New definition of SME

Private Equity
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Hi, I hope you are doing well,

I am currently reviewing the SMEs Target Validation Route. The third criteria says that to be eligible to the route, the company should not be “required to set targets using sector-specific criteria (such as the Sectoral Decarbonization Approaches) developed by the SBTi (see the SBTi’s sector guidance documents for requirements)”.

  • Does it mean that if you operate in the Apparel and Footwear, Cement, ICT, Maritime, Power and Steel sectors (that have finalised sector guidance documents), you cannot follow the SME target validation route, even if you tick all the other criteria ?

  • Does it mean that as new sector guidance documents come out, SMEs operating in newly covered sectors will not be able to follow the SME target validation route anymore?

Thanks a lot for your help and have a nice day!

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