The 12th Pan-Amazonian Social Forum (FOSPA), held in Puyo, Ecuador, in August 2026, issued the Political Declaration of Puyuk, rejecting carbon markets, debt-for-nature swaps, and other climate financing mechanisms as 'false solutions'. Over 2,500 Indigenous Peoples and community representatives from the Amazon basin attended the event. The Declaration specifically denounced 'digital jaguar carbon credits,' citing concerns that such projects violate Indigenous territories and greenwash polluting industries. This rejection follows earlier statements from Indigenous organisations criticising projects like Greenoxx's Jaguar Amazon REDD Project for allegedly dispossessing Indigenous Peoples and failing to protect rainforests. FOSPA called for non-repayable climate financing instead of market-based approaches.
The Integrity Council for the Voluntary Carbon Market (ICVCM) has recognised Verra's Verified Carbon Standard (VCS) Programme Version 5, released in December 2025, as meeting its Core Carbon Principles (CCPs) criteria. This follows the ICVCM's approval of VCS Version 4.7 in May 2024. VCS Version 5 introduces stronger safeguards, enhanced transparency, and improved usability, with updated templates now operational. The ICVCM also approved 13 specific methodologies and the VCS Jurisdictional and Nested REDD+ Framework under the CCP Assessment Framework.
German authorities have withdrawn carbon credits from 30 projects in China, totalling 2.1 million tonnes of CO2, after investigations found them to be 'suspicious', to have overstated reductions, or to be completely fake. ExxonMobil purchased 96,000 of these credits for approximately US$4.9 million through its Belgian subsidiary, according to a registration document seen by Bloomberg. The projects were part of a German government-backed 'upstream emission reduction' programme for oil companies, which launched in 2018. Companies that bought the withdrawn credits have been ordered to compensate for the shortfall, with 24 of the 30 projects still under ongoing investigation. This follows a 2024 exposé by German TV station ZDF and a May 2026 Bloomberg investigation into the projects.
The Voluntary Carbon Markets Integrity Initiative (VCMI) and the Eastern Africa Alliance on Carbon Markets and Climate Finance (EAA) announced a partnership on 1 September to support the growth of high-integrity carbon markets in East Africa. The collaboration will provide technical assistance to EAA member countries through VCMI's Access Strategies programme, focusing on policy development, capacity building, and infrastructure for national carbon markets. This initiative aims to help governments unlock climate finance and design national policies, building on prior work to address the shortage of Africa-based validation and verification bodies. East Africa currently accounts for approximately 10% of global voluntary carbon credits, with projects in the region issuing nearly 115 million credits between 2022 and 2025.
A new report by the World Economic Forum and SIX Group highlights the need for a standardised market infrastructure to scale carbon dioxide removal (CDR) technologies. The report states that durable CDR methods currently remove less than two megatonnes annually, far short of the four gigatonnes required by 2035. Market fragmentation, reliance on bespoke contracts, and regulatory uncertainty deter institutional capital, hindering project financing and scale. The report proposes a six-layer market architecture to unify quality standards, legal contracts, and registries, aiming to transform CDR into a bankable, liquid global asset class. This framework seeks to integrate regional developments and streamline transactions to attract necessary investment.
Farmers participating in Uganda's Trees for Global Benefits project, which has issued over 7.5 million Plan Vivo-certified carbon credits since 2003, are reportedly cutting down trees planted for carbon offsetting. The farmers cite reduced food harvests due to tree growth and non-receipt of promised payments as reasons for felling the trees, some of which are converted to charcoal. DanChurchAid, a Danish NGO, invested 8 million kroner (US$1.2 million) in the project to facilitate carbon offsetting agreements for Danish companies. This development raises concerns about the long-term integrity and social impact of carbon credit generation from such projects.
