Verra's VM0051 AWD Methodology Approved by CORSIA

This article is an automatically translated version of the original Japanese article. Please refer to the Japanese version for the most accurate information.

Topic: Verra's Rice Methodology Approved under CORSIA (Link)

Summary

The International Civil Aviation Organization (ICAO) has approved Carbon Credits under Verra's Improved Rice Management Methodology (VM0051) as eligible units for Phases 1 and 2 of CORSIA, the carbon offsetting scheme for international aviation. This makes Credits issued from Methane Emission Reduction projects in rice cultivation in developing countries available for airlines to meet their emissions offsetting obligations.

For a discussion on the impact on JCM and other related topics, please refer to further below in this newsletter.

Key Points

1. Approval for CORSIA Phases 1 and 2

Based on the recommendation of ICAO's Technical Advisory Body (TAB), Verra's Methodology "VM0051" has been approved for CORSIA Phase 1 (2024–2026) and Phase 2 (2027–2029). The approval applies to projects located in "REDD+ countries," which effectively refers to developing countries, and that have obtained the necessary approval from the host country government.

2. Innovative Nature of Methodology "VM0051"

Published in early 2025, "VM0051 (Improved Management in Rice Production Systems, v1.0)" replaces the legacy Clean Development Mechanism (CDM) Methodology AMS-III.AU. It quantifies Greenhouse Gas (GHG) Emission Reductions (primarily Methane) through water and crop management techniques such as Alternate Wetting and Drying (AWD), utilizes Remote Sensing and Digital MRV (dMRV) to reduce data Uncertainty, and strengthens the demonstration of Additionality.

3. Supply Potential of 1.73 Million Credits Per Year

Currently, Verra's Registry includes 8 projects applying VM0051. These Project Developer initiatives are expected to result in the Issuance of an estimated 1.73 million tonnes of Carbon Credits annually, anticipating a new supply source for the market.

However, please note that this figure represents all projects Registered under VM0051 and does not necessarily mean that they meet the requirements for Corresponding Adjustment or the requirements for developing countries.

Background and Context

CORSIA is a global scheme within the compliance market designed to curb Greenhouse Gas emissions from the international aviation sector, requiring airlines to purchase and Retirement/Cancellation eligible Carbon Credits that meet its requirements.
Rice cultivation is a major source of Methane emissions in the agricultural sector. The previously applied legacy Clean Development Mechanism (CDM) Methodology "AMS-III.AU" had been invalidated by Verra due to issues such as Uncertainty, creating a demand for new, high-quality standards. The fact that Verra's stringent new Methodology "VM0051" has cleared ICAO's requirements is a significant milestone that enhances market confidence in Emission Reductions achieved through Nature-based Solutions (NbS) and deepens the collaboration between the Voluntary Carbon Market (VCM) and compliance markets.

Detailed Analysis

Details of the approved Methodology and eligibility requirements are as follows:

To supply Credits Issued from projects for CORSIA, host country approval under Paris Agreement Article 6 and Corresponding Adjustment (CA) to prevent Double Counting are indispensable. Buyer airlines can fulfill their compliance obligations by purchasing Credits that meet these conditions.

Related Developments

In response to the wave of market integration, Verra updated its guidance documents on "CORSIA Labels" and "Paris Agreement Article 6 Labels" in early April 2026, simplifying the process for stakeholders to apply for labels more smoothly. Further revisions reflecting the recent VM0051 approval are also planned in the near future.
Furthermore, Verra plans to host a webinar titled "PACM, Article 6.2, CORSIA—Oh My!" on April 29, where it will explain its strategies for the convergence of the Voluntary Carbon Market (VCM) and compliance markets, and initiatives to accelerate Pipeline review.

Conclusion

• ICAO's Technical Advisory Body (TAB) has approved Verra's rice Methodology (VM0051) as eligible Credits for CORSIA Phases 1 and 2.
• The eligible projects are in developing countries, and host country government approval (Corresponding Adjustment) is a mandatory requirement.
• The Methodology offers high Co-benefits, including improved resource efficiency and farmer support, in addition to Methane Emission Reductions.
• Currently, 8 projects are in the Registration process, with an estimated Issuance of approximately 1.73 million Credits annually.
• The integration of the Voluntary Carbon Market (VCM) and compliance schemes such as CORSIA is accelerating, and Verra is developing label systems to accommodate this trend.

Our Interpretation and Discussion Points

AWD is an activity also expected to be a source of JCM Credits. Previously, JCM was in a relatively advantageous position because AWD was not eligible for CORSIA (meaning that for Project Developers, a strategy with JCM as the exit was rational).

Now that AWD has become CORSIA-eligible, Project Developers have a choice: to aim for project development under JCM or to aim for project development under CORSIA.

VM0051 represents an improvement over previous CDM-based Methodologies from two perspectives: "rigor in Emission Reduction quantification" and "utility in field operations." Additionally, as we will introduce in another article, Isometric recently published a draft AWD Methodology. Isometric is thoroughly digitalizing its processes, thereby shortening the lead time for Credit Issuance. For JCM to be the preferred mechanism/Methodology for Project Developers, further improvements in its systems and operations will become increasingly important, and our company intends to contribute to this.

For more details on VM0051, please refer to the following article:
https://www.sustainacraft.com/202503-methodology-updates-1n/

Related Information

Our company is advancing discussions with Regrow Inc. and ATOA Carbon, the proponent of VM0051, towards building a model-based Methodology for JCM to quantify Emission Reductions from AWD activities, which is permitted for use under VM0051 (link). If you are interested, please contact us via our contact form.

References

• Verra’s Rice Methodology Approved under CORSIA - Verra, April 16, 2026
• Verra rice methodology approved for first two CORSIA phases - Carbon Pulse, April 16, 2026
• “PACM, Article 6.2, CORSIA—Oh My!” April 2026 Stakeholder Update Webinar - Verra, April 13, 2026
• CORSIA Eligible Emissions Unit Programme Change Notification Form - ICAO