wifi GC-Guest Password: gc-guest
Paul Simpson Lila Karbassi Head, Environment and Climate, UN Global Compact Chief Executive Officer
Paul Simpson Andrew Steer President and CEO, WRI Chief Executive Officer
Paul Simpson Samantha Smith Leader of the WWF Global Climate and Energy Initiative Chief Executive Officer
Paul Simpson Agenda Chief Executive Officer
Samantha Smith Leader of the WWF Global Climate and Energy Initiative Paul Simpson Emma Stewart Head of Sustainability Solutions, Autodesk Chief Executive Officer Lori Michelin Vice-President Global Sustainability & EHS, Colgate Palmolive Leah Seligmann Chief Sustainability Officer, NRG
Paul Simpson Cynthia Cummis Deputy Director, GHG Protocol, WRI Chief Executive Officer
Science-based Target Setting Manual September 25, 2015
SBT Initiative I Timeline 2015 Aug Sep Oct Nov Dec SDA methodology further development (scope 3, AFOLU, sector details) SDA online tool beta testing Development of draft manual Stakeholder workshops Revised draft manual Release final draft at COP 21 Review, design, layout Target tracker beta version Finalize tracker CDP questionnaire external consultation Revise CDP questionnaire & scoring Finalize questionnaire & scoring Climate Week - NYC Call to Action outreach (print, online, events, webinars) COP 21 in Paris C4C
Science Based Targets I Call to Action: process (up to December 2015) (up to 24 months after commitment) (3-4 weeks) (Permanently featured in the website plus showcase in several events up to COP 21) Commit to set a sciencebased target Develop a sciencebased target Submit your sciencebased target for Quality Check Announce your sciencebased target Complete the Commitment letter form to setting a science-based target Companies have to develop a sciencebased target aligned with the eligibility criteria Complete the Science Based Target Form for review against eligibility criteria Publicly announce the science-based target
Science-based Target Setting Manual I Presentation Outline Agenda: 1. Overview of manual 2. Introduction to SBT methods 3. Choosing a Method 4. Recommended Target Criteria
Science-based Target Setting Manual I Purpose of Manual The Manual is a how-to guide for companies considering setting a target or are in the process of setting a SBT. Manual is method neutral. There are pros and cons of each approach Manual walks companies through the steps to develop a SBT and provides recommendations based on current good practice
Science-based Target Setting Manual I Manual Contents Getting Started (Ch 1 & 2) Make the business case Understand the methods Setting the Science-based Target (Ch 3 & 4) Choose a SBT method Determine the target Announcing and Implementing (Ch 5, 6 & 7) Gain internal buy-in Report and communicate Implement
Science-based Target Setting Manual I Methods Overview SBT Methods are made up of three main components SBT Method Emissions Scenario (carbon budget) Level of Disaggregation (of the carbon budget) Allocation Mechanism
Science-based Target Setting Manual I Methods Overview Emissions scenario & carbon budget Level of disaggregation Source Scenario Base Year 2050 Target IPCC AR4 450ppm CO2e 1990 IPCC AR5 Overshoot <0.4 W/m 2 Annex I Non-Annex I -80 to -95% Substantial deviation 2010-41% to -72% IPCC AR5 RCP 2.6 2010-66% IEA (ETP 2015) 2DS 2012-76% (and by sector)
Emissions Intensity Science-based Target Setting Manual I Methods Overview Convergence Allocation mechanism Company A Company B Sector Company C Used with sector-specific scenarios Emissions intensity can be a physical or value based metric 2010 2020 2030 2040 2050 Year
Emissions Intensity Science-based Target Setting Manual I Methods Overview Compression Allocation mechanism Company A Company B Company C Company D All companies w/in same level of disaggregation reduce at uniform rate Emissions intensity can be a physical or value based metric 2010 2020 2030 2040 2050 Year
Absolute Emissions Science-based Target Setting Manual I Methods Overview Contraction Allocation mechanism Company A Company B Company C Company D All companies w/in same level of disaggregation reduce at uniform rate Emissions reduction expressed in absolute terms (tonnes CO2e) 2010 2020 2030 2040 2050 Year
Science-based Target Setting Manual I Methods Overview Emissions scenario & carbon budget Carbon budget determined by a Peak & Decline trajectory or Carbon budget determined by a Linear trajectory disaggregated carbon budget Level of disaggregation Global carbon budget or Geographic budget and / or Sector budget Allocation mechanism Convergence or Compression or Contraction Intensity Absolute Economic indicator and / or Physical indicator
