Presenting CP Daily, Carbon Pulse’s free newsletter. It’s a daily summary of our news plus bite-sized updates from around the world. Subscribe here
TOP STORY
ICVCM gets tough about additionality in renewable energy voluntary carbon methodologies
Nearly one third of credits will not be able to use the Integrity Council for the Voluntary Carbon Market (ICVCM)’s Core Carbon Principles (CCPs) label, the standard-setting body said Tuesday, while allowing one more methane methodology into the high-integrity category.
VOLUNTARY
ICVCM ruling deals major blow to LATAM voluntary carbon credits
The Integrity Council for the Voluntary Carbon Market (ICVCM) barred several methodologies from its integrity stamp on Tuesday, rejecting a renewable energy methodology responsible for a substantial proportion of Latin American credit supply.
Verra to publish integrity label guidance for voluntary carbon projects by end of quarter
Voluntary carbon standard Verra confirmed it plans to release guidance for projects on the Core Carbon Principles (CCPs) by the end of the quarter, after the Integrity Council for the Voluntary Carbon Market (ICVCM) published its latest eligibility decision on methodologies that saw nearly one-third of the market blocked from the high-integrity stamp.
CCS project pipeline ramping up globally, but a lot more cash needed -report
In order to meet announced targets, the global carbon capture, utilisation, and storage (CCUS) industry will need $160 billion in investment by the end of this decade, with Europe and China leading the storage race.
REDD+ carbon projects bring moderate yet significant impact, study finds
Public and private REDD+ carbon initiatives have modest yet significant impacts on forest conservation, with considerable variation in outcomes across different projects, according to new meta-analysis.
Scientists hope to create a vaccine to cut methane emissions from cattle
A scientific consortium will conduct a three-year study in search of a proof-of-concept vaccine that can decrease methane emissions in cattle.
Over half of agricultural land could boost tree carbon while maintaining yield -study
Some 54% of agricultural land globally has potential to increase carbon sequestration through tree planting while maintaining crop and livestock yields, leading to additional carbon storage of 3.3 billion tonnes of CO2 per year, a study has found.
Carbon offset provider launches new high permanence CDR programme
A voluntary carbon offset provider has introduced a new CO2 removal (CDR) programme to finance high permanence removal technologies.
New independent body aims to set tough standards for carbon removal
A new initiative launched on Tuesday aiming to create and maintain rigorous standards for the carbon removal (CDR) industry.
EMEA
Replacing Norwegian oil and gas with int’l imports would create hundreds of millions of EU emissions
Replacing future Norwegian oil and gas production with equivalent imports from other regions would increase emissions by 230 million tonnes of CO2 equivalent between 2024 and 2040, according to a report.
EU carbon and gas prices set to decouple in next five years -Goldman Sachs
Europe’s carbon market is set to decouple from gas prices in the next five years, as abundant gas supply in the bloc leads to a halving of gas prices and tightness in the carbon market pushes prices up, according to a Goldman Sachs analyst.
EU-UK ETS link-up would lower costs and frictions, especially for the UK -study
Relinking the EU and UK emission trading schemes could help the British government avoid foregone revenue of up to £8 billion between 2025 and 2030, making trade more efficient and cost-effective, according to a report published on Tuesday.
Euro Markets: EUAs recover 2% as global stocks, gas bounce back
European carbon prices rebounded 2% on Tuesday, tracking a modest recovery in volatile global stock and energy markets after they plunged on Monday, as participants continued to point to possible gas supply risk from mounting tensions in the Middle East.
AMERICAS
BRIEFING: Kamala Harris picks Minnesota Governor Tim Walz as her running mate
US Vice President Kamala Harris, the Democratic presidential nominee, on Tuesday selected Minnesota Governor Tim Walz (D) as her vice presidential candidate, garnering support from green groups that have commended the state leader’s climate efforts since he took office in 2019.
