The Science Based Targets initiative (SBTi) closed its public consultation on its Corporate Net-Zero Standard yesterday. We are at a pivotal moment for GHG mitigation and climate finance and the question now is whether SBTi will rise to the occasion and embrace a more pragmatic, integrated approach that includes high-integrity carbon markets. If it fails to do so, we risk hobbling the private sector at precisely the moment we need it moving fastest. 

We are nowhere near on track to meet the global climate goals of the Paris Agreement. Current trajectories point us towards a catastrophic 2.5 – 2.9C of warming at best. Emissions are still rising, private sector progress is constrained by lack of coherent policy,  opaque standards and limited tools, and finance is falling well short of what’s needed to support emerging and developing economies in their transition. On top of that, most companies are struggling to tackle scope 3 emissions—representing from 15% up to as much as 95%of a company’s climate footprint –  and hardest to abate. Meanwhile, the ecosystem of solutions to remove residual emissions remains woefully underdeveloped and underfunded. 

This is where high-integrity carbon markets can—and must—step in. When used transparently to complement rather than replace companies’ own decarbonisation efforts, carbon credits offer a critical mechanism to mobilise finance, accelerate innovation, and maintain momentum where decarbonisation pathways are temporarily blocked. If deployed within robust guardrails, carbon credits are not a substitute for deep emissions cuts, but a vital enhancement to them. 

The end goal is clear and shared: a net zero global economy, achieved as swiftly and equitably as possible, in a way that conserves nature, strengthens communities, and secures health and prosperity for all. But to get there, the private sector needs a full suite of credible tools — and the SBTi, working closely with partners with complementary tools and expertise,  has a unique opportunity to empower them. 

In our recent market research (due to be published next month), companies are voicing frustration at a fragmented standards landscape that undermines both ambition and action. They want consistency across frameworks, and confidence that their climate leadership will be recognised. SBTi is well-positioned to lead this convergence — but only if it seizes the moment. 

What should that look like in practice? 

First, SBTi should integrate frameworks for the high-integrity use of carbon credits into its guidance, and make plans to explicitly include other instrument types such as insets and commodity credits. This includes allowing companies to use credits to close short-term gaps when scope 3—and possibly scope 1—decarbonisation hits barriers, and do so in a way that is science-aligned, transparent, and accountable. The Voluntary Carbon Markets Integrity Initiative’s (VCMI) Scope 3 Action Code of Practice provides a robust blueprint.

Second, it should explicitly allow the use of high-quality carbon credits—both emissions reductions and removals, technology and nature—that meet established criteria; the Integrity Council for the Voluntary Carbon Market’s (ICVCM) Core Carbon Principles provide a blueprint for this. Achieving global net zero will require the full spectrum of mitigation activities.

Third, SBTi should push for true interoperability across the climate standards landscape. Companies deserve a coherent, end-to-end integrity framework where the GHG Protocol, SBTi, ICVCM, VCMI, and CDP operate in harmony. That means standardising key definitions—terms like “ongoing,” “residual,” “unabated,” and “remaining”—and eliminating contradictions that breed confusion.

Finally, SBTi should formally endorse the VCMI Claims Code of Practice as the default mechanism for companies to communicate voluntary action beyond their targets. This endorsement would ensure high-integrity claims are grounded in credible, transparent frameworks — while unlocking much-needed finance for climate-positive development. 

The world does not have the luxury of delay. Climate science demands urgency, and the private sector is asking for clarity. This is SBTi’s opportunity to lead decisively, evolve with the times, and unleash the full potential of market-based solutions—without compromising environmental integrity. 

The question is no longer whether carbon markets have a role to play. It is whether the institutions shaping corporate climate action are ready to acknowledge that role and act accordingly.

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