Executive summary
Science-based targets turn a company emissions inventory into a defined reduction ambition. The Science Based Targets initiative (SBTi) provides criteria and validation; a validated target does not certify a building or demonstrate achieved reductions.[1] Construction businesses should identify the route matching their activities. Buildings Criteria Version 1.2, effective 20 July 2026, applies to specified real-estate activities and thresholds. Contractors and materials suppliers should not assume this route covers them. Establish applicability before selecting a target calculation.[1, 2]
Start here
Map company activities to SBTi routes, then agree the submission version and the evidence needed for a credible target.
In plain terms
A target commits the company to future emissions performance, using a baseline and progress measures. It needs investment, procurement decisions and accountable owners behind it. Validation checks the target against the criteria; delivery remains the company’s responsibility.
Choose the route for your activities
| Business activity | Starting point |
|---|---|
| Developers, owners and property managers | Check the thresholds below and apply each relevant intended-user category.[1] |
| Contractors and subcontractors | Usually corporate cross-sector methods. Main contractors may use the upfront embodied pathway subject to accounting and responsibility rules.[2] |
| Materials manufacturers and suppliers | Check corporate and relevant sector criteria, such as cement or steel. Supplying buildings alone does not determine the route.[2] |
Apply the two buildings tests precisely
For intended users, the in-use operational test is at least 20% of the emissions inventory in the chosen base year. The upfront embodied test is more than 20% from new developments or first-owner acquisitions in any of the three years before submission. Both tests use Scopes 1, 2 and Scope 3 categories 1-14; financed emissions have separate provisions. Eligible small and medium-sized enterprises (SMEs) have a separate route option.[1]
The buildings method separates whole-building operational and upfront embodied emissions, including relevant tenant energy.[1, 2] Connect company targets to procurement and asset plans while keeping them distinct from project carbon budgets.
Example in practice
Illustrative example: a contractor also develops rental buildings. It maps developer and owner-lessor activities, checks the thresholds and tenant data needs, then prepares workstreams for property, construction operations and materials. The company label alone would miss these differences.
Recommended actions
A practical way to start, with suggested owners and timing:
Confirm applicability
Record the corporate and sector criteria, intended-user categories and submission version. Keep an explanation of the selected route and any unresolved eligibility questions.
Sustainability and finance, before target modelling
Strengthen the baseline
Check company coverage, Scope 3 screening and the relevant building boundary. Keep emissions, floor-area and activity data traceable to sources, with a plan for filling gaps.
Reporting lead, before the submission pack
Test the delivery plan
Identify investment and supplier actions, dependencies and costs. Give decision-makers a target proposal alongside accountable measures, assumptions and risks to progress.
Operations and procurement, before board approval
Approve and submit
Agree the ambition and implementation resources, then use the current SBTi validation process. Describe the actual commitment or validation status accurately; do not imply achieved reductions.
Board sponsor, before external claims
Track and explain progress
Publish the inventory and progress against targets, including barriers and responses. Review significant business changes and the applicable target-review timetable.[3]
Reporting lead, annually
Common mistakes
- Applying one annual reduction percentage to every activity: use the current route and tool.
- Treating a validated company target as building certification: identify the actual subject and claim.
- Improving intensity while ignoring growth: track absolute emissions alongside the intensity result.
How Reinventives can help
Reinventives can support an applicability review, baseline evidence map and target-readiness plan, bringing finance, procurement and operations into the process. The first deliverable can be a route decision and a prioritised list of data and governance gaps. We can coordinate sector specialists and submission preparation; SBTi’s validation service determines the validation outcome.
Sources and review dates
- 1.SBTi, Buildings Criteria V1.2, 20 July 2026; C1-C4 and C14.
- 2.SBTi, Buildings Explanatory Document V1.2, July 2026; Appendix C.
- 3.SBTi, Continuing use of V1.3.1 and transition to Corporate Net-Zero Standard V2.0, June 2026.
- 4.SBTi, Corporate Net-Zero Standard development; V2.0 submission timing.
Fossil-fuel commitment: Required Buildings Criteria users must commit to no new owned or financially controlled fossil-fuel equipment in their building portfolios from 2030 at the latest. Defined emergency, back-up and critical-use exceptions apply; existing installations need not all be removed in 2030.[1]
Version transition: Corporate Net-Zero Standard V2.0 was published in June 2026; submissions open in Q1 2027. V1.3.1 remains available during the published transition. Confirm the timetable for new submissions and existing targets rather than delaying preparation.[3, 4]
Sources accessed and correct as of 9 September 2026.
Next scheduled review 9 December 2026.
Review earlier if SBTi changes sector criteria, transition arrangements, target methods or validation guidance.
This briefing is general information, not legal, procurement, engineering or assurance advice. Requirements should be checked for the specific organisation, project and contract.