Step 2a is divided into two tasks:

• Task 1. Determine target boundaries for each pressure category

  For each pressure category of land use and land use change, water use, soil pollutants, and water pollutants, identify and group all the direct operations activities that were defined as material in Step 1a, Task 5, along with their associated locations and other information. These activities and the spatial area they encompass are defined as the “[name of pressure category] direct operations target boundary.”

  Similarly, for each of those four pressure categories, identify all the upstream activities that were defined as material in Step 1a, Task 5. Identify the locations, associated with the most impactful value chain stages in Step 1b, Task 7, that are known at least at subnational level. These activities and the spatial area they encompass are defined as the “[name of pressure category] upstream target boundary A.”

  All activities in the direct operations target boundaries and the upstream target boundary A are considered suitable for target setting in Step 3 in the near term. Depending on the granularity of the spatial data, in some cases you may need to refine the data before actually setting targets. Note that since there are four pressure categories in scope, this will result in eight separate target boundaries (corresponding to two value chain segments × four pressure categories).

  Take note: You should never merge or combine the activities or data belonging to different target boundaries.

  Output(s) of this task:

  • Direct operations target boundary and upstream target boundary A delineated for each of the required pressure categories.
• Task 2. Place volumes with insufficient value chain traceability in a separate target boundary

  In Step 2a, Task 1, all upstream activities for which the location was not known at least at the subnational level were left out of the upstream target boundary A. These would be locations known at national level, multinational (regional) or continental levels, or otherwise completely unknown.

  Most of Step 3 requires traceability to local or subnational levels. If it is not feasible for you to achieve this level of visibility over your value chains in the short term, you will exclude these volumes from all subsequent tasks in Step 2 and Step 3.

  Group these activities, their associated volumes, and locations (including unknown locations), and label them as “[name of pressure category] upstream target boundary B.”

  Separating some upstream activities into target boundary B recognizes existing industry-wide challenges in supply chain traceability. Target boundary B was introduced to increase feasibility given the current realities of companies’ traceability. You will not be required to set targets for these locations immediately. Upcoming guidance will provide you with further clarity on actions you may need to undertake to improve your traceability and on specific timelines to complete this exercise.

  Look ahead: SBTN recommends that companies increase their traceability of volumes in target boundary B and perhaps implement additional requirements to ensure (near-) full value chain coverage before a new validation. SBTN is developing complementary guidance to support your efforts to increase value chain traceability.

  Output(s) of this task:

  • Upstream target boundary B delineated for each of the required pressure categories.