Choosing the Right Climate Targets: Absolute vs Intensity-Based

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Choosing the Right Climate Targets: Absolute vs Intensity-Based

Setting climate goals is becoming more important for businesses that want to do the right thing and cut their impact on the environment. But with different ways to set these goals, it can be hard to know which one to pick. Two common types are absolute targets and intensity-based targets. Each has its pros and cons, and choosing the right one depends on what your business does and how quickly it wants to make a planet-positive change.

First, let’s look at what these targets mean. Absolute targets are pretty straightforward. You decide how much you want to cut your total carbon emissions by a certain year. For example, a company might pledge to cut its total emissions by 50% by 2030. Simple, right? This type of target doesn’t change much—it focuses just on bringing down the total number, no matter how big or small the company gets.

On the other hand, intensity-based targets compare emissions to a unit of output, like how much energy is used per product made or per dollar earned. These targets are more flexible. So if a company is growing fast, it might still be considered on track as long as it's producing more efficiently.

So, which is better? That depends.

Absolute targets are clearer and easier for people outside your company to understand. They send a strong signal that your business takes climate action seriously. But they can be tough, especially for fast-growing companies, because they don't adjust for growth.

Intensity-based targets are more flexible. They allow for growth while still improving efficiency. But they can also be a bit confusing. A company might lower its emissions per product, but if it's making more products overall, its total emissions could still go up. That doesn’t help the climate as much.

Some companies actually use both types. They set an intensity-based goal to push for efficiency and an absolute goal to keep the bigger picture in mind.

No matter which type you choose, the key is to be honest about your progress and keep looking for ways to improve. Climate goals are not just about staying trendy—they’re about real impact. What matters most is taking action and being open about it. After all, doing our part for the planet starts with one step in the right direction.