The Integrity Council for the Voluntary Carbon Market (ICVCM) has approved three key methodologies for issuing high-integrity carbon credits to address deforestation and forest degradation (REDD+) in developing nations. This approval marks a significant advance, as these credits, expected to carry the Core Carbon Principles (CCP) label from early 2025, promise to boost credibility and attract investment in climate finance for forest preservation.
The newly endorsed methodologies are:
- (ART) TREES v2.0: Developed by the Architecture for REDD+ Transactions, setting standards at the jurisdictional level.
- (VCS) VM0048: Verra’s project-based framework with rigorous baseline protocols.
- (VCS) JNR v4.1: Verra’s jurisdictional framework supporting national and state-level REDD+ initiatives.
These frameworks represent a substantial shift toward robust, science-based standards by standardizing baseline and monitoring practices to limit the risk of over-crediting. For instance, VM0048 removes self-established baselines, relying on jurisdictional deforestation data and risk assessments, enhancing accountability in REDD+ projects.
The volume of credits in the pipeline is promising: the ART TREES methodology alone has nine jurisdictions poised to issue 123 million credits, while VM0048 is preparing for 21 projects, anticipated to generate 300 million credits. Approved credits will now be eligible for the CCP label, a quality mark designed to foster trust and transparency in the voluntary carbon market.
Reducing emissions from deforestation is critical to meeting global climate goals and averting ecosystem tipping points. According to ICVCM CEO Amy Merrill, scaling finance for nature and supporting Indigenous Peoples and local communities are essential steps. The integrity of the approved methodologies reassures investors, laying the groundwork for a new era in nature-focused carbon markets.
This update also clarifies that older REDD+ methodologies, such as VM6 and VM7 and VM9, will no longer be eligible for CCP labeling. Projects using these methodologies can transition to VM0048 to ensure consistency and transparency in emission reductions.
ICVCM’s decision, supported by independent experts, underscores the importance of these methodologies in enhancing credibility within the carbon market. This step paves the way for a new generation of projects rooted in integrity and driven by stringent environmental and social standards, offering a robust tool in the global fight against deforestation and climate change.
