In order to achieve the goals of the Paris Agreement, global emissions must be reduced as quickly as possible. The connected transition to a net-zero society requires the commitment of various stakeholders – not only in reducing emissions, but also in building a carbon dioxide removal (CDR) infrastructure as CDR is a key component in neutralising unavoidable residual emissions.
Companies are a key group of actors in this transformation, and in recent years, more and more companies have set net-zero targets. One central organisation that companies can use to validate their net-zero targets is the Science Based Targets Initiative (SBTi) with its Corporate Net Zero Standard.
This policy paper examines how German companies that have a SBTi-validated net-zero target plan to neutralise their residual emissions through the use of CDR. To explore this question, the paper uses a multi-method approach: based on key data from the SBTi, trends and preferences regarding net-zero achievement within the sample are presented. A qualitative text analysis of key company documents and 33 interviews with company representatives were used to shed light on the respective strategies, as well as the potential, obstacles and desire for political support.
Based on this analysis, the policy paper highlights a heterogeneous field in which companies are at different stages in the development or implementation of a CDR strategy. However, comparable experiences, motivations, desires and approaches to achieving the net-zero target were also identified.
The paper concludes with a discussion of the findings and formulates policy recommendations for private governance organisations, companies and policymakers.
Kreibich, N., & Schulze-Steinen, M. (September 2025). On the way to net-zero? How German SBTi companies address their residual emissions through carbon dioxide removals. Wuppertal Institut für Klima, Umwelt, Energie. Wuppertal - URL: https://www.carbon-mechanisms.de/publikationen/details/on-the-way-to-net-zero
Date:
September 2025
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