German regulatory authorities revoked 2.1 million carbon credits from 30 upstream emissions reduction projects in China, citing improper claims. ExxonMobil's Belgian subsidiary had purchased nearly 96,000 of these invalidated credits at approximately €44 per tonne, a commitment valued at nearly €4.2 million. The German Environment Agency's investigation identified integrity deficits and deceptive practices, leading to the invalidation and requiring affected corporate holders to replace the voided volumes. This action has also initiated scrutiny against European auditing firms that verified the projects.
Research funded by the Finnish Ministry of Foreign Affairs and published in Suomen Antropologi in April 2026 details negative impacts of Tozzi Green's carbon plantation project on the Ihorombe plateau in Madagascar. The study, by Jenni Mölkänen and others, found that the project restricted zebu herders' livelihoods and that promised benefits like schools and hospitals were not delivered to all affected communities. Interviewees reported unclear consultation processes, with agreements signed in French, a language many elders did not understand. Some locals also alleged that the company, in cooperation with the state, used military presence to intimidate them into accepting the project. The Tozzi Green project, registered with Verra, began in November 2022 and is scheduled to run until November 2062.
Sylvera has published an explanation of carbon credit quantification, defining it as the process of calculating avoided or removed CO2e to determine credit issuance. The firm highlights that quantification, particularly baseline setting, is central to credit quality and a primary source of over-crediting. Sylvera states it uses an over-crediting risk framework, employing independent biome-specific deforestation modelling and machine learning with lidar and remote sensing, to assess project baselines and carbon accounting. This approach aims to identify and mitigate overestimation risks in credit generation, especially in forestry projects.
The Integrity Council for the Voluntary Carbon Market (ICVCM) approved BioCarbon Standard, Cercarbono, and Plan Vivo (PV Climate) programmes on 4 August, bringing the total number of ICVCM-approved programmes to 13. This decision raises the estimated coverage of cumulative voluntary carbon market issuances by CCP-Eligible programmes to over 95%. The approvals are conditional on specific versions of each programme's rules and protocols, and for Plan Vivo, on the use of accredited validation and verification bodies. BioCarbon Standard and Cercarbono, both Global South-led initiatives, collectively account for over 215 million issued credits. All three programmes implemented governance, transparency, and safeguard improvements during the assessment process.
The Integrity Council for the Voluntary Carbon Market (ICVCM) announced that BioCarbon Standard, Cercarbono, and Plan Vivo (PV Climate) are now 'CCP-Eligible' programmes. This decision applies to projects registered under specific versions of each standard: BioCarbon Standard v4.1+, Cercarbono v4.5.2+, and Plan Vivo Project Requirements v5.7+. With these additions, CCP-Eligible programmes are estimated to cover over 95% of cumulative voluntary carbon market issuances. The ICVCM noted that BioCarbon Cert and Cercarbono, both Global South-led initiatives, strengthened their governance and safeguards during the assessment process. BioCarbon Standard has issued over 85 million credits from 54 registered projects, representing approximately 3.5% of VCM issuances.
The World Bank's Forest Carbon Partnership Facility (FCPF) made a first payment of US$8.8 million in December 2023 for carbon credits from Madagascar's Atiala Atsinanana Emissions Reductions Programme, part of a US$50 million agreement. However, an investigation by Malina network journalist Lynda Andriatsitonta found that local communities, designated to receive 5% of carbon credit revenues, have not received their payments. The report highlights payment delays, lack of consultation, and opaque decision-making processes, with some communities unaware of the promised benefits. The programme covers 15 REDD projects across 10% of Madagascar, with 119 communes expected to benefit.
The Voluntary Carbon Markets Integrity Initiative (VCMI) and the Global Green Growth Institute (GGGI) have launched a new research initiative to explore how carbon markets can finance climate adaptation in vulnerable countries. The programme aims to identify ways for these nations to use carbon credit markets to fund adaptation plans, addressing an estimated annual finance gap of USD 310–365 billion by 2035. Findings will inform GGGI's Carbon Transaction Facility Readiness programme and VCMI's Access Strategies Program, focusing on policy options and readiness gaps for host countries. The initiative seeks to unlock new capital streams, potentially generating up to USD 50 billion if carbon credits account for a fifth of nature-based resilience solutions.
