Carbon Pulse’s Post

Is this really working? Controversial opinion for the day: the carbon market is broken. If demand in the voluntary carbon markets are only driven by moral and ethical motivation, it will be too limited to span the breadth and depth needed to solve the problem it tries to. Half of the credits used for retirement are at least 5 years old! Surely this should terrify anyone looking at the voluntary market as the solution to climate change. More interesting, would be to understand the average price of these credits. (my guess is very low) Imagine reading this as a new project developer, with no guaranteed price, massive volatility and flagging demand, how are we expecting new projects to come on line and investment to flow into decarbonisation at scale. Because it's the right thing to do? Newsflash, that doesn't work in a capitalist system. This post is meant to stimulate debate, so please feel free to share opinions openly? But please, let's be real with each other... there is a lot at stake.

The Securities and Exchange Commission (SEC) recently released its much-anticipated climate disclosure rules. As expected, it has received criticism both from climate activists disappointed by the removal of certain provisions contained in earlier drafts, and from members of the business community who cite regulatory over-reach and a veiled attempt to phase out fossil fuels. It made no one happy, but no one completed devastated either. Read our take from FFI's Christopher Ito: https://lnkd.in/eEPGfh3y #energytransition #carbonunderground #climatedisclosure #secclimatedisclosure #transitioninvesting

Thanks for sharing Margaret Morales and glad you think it's useful, we do too.🤸♂️ Any companies looking for further clarity on carbon credit related claims and the requirements for making them, head to our Climate Action Protocol https://lnkd.in/etzAj3gR #climateaction #climate #carboncredits

There are lots of global carbon credit standards. Recently some innovative players are emerging in biodiversity, tokenization and etc. Anyway below would be helpful to see different names of types of carbon credits by standard.

Parliament is introducing one of the most significant changes in climate related financial disclosures we've seen in a generation. If passed, this Bill will require companies to disclose their climate impacts, from operational risks to greenhouse gas emissions 🌏 🏭 Paul Kirton gives us the full download here: https://lnkd.in/gRaqYGCy Or swipe through for the bite-sized overview. #mkinsight #esg #macphersonkelley #climateaction #financialreporting

How do carbon credits fit into the biggest climate action standards? This chart from the new IETA report points out that one of the biggest differences is between which standards permit carbon credits to help meet interim (or near-term) targets. IETA's new guidelines support this use of carbon credits, as does the VCMI beta Scope 3 flexibility claim. SBTi's current standard does not (it's possible that SBTi will propose rule changes on this issue in July). 🔗 to report in comments. --- Edited to make clear that this July SBTi may propose, but will not finalize, rule changes.

At last, there is a move to implement an emission trading system through the recently introduced Senate bill titled “An Act Promoting a Low Carbon Economy, Establishing for This Purpose an Emission Trading System and Implementation Mechanism to Achieve National Climate Targets.” I hope this bill gets passed, as it is essential that polluters are held accountable.

Examining credits from CCP-approved methodologies, from ACR at Winrock International and Climate Action Reserve. 🏷 Projects from the CCP-approved methodologies on the two registries had a major slowdown in issuances for 10 years, between 2013 and 2022. This means only about 8m tCO2e remain available in the market today — most of that volume being from pre-2014 vintage credits. #vcm #ccp The Integrity Council for the Voluntary Carbon Market (ICVCM)

The #US Securities and Exchange Commission approved a controversial rule requiring public companies to report #greenhousegasemissions and climate risks, despite revisions. The 3-2 decision, supported by Democrats and opposed by Republicans, attracted over 24,000 comments. To know more : https://lnkd.in/g5YksS8S #climateaction #climatesolution #ecosystem #ecodiscussion #publicsector #republicans #carbonemissions #co2 #greenerfuture

The SBTi just published an evidence review that pretty comprehensively trashes carbon credits: "[V]arious types of carbon credits are ineffective in delivering their intended mitigation outcomes." "There could be clear risks to corporate use of carbon credits for the purposes of offsetting. This includes potential unintended effects of hindering the net-zero transformation and/or reducing climate finance." "All Tier A evidence challenge the legitimacy of offsetting claims, arguing that treating carbon credits as fungible with other sources, sinks, or reductions of emissions is inadvisable, illogical, or damaging to global mitigation goals." https://lnkd.in/eJfTuPyD