The Science Based Targets initiative (SBTi) has unveiled a suite of revisions and new resources to support financial institutions looking to set ambitious near-term decarbonisation targets. Version 2.0 of the financial institutions’ near-term (FINT) criteria aims to increase alignment with the SBTi’s Corporate Net Zero Standard by increasing minimum Scopes 1-2 mitigation ambition from “well below 2°C” to 1.5°C. The SBTi has also streamlined coverage requirements, enhanced the clarity, actionability and usability of existing criteria, and introduced additional ones for the new fossil fuel finance targets method option to disclose, halt, transition and phase out financial institutions’ fossil fuel-related activities. The second version of the FINT criteria will come into effect on 30 November, with firms that have SBTi-validated targets expected to update existing goals against the latest criteria within five years of their validation date. Financial institutions that choose to submit targets before this date can opt to be assessed against either version of the criteria. The SBTi is also in the process of developing a net-zero standard for financial institutions to enable firms to develop both near- and long-term science-based targets in line with net zero.
