Resilient LLP (formerly DeMarco Allan LLP)
Tag

ICVCM

Browsing

ICVCM Announces First CCP-Approved Carbon Credit Methodologies

No Comments By

The Integrity Council for the Voluntary Carbon Market (ICVCM) today announced the first seven carbon-crediting methodologies that meet its high-integrity Core Carbon Principles (CCPs) (see our earlier bulletin on the CCPs here). The ICVCM assesses categories of carbon credit projects (methodologies and/or protocols) to determine whether they can be labelled as “CCP-Approved” and used by a “CCP-Eligible” program, which currently includes the American Carbon Registry (ACR), Architecture for REDD+ Transaction TREES, Climate Action Reserve (CAR), Gold Standard (GS), and Verra’s Verified Carbon Standard (VCS). The ICVCM noted that the CCP label can now be used on an estimated 27M carbon credits issued from the two categories of CCP-Approved methodologies. The approval of the methodologies follows the Biden-Harris Administration’s announcement last week setting out principles for high-integrity voluntary carbon markets that relied heavily on the CCPs and other carbon crediting certification standards (see our earlier bulletin here).   This bulletin sets out the approved methodologies and provides an update on the assessment of other categories of carbon credits by the ICVCM:   Approved Methodologies The ICVCM approved the following ozone depleting substances (ODS) and landfill gas (LFG) methodologies as meeting the CCP criteria and rules, enabling the respective CCP-Eligible programs to issue CCP-labelled carbon credits from eligible projects. ODS methodologies. The following ODS methodologies are CCP-Approved: ACR’s Destruction of ODS from International Sources version 1.0;  CAR’s Article 5 ODS Project Protocol versions 1-2; and CAR’s U.S. ODS Project Protocol versions 1-2.  LFG methodologies. The following LFG methodologies are CCP-Approved: the Clean Development Mechanism’s (CDM) ACM0001 – Flaring or use of Landfill Gas versions 15-19, used by Verra and GS;  CDM’s AMS iii G – Landfill Methane Recovery version 10, used by Verra and GS;  ACR’s Landfill Gas Destruction and Beneficial Use Projects version 1-2; and  CAR’s US Landfill Protocol version 6.  Ongoing assessment of methodologies through Multi-Stakeholder Working Groups (MSWG). ICVCM indicated that it continues to conduct internal and MSWG reviews of the following six…

Read More
By

Biden-Harris Administration Announces Principles for High-Integrity Voluntary Carbon Markets

No Comments By

The Biden-Harris Administration (the Administration) today released the Voluntary Carbon Markets (VCM) Joint Policy Statement and Principles (the Principles), along with an accompanying fact sheet (the Fact Sheet). The Principles represent the U.S. government’s affirmation that high-integrity VCMs can and should play a meaningful role in reducing and removing global greenhouse gas (GHG) emissions and support the objective of global net-zero emissions by 2050. The Principles support the Administration’s commitment to ensuring VCMs effectively channel private capital into innovative technological and nature-based solutions, while also protecting natural ecosystems and supporting the U.S. and international partners in achieving their climate objectives.   The Principles follow other key U.S. climate-related legislation and policies, including the Inflation Reduction Act (see our earlier bulletin here), climate adaptation and resilience plans for federal agencies (see our earlier bulletin here), and the U.S. Department of the Treasury’s Principles for Net-Zero Financing and Investment, released last year, supporting the development and execution of strong net-zero commitments and transition plans by financial institutions, with a focus on Scope 3 financed and facilitated GHG emissions.   This bulletin briefly summarizes the Principles, their anticipated role in addressing climate change, and other ongoing U.S. government actions to support VCMs.    Principles for high-integrity VCMs. The Principles provide seven principles for high-integrity VCMs, drawing from existing best practices for credit certification standards, including the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), the G7’s Principles for High-Integrity Carbon Markets, the Commodity Futures Trading Commission’s proposed guidance regarding the listing of voluntary carbon credit derivative contracts (December 2023), the Integrity Council for Voluntary Carbon Markets (ICVCM) Core Carbon Principles (see our earlier bulletin here), and relevant decisions under Article 6 of the Paris Agreement. The Principles are as follows: Carbon credits and the activities that generate them should meet credible atmospheric integrity standards and represent real decarbonization. Credit-generating activities should avoid environmental and social harm and should, where applicable, support…

Read More
By

ICVCM Releases Core Carbon Principles

No Comments By

The Integrity Council for the Voluntary Carbon Market (ICVCM) has released its long-awaited Core Carbon Principles (CCPs) that are intended to define the criteria for high integrity carbon credits. The 10 CCPs were released today at the European Climate Summit in Lisbon following broad and controversial consultation on draft principles in 2022. They are intended to build additional trust in the voluntary carbon market, unlock investment at scale, and deliver real climate impact at the speed and scale necessary to transition to a 1.5ºC pathway. They apply to carbon crediting programs/standards (CC Program), GHG emission reductions/removals (ERRs) and categories of projects (Methodology Type). This bulletin briefly summarizes the 10 CCPs CCP Sub-ordinate Requirements Applicable Entity Details A. Governance 1. Effective Governance CC Program Note: Programs that have already met the CORSIA requirements will not be required to demonstrate compliance with the detailed Governance CCPs Program governance must ensure transparency, accountability, continuous improvement and credit quality. 2. Tracking CC Program Must have a registry to uniquely identify, record, track credits securely and unambiguously. 3. Transparency CC Program Transparent information, publicly available in electronic format, to enable scrutiny by all audiences. 4. Robust 3rd Party Validation/Verification CC Program Must have/require independent 3rd party validation and verification. B. Emissions Impact 5. Additionality ERRs and Methodology Type ERRs would not have occurred in the absence of the incentive from carbon credit revenue. 6. Permanence ERRs and Methodology Type Permanent or measures in place to address risk of reversal and compensation for same (buffer). 7. Robust Quantification of Emission Reductions/Removals CC Program Thorough process for assessing and approving methodologies with public stakeholder and expert involvement. Robust and conservative quantification based on complete and scientific methods. 8. No Double Counting  ERRs No double issuance, double claiming, double use. Starts to address assessment of host country authorization under Article 6 with…

Read More
By