This paper quantifies the emissions reductions potential of the commitments by 22 Indian businesses that have set SBTs and their expected impact on India’s national emissions in 2030. This paper uses information such as baseline emissions (Scopes 1 and 2), approved SBTs, business activity in the base year and projected growth, and targets or goals adopted before setting the SBTs. The information was obtained from publicly available sources or through interviews with the companies’ representatives.

Key Findings:

  • Implementing the SBTs of the 22 Study Companies Will Contribute Significantly to National Climate Goals: If achieved in full, the SBTs of the 22 study companies could lower India’s GHGs emissions in 2030 by between 0.51 percent and 0.62 percent. Further, GHG emissions from the industry sector could be reduced by between 1.89 percent and 2.4 percent in 2030. The effect will be amplified once all 56 companies, and probably more, join and set their specific targets.

  • Adopting and Implementing SBTs Helps Accelerate Decarbonization in Study Companies: Study company emissions were expected to grow at an average compounded annual rate of 3.89 percent under the BAU scenario from 2021 to 2030, with India’s GDP projected to reach US$6.5 trillion

    by 2030. With stronger policy reforms, the GDP is projected to reach $9 trillion by 2030 with a growth rate of 9 percent per annum. The emissions growth of the study companies would slow down to 3.07 percent per year if their SBTs are fully achieved. Achievement of SBTs by the study companies would lead to cumulative emissions reductions of 165.9 million MtCO2e in Scope 1 and 15.8 million MtCO2e in Scope 2 between 2021 and 2030.

Other Prior Goals Set by Companies Play a Key Role in Adopting and Setting SBTs:

  • At least 40 out of 56 companies had already set other goals, such as energy productivity, renewable energy goals, energy efficiency improvements, and supply chain engagements, before committing to set SBTs. Committing to SBTs was a logical next step for these companies.

  • Companies with other sustainability goals tend to set targets in terms of absolute emissions reductions. Nine out of 11 study companies with absolute-emissions-based SBTs had previously set other goals. On the other hand, only 7 out of 12 companies with intensity-based SBTs had

    previously set other goals.