Verra has implemented a new market label vetting process and is opening a public consultation on labels that may be of interest to the market and stakeholders, especially with respect to recent decisions under the UNFCCC on Article 6 of the Paris Agreement. The need to identify VCUs with specific characteristics is also likely to be highlighted in the Core Carbon Principles being developed by the Integrity Council for Voluntary Carbon Markets (IC-VCM) (external site).
VCU labels indicate that a VCU meets the requirements of other (non-VCS) standards programs or is eligible to be traded in specific markets. The label stays with a given unit through its retirement. Due to increased demand from stakeholders to differentiate VCUs that meet unique market or investment needs, Verra has developed a process to vet new VCU market labels to ensure that they benefit project investors while enabling the fungibility of the respective VCU. (Learn more about Verra’s market label vetting process.)
Under this new process, Verra is launching a consultation on the following labels (PDF):
- Type of mitigation outcome: reductions and removals
- Activity type: nature-based and technological/industrial
- Authorization for Article 6 purposes: indicating authorization by host governments for use toward an NDC, a CORSIA offsetting requirement, or (optionally) a voluntary carbon market target
- Sustainable development benefits: indicating the SDGs to which the VCU contributes
Feedback on these labels will also inform Verra’s inputs on the IC-VCM requirements process.
On 13 July at 11 am EDT, Verra hosted a webinar to provide an overview of the new market label vetting process as well as the public consultation.