Leaders Commit to Regional Cooperation on Carbon Pricing in the Americas

Leaders Commit to Regional Cooperation on Carbon Pricing in the Americas

on the occasion of the One Planet Summit, government leaders of Canada, Chile, Colombia, Costa Rica, México, the Governors of California and Washington, and the Premiers of Alberta, British Columbia, Nova Scotia, Ontario and Quebec launched the Carbon Pricing in the Americas cooperative framework.  

Verified Carbon Standard (VCS) joins CPLC

Verified Carbon Standard (VCS) joins CPLC

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At the Verified Carbon Standard (VCS), we’ve been watching the advances of the CPLC with interest and are thrilled to join the community of climate leaders that this unique initiative brings together. We believe that now, more than ever, is a pivotal time to put a price on carbon and transform the global economy from one of unsustainable business as usual to one that is sustainable for people and the planet. As an organization, we develop and manage a number of certification frameworks to promote sustainability, including the VCS Program, the leading GHG crediting program in the voluntary carbon market. Active since 2007, the VCS Program has certified more than 1,400 projects that have collectively reduced or removed more than 230 million tonnes of GHG emissions from the atmosphere. We have also pioneered tools and approaches that have brought land-based activities, including REDD+, into the carbon markets.

VCS is excited to bring our long-standing expertise in running a greenhouse gas (GHG) crediting program and all that that entails (i.e., developing accounting methodologies, ensuring independent auditing, setting up transparent registries) to help shape the carbon pricing mechanisms of the future. Our work with governments and recent developments around carbon pricing suggest that carbon pricing mechanisms are starting to embrace an “open architecture” approach where various GHG crediting programs could help to provide the infrastructure needed to deliver emission reductions at scale. In California, we are one of three GHG crediting programs that help the state in the implementation of their landmark cap-and-trade program. In Colombia, VCS projects and the units they issue (Verified Carbon Units, or VCUs) have been recognized for use against the country’s recently implemented carbon tax. South Africa is considering a similar system, and  the Carbon Offsetting Scheme for International Aviation (CORSIA) is considering recognizing GHG crediting programs that meet pre-determined criteria.

An open architecture approach to carbon pricing builds on the expertise and experience of current market players, rather than reinventing the wheel. We’ve already learned through trial and error that no one program or scheme can deliver the emission reductions we need to keep us at, let alone below, 2°C. The existing carbon market provides a great example of the benefit of diverse solutions, with each certification provider offering expertise that allows more types of projects to benefit from carbon pricing, be they forest conservation, windmills or cookstoves. In short, an open architecture approach taps into what is already working, and it means governments can get started with carbon pricing relatively quickly because the infrastructure and expertise already exists.

We are proud to join the Carbon Pricing Leadership Coalition and to apply our experience and expertise in voluntary and compliance carbon markets and jurisdictional-level carbon accounting to promoting a price on carbon.  We look forward to working with all of the members to secure strong carbon pricing around the world.

 

Banks Explore Challenges Decarbonization Poses to Ship Finance

Banks Explore Challenges Decarbonization Poses to Ship Finance

London, November 8, 2017—At a Global Maritime Forum roundtable in London yesterday, the Carbon Pricing Leadership Coalition and global NGO Carbon War Room, worked with shipping leads from major global financial institutions to explore the challenges of decarbonization for ship financing.

With the launch of the report Preparing shipping banks for climate change: How can internal carbon pricing help ship-financing banks in risk management?,  the two organisations called for shipping’s financial institutions to begin analysing and managing the risks created by the shipping industry’s imminent decarbonisation. 

Lessons from first campus carbon-pricing scheme

Lessons from first campus carbon-pricing scheme

Putting a value on emissions can lower energy use, write Kenneth Gillingham, Stefano Carattini and Daniel Esty. In July, Yale became the first university to launch a carbon-price programme across its campus. More than 250 buildings, together accounting for nearly 70% of the institution's emissions, will be charged US$40 per tonne of carbon dioxide that they emit as a result of energy use. Buildings that reduce their emissions more than the average will receive a share of the funds collected.

More Countries Are Putting a Price on Carbon But Stronger Action Is Needed to Meet Paris Targets: New World Bank Report

More Countries Are Putting a Price on Carbon But Stronger Action Is Needed to Meet Paris Targets: New World Bank Report

Washington, DC, November 1, 2017 — More and more countries and sub-national jurisdictions are putting a price on carbon but the level of action must ramp up significantly to help the world meet its Paris Agreement targets, says a new World Bank report.

Launched just ahead of the UNFCCC’s Climate COP23 in Bonn, the annual review: State and Trends of Carbon Pricing 2017, presents good and not-so-good news.

Enabling Collaborative Action on Carbon Pricing in Africa

Enabling Collaborative Action on Carbon Pricing in Africa

A consultative dialogue was organized by the Carbon Pricing Leadership Coalition (CPLC) in collaboration with the African Development Bank, the UNFCCC and the German Ministry of Environment on Oct 5-6, 2017, to discuss the role and potential for carbon pricing instruments in African economies. It gathered about 25 public and private sector experts from various African countries, including Benin, Cameroon, Democratic Republic of Congo, Cote d’Ivoire, Ethiopia, Kenya, Senegal, South Africa, Zambia, and Zimbabwe.

