A lot has happened recently in the world of net zero. The Science Based Targets initiative (SBTi) has released its revised Corporate Net-Zero Standard, while the public consultation for the ISO Net Zero Standard (ISO 14060) opened in mid-June.

These developments represent another important step in the global transition to a low-carbon economy. Increasingly, countries, regulators, investors and businesses are no longer debating whether net zero is necessary. Instead, attention is turning to questions such as:

• What constitutes a credible net-zero plan?
• How should residual emissions be managed?
• What role should carbon removals and carbon credits play?
• How can organisations demonstrate alignment and progress in a transparent and verifiable way?

The draft ISO 14060 standard seeks to answer these questions by providing a globally consistent framework for what a net-zero-aligned organisation looks like and how progress towards net zero should be planned, measured and verified.

Why does ISO 14060 matter?

ISO 14060 builds on the existing ISO Net Zero Guidelines and transforms them into a verifiable international standard.

The objective is not simply to help organisations set net-zero targets, but to provide a framework for developing credible transition plans, implementing emissions reductions and demonstrating progress in a way that is transparent, science-based and aligned with the goals of the Paris Agreement.

Perhaps most importantly, the standard introduces greater accountability. It moves the conversation beyond distant net-zero commitments and towards evidence of action, progress and verification.

What is included in ISO 14060?

1. Full emissions coverage across the value chain

The standard requires organisations to account for Scope 1, Scope 2 and Scope 3 emissions.

For many organisations, particularly those in service sectors such as travel, Scope 3 emissions represent the majority of their climate impact. This includes emissions associated with purchased goods and services, transportation, sold products and other value-chain activities.

The inclusion of Scope 3 emissions reinforces the principle that credible net-zero strategies must address an organisation’s full value-chain impact rather than focusing solely on direct operations.

2. Emissions budgets and science-based targets

One of the most significant features of the draft standard is the requirement for organisations to establish and follow an emissions budget for Scope 1 emissions.

The emissions budget must be aligned with a science-based pathway and cover the period from the organisation’s base year through to its net-zero target year.

This represents an important shift in thinking. Rather than focusing only on achieving a target in 2040 or 2050, organisations must consider the cumulative emissions released throughout the transition period.

The standard also requires organisations to establish interim and long-term emissions reduction targets, with the first interim target occurring no more than five years after the target-setting year.

3. Activity-based transition targets

In addition to emissions reduction targets, organisations are required to set practical implementation targets that support delivery of their transition plan.

Examples include:

• Improving energy efficiency
• Transitioning away from fossil fuels
• Addressing deforestation and land-use impacts
• Deploying low-carbon technologies

This emphasis helps ensure that organisations focus on the actions needed to achieve emissions reductions rather than relying solely on future targets.

4. Residual emissions and carbon removals

The standard recognises that some emissions may remain difficult or impossible to eliminate.

Residual emissions must therefore be counterbalanced using carbon removals with storage, either within the organisation’s value chain or beyond it.

This reflects the growing distinction between reducing emissions and neutralising unavoidable residual emissions through durable removals.

5. Climate claims and organisational maturity

One area where the draft standard seeks to provide clarity is climate claims.

The standard proposes four stages of organisational progress:

• Net Zero Aspiration
• Net Zero Aligned Transition Plan
• Net Zero Aligned Progress
• Net Zero Achievement

Each stage carries specific requirements and is subject to validation and verification.

This framework helps organisations communicate their position consistently while reducing the risk of misleading or overstated claims.

6. Remedial measures

Recognising that circumstances change, the standard includes provisions for organisations to take corrective action when unexpected events affect progress towards their targets.

This helps ensure accountability while allowing flexibility in response to genuine operational or economic challenges.

7. Validation and verification

A key feature of ISO 14060 is its focus on independent validation and verification.

The standard establishes requirements for demonstrating that:

• Targets are credible
• Transition plans are aligned with the standard
• Progress is measurable
• Claims are supported by evidence

This emphasis on verification is likely to be one of the factors driving adoption across assurance, procurement and finance.

8. Guidance for SMEs

The standard recognises the critical role of small and medium-sized enterprises in the transition to net zero.

Dedicated guidance is included to support SMEs in applying the framework in a way that reflects their scale, resources and reporting capabilities.

Climate claims: Net zero versus carbon neutral

Few areas of sustainability reporting have generated more confusion than the terms “net zero” and “carbon neutral”.

The draft standard distinguishes between organisational net zero and the broader concept of global net zero. It also provides guidance on the use of carbon-neutral claims, which may be achieved through the use of carbon credits.

By clearly differentiating these concepts, the standard aims to improve consistency, strengthen trust and reduce the risk of greenwashing.

What does this mean for the GHG Protocol?

In September 2025, ISO and the Greenhouse Gas Protocol announced a partnership to work towards a more harmonised and credible greenhouse gas accounting framework.

For now, organisations may use either ISO greenhouse gas standards or the GHG Protocol for emissions accounting.

Importantly, ISO 14060 requires organisations to measure and include relevant Scope 3 emissions, reinforcing the growing expectation that value-chain emissions form part of any credible net-zero strategy.

Where could the biggest impacts occur?

While ISO 14060 is voluntary, its influence could extend well beyond corporate sustainability teams.

Assurance

As companies increasingly disclose climate transition plans, assurance providers may use ISO 14060 as a benchmark for assessing whether those plans are credible, science-based and capable of delivering net-zero outcomes.

Procurement

Governments and large corporates may begin requiring suppliers to demonstrate alignment with ISO 14060 as part of procurement processes and supply-chain requirements.

Sustainable finance

Banks, investors and financial institutions could adopt ISO 14060 as a due diligence benchmark when evaluating transition finance, sustainability-linked lending and climate-related investment opportunities.

What does this mean for the travel sector?

The implications for travel businesses could be significant.

By 2030, a travel company could plausibly:

• Report under UK Sustainability Reporting Standards (UK SRS) or the European Sustainability Reporting Standards (ESRS)
• Calculate emissions using the GHG Protocol
• Have emissions reduction targets validated by SBTi
• Demonstrate organisational alignment with ISO 14060
• Obtain assurance against an ISO-based framework

For the travel sector in particular, where the majority of emissions often sit within Scope 3, the standard brings sold-product emissions firmly into focus.

This means that emissions associated with tours, accommodation, transport and other travel products are likely to become increasingly important in net-zero planning, target setting and reporting.

The result is a stronger emphasis on influencing and reducing emissions across the value chain, rather than concentrating solely on an organisation’s direct operational footprint.

Have your say

The ISO 14060 public consultation is now open, and anyone can participate.

In the UK, comments can be submitted through BSI. Organisations in other countries should contact their national standards body for information on how to contribute.

Comments should be submitted before the relevant national consultation deadline, which in the UK is 17 August 2026.

As the conversation evolves from setting net-zero ambitions to demonstrating credible progress, ISO 14060 has the potential to become one of the most influential frameworks shaping how organisations plan, verify and communicate their transition to net zero.

By Zennor Pascoe – Sustainability Advisor (Carbon Lead)

Photo by Jeremy Bishop on Unsplash