Emissions Scenarios Geographic* CSO, GEVA Global Absolute Contraction Science-based Target Setting Manual I 7 Methods Allocation Mechanisms Absolute contraction C-FACT CSI CSO (contextbased) GEVA SDA 3% Solution Level of Disaggregation All economy Convergence Compression Contraction Physical $ Intensity Absolute Sector SDA (Hm) SDA (Ht) All economy CSI C-FACT Sector 3% *Method differentiates by either Annex I / non-annex I, regional, or country scenarios Hm = homogeneous sector; Ht = heterogeneous sector
Science-based Target Setting Manual I Choosing a Method # Question Answer Method Options 1 Does your company operate in a sector identified in the SDA or 3% Solution (US-based only) method? 2 Is the sector homogeneous? SDA YES SDA, 3% Solution 3 Is the sector heterogeneous? CSA, CSO, GEVA 4 Does your company prefer to assign targets by developed and developing geography? 5a 5b Do you predict that your company will have higher than average growth compared to the sector or global average projections? Do you predict that your company will have equal or lower than average growth compared to the sector or global average projections? Absolute Contraction, C- FACT, CSI, CSO, GEVA GEVA, CSI, CSO Absolute Contraction, C- FACT, 3% Solution (US-based) Determine company attributes Screen methods using profile questions Choose top methods to model targets
Science-based Target Setting Manual I Recommended Target Criteria Boundary: covers company-wide scope 1 and scope 2 emissions and all GHGs. Timeframe: commitment period should cover a minimum of 5 years from date of announcement. Level of ambition: consistent with the level of decarbonization required to keep global temperature increase below 2 C Scope 3: an ambitious scope 3 target is also recommended when scope 3 emissions cover a significant portion of a company s overall emissions. Reporting: disclose GHG emissions inventory annually. Metric: absolute targets are preferred; intensity target should be accompanied by an absolute target
Science-based Target Setting Manual I Public Comment Process Draft is currently out for public comment until November 16 Schedule of stakeholder workshops: Washington DC on October 15 Mumbai, India on October 20 Lille, France on November 5 Go to sciencebasedtargets.org for instructions on submitting feedback and to register for workshops
Questions & Answers
info@sciencebasedtargets.org www.sciencebasedtargets.org
Paul Simpson Lance Pierce President, CDP North America Chief Executive Officer
Call to Action Announcement of Early Movers NY Climate Week September 25, 2015
Setting bold targets makes business sense Allows companies to manage their risk Gives long-term competitive advantage and safeguarding of future profitability Spurs innovation Makes companies more resilient to developing climate regulation and policy Enhances corporate reputation Is compatible with strong financial returns
Science Based Targets I Call to Action The Science Based Targets initiative is calling on companies to demonstrate their climate leadership by publicly committing to sciencebased greenhouse gas reduction targets.
Science Based Targets I Call to Action: Process Commit to set a sciencebased target Develop your target Have your target validated Announce your target
63 Companies have committed to date North America Autodesk Brown-Forman Corporation Coca-Cola Enterprises Colgate Palmolive Company General Mills Hewlett-Packard Kellogg Company Mars Philip Morris International Principal Financial Group Procter & Gamble Tennant Company Xerox Corporation UK AstraZeneca BT Group Diageo Kingfisher Marks and Spencer Morgan Sindall Group National Grid RELX Senior Plc TUI Group Unilever Africa Pick 'n Pay Stores Tiger Brands Europe AXA Group Bank J. Safra Sarasin AG China Steel Commerzbank AG CTT Correios de Portugal Enel Gestamp Givaudan SA H&M Hennes & Mauritz AB Iberdrola SA ING Group Kering Koninklijke KPN NV L'Oréal Nestlé MVV Energie AG Proximus Royal Philips Siemens AG Sodexo Sopra Steria Group T.SINAİ KALKINMA BANKASI A.Ş. Asia ABG Chemicals CLP Holdings Delta Electronics Dentsu Honda KAO Corporation Konica Minolta Nissan Ricoh Wipro South America Looking for our first commitment! Oceania Infigen Energy Full list: https://www.cdp.net/en-us/pages/rtp/adopt-science-based-targets.aspx
Profiling Corporate Leadership
info@sciencebasedtargets.org www.sciencebasedtargets.org
Paul Simpson Catherine Gunsbury Director of CSR, General Mills Chief Executive Officer
Paul Simpson Catherine Gunsbury Director of CSR, General Mills Chief Executive Officer
Paul Simpson Jan Rabe Sustainability Director, Siemens Chief Executive Officer
Paul Simpson Lise Kingo Executive Director, UN Global Compact Chief Executive Officer
Nigel Topping Chief Executive Officer