The Integrity Council for the Voluntary Carbon Market (ICVCM) published a report on 29 July 2026, detailing challenges in the oversight of Validation and Verification Bodies (VVBs). The report, from its Continuous Improvement Work Program, identifies issues such as inconsistent oversight approaches, VVB shortages, and competency requirements for assessing safeguards. It concludes that strengthening oversight requires a system-wide approach involving accreditation bodies, carbon-crediting programmes, and market participants. The ICVCM proposes ten recommendations to improve VVB oversight and enhance confidence in validation and verification systems.
Amy Merrill, CEO of the Integrity Council for the Voluntary Carbon Market (ICVCM), stated that governments in the UK, New Zealand, and the African Union are incorporating Core Carbon Principles (CCPs) eligibility into national policy. The ICVCM's 'double-tick' system assesses carbon crediting programmes at the governance level and individual methodologies on scientific merit. Credits passing both checks receive the CCP label, which has become a reference standard for high-integrity credits. National carbon crediting programmes are now also eligible for ICVCM assessment.
The Science Based Targets initiative (SBTi) updated its Corporate Net-Zero Standard v2.0, introducing Ongoing Emissions Responsibility (OER) guidelines that recognise landscape interventions as valid Scope 3 decarbonisation measures. This update elevates insetting to a standardised carbon dioxide removal requirement for land-dependent industries. Corporations like Nestlé, Danone, and Mondelēz face challenges managing land-based Scope 3 emissions, as external carbon offsets do not fulfil near-term climate targets under SBTi Forest, Land and Agriculture (FLAG) rules. Companies are deploying biochar for insetting, which sequesters carbon and enhances soil fertility, with examples including Exomad Green's field trials in Bolivia and Better Cotton's partnership with Planboo. This strategy helps companies meet SBTi carbon removal requirements and secure resilient supply chains ahead of the 2035 OER enforcement deadline.
The Voluntary Carbon Markets Integrity Initiative (VCMI) published an article on 24 July 2026, detailing how high-integrity carbon credit markets can finance climate-resilient agriculture in Africa. The VCMI suggests carbon markets can support practices that sequester millions of tonnes of CO2 annually while building resilience for vulnerable communities. This approach is presented as a catalytic solution to the climate finance gap, provided it aligns with national policy priorities like the Comprehensive Africa Agriculture Development Programme (CAADP). The EU's Carbon Removals and Carbon Farming Regulation (CRCF), adopted in December 2024, is cited as a precedent for certifying agricultural carbon removals, which could influence global investments.
The World Rainforest Movement (WRM) has released a new booklet, 'REDD and Carbon Projects: Communities on Alert', detailing the threats carbon projects pose to Indigenous Peoples and forest-dependent communities. The publication, an update to a 2012 booklet, argues that these projects fail to address climate change or deforestation, instead creating conflict and undermining food sovereignty. It provides background on carbon projects, outlines 11 'alerts' based on community experiences, and highlights actions communities have taken to oppose them. WRM asserts that carbon offsets allow corporations and governments to delay ending fossil fuel consumption while continuing polluting activities.
Biochar Today has proposed a three-tier framework to classify biochar products, aiming to improve market clarity and carbon credit integrity. The framework categorises biochar based on documentation strength, feedstock identity, production records, intended application, and carbon credit eligibility. This system seeks to provide a common language for stakeholders to understand the quality and traceability of biochar products. It is intended to complement, rather than replace, existing certification systems and carbon accounting methodologies. The initiative addresses the increasing diversity of biochar products entering the market and their varying levels of transparency.
Regreener has published a guide comparing key carbon credit standards, including Verra, Gold Standard, Plan Vivo, Puro.earth, and Isometric, for corporate buyers in 2026. The guide highlights that the choice of standard depends on the specific climate claim a company aims to make, distinguishing between avoidance and removal credits, permanence, and stakeholder reporting needs. It outlines four critical factors for evaluating standards: additionality, permanence and durability, MRV (measurement, reporting and verification), and co-benefits. The analysis notes that while Verra dominates in volume and project type breadth, its quality varies, necessitating project-level due diligence.