California regulator recommends strategies to avoid price spikes as clean fuel policies shrink gasoline supply and demand
California’s energy regulator has laid out policy options to ensure an affordable supply of gasoline as the state transitions away from fossil fuels under its low carbon fuel standard (LCFS), cap-and-trade compliance, and expanding zero-emissions vehicle (ZEV) mandates.
Colorado firm successfully demonstrates 1,000 hours of cryogenic CCS
A Colorado company announced last week that it has successfully completed 1,000 hours of testing for its cryogenic point-source carbon capture and storage (CCS) system that removes CO2 from flue gas before its release into the atmosphere.
Bill Gates-founded climate investment firm pulls in $839 mln for new fund
A sustainable investments firm founded by Bill Gates has raised $839.4 million, according to recent US Securities and Exchange Commission (SEC) filings, which will go to a new fund focused on climate.
ASIA PACIFIC
APAC countries must integrate carbon markets to secure better carbon pricing -report
Countries in the Asia Pacific should develop an integrated market such as the European Union’s emissions trading system (ETS) and synergise different types of carbon markets in the region to create effective carbon price signals, a report released this week suggested.
Japanese oil major to work with Petronas on carbon project opportunities in Malaysia
One of Japan’s largest oil refiners has teamed up with the trading arm of Petronas, Malaysia’s state energy company, to work on voluntary projects that can generate carbon credits in the Southeast Asian country.
Japan to streamline J-Credit generation process for solar projects, promote digital MRV system
Japan’s environment ministry has selected several companies to advance a digital monitoring, reporting, and verification (MRV) system for the creation of domestically issued carbon credits, as the government seeks to make the process quicker and easier for market participants.
Cambodia-focused gold miner joins government-run nature-based solutions project
An Australia-headquartered junior gold miner has launched what it calls its “first major offset initiative” in the north of Cambodia, several hundred kilometres west of its flagship mine.
AVIATION
Technical UN body updates guidelines for post-2026 CORSIA carbon credit eligibility
The technical body charged with assessing eligible carbon credit supply in the UN’s international aviation offsetting scheme has updated its guidelines for standards applying to have their issuances validated for the post-2026 phase of the programme, with the first assessments to begin next year.
BIODIVERSITY (FREE TO READ)
ADB weighs nature credits to fund expansion of migratory bird initiative
The Asian Development Bank (ADB) will fund consultancy work to determine the potential of nature or biodiversity credits in funding an expansion of an initiative seeking to protect and restore the massive East Asian-Australasian Flyway (EAAF).
Impact Earth plans biodiversity fund of up to $100 mln
Impact Earth is planning to launch a biodiversity fund that raises between $50-100 million focused on either Latin America or Southeast Asia, similar to its existing Amazon strategy, Carbon Pulse has learned.
4,000-ha forest to be protected “forever” after investor transfer
An investor has transferred ownership of an approximately 4,450 hectare forest in the US to non-profits so it can be protected “forever” with benefits for biodiversity, endangered species, and water.
UK study flags best-suited indicators for boosting nature positive investments in solar farms
Solar farms have the potential to significantly increase biodiversity in the UK and scale investments in ‘nature positive’, provided that appropriate metrics for evaluation are established, a report has found.
Biodiversity net gain opacity threatens nature gains, say experts
Lack of transparency in England’s biodiversity net gain (BNG) scheme is threatening the policy’s ability to demonstrate benefits for nature, a government advisory group said in an open letter.
Biodiversity Pulse: Tuesday August 6, 2024
A twice-weekly summary of our biodiversity news plus bite-sized updates from around the world. All articles in this edition are free to read (no subscription required).
—————————————————
CONFERENCES
Carbon Forward Expo – October 8-10, London and Online: Our flagship conference returns to the stunning De Vere Grand Connaught Rooms in Covent Garden. As the agenda comes together for our ninth annual event, we want to make sure you don’t miss out on our 10% discount offer, which is available throughout August. We’re also offering free passes for offset buyers. Get in touch to find out if you’re eligible and how to apply. Register now!