More than eight-fold leap over four years in global companies pricing carbon into business plans

More than eight-fold leap over four years in global companies pricing carbon into business plans

Putting a price on carbon is becoming the new normal for major multinationals with almost 1,400 companies1 factoring an internal carbon price into business plans. This represents an eight-fold leap in take up in the last four years, compared to just 150 companies in 2014, and includes more than 100 Fortune Global 500 companies with collective annual revenues of US$7 trillion

Industry-led Task Force Pushes for Decarbonization of Maritime Industry

Industry-led Task Force Pushes for Decarbonization of Maritime Industry

Global Maritime Forum, Carbon War Room, the Carbon Pricing Leadership Coalition (CPLC), and University College London (UCL) today announced the launch of a Task Force on Decarbonizing Shipping. This industry-led initiative will develop tangible pathways for shipping’s decarbonization through five working groups, each focussed on a key area of the industry. Outcomes of the task force will be presented at the Global Maritime Forum’s inaugural summit in October 2018.

Calling for Business Perspectives – Survey on Carbon Pricing Revenues

Calling for Business Perspectives – Survey on Carbon Pricing Revenues

 

The Generation Foundation has teamed up with Ecofys in a research partnership, the Carbon Pricing Unlocked partnership (CPU), to tackle carbon pricing from new and diverse angles.

With this survey, the CPU team would like to get companies’ views on different approaches to use revenues generated by carbon pricing mechanisms, i.e. carbon taxes and Emissions Trading Systems (ETS). As with any policy based instrument, acceptance and support by entities covered by the policy is critical for the success and sustainability of the policy. The appropriate use of revenues from carbon taxes and Emission Trading Systems (ETS) that would be supported by covered entities and result in increased emission reductions could help to greatly increase global ambition on climate action.

Therefore, the CPU team is seeking to identify the relationship between how revenues from carbon pricing mechanisms are used and the acceptability of different revenue recycling approaches to covered entities in one of the work streams of the partnership.  They would like to test their conclusions and considerations on the impacts of various revenues recycling approaches established through the literature and case studies through a wide reaching online survey. The results of this survey will help them understand how businesses see climate policy and carbon revenue use impacts. They are also interested in identifying preferences for carbon revenue use in different economic contexts. Their findings will be published in a report at the UN Climate Change Conference in Bonn in November 2017.

You will need approximately 10-15 min to complete the survey.

The survey is available here until 15 September 2017: https://s.chkmkt.com/?e=90852&h=2322A39A463A01D&l=en

Find out more about the Carbon Pricing Unlocked Partnership, the Generation Foundation and Ecofys.

UNFCCC & CTX ‘Climate Finance’ Link Goes Live!

UNFCCC & CTX ‘Climate Finance’ Link Goes Live!

Making Use of UN-Certified Offsets

(CTX) has begun listing UNFCCC Clean Development Mechanism (CDM) certified emission reduction (CER) credits on its global voluntary exchange. Engaged with a global audience for almost a decade in the fight against climate change, CTX encourages and facilitates the purchase and retirement by businesses and brokers of carbon credits from many hundreds of projects worldwide.

Climate finance is a multi-billion-dollar solution to funding projects that reduce or sequester CO2 and other greenhouse gas emissions. For example, the World Bank provides over USD 10 billion each year to projects that increase resilience to climate change and is a major supporter of the UN CDM process.

Now any company, from small business to large corporation, can add UN CERs to build an offset portfolio online; perform full due diligence online; demonstrate competitive, transparent pricing; and purchase securely in real time with zero delivery risk.

Wayne Sharpe, CEO and Founder of CTX said: “Since its launch CTX has facilitated millions of tonnes of offset purchases certified by the major international carbon standards. Many businesses wish to offset using UN certified credits but have lacked the confidence to do so via the opaque and sometimes ‘dark over the counter’ market.”

“Surely a company wanting to offset can’t be happy paying up to 10 times more because the OTC broker has a ‘good story’? We’re delighted that CTX will address this and help to grow the market for transparent, cost effective climate finance and carbon neutrality, either directly or via credible contracted CTX brokers.”

UNFCCC senior executive Niclas Svenningsen said: “The CTX agreement will provide a new, global and much needed distribution outlet for project originators and developers under the United Nations Clean Development Mechanism – CDM – to sell and monetize their CERs.”

In support of this new strategic partnership, until 31 October 2017 the CTX platform is free to join and corporate clients need no registry account to trade UN CERs, 24/7 via any Internet connection, with fully secure, fast, efficient, low-cost clearance and settlement.

Most exciting is that for project originators (sellers) fees are only 2 per cent, meaning buyers know that the projects they buy from receive 98 per cent of the proceeds of sale.

Under the Clean Development Mechanism, projects in developing countries earn a saleable credit for each tonne of greenhouse gas they reduce or avoid. The incentive has led to the registration of more than 8,000 projects and programmes in 111 countries and the issuance of more than 1.8 billion CERs.