Bite-sized Guide: Net Zero

Net zero is a state where human‑caused greenhouse gas emissions are reduced to a very low level and any remaining emissions are balanced by human‑caused removals over a given period. In line with the Paris Agreement, this balance must be achieved globally around mid‑century to limit warming to 1.5°C.

To make net zero meaningful and comparable, several frameworks set expectations for corporate targets. Common features include:

• Alignment with 1.5°C pathways, typically requiring rapid cuts this decade and net zero CO₂ around 2050.
• Coverage of all material scopes (direct operations, purchased energy, and value chain emissions).
• Clear separation between near‑term (5–10 year) and long‑term net zero targets, with at least ~90–95% absolute reductions before relying on removals for the small residual.

The Science Based Targets initiative (SBTi) Net‑Zero Standard, for example, requires most companies to cut total Scope 1, 2 and 3 emissions by at least 90% by 2050, only allowing removals for the remaining 5–10%. The UNFCCC Race to Zero campaign provides an umbrella set of criteria that partner initiatives must apply, centred on robust pledges, plans, near‑term action, and transparent reporting.

Global warming stops only when net anthropogenic CO₂ emissions fall to zero; as long as emissions remain above zero, temperatures keep rising. This makes deep emissions reduction the core of any credible climate strategy, with removals reserved for neutralising genuinely hard‑to‑abate residual emissions.

For businesses, acting early to cut emissions reduces cumulative climate risk, keeps pace with regulation and investor pressure, and can generate operational savings and innovation opportunities. Addressing all scopes is equally important because value‑chain emissions often dominate the footprint, and unmanaged supply‑chain or product‑use emissions can drive material financial and reputational risk.

The “Get Net Zero Right” guidance developed with the UN High‑Level Climate Champions and Oxford Net Zero distils credible net zero into four interlocking steps: Pledge, Plan, Proceed, and Publish, now embedded in the Race to Zero criteria.

1. Pledge – set a science‑aligned net zero ambition
   • Make a public, organisation‑wide commitment to reach net zero greenhouse gas emissions by 2050 at the latest, with a clear interim 2030 target in line with halving global emissions.
   • Ensure the pledge covers all relevant gases, activities and scopes, and is adopted at the highest decision‑making level so it drives governance, strategy and capital allocation.
2. Plan – design a transition grounded in real cuts
   • Within about 12 months of pledging, publish a transition plan that sets out near‑term and long‑term science‑based targets, operational implications, and how emissions will be reduced before any neutralisation.
   • The plan should explain boundary choices, key levers across operations and the value chain, dependencies on technology or policy, equity and “fair share” considerations, and how uncertainties and climate risks will be managed over time.
3. Proceed – take immediate, meaningful action
   • Start delivering the plan straight away, prioritising actions this decade that significantly reduce absolute emissions (for example, energy efficiency, clean energy procurement, process changes, logistics optimisation, and supplier or customer engagement).
   • Ensure that any use of offsets in the near term is supplemental, not a substitute for real reductions, and that long‑term reliance on removals is limited to a small residual in line with science‑based guidance.
4. Publish – report progress transparently and consistently
   • Report at least annually on progress toward both interim and net zero targets, including emissions data, key actions taken, and any changes to the plan.
   • Use recognised disclosure channels and platforms that feed into the UNFCCC Global Climate Action Portal where possible, and clearly distinguish between reductions and offsets to avoid confusing or misleading claims.

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1. IPCC, “Glossary — Global Warming of 1.5 ºC” – definition of net zero and balance of sources and sinks. https://www.ipcc.ch/sr15/chapter/glossary/​
2. IPCC, “Climate Change 2022 FAQs” – explanation of why global temperatures stop rising only when CO₂ emissions reach net zero. https://www.ipcc.ch/report/ar6/wg3/downloads/report/IPCC_AR6_WGIII_FAQs_Compiled.pdf​
3. Net Zero Climate, “What is Net Zero?” – overview of net zero in the context of the Paris Agreement. https://netzeroclimate.org/what-is-net-zero-2/​
4. SBTi, “Net‑Zero Standard” and corporate criteria – requirements for near‑term and long‑term science‑based targets. https://sciencebasedtargets.org/net-zero​
5. Planet Mark, “SBTi Net‑Zero Standard | Targets & disclosures” – summary of minimum 90% reduction requirement. https://www.planetmark.com/sustainability-reporting/sbti-targets/​
6. UNFCCC, “Defining the ‘Starting Line’ – Race to Zero criteria” – core criteria and expectations for pledge, plan, proceed and publish. https://unfccc.int/sites/default/files/resource/Minimum-criteria-for-participation-in-RTZ.pdf​
7. Net Zero Climate, “Net Zero Pledge Minimum Criteria Checklist – Pledge, Plan, Proceed, Publish.” https://netzeroclimate.org/policies-for-net-zero/net-zero-pledge-minimum-criteria-checklist/​
8. Climate Champions / UN High‑Level Champions, “EPRG Interpretation Guide – Race to Zero criteria.” https://www.climatechampions.net/media/qshidlrl/race-to-zero-criteria-interpretation-guide-eprg.pdf​
9. B Corp Climate Collective, “Get Net Zero Right: A new toolkit from the UN High Level Champions & Oxford Net Zero.” https://www.bcorpclimatecollective.org/news/get-net-zero-right​