—————————————————
Premium job listings
- Environmental Markets Correspondent, Carbon Pulse – US/Canada (Remote)
- Director Carbon Procurement, KliK Foundation – Zurich
- Freelancer (m/f/d) Carbon Project Development, Volkswagen ClimatePartner GmbH – Mexico
See all listings or post a job
—————————————————
BITE-SIZED UPDATES FROM AROUND THE WORLD
INTERNATIONAL
Expert view – Adair Turner, current chair of the Energy Transitions Commission (ETC) and previous chair of the UK’s Climate Change Committee, thinks it “inevitable” that a zero-carbon economy will be reached, but that unless we move faster, we will get there too late, in conversation with the FT. He said that limiting global warming to well below 2C is still possible but that getting there will require a focus on balancing energy systems through energy storage and grid investment, significant investment, and carbon taxes. Building the correct market structure for energy storage is required, to incentivise build-out of batteries and pumped hydro much in the same way as offshore wind has been incentivised, he said. To incentivise decarbonisation in the aluminium, steel, chemicals, and cement sectors, he recommends going down the carbon price route, while with aviation and shipping, he backs a combination of carbon prices and quantitative levers.
EMEA
Oil and gas approvals – The UK government could approve 13 new oil and gas projects in the North Sea, with the fuel produced emitting 350 mln tonnes of CO2 equivalent if burned, according to Carbon Brief analysis. These projects already have a licence, but have not yet received consent to begin development, so approving them wouldn’t strictly oppose the new Labour government’s pledge to rule out issuing new oil and gas licences. A former senior official told Carbon Brief that the government may now be “compelled” to greenlight them due to the risk of legal action from oil and gas companies. Combined, the projects could produce 858 mln barrels of oil equivalent, which if burned, would produce emissions equivalent to that of 111 of the world’s lowest-emitting countries, with a combined population of 649 mln.
EV pessimism – The UK car industry has cut its forecast for electric vehicle sales this year, in the latest sign of the industry’s uncertainty over meeting government targets for shifting away from fossil fuels, the Guardian reported. The number of battery EVs sold in the UK in July rose by 18.8% year-on-year, according to the Society of Motor Manufacturers and Traders. But the trade group expects sales to grow more slowly than expected for the rest of the year, revising its projection for the share of battery car sales to 18.5% in 2024, from 19.8%. The government’s zero emission vehicle mandate calls for 22% of each carmaker’s sales to be pure battery cars this year, and 80% by 2030. So carmakers worry they will miss the target.
Cold but not too cold – The two leading UK trade associations for the frozen food industry have joined a coalition to explore raising the temperature of frozen food from -18C to -15C to reduce emissions. Recent studies have shown that doing so wouldn’t compromise on food safety or quality, but would help to significantly curb emissions. The Cold Chain Federation and the British Frozen Food Federation have joined The Move to -15°C, reflecting the support of hundreds of frozen food and logistics businesses across the UK for the campaign.
Drilling activism – A gas drilling project in the German North Sea is facing renewed opposition from environmental groups including Greenpeace and Fridays for Future. Their aim is to prevent natural gas from being extracted from reserves in the fragile Wadden Sea ecosystem, saying that Germany’s commitment to phasing out fossil fuels means that the extraction plans should be blocked. Dutch gas company One-Dyas was supposed to begin with the installation of the drilling platform off Borkum in the Wadden Sea World Heritage Site last week, but this was prevented by Greenpeace activists on boats. Germany’s environment minister, Steffi Lemke, has previously opposed the gas extraction project and in June, the Dutch high court temporarily halted the plans. However, the government of host state Lower Saxony and members of the federal government have allegedly been pressured by One-Dyas to allow the plans to move forward. (Clean Energy Wire)
More blue hydrogen – The German industry association BDEW is calling for an expansion of the permitted suppliers of blue hydrogen, according to Table Media. Blue hydrogen is made with natural gas, but the CO2 is captured and then stored. BDEW has also set their position out in a letter to federal minister of economics Robert Habeck. According to an analysis by Agora Industrie, the current draft European Commission rules would mean that only blue hydrogen from Norway would be recognised as low-carbon. Instead, with a more specific calculation, individual low-emission projects from other countries could also be given a chance, according to BDEW’s calculations.
