New York – September 25, 2024 | Today, Verra, the nonprofit that serves as the leading standards-setter for the carbon markets, and SustainCERT, a leading global carbon impact verification organization, announced the signing of a groundbreaking Memorandum of Understanding (MOU) to accelerate credible corporate Scope 3 action. The collaboration will leverage Verra’s Scope 3 Standard (S3S) Program and SustainCERT’s auditing capabilities and leading work on enabling companies to credibly report, track, and co-claim impact of interventions to significantly scale Scope 3 action.
Scope 3 emissions often represent the majority of a company’s emissions and are therefore critical to reduce. However, the lack of clarity around the regulatory landscape and limited commercial incentives to invest in value chain decarbonization are among the key challenges preventing corporates from taking action at scale.
Under the agreement, the partners will collaborate to overcome barriers to scale credible corporate Scope 3 action. Specifically, Verra will rely on its concepts and approaches developed through the Verra Scope 3 Initiative, while SustainCERT will contribute key concepts and approaches developed since the launch of its value chain services.
The MOU includes the following key components::
- Verra and SustainCERT will collaborate on standardizing terminology and definitions in the space and provide clarity for corporates to take action
- Verra and SustainCERT will work together on communications to build momentum and trust for credible Scope 3 climate action
- Verra and SustainCERT will create an interface between Verra’s Registry and SustainCERT’s VIVID Platform and unlock inventory claims in line with international standards
“It is critical we find a way to unlock that investment in Scope 3 actions together, because otherwise, we will be seeing companies delaying or withdrawing investments in climate action. Our commitment to aligning with leading organizations in the corporate accounting and reporting ecosystem remains. By working together, we can accelerate collective climate action and achieve more significant results for people and the planet.”
“It’s clear that despite the best intentions of many businesses, the global framework to incentivize action is not up to the task. Companies need clearer guidance, meaningful regulations, and help in making the business case for a drastic reduction in emissions,” Marion Verles, CEO of SustainCERT, added. “We are honored to deepen our partnership with Verra and contribute with the insights and expertise we developed through our Scope 3 work over the years. This is a big step towards scaling Scope 3 action and fostering collaboration among corporates and value chain partners, to unlock the scale necessary for meaningful change. Businesses need clarity on how to scale up action and commercial incentives to help explain why systemic change is necessary.”
For the last 2.5 years, Verra has been researching, designing, and developing the S3S Program. It will unlock immediate and large-scale investment in climate action by creating an actionable pathway for companies to certify value chain interventions and claim those units against public targets. By bringing credibility and transparency to value chain accounting, there is an opportunity to de-risk investment in supply chain climate action and scale interventions across shared supply chain emissions. If companies cannot see a way to achieve their science-based targets, there is a real risk that companies renege on their commitments at the expense of significant climate action and achievement of net zero goals – the S3S Program is an integral component to solving this challenge.
Contact for media inquiries:
Jeremy Warren, Senior Manager, Media Relations
jwarren@verra.org | +1-512-851-9133
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Verra is a global leader helping to tackle the world’s most intractable environmental and social challenges. As a mission-driven nonprofit organization, Verra is committed to helping reduce greenhouse gas emissions, improve livelihoods and protect natural resources by working with the private and public sectors. We support climate action and sustainable development with standards, tools and programs that credibly, transparently and robustly assess environmental and social impacts and enable funding for sustaining and scaling up projects that verifiably deliver these benefits.
SustainCERT is a leading verifier of climate impact, offering validation and verification services for carbon markets and value chains. Combining climate expertise with advanced digital verification technology, SustainCERT ensures credible climate action. Founded in 2018 by Gold Standard, SustainCERT operates independently and aligns with key international sustainability frameworks like the Greenhouse Gas Protocol, the UN Sustainable Development Goals, and the Science Based Targets Initiative (SBTi).