T1.2: Net Zero Targets

Maximum Score

2 points

Input Method

Asset Portal

Prefill

Not eligible

Scoring method

Static

Validation

Evidence not validated

2026 Updates

Yes

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Has the entity set GHG reduction targets aligned with Net Zero?

Is the target aligned with a Net Zero target-setting framework?

Assessment Instructions

Intent: What is the purpose of this indicator?

Greenhouse gas (GHG) reduction targets are a central component of an entity’s decarbonization strategy. Setting targets aligned with global net-zero pathways signals a formal commitment to reducing emissions in line with the goals of the Paris Agreement (i.e., limiting global warming to well-below 2°C above pre-industrial levels and pursuing efforts to limit warming to 1.5°C). Clear targets strengthen investor confidence, provide direction for long-term transition planning, and support the entity’s progress toward a low-carbon, resilient portfolio.

Input: How do I complete this indicator?

Select yes or no. If yes, select all applicable sub-options.

If “yes,” participants may report a net-zero target. Within that target, they must provide at least one short-term, medium-term, or long-term reduction target that includes both a target year and a reduction percentage.

Terminology

Base year performance

A a measurement of the entity's GHG emissions from the year at which the target begins.

Embodied carbon

Refers to emissions that arise from producing, procuring and installing the materials and components that make up a structure. It may also include the lifetime emissions from maintenance, repair, replacement and ultimately demolition and disposal.

Validated by a third party

Refers to targets that have been independently verified or assessed by an external organization to confirm alignment with recognized Net Zero or climate science methodologies. Examples include validation or approval by the Science Based Targets initiative (SBTi), Carbon Trust, or equivalent accredited verification bodies.

Publicly communicated

The targets that are shared with any third party and are not restricted solely to an internal audience within the reporting entity. Examples include public disclosures, communications to investors, etc.

Net Zero

Net zero means cutting greenhouse gas emissions to as close to zero as possible, with any remaining emissions re-absorbed from the atmosphere.

Science-based target

Science-based targets provide a clearly-defined pathway for companies to reduce greenhouse gas (GHG) emissions, helping prevent the worst impacts of climate change and future-proof business growth. Targets are considered ‘science-based’ if they are in line with what the latest climate science deems necessary to meet the goals of the Paris Agreement.

Validation: What evidence is required?

Evidence

Evidence is required, but it will NOT be subject to manual validation in 2026. However, GRESB will utilize it to inform future validation developments, ensuring the quality of net-zero target-setting exercises.

This evidence requirement aims to capture what documentation participants have available to substantiate their net-zero target. The indicator collects the underlying characteristics of the target and does not mandate a single Net Zero definition in line with a specific framework.

Target requirements:

• Base year: Include a baseline year. Participants have the option to select a baseline year starting from 2015. 

• Base year performance: Input the base-year GHG performance (absolute or intensity value, depending on the selected target metric) of assets included within the target's scope.

• Short-term target year: The year for the short-term target. Must be greater than the base year and less than 2100. Short-term target reduction (%): Reduction percentage for the short-term target, expressed as a value between 0 and 100%.

• Medium-term target year: The year for the medium-term target. Must be greater than the short-term year.

• Medium-term target reduction (%): Reduction percentage for the medium-term target, expressed as a value between 0 and 100%.

• Long-term target year: The year for the long-term target. Must be greater than the medium-term year, or short-term year (if no medium-term year is present).

• Long-term target reduction (%): Reduction percentage for the long-term target, expressed as a value between 0 and 100%.

Validation Basics

Scoring

Scoring: How does GRESB score this indicator?

Scoring is based on the existence of a GHG reduction target aligned with Net Zero.

Open text box: The open text box is not scored and is for reporting purposes only.

Scoring Basics

Frequently Asked Questions

Does GRESB recommend Net Zero frameworks for adherence?

No. GRESB does not mandate a single Net Zero definition in line with a specific framework.

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References

CDP Climate Change Reporting Guidance, 2019: C4.1

Recommendations of the Task Force on Climate-Related Financial Disclosures June 2017: Metrics and Targets- C

Science Based Targets initiative, 2020

Whole life carbon assessment for the built environment, RICS professional standards and guidance, UK, 2017

SBTi Corporate Net-Zero Standard, version 1.1, April 2023

Get Support: Solution Providers

GRESB Solution Providers are independent, third-party organizations within the GRESB Partner network that offer specialized products, tools, and services to support sustainability performance outside the GRESB Assessment process.

Currently, there are no GRESB Solution Providers associated with this indicator.

GRESB will continue to update this section as the GRESB Solution Provider network grows. Please check back regularly to find GRESB Solution Providers who can support your sustainability performance.