Carbonfuture has outlined its due diligence process for carbon removal projects, designed to enhance market transparency and project quality. The framework assesses over 100 data points and 30 proof points across nine categories, including corporate, operational, financial, and carbon accounting aspects. This process aims to provide early clarity on scientific validity, operational feasibility, and financial soundness, reducing uncertainty for buyers. Carbonfuture states that rigorous due diligence is crucial for scaling the carbon removal market by building trust and enabling capital flow to high-quality projects. The company's framework incorporates clear expectations for evidence and recurring review points to ensure transparent and repeatable assessments.
Stellar Green Co. and Sylvera have partnered to evaluate the quality of Japan's forest J-Credits against global standards. The initiative aims to provide credit-purchasing companies with a framework to understand and explain the quality of these credits to stakeholders. This collaboration does not involve publishing individual project evaluations or certifying specific credits, but rather examines Japan's forest management practices and institutional context. The move responds to increased buyer demand for transparency and accountability regarding carbon credit quality beyond mere compliance with domestic standards.
The Science Based Targets initiative (SBTi) released its Corporate Net-Zero Standard Version 2.0 (CNZS V2.0), formally embedding carbon credits into corporate net-zero strategies. Under the new standard, carbon credit use will become mandatory for large companies from 2035. The update introduces an 'Ongoing Emissions Responsibility' (OER) programme, which outlines three phases for companies to address emissions beyond their validated targets. Companies can achieve 'Engaged', 'Advanced', or 'Leadership' tiers by mitigating a percentage of ongoing Scope 1-3 emissions through contribution budgets or verified mitigation outcomes. This revision marks a shift for SBTi towards providing implementation guidance, acknowledging the challenges in absolute decarbonisation.
The Integrity Council for the Voluntary Carbon Market (ICVCM) stated that Core Carbon Principles (CCPs) and carbon credit ratings are complementary tools for market integrity. According to Sylvera data, 76% of CCP projects in 2026 received a rating of BBB or above, compared to 13% of non-CCP projects. Since mid-2024, the MSCI Global CCP Carbon Credit Price Index has maintained an average 19% premium over the broader MSCI Global Carbon Credit Price Index. MSCI data also shows retirements of credits from CCP-Approved methodologies grew by over 100% in 2025, while BeZero data indicates a doubling of 'A' or higher rated retirements since 2022.
A REDD+ Global Summit, organised by the UNFCCC secretariat, took place in Nairobi in May 2026, gathering almost 100 participants from 59 countries. The meeting aimed to discuss opportunities and challenges in accessing REDD+ finance, closing with a 'forward-looking sentiment' on accelerating progress against deforestation. Critics, including Kwami Kpondzo of Global Forest Coalition, argue the summit failed to address REDD+'s ineffectiveness in halting deforestation and its role in legitimising continued fossil fuel emissions. Discussions focused on financialisation of nature and perceived benefits of REDD+, with no mention of fossil fuels, the climate crisis, or the weak implementation of social and environmental safeguards under the Warsaw Framework.
REDD Monitor has called for Verra to refrain from verifying the Kajiado Rangelands Carbon project in Kenya, citing concerns about its developer, Mark Ritchie. Ritchie, involved in the previously suspended Northern Kenya Grassland Carbon Project, is linked to Soils for the Future and CarbonSolve, both incorporated in Delaware. The article highlights Ritchie's promotion of 'climate positive beef' and his past association with Belcampo, a meat company that faced scandal over mislabelled products and unsanitary conditions. These issues raise questions about the integrity and scientific backing of Ritchie's carbon accounting claims for the Kajiado project, which targets 1.5 million hectares of Maasai land.
