and reducing the climate impact we have from our own operations. In the process of improving our own environmental performance, we will engage our people and suppliers to support our climate goals,” Madeleine Cobb, Head of Corporate Sustainability, Schroders, added.
According to Schroders, it is the largest investment manager by assets under management to have its goals formally validated by the initiative. The targets include Schroders’ own operations, as well as our ‘financed emissions’ i.e. the emissions arising from the companies in which we invest.
“The SBTi’s Target Validation Team has classified Schroders’ Scope 1 and 2 target ambition and has determined that it is in line with a 1.5°C trajectory. The SBTi commends Schroders’ 1.5°C-aligned target, currently the most ambitious designation available through the SBTi process,” the Science Based Targets initiative concluded.
Schroder joins Finnish asset manager Capman, which made similar commitments at the start of February.