Frequently Asked Questions

• Why do freshwater targets matter for business?

  Water risk is one of the most immediate and material threats to business continuity, as all companies depend on water to operate. Science-based freshwater targets help companies act in the right places to manage operational and supply chain risks, shore up long-term resilience, and demonstrate credible leadership. By setting freshwater targets, companies can credibly demonstrate that they are taking enough action to reduce risk and contribute to global goals for nature recovery.

  Ambitious targets also help align stakeholders and unlock resources to address water and related biodiversity impacts. Companies that set freshwater targets can strengthen reputation, gain competitive advantage, and be better prepared to meet growing disclosure and reporting expectations across frameworks such as CSRD and TNFD, while also aligning with, and participating in, complementary water stewardship initiatives like the Alliance for Water Stewardship (AWS).

• What is new in V2 and what remains the same?

  This public consultation focuses on major updates for V2 – expansion of water quality targets to include toxic chemicals (with an initial focus on pesticides and point source dischargers), a global approach to setting groundwater targets, alongside a new tool for model selection.  Version 2, when publicly released, will also incorporate additional minor enhancements to existing freshwater targets identified since V1.1.

  Review this graphic for a visual summary.

• What added value do the V2 updates offer to companies considering freshwater SBTs?

  Version 2 provides companies with more comprehensive guidance for setting freshwater targets. Key updates include:

  • Groundwater: a more robust, globally applicable approach for assessing and addressing unsustainable groundwater use, improving companies’ ability to manage water quantity risks.
  • Toxic Chemicals – Pesticides: expanded water quality methods that better capture agricultural, food, beverage, and textile sector impacts, while also applying to chemical companies that produce and trade plant protection products.
  • Toxic chemicals – Point-source pollution: a new option to set targets on toxic chemical discharges, significantly broadening sector applicability beyond those traditionally linked to nutrient (nitrogen and phosphorus) pollution—making it relevant across most industries.
  • Basin Threshold Tool: a new resource to help companies identify local models and thresholds, improving feasibility and confidence in setting credible targets.
    

  Together, these updates expand the scientific robustness, scope, flexibility, and sector reach of freshwater targets.

• How does V2 align or not with other major frameworks such as AWS, ZDHC?

  The pesticide methods offer the first-of-its-kind voluntary corporate framework for setting science-based targets for reducing pesticide impacts on freshwater. 

  Although V2 is applicable to the textile sector, the focus of the methods is on pesticide use and impacts. The methods do not directly address chemicals associated with textile manufacturing. In the future, SBTN may consider expanding the guidance to include textile manufacturing and align with ZDHC.

  In parallel to the V2 release, SBTN is updating its guidance on how the freshwater methods relate to AWS, CDP and other voluntary corporate water stewardship frameworks.

• When will the final V2 be published? Should companies use V1 in the meantime?

  Version 2 is planned for release in the second half of 2026. Because it will primarily focus on expanding coverage beyond the current set of freshwater targets, companies are strongly encouraged to use Version 1 now to get started. Version 1 will remain valid until six months after Version 2 is launched, providing companies with a stable and actionable framework in the interim.

• When using V2 freshwater methods, do companies have the option of setting which targets, as with the current V1 quality and quantity ones?

  In Version 2, companies can still choose to set either water quality or water quantity targets, depending on what is most material in that location. However, companies will be required to set all relevant water quality (nitrogen, phosphorus, pesticides) or water quantity (surface water and groundwater) targets for a given location. For example, if both nutrient and pesticide pollution are priority issues in a basin, a company cannot set only nutrient targets while ignoring pesticides. The same applies to surface water and groundwater. 

• Who should provide feedback during the public consultation period, and how can they get involved?

  We invite broad and inclusive feedback on the draft methods. While the guidance is designed for corporate use, input from technical experts, community stakeholders and other affected groups is critical to ensure the targets are both effective and locally appropriate. The consultation is open until 9 October, 2025, and we welcome input from:

  • Companies, industry coalitions, consultants, and financial institutions
  • NGOs, policy-makers, and academic researchers
  • Indigenous Peoples, faith-based groups, youth organizations, affected stakeholders in water basins, and interested individuals without affiliations.

