Verra has published VMR0017 Grid-connected Electricity Generation from Renewable Sources (ACM0002 Revision), v1.0 in the Verified Carbon Standard (VCS) Program. This constitutes a major revision to the Clean Development Mechanism (CDM) methodology ACM0002 Grid-connected Electricity Generation from Renewable Sources, which applies to grid-connected renewable energy generation project activities.

VMR0017 broadens the geographical applicability of the underlying ACM0002 methodology, promoting the installation of renewable energy technologies in regions where carbon finance can help bridge the viability gap and stimulate greater market penetration, thereby catalyzing the clean energy transition.

VMR0017 includes the following updates:

  • Expanded geographic eligibility of project activities involving a wind power plant/unit (both onshore and offshore), a geothermal power plant/unit, or a terrestrial solar power plant/unit to countries classified as a low-income, lower-middle-income, or upper-middle-income economy by the World Bank
  • New provisions to determine (1) project emissions due to the release of high Global Warming Potential (GWP) agents in Battery Energy Storage Systems (BESS) fire suppression systems and (2) leakage due to embodied emissions (emissions due to construction, operation, and decommissioning of a power plant)
  • The replacement of CDM tools with the corresponding VCS tools, as follows:
    • TOOL01 Tool for the Demonstration and Assessment of Additionality is replaced with VT0008 Additionality Assessment
    • TOOL02 Combined Tool to Identify the Baseline Scenario and Demonstrate Additionality is replaced with VT0009 Combined Baseline and Additionality Assessment
    • TOOL05 Baseline, Project and/or Leakage Emissions from Electricity Consumption and Monitoring of Electricity Generation is replaced with VT0010 Emissions from Electricity Consumption and Generation
    • TOOL07 Tool to Calculate the Emission Factor for an Electricity System is replaced with VT0011 Electricity System Emission Factors
  • New key requirements related to ownership and siting for projects integrating BESS with a power plant
  • Updated source of data and the value applied for the parameter “Default emission factor for emissions from reservoirs” (EFRES) in line with the latest available information and science

This methodology revision must be used together with ACM0002, v22.0, i.e., the procedures and requirements of ACM0002, v22.0 must be applied unless indicated otherwise in VMR0017, v1.0.

Implications for VCS Projects

  • Projects that request registration on the Verra Registry on or after January 1, 2027, must apply VMR0017, v1.0 in full, i.e., including its eligibility requirements.
  • For grouped projects registered using ACM0002 or AMS-I.D., new project activity instances added to the project on or after January 1, 2027, as part of a verification approval request must meet all applicability conditions in VMR0017, v1.0. Such grouped projects must fully adopt VMR0017, v1.0 to include new instances.
  • ACM0002 and AMS-I.D. will be inactivated as standalone methodologies in the VCS Program on January 1, 2027.
  • Projects that use ACM0002, v22.0 and AMS-I.D., v18.0 and that meet the eligibility requirements in Table 1 of the VCS Standard, v4.7 may submit the following types of requests until December 31, 2026:
    • Registration
    • Crediting period renewal
    • Verification approval where the verification includes a methodology change through a project description deviation
    • Requantification
  • Projects that meet the submission deadlines above may continue to apply ACM0002, v22.0 or AMS-I.D., v18.0 for the remainder of their crediting period. These projects must update to an active version of VMR0017 at their next crediting period renewal.
  • Registered projects and project activity instances approved under ACM0002 or AMS-I.D. remain eligible for crediting period renewals and retain their original maximum crediting period after transitioning to VMR0017. Such projects must update to an active version of VMR0017 at their next crediting period renewal submitted on or after January 1, 2027.
  • Registered projects using ACM0002 or AMS-I.D. may update to VMR0017, v1.0 during their crediting period using one of the following:
  • Project proponents seeking to register a project with the VCS Program that is registered or was previously registered with another greenhouse gas crediting program must demonstrate conformance with the VCS Program rules and requirements. Such projects must apply VMR0017, v.1.0 and meet the eligibility requirements in Table 1 of VMR0017, v1.0.
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