Monthly: VCM Updates (May)
This article is an automatically translated version of the original Japanese article. Please refer to the Japanese version for the most accurate information.
This is Sustainacraft Inc.'s newsletter. This edition is a Monthly VCM Update, focusing on topics primarily announced in April 2023 concerning the Voluntary Carbon Market and international regulations.
Introduction
We recently announced a product release (for details, please refer to our press release and Nikkei newspaper article). For more information or demo requests, please contact us via our website.
Furthermore, in conjunction with the launch of our service, we will hold a webinar explaining recent trends in the Voluntary Carbon Market and methodologies, as well as an overview of our service and use cases. If you are interested, please register here and join us.
Monthly VCM Update
This month's update covers the following revisions:
A. Voluntary Carbon Credit Market Trends
B. Trends in Major International Regulations
- Federal Trade Commission: Green Guides Review
- EU Deforestation Free Product Law
- Energy Transition Accelerator
A. Voluntary Carbon Credit Market Trends (Verra)
In April 2023, for Verra Voluntary Carbon Credits, 17,073,244 units were newly Issued, and 9,921,802 units were Retired. This represents an increase of +11% and +57% respectively compared to the same month last year.
Limiting to the AFOLU (Agriculture, Forestry and Other Land Use) sector, 15,246,677 units were Issued, and 3,081,472 units were Retired. This shows an increase of +172% and +71% respectively compared to the same month last year.
Here is a list of projects Retired in April 2023 (AFOLU sector only). The top 20 projects accounted for 80% of total Retirements. By country, Brazil was the largest (26%), followed by Indonesia (18%), Kenya (17%), Peru (10%), and Cambodia (7%).
The top 20 companies that Retired Verra AFOLU sector Carbon Credits are as follows: Companies from the Energy, Consumer Goods, Consulting, and Financial Institute industries performed Retirements. Interface, ranked third, is a US company that deals in floor coverings. They have obtained PAS 2060, a corporate carbon neutral certification, and provide carbon-neutral flooring.
B. Trends in Major International Regulations
This section reports on updates regarding important regulations concerning the use and quality of Voluntary Carbon Credits, and the protection of forest and natural resources.