  We are especially eager to hear from experts in sustainability, ecology, water specialists, and environmental risk. Your insights will help ensure the guidance is both scientifically robust and practical for corporate action.

• Who is developing the V2 freshwater methods and what has the consultation process been so far?

  SBTN’s Freshwater Hub is a collaborative effort led by WWF and WRI, along with Pacific Institute, World Resources Institute, The Nature Conservancy, CDP, and Conservation International – authors of some of the leading frameworks, tools, methods and guidance for water impact assessment, management, and reporting. The hub is also supported with technical expertise from Limnotech and Substitute ApS. The development process has included robust research, literature review, consultation with technical experts and companies.

• What is the Freshwater Basin Threshold tool and can companies start using it now?

  The Basin Threshold Tool Version 0.1 (BTT V0.1), aligned with SBTN’s technical guidance, is a relational database of data, methods, and other supporting information at varying scales designed to ease the burden for companies as they set science-based freshwater targets.

  Information available in the BTT V0.1 is presented at varying scales, and for freshwater target setting using the SBTN methodology, the term “basin” refers to the HydroSHEDS Level 6 or equivalent. 

  The current database version focuses on freshwater quantity (surface waters), with future expansion planned for groundwater and water quality.

  The BTT framework consists of a multi-level decision tree with three pathways to support target setting in basins of different priority levels:

  • Local path (priority), for high-priority basins that require local data.
  • Local path (non-priority), for non-priority basins with available local data.
  • Global path, the last option when local data is unavailable.

  The V0.1 design includes one master meta database, and each component has a distinct Excel table with a relational key linking each table within the master meta database. Companies setting targets today can review the data available in the tool to see if it contains information applicable for the basins where they are setting targets. Following review, we anticipate releasing this tool for corporate use in validation.

• Does validating freshwater targets require a lot of stakeholder engagement work?

  Stakeholder consultation is an important required step to identify a robust hydrological model for a given basin. Using models with credible local ecological thresholds underpins the science-based approach to target-setting and facilitates the stakeholder engagement needed to achieve the target.

  Here’s how the process works:

  • National-level input: For each basin, consultation with just one national-level stakeholder* is sufficient to identify an appropriate local model and threshold.
  • Local-level input: For top-priority basins, if no model is identified through national consultation, consultation with just one local-level stakeholder* is required either to (a) identify a local model or (b) approve the use of a global model.
  • For groundwater the only acceptable local modeling approach is when a designated management agency has applied a model to define groundwater abstraction as part of a groundwater management plan.
    

  SBTN recognizes that robust local models are not always available or easy to find. If no robust local model is identified:

  • for non-priority basins, companies may use a global model. 
  • for top-priority basins, use of a global model is permitted if deemed appropriate by a local stakeholder according to SBTN criteria.

  To support companies, SBTN is developing a tool to help ease the burden of identifying local stakeholders and models, expected to launch publicly later in 2025.

  *SBTN recommends consulting more than one stakeholder in order to establish the best scientific basis for target-setting.

• For groundwater, why do companies need to follow the Groundwater Levels pathway when they can’t disaggregate their baselines into surface vs groundwater volumes?

  This condition applies when site(s) source water from surface water and groundwater. The Groundwater Levels pathway covers both environmental flow and groundwater level concerns, whereas the Surface Water pathway is more concerned with just environmental flow.

• Can I still set targets if I don’t know where my upstream suppliers are located?

  Yes, estimated or modeled subnational locations for relevant pressures can be used to set freshwater science-based targets in upstream value chains. More details on when and what is acceptable are noted in Steps 1 & 2.

  Relevant sections in the technical guidance:

  • Table 3 (p. 22) of Step 1
  • Upstream target boundary A (p. 22) of Step 2
  • Task 2 (p. 24) of Step 2
  • Step 3a: Hydrological Model Selection
• Can SBTN provide a database of existing local models that would be approved for use in setting freshwater science-based targets?

  The new Basin Threshold Tool is currently designed to provide a database of local models and thresholds for setting freshwater quantity targets. In the future, SBTN aims to include local pesticide and chemical models, but this database does not yet exist.

• How can I access the Pesticide Impact Quantification Tool?

  The tool is still under development and will be accessible when V2 is launched in 2026.