The Science Based Targets initiative (SBTi) released its Corporate Net-Zero Standard V2.0, effective 1 February 2027, which mandates the use of permanent carbon removals for long-lived greenhouse gas emissions at net-zero. The standard introduces an optional 'Ongoing Emissions Responsibility' (OER) programme with three tiers (Engaged, Advanced, Leadership) to encourage early carbon removal procurement. From 2035, large companies and mid-sized companies in high-income countries face mandatory compliance, requiring 1% coverage of Scope 1-3 emissions with permanent removals, linearly increasing to 100% by their net-zero year. The new standard also clarifies the eligibility of credits with corresponding adjustments and integrates commodity certificates into target delivery. This represents a significant shift for the 11,000 companies using SBTi, codifying a 'permanence premium' and establishing a structured timeline for carbon removal procurement.
A new study published in Nature Climate Change by researchers from Nanyang Technological University and the World Bank found that most forest carbon projects have 'mixed, negligible or negative impacts' on ecological integrity. Evaluating 133 projects against control areas using five ecological indicators, the study revealed that only nine projects (8%) showed positive effects across all indicators. 19 projects (16%) demonstrated 'poorer ecological conditions than the surrounding unprotected forests'. The findings suggest that the carbon-centric design of current accounting frameworks often prioritises carbon storage over ecological integrity, with inconsistent overall performance.
The Government of Singapore, via its National Climate Change Secretariat (NCCS), and the Integrity Council for the Voluntary Carbon Market (ICVCM) signed a Cooperation Agreement on 24 June 2026. This agreement aims to strengthen collaboration on developing credible and high-integrity carbon markets, particularly in Asia. The partnership will involve joint initiatives for capacity-building, knowledge-sharing, and collaboration on carbon market developments relevant to governments, businesses, and market participants. Both organisations will also work to advance the Coalition to Grow Carbon Markets. The move reflects efforts to build interconnected carbon markets and enhance confidence in high-integrity carbon credits.
The Coalition to Grow Carbon Markets has responded to the International Organization for Standardization's (ISO) draft Net Zero Aligned Organizations Standard (ISO 14060), released this week. The draft standard outlines requirements for organisations developing and reporting on net zero pathways, including emissions reduction targets and transition plans. The Coalition's co-chairs provided their feedback on the proposed standard. This response indicates VCM stakeholders are actively engaging with emerging global standards for corporate net zero claims.
The Integrity Council (ICVCM) has released the first module of a new guidance series aimed at helping organisations navigate high-integrity carbon markets. This initial module provides an introduction to carbon markets, how credits are created and used, and explains the ICVCM's Core Carbon Principles (CCPs). It targets a wide range of participants, including policymakers, project developers, businesses, and civil society organisations. Future modules will offer tailored guidance, with the next one focusing on governments and policymakers later this year.
The UN Food and Agriculture Organisation (FAO) launched a call for inputs on 10 June 2026, inviting Indigenous Peoples to share experiences with carbon finance by 30 June 2026. FAO states this initiative responds to a call for a moratorium on carbon markets by the former UN Special Rapporteur on the Rights of Indigenous Peoples, Francisco Calí Tzay, made in April 2024. However, the FAO's call for inputs, with its 20-day submission window, aims to inform a High-Level Expert Seminar on carbon finance's implications, benefits, and risks, rather than supporting a moratorium. This seminar will contribute to 'the development of guiding principles and recommendations' on Indigenous Peoples' engagement with carbon finance. Critics argue the FAO's action whitewashes the original call for a moratorium and provides insufficient time for meaningful input.
The VCMI Executive Director, Mark Kenber, stated that the Science Based Targets initiative's (SBTi) new Corporate Net-Zero Standard Version 2.0 acknowledges the role of market-based instruments and aligns with VCMI's work on best-practice corporate carbon credit use. Kenber noted that the standard validates investment in carbon credits but falls short of creating a significant incentive for immediate investment in high-integrity projects. VCMI believes a stronger signal is needed to prevent lost opportunities for emission reduction and removal, and to prepare the market for future demands. The organisation expressed readiness to continue collaborating with SBTi to build corporate confidence in carbon market action.
