ISO to launch umbrella standard for net-zero entities

Global body is expected to point to existing frameworks, to help establish best practise for each stage of the process

The International Standards Organisation will develop a standard for “net-zero aligned organisations”.

Led by the British Standards Institute, the standard is expected to be launched at next year’s international climate negotiations, known as COP30.

It will refer to existing frameworks, citing the GHG Protocol as best practice for carbon accounting, and SBTi as the go-to initiative for net-zero target-setting.

It will point to the Transition Plan Taskforce (TPT) as the best guidance for disclosing a comprehensive climate strategy.

Earlier this week TPT announced it would be subsumed into the IFRS Foundation, meaning it is likely to be integrated into the ISSB’s climate standard as part of future revisions.

ISO’s own existing net-zero guidelines are expected to be the reference for governance and decision-making.

Companies and other entities wishing to align with ISO’s definition of “net-zero aligned” must also be able to demonstrate adequate progress towards their decarbonisation goals.

The news received a mixed response from the market when it was announced yesterday.

Some complained that the standard would further muddy the waters, by adding yet another set of expectations to the fast-growing list of frameworks and rules for companies grappling with net zero.

Others argued that ISO should fold the concept into its existing standards, instead of spending years developing a completely new one.

But a number of commenters on social media said an umbrella standard that spelled out best practice for each of the steps their organisations would have to undertake to be seen as credibly “net-zero” would provide clarity, rather than confusion.