ASIA PACIFIC
First order – Japan’s Marubeni will start selling low-carbon aluminium billets to the Fujisash group, which is committed to reducing carbon emissions throughout its supply chain and manufacturing process, under a strategic collaboration agreement with global mining company Rio Tinto, it announced Tuesday. This marks the first sale of Rio Tinto’s low-carbon aluminium billets, produced from its renewably-powered New Zealand Aluminum Smelters (NZAS), in Asia, Marubeni said.
Emissions offset cut – Australia’s government-owned postal service will drop its carbon-neutral mail deliveries, according to the local edition of tabloid the Daily Mail. Australia Post has a net zero date of 2050, but will no longer offer customers to chance to offset their emissions. The newspaper reported customers were informed via letter, and the service will stop Aug. 12. The programme was first introduced in 2019. Australia Post confirmed to the masthead. It also confirmed its net zero target has not changed.
AMERICAS
See you in court – The Biden administration and opponents of controversial US EPA power plant standards reached an agreement on Friday for an expediated briefing that could entail oral arguments before the end of the year. Last month, a group of Republican AGs and industrial actors asked the Supreme Court for an emergency stay of the EPA rules after being denied the week prior by a lower federal court. Under the agreement, opening briefs will start on Sep. 6 and final briefs will be due by Nov. 1 “to enable oral arguments as soon as possible thereafter in 2024”.
Data centre decarbonisation – Denver-headquartered data centre developer Stack Infrastructure announced Friday an additional $3 bln in “green financing” for four US projects collectively totalling 900 MW. The financing will develop campuses in Virginia and Georgia, that aim minimize environmental impact through water conservation, responsible resource utilisation, and energy efficiency. Sustainability features include zero potable water usage for cooling, construction with low-carbon materials including recycled content in concrete, and high-performance design features for optimal Power Usage Effectiveness, the company said.
WA methane money – The Washington Department of Ecology (ECY) announced Tuesday that it will provide $15 mln in grants from the state’s Climate Commitment Act to implement regulations intended to improve methane monitoring, capture, and control systems in landfills. ECY said the new measures – finalised earlier this year – will prevent about 1.6 Mt of CO2e from entering the atmosphere every year. Municipal solid waste landfills covered by the new regulations are eligible to apply for the grants through Oct. 1.
LNG litigation – The US Department of Energy announced Monday that it will ask the 5th US Circuit Court of Appeals to allow the Biden administration’s pause on LNG exports to continue after a federal judge in July issued an injunction against the ban. The DOE is seeking to pause LNG approvals while it studies how it should account for climate risks of the fuel when deciding whether exports are in the public interest. The policy has received support from environmental groups, but been widely condemned by Republicans.
Welcome MATS – The US Court of Appeals for the DC Circuit on Tuesday denied a request by a group of fossil fuel companies and Republican-led states to stay the US EPA’s Mercury and Air Toxic Standards (MATS) that were strengthened in April. The ruling means the MATS will remain in effect as petitioners challenges their merits, and the court issued instructions for the prompting beginning of that process. A group of environmental organisations have also intervened to support the MATS.
Bankruptcy filing – Former rooftop solar manufacturing giant Sunpower has filed for bankruptcy in Delaware and plans to wind down operations, after battling high interest rates, subsidy changes, and defaulting on a credit agreement last year, Bloomberg reports. The rooftop solar company listed assets and liabilities of $1 bln to $10 bln in its Chapter 11 petition in the US Bankruptcy Court for the District of Delaware. While it also agreed to sell assets including its Blue Raven Solar installation unit and new homes businesses to Complete Solaria for $45 mln, asking the court to approve the deal by the end of September. Top shareholders in the 1985-founded firm, long reputed to produce some of the best solar panels in the industry, include France’s TotalEnergies.