The International Emissions Trading Association (IETA) welcomed the Science Based Targets initiative's (SBTi) release of version 2 of its Corporate Net Zero Standard on 11 June 2026. IETA noted the standard's increased flexibility and recognition of market-based approaches, particularly the new Ongoing Emission Responsibility (OER) programme with its three status levels: 'Engaged', 'Advanced', and 'Leadership'. While praising the inclusion of market-based instruments for addressing ongoing emissions through high-quality carbon credit retirement, IETA urged SBTi to accelerate its carbon market guidance publication from 2027 to late 2026. IETA also recommended bringing forward the mandatory phase for the OER programme from 2035 to 2030 and broadening credit use cases to include both reductions and removals.
Danny Cullenward, a Senior Fellow at the University of Pennsylvania, resigned from the Greenhouse Gas Protocol's Independent Standards Board, citing the organisation's delegation of forest carbon accounting standards to an 'industry-led working group'. Cullenward stated that the Protocol is 'openly violating its own rules' by allowing companies to use self-selected methods for forest carbon accounting after the Independent Standards Board failed to reach consensus on two proposals. This follows earlier criticism in January 2024 from environmental groups and academics regarding draft guidelines that could allow 'carbon neutral' claims for destructive products. Cullenward and another board member, Heather Keith, had previously filed a formal complaint regarding the Protocol's governance structure and lack of independent scientific representation.
Two cookstove projects, the first approved under the UN's carbon market, are significantly overestimating their climate impact, according to a Carbon Market Watch analysis. This assessment follows a previous analysis by Carbon Market Watch in April of last year, which highlighted similar overcrediting concerns regarding Clean Development Mechanism Programme of Activities 10415. The findings suggest that issues of overcrediting persist despite efforts to improve the integrity of carbon credit calculations within the UN framework.
The Livelihoods’ Mangrove Restoration project in Senegal, which has sold nearly 500,000 carbon credits, faces scrutiny over potential over-crediting and minimal community benefits. A 2017 verification report noted 25% tree cover loss in sample plots, impacting emission reduction calculations, with a subsequent report in 2021 confirming no replanting with recommended species. Critics allege the project, backed by 20 firms including Danone and Hermès, provided only 5.2% of its budget to local communities, echoing a 'colonial model'. A 2020 study also found 96% of mangrove regeneration in the area was natural, questioning the project's additionality.
Patrick Greenfield, a biodiversity reporter for The Guardian, revisited the Kasigau Corridor REDD+ project in Kenya, the first Verra-registered REDD+ initiative, two years after his reporting on VCM integrity. He found that communities previously promised long-term funding are no longer receiving it due to collapsed carbon credit prices and a shift from the VM7 to VM48 methodology. Greenfield suggests that the VCM's 'demand collapse' narrative may stem from misallocated capital rather than media criticism. He notes that conservation efforts continue but with significantly reduced financial support.
European companies purchased at least 2.6 million carbon credits from Chinese oil and gas projects that Bloomberg investigations revealed to be non-existent or lacking the necessary equipment for emissions capture. In 2023, almost 120,000 credits from China's Changqing oilfield were registered with Austrian and Polish authorities, despite BloombergNEF finding no evidence of the projects' existence during a November 2025 visit. This follows a 2024 ZDF exposure of a similar scandal where 45 Chinese projects sold fake offsets into Europe's UER scheme, leading German authorities to withdraw 2.1 million credits from 30 projects. Despite the fraud, neither the project developers nor the European companies that bought the offsets, including BP and Shell, face legal consequences.
The Integrity Council for the Voluntary Carbon Market (ICVCM) has identified that current CCP-Approved methodologies do not adequately cover all relevant project types for Southeast Asia, such as peatlands, wetlands, and improved forest management. Project developers in the region report that global rules often misalign with local ecological, regulatory, and cost realities. The ICVCM is engaging with regional stakeholders to understand these challenges and is encouraging the development and submission of new nature-based and technology-based methodologies. Sixteen CCP-Approved methodologies are currently applicable in Southeast Asia, but developers perceive limitations for key regional project types.
