As we reach the midpoint of what the United Nations and global stakeholders have deemed the “decisive decade” for climate action, companies worldwide are under mounting pressure to deliver on their sustainability commitments. Many corporate sustainability goals were set for 2030, and 2025 will be a crucial checkpoint for evaluating progress—or lack thereof.

The reality is that many organizations, from Walmart to Unilever, may struggle to meet the ambitious pledges they made in 2019 and 2020. Complicating matters further, the methodologies used to measure emissions and sustainability performance are evolving, with major overhauls to key sustainability frameworks expected in 2025. Here’s a look at four significant updates that will shape corporate sustainability reporting in the coming years.

Certified B Corporation: A New Era of Accountability

• Governing Organization: B Lab Global

• What’s Changing: The seventh revision of the B Corp certification introduces stricter minimum thresholds for environmental, social, and governance (ESG) performance based on company size. Previously, companies could achieve certification based on an overall score, allowing some to sidestep key sustainability shortcomings.

• Why It Matters: With over 10,000 Certified B Corps globally, concerns about the program’s credibility have led to these stricter standards. Cases like Havas, an ad agency that lost its certification due to its role in climate misinformation, highlight the need for increased scrutiny.

• Key Milestones: The final standards are set for early 2025, with a “test drive” version available in the second half of the year. Full implementation is expected by 2026.

Corporate Net-Zero Standard 2.0: Strengthening Climate Targets

• Governing Organization: Science Based Targets initiative (SBTi)

• What’s Changing: The updated standard mandates a 50% emissions reduction by 2030 and a 90% reduction by 2050, with only 10% of emissions allowed to be offset via carbon removal.

• Why It Matters: With 1,200 companies having validated net-zero targets, SBTi plays a crucial role in corporate climate strategies. In 2024, 250 high-profile firms—including Microsoft, Procter & Gamble, and Walmart—had their net-zero commitments removed, highlighting growing scrutiny.

• Key Milestones: The draft was delayed to early 2025, with a final version expected by the end of the year. Full implementation is slated for early 2026.

Greenhouse Gas Protocol: The Backbone of Carbon Accounting

• Governing Organizations: World Resources Institute and World Business Council for Sustainable Development

• What’s Changing: The first major update in over a decade will address key issues, including aligning corporate emissions accounting with financial controls and requiring the inclusion of Scope 3 emissions (supply chain emissions). Additional revisions will cover investment-related emissions and renewable energy credits.

• Why It Matters: The Greenhouse Gas (GHG) Protocol is the world’s most widely used emissions reporting framework. In 2023, 97% of S&P 500 companies reporting to the CDP used this standard.

• Key Milestones: Public consultation will take place throughout 2025, with final standards expected in the second half of 2026.

ISO Net-Zero Standard: A Global Benchmark for Sustainability

• Governing Organization: International Organization for Standardization (ISO)

• What’s Changing: This standard formalizes guidelines first introduced during COP27, emphasizing circular economy practices, full lifecycle emissions reductions, and minimizing reliance on carbon offsets.

• Why It Matters: ISO has been setting global standards for nearly 80 years and represents 170 national standards bodies. Its sustainability working group, one of the largest in ISO’s history, includes experts from the GHG Protocol and SBTi.

• Key Milestones: A draft will be released in 2025 for public consultation, though a final publication date has not been set.

Looking Ahead: The Impact of 2025’s Sustainability Overhauls

The coming years will see major shifts in how companies measure, report, and achieve sustainability goals. These updates to emissions standards, corporate accountability, and net-zero commitments will create both challenges and opportunities. As scrutiny increases and regulatory expectations tighten, businesses that proactively adapt to these changes will be better positioned to thrive in the new sustainability landscape.

For companies aiming to stay ahead, 2025 is not just another year—it’s a pivotal moment to align sustainability strategies with the evolving global standards. The pressure is on, and the stakes have never been higher.