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Olivier Levallois 🌏Olivier Levallois 🌏 • 1st • 1stHelping you navigate the CARBON MARKETS since 2009Helping you navigate the CARBON MARKETS since 200915h • 15 hours ago

🌍✈️ A Major Milestone for Carbon Markets in Aviation!

The International Civil Aviation Organization (ICAO) has published crucial eligibility criteria for carbon registries under CORSIA, its decarbonization program for global aviation.

This marks a pivotal step forward, offering clarity to market participants and setting the stage for significant demand in carbon offsets through 2026.

What’s new?
In addition to the already approved American Carbon Registry (ACR) and Architecture for REDD+ Transactions (ART), ICAO’s Technical Advisory Body (TAB) has added 4 new standards:
👉 Verra‘s VCS
👉 Gold Standard (GS)
👉 Climate Action Reserve (CAR)
👉 Global Carbon Council (GCC)

The recently published detailed criteria clarify what projects & methodologies are eligible for CORSIA’s first phase.

However, two-thirds of projects with Letters of Approval (LoAs) are now considered ineligible. These are primarily cookstove projects registered under the VCS, leaving airlines with very limited offset options.

Key Insights:
👍 Nature-based exclusions: GS, VCS, CAR, and GCC have all been assigned specific limitations, with some projects (like project-level REDD+ methodologies) ineligible.
👍 Transition challenges: many projects must update or change methodologies to remain eligible, underscoring the dynamic nature of compliance standards.
👍 Carbon removal focus: projects like soil carbon and improved forest management are gaining recognition, aligning with global carbon neutrality goals.

This update is a game-changer for stakeholders navigating the aviation carbon market, yet it also raises questions about how effectively eligible projects can meet demand.

💡Are these new criteria an opportunity or a bottleneck for scaling impactful carbon projects?

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