The Integrity Council for the Voluntary Carbon Market (ICVCM) announced its latest assessment decisions on 10 May 2026, deeming the Global Carbon Council (GCC) CCP-Eligible for projects following its Standard on ICVCM Eligibility of Projects and Issuances v1.1 or later. Verra's VCS VMR0017 v1.0 and VCS ACM0008 (Versions 6-8) methodologies received CCP-Approved (Conditional) status, while ART TREES v2.0 for HFLD and Removals requires remedial actions. Isometric's Mangrove Restoration Protocol v1.0 was CCP-Approved without conditions. This decision allows GCC methodologies to be assessed and for eligible credits to receive the CCP-label, aiming to increase methodological rigour in the VCM.
The Integrity Council's Continuous Improvement Work Program on Transition Credits published a report on 7 April 2026, outlining integrity requirements for transition credits, which aim to accelerate the early retirement of fossil-fuel power plants. The report identifies transition credits as a credible category but suggests tailored definitions and guidance are needed to ensure environmental and social integrity. Key findings emphasise the necessity of a robust 'just transition' definition and methodological clarity regarding additionality, leakage, and renewable energy pairing. These recommendations will inform future development of the Core Carbon Principles (CCP) Assessment Framework for transition crediting approaches.
The Voluntary Carbon Markets Integrity Initiative (VCMI) and the Clean Cooking Alliance (CCA) launched a guide on 30 March 2026, detailing how regulators can use 'regulatory sandboxes' to test carbon market innovations. Titled 'Regulatory Sandbox to Support Carbon Markets: A How-To Guide for Regulators and Policymakers on Testing Carbon Market Innovations', the document was released in Lagos, Nigeria, with support from FSD Africa. The guide aims to help governments trial regulatory approaches for carbon finance in a controlled environment before formal implementation. It offers a framework for designing and implementing sandboxes to balance financial innovation, environmental integrity, and investor protection.
The Integrity Council for the Voluntary Carbon Market (ICVCM) published a report on 17 March 2026, detailing recommendations from its Continuous Improvement Work Programme (CIWP) on Market Transparency, Scalability and Standardisation. The report advocates for stronger, interoperable market infrastructure, improved transparency in pricing and benefit-sharing, and consistent risk and financial classification frameworks. These measures aim to attract institutional capital and scale high-integrity carbon markets. The findings will inform future refinements to the Core Carbon Principles (CCP) Assessment Framework and guide other market actors.
The Voluntary Carbon Markets Integrity Initiative (VCMI) released a playbook on 26 February outlining nine priority actions to address the shortage of Africa-based validation and verification bodies (VVBs) in the continent's carbon market. The report, commissioned by VCMI and GIZ, notes that over 90 per cent of carbon project verification activities in Africa rely on international VVBs, causing 10-50 per cent of project delays and cost overruns. Strengthening Africa's VVB ecosystem could unlock approximately USD $1 billion in economic benefits over five years and reduce greenwashing risks. Africa issued 12.2 million carbon credits in 2024, representing 11 per cent of global issuance, but has only tapped two per cent of its maximum capacity. The playbook calls for a phased approach, from rapid deployment of Africa-based auditors to establishing durable VVB institutions.
The VCMI's Executive Director, Mark Kenber, stated that carbon credit markets, particularly under Article 6 of the Paris Agreement, can facilitate plurilateral cooperation in 2026. He noted that over 70% of Nationally Determined Contributions signal an intention to use Article 6, with improving enabling conditions such as price premiums for ICVCM-aligned credits and finalisation of Article 6.4 eligibility rules. Kenber highlighted renewed demand signals, citing Microsoft's purchase of over 25 million carbon removal credits and research indicating 90% of existing buyers plan to continue purchasing. He emphasised that clarity and consistency are essential to convert this momentum into durable impact, with 2026 expected to bring further convergence through updated standards from SBTi, ISO, and the Greenhouse Gas Protocol. The VCMI will continue to work with governments and partners to support the high-integrity use of carbon credits.