Safe and sound – The Brazilian government held the first CONAREDD+ safeguards technical working group focused on outlining the work plan for implementing REDD+ safeguards in environmental projects. Participants, including company representatives from project developer Carbonext and leaders of Indigenous peoples and traditional communities, discussed steps to upholding these standards. On Monday, Carbonext announced it has appointed Jeronimo Roveda as the new director of institutional relations. Roveda, with a background in climate finance, will assist the company in enhancing institutional relationships and advancing initiatives focused on environmental impact, particularly in the sustainable development of the Amazon.
Mexican states lead – The Biodiversity Finance Initiative (BIOFIN) of the UN Developement Programme (UNDP) last week held a workshop in Mexico to build capacity within 12 state governments to access and mobilise resources for biodiversity and climate change. The Workshop on Financing for Biodiversity at the Subnational Level discussed carbon taxes, carbon markets, biodiversity credits, and other conservation financing mechanisms; shared subnational experiences with conservation finance; and involved a diagnostic exercise to identify ways to improve and consolidate environmental funds. Several of the states in attendance have CO2 taxes in place or in the works.
LATAM SAF coalition – Brazil and Chile signed an agreement on Monday to establish a working group to advance sustainable aviation fuel (SAF), reported EPBR. According to the agreement, amongst the group’s objectives are the sharing of good practices and regulatory and market experiences for the promotion and adoption of SAF as a global alternative to the decarbonisation of the airline industry. Additionally, it also provides for the exchange of experiences and technical and scientific knowledge for the determination of the carbon intensity of SAF production routes, based on life cycle analysis tools. Finally, the group also intends to promote discussions on initiatives regarding sustainable fuel at the regional and global levels, as well as to promote the training of staff.
VOLUNTARY
Di Grassi’s sign off – Formula 1 driver Lucas Di Grassi, who co-founded the Zero Summit to promote sustainability and zero-carbon tech, and also partnered with carbon offset firm Rubicon Carbon, spoke with the Sports Business Journal about offsetting the CO2 emissions from his Formula E racing and promoting the use of carbon credits. The cost of offsetting his entire Formula E career with carbon removal credits came to “$30,000, more or less”, he said, commenting on the concept that as demand rises for carbon credits, the price is likely to go up. “If there is, let’s say, a multinational or transnational entity controlling all these carbon credits, it will be very interesting to see how the dynamic flow of these projects and the offsetting and the price structure evolves,” said Di Grassi.
Insets over offsets – Carbon insets could avoid the controversy often launched at carbon offsets by reducing carbon in a traceable way from the relevant supply chain, rather than through some unconnected activity, writes Brooke Masters for the FT. She points to World Energy, which produces sustainable aviation fuel and sells abatement certificates to companies such as Boston Consulting Group looking to account for their flying footprint and support green industries. World Energy uses digital ledgers to track the physical fuel and in so doing prevent any double counting or allegations of fraud. A recent paper on the VCM by the US treasury also said that carbon insets were preferable to carbon offsets for corporate buyers.
Project certified – Brazilian waste management company Orizon announced Monday that it has completed registration of the Ecoparque Jaboatao dos Guararapes project with the Gold Standard. The company had previously announced it was stockpiling credits and prepare multiple projects for certification by the standard.
AND FINALLY…
English wine boom – The largest English vineyards saw their revenues rise by 15% last year, as wine investors planted more vines in response to climate change, the Guardian reported. The UK wine industry’s output rose by 77% last to 161,960 hectolitres, or 21.6 mln bottles. Companies House filings for the seven largest vineyards showed that their turnover rose to £37 mln last year, more than three times higher than the £13 mln recorded in 2018-19, it reported. One of the drivers for growth is the improved weather conditions caused by climate change, which is harming production in traditional wine-producing countries. Still, the UK’s total wine output, mostly in England, remains tiny compared to France, Italy, and Spain.
Got a tip? How about some feedback? Email us at news@carbon-pulse.com
