CDP Science Based Targets Campaign Final Progress Report: 2020 Campaign
October 2020 – September 2021
CDP Science Based Targets Campaign
Incentivize high-impact companies to set science-based targets (SBTs) and accelerate the decarbonization of investment and lending portfolios, thereby creating a positive ambition loop between investors and companies.
- Investor sign up: All CDP investor signatories are invited to participate and sign engagement letters requesting a selected sample of companies to set SBTi approved SBTs.
- Company outreach: CDP’s corporate engagement team engages globally with companies on behalf of the financial institutions.
- Company commitment: companies that positively respond to the campaign join the SBTi through the Business Ambition for 1.5°C Commitment Letter, which is the mechanism for formalizing the commitment to reach net-zero emissions by no later than 2050.
2020 Campaign Results
- 137 financial institutions with US $19 trillion in combined assets signed the letter to corporate CEOs in 2020
- 1800+ Companies engaged
- Representing US $40 trillion of market capitalization (60% of world’s total)
- Covering over 25% of global GHG emissions through their S1 + S2 emissions.
- 8.1% of the CDP SBT Campaign sample joined the SBTi between October 2020 and August 2021
- 96% of companies responding to CDP survey said that general investor pressure influenced their decision to join the SBTi
- 56% of companies asked by CDP reported that the SBT campaign had a direct influence over their decision
This year, financiers with $29 trillion ask 1600 companies for science-based targets ahead of COP26
- 220 global financial institutions holding $29.3 trillion in assets call on world’s highest impact companies to urgently set science-based emissions reduction targets in line with 1.5°C warming scenarios;
- Number of investors and lenders writing to corporate CEOs grows 60% year on year, targeting companies responsible for more emissions than the EU and US combined;
- BASF, Lufthansa, Samsung, The Southern Company and Tata Steel among high impact companies specifically requested;
- Coordinated by non-profit CDP, the 2021 SBT Campaign is the world’s largest investor engagement campaign specifically requesting companies to set science-based targets through the SBTi;
- Following last year’s campaign, over 154 new companies with emissions equal to Germany joined the Science Based Targets initiative (SBTi) - 8% of all those targeted by the campaign.
- Companies with science-based targets in place have typically cut emissions by 6.4% per year, well above the average rate needed for 1.5°C alignment