I am also looking for clarity about the scope 3 requirements for SMEs. The guidance notes that: The SBTi’s streamlined route for SMEs enables them to bypass the initial stage of committing to set a science-based target and the standard target validation process. SMEs can immediately set a science-based target for their scope 1 and 2 emissions by choosing from one of the predefined target options available in the SME Target Setting Letter. Unlike larger companies, the SBTi does not require SMEs to set targets for their scope 3 emissions; however, SMEs must commit to measure and reduce their scope 3 emissions.
Could you please clarify what the difference between a requirement to “reduce” and the lack of requirement to “set target” in this statement? One of the benefits we tout of the Portfolio Coverage Approach is that by engaging to encourage target-setting, we are improving management of material scope 3 emissions in our portfolios—even without robust disclosure of scope 3 yet. If this is not strictly the case for small and medium enterprises, we would like to be very clear about this.