The Science Based Targets initiative (SBTi) released version 2.0 of its Corporate Net-Zero Standard on 11 June, introducing an 'Ongoing Emissions Responsibility' (OER) framework that integrates carbon credits into corporate climate strategies. This framework establishes three tiers of recognition for companies purchasing credits, ranging from covering 1% of their footprint to pricing all emissions at $80 per tonne. From 2035, the standard mandates carbon dioxide removal (CDR) for large and medium-sized companies in high-income countries, starting at 1% of ongoing emissions and increasing to 100% by their net-zero year. The Coalition to Grow Carbon Markets, comprising ten countries, welcomed the update, stating it signals carbon credits as a 'valued part of credible climate strategies'. The standard requires credits used under the OER framework to avoid double counting within corporate ledgers, and recommends against co-claiming with government Nationally Determined Contributions.
Gold Standard has labelled its first Core Carbon Principles (CCP) eligible credits from clean cooking methodologies, encompassing four projects in Kenya, Togo, Nigeria, and Mongolia. These projects, certified under Gold Standard for the Global Goals, deliver verified contributions across multiple Sustainable Development Goals. This recognition follows Gold Standard's methodologies being accepted by ICVCM without requiring updates, affirming the robustness of its existing rules. The CCP-labelled credits enhance market access for developers, complementing Gold Standard's recent approval to supply credits for CORSIA Phase 2. Further cookstove projects are expected to receive CCP labels in the coming weeks.
The Voluntary Carbon Markets Integrity Initiative (VCMI) launched a new guide on 20 November in Belém for developing high-integrity carbon projects in the Brazilian Amazon. Produced with the state governments of Acre and Rondônia, the guide outlines best practices for ensuring credibility and sustainability in carbon finance projects within the region. It aims to support quality nature-based solutions that attract higher prices and generate more finance for forest-based communities. The guide also provides direction on engaging with the Brazilian Emissions Trading System and resolutions of Brazil's National Commission for REDD+, and emphasises land rights and free, prior, and informed consent (FPIC) for Indigenous Peoples and Traditional Communities.
The Voluntary Carbon Markets Integrity Initiative (VCMI) and the Climate Vulnerable Forum (CVF-V20) announced an expanded partnership for the Carbon Finance Programme, aiming to help climate-vulnerable nations access high-integrity carbon markets. Launched in June 2024, the programme supports CVF-V20 members in leveraging carbon markets to finance their Climate Prosperity Plans. This collaboration seeks to unlock an additional US$20 billion annually for V20 countries by enabling them to host high-integrity carbon projects. The programme, which has already provided guidance in Benin and Kenya, will now scale to reach more countries and broaden technical support through 2028. The announcement was made during the 2025 Annual Meetings of the World Bank Group and the International Monetary Fund.
Eleven governments, including Canada, France, Kenya, and the UK, endorsed shared principles for corporate use of high-integrity carbon credits at COP30 on 17 November 2025. This initiative, launched by the Coalition to Grow Carbon Markets, aims to unlock capital for development and support climate goals. Initially formed by Kenya, Singapore, and the UK on 24 June 2025, the coalition expanded to include France and Panama by 4 November 2025. Germany, Indonesia, the Netherlands, and South Africa also welcomed the principles, which seek to aggregate carbon credit demand and drive private investment.
The International Carbon Registry (ICR) and carbon insurance company Kita published a joint article advocating for the integration of insurance within the Voluntary Carbon Market (VCM) 2.0. They argue that insurance can mitigate risks such as project underperformance, fraud, and natural catastrophes, thereby enhancing market integrity and stakeholder confidence. The collaboration aims to deploy insurance policies more widely, complementing GHG programmes in assessing and monitoring project quality. This initiative seeks to provide greater security for VCM stakeholders by addressing challenges in quantifying and auditing climate project effectiveness.