According to SBTi guidance, offsets are different from GHG deductions as they are used to compensate for GHG emissions elsewhere. So why is offset acceptable as per FEM 4.0?

Higg FEM 4.0 does not recognize GHG Offsets for SBTs within SBTis, but it recognizes GHG offsets for Net Zero Targets as indicated by the Science Based Target Initiative. Higg FEM 4.0 has a separate offset question, to understand and track how the facility is working on reducing GHG and by what method. Higg FEM 4.0 is aligned with GHG calculation with both SBTi and GHG Protocol.

So tracking this information, it will allow the facility and their stakeholders to understand and report emissions according to what they are reporting against.