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What 'Net Zero' Really Requires

Understanding the science‑based requirements, evolving standards, and compliance frameworks that define credible net‑zero commitments in the climate finance era.

Core Requirements

Science‑based net‑zero targets demand more than carbon neutral claims. Understanding these requirements is essential for credible climate commitments.

1

Paris Agreement Temperature Goal

Limiting global warming to well below 2°C, preferably to 1.5°C above pre-industrial levels

The Paris Agreement establishes the global framework for climate action, requiring rapid and far‑reaching transitions in energy, land, urban infrastructure, and industrial systems. To achieve the 1.5°C target, global net anthropogenic CO2 emissions must reach net zero by around 2050, with deep reductions in other greenhouse gases.

2

Science-Based Targets Initiative (SBTi)

Near‑term and long‑term targets aligned with climate science

SBTi requires companies to achieve >90% absolute emission reductions by 2050 across Scope 1, 2, and 3 emissions. Near‑term targets must achieve 42% reduction by 2030 for 1.5°C alignment. Long‑term targets focus on deep decarbonisation with minimal reliance on offsetting.

3

Residual Neutralisation

Addressing unavoidable emissions through high‑quality carbon removal

After achieving >90% emissions reductions, remaining residual emissions must be neutralised through permanent carbon dioxide removal. This includes direct air capture, enhanced weathering, biochar, and other CDR technologies with long‑term storage guarantees.

4

Evolving Guidance

Standards continue to develop as climate science advances

Net‑zero frameworks are continuously refined based on latest climate science, technology developments, and policy evolution. Organisations must stay current with SBTi updates, VCMI guidance, and sector‑specific pathways to maintain credible net‑zero commitments.

Net‑Zero Timeline

Critical milestones on the path to science‑based net‑zero by 2050

2024‑2030

Near‑term targets: 42% reduction from baseline

Rapid decarbonisation across all scopes, implement abatement measures, establish monitoring systems

Continue deep reductions, scale carbon removal, prepare for residual neutralisation

2030‑2050

Long‑term targets: >90% total reduction

2050+

Net‑zero achievement: Residuals neutralised

Maintain net‑zero balance, continuous monitoring, adaptation to evolving standards

Frequently Asked Questions

Common questions about net‑zero requirements and compliance frameworks

What is the difference between 'net zero' and 'carbon neutral'?

Net zero requires deep emissions reductions (>90%) before neutralising residuals with permanent carbon removal. Carbon neutral allows more offsetting with less stringent reduction requirements.

What counts as 'residual emissions'?

Residual emissions are those that cannot be eliminated through available decarbonisation measures, typically representing <10% of baseline emissions after maximum feasible reductions.

How do I avoid greenwashing in net‑zero claims?

Follow science‑based target methodologies, prioritise absolute emission reductions, use high‑quality CDR for residuals only, and ensure transparent reporting with third‑party verification.

What is the role of Article 6.2 in net‑zero strategies?

Article 6.2 ITMOs can contribute to national climate goals but should complement, not replace, domestic emission reduction efforts. They're particularly relevant for beyond value‑chain mitigation.

Important Disclaimer

This page provides general information about net‑zero frameworks and should not be considered as policy advice, legal guidance, or specific recommendations for your organization. Net‑zero requirements vary by jurisdiction, sector, and organisational context. Always consult with qualified advisors and refer to official standards documentation for compliance decisions.

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