Absolute contraction approach - 4.2%

Hi there,

Can I please ask if the 4.2% absolute year on year reduction requirement is something that remains static regardless of when an FI sets their target for their operational footprint? E.g if a Scope 1 and 2 target is set in 2024 with a base year of 2023 - for 2030. Will that mean 4.2% absolute reduction every year from 2023 to 2030?

I am asking because that means that late targets will achieve a lower absolute reduction this way.

Many thanks,


Hello Ana
For targets with a base year after 2020, the minimum ambition is adjusted to ensure that at least 42% reduction occurs by 2030. This adjustment ensures that late targets achieve the minimum reduction occurs between 2020 and 2030.

The 4.2% absolute reduction year on year applies to base years in 2020 or earlier.

I hope this helps to clear your question.

Best regards,