CTX Newsletter September 2023 Issue #148

Zimbabwe Carbon Legislation Gets A+

30% Lower National Retention – Half Going to Support Projects?????????????

As August finished with the much-awaited?Zimbabwe Carbon Legislation?being gazetted, it proved to be far more positive for projects and investors than what naysayers and mainstream media had suggested. ?Besides, with 30% allocated to the Climate Fund and the operation of their National Carbon Registry, there is significant potential for large volumes of credits to emerge as ITMOs, making them significantly more valuable to projects, investors, and the nation in bilateral trades.?

Given that Carbon Trade Exchange has been prepared to trade ITMOS for over three years, and the Global Environmental Markets Ltd Registry Technology can generate them with the necessary government approval steps already integrated, it is a fantastic sign that the infrastructure vision we launched in 2019 at the IETA Pavilion during COP25 might finally become an operational reality. The efforts have been herculean, since signing an MoU with Nigeria at that event in 2019, only to be unable to get them or any commercial enterprise to pay for the technology, GEM and CTX switched focus to smaller African Nations who are nimbler in decisions.

The Integrity Council for the Voluntary Carbon Market (ICVCM)

In April 2023, CTX sponsored the London City Week ESG event, where after an impactful speech by our CEO & Founder Wayne Sharpe, the Chair of The Integrity Council for the Voluntary Carbon Market (ICVCM) , Annette Nazareth, approached us directly. After witnessing a demonstration of the CTX platform, she enquired whether we could incorporate their accreditation symbol onto it.

We did! With a hover text “CCP approved”:

Once qualified Credit Standards and methodologies are approved by the?The Integrity Council for the Voluntary Carbon Market (ICVCM)?against the?Core Carbon Principles (CCP) assessment framework, they will be able to request their listings on CTX to display the symbol. The ICVCM will publish information about which programs and categories of credits have been approved as assessments are completed.

Check out the vast array of symbols on the CTX platform.

CTX Listings Explode as Trading Rises

We recently shot holes in much of negative media around offsetting. It is essential to be on a path to Net Zero ‘anytime’ you must price carbon in the business and be carbon neutral now. The project bashing is ludicrous as via CTX, buyers have full transparency, with links to all project documents in the Registry in which those credits are held, as well as ALL PDD, MRV and co-benefits reports. The reports are not 2-3 pages of paid ‘smoke and mirrors’ as we see on some Credit Standards (they shall not be named here but we are happy to share directly under the Chatham House rules). Buyers have so much choice on the CTX and 24/7/365 access to transparent wholesale prices, hence building a well-priced portfolio for any client is easy.??

Although this ‘data’ is harvested from the online information available continuously for every CTX member, we wish to make this report available to CTX members on a monthly basis. If you would like to receive these reports, please subscribe to the mailing list by [email protected]

CTX UN CERs – Cancellation Only

From the 9th of September, all CERs are no longer transferable internationally. All members holding CERs in any of the National Registry account can list them for sale for offset cancellation, however, buyers cannot get them delivered except under very stringent and limited circumstances. Still considered the benchmark for Carbon Credits and the home of most of the project protocols used worldwide, CDM CERs or CTX UN CERs should form part of any high-quality offset portfolio, not to mention the competitive prices. When you purchase CERs, CTX does the cancellation and issues the retirement certificates.

Does Profit Matter? In Business, it is the Only Long-term Gauge of Sustainability

There is ample evidence that Carbon Offsetting finds more and better reduction opportunities -?plus it ‘prices Carbon’ in the business. Published accounts for many large companies are evidence that there is no excuse for not engaging in this market. The Voluntary Carbon Market delivers much needed climate finance to projects globally for actions that have already been taken.

Corporation profits globally are off the charts. When we look at major airlines like Qantas, who make vast?profits, buy back $ Billions in shares, and then make also a profit selling carbon credits to their own clients - to offset the airlines footprint (buying virtually none for themselves), we cringe. Despite this profitability many companies withdrew from offsetting because of some negative and inaccurate media about one project /company. The business community are supposed to be leaders with action, so let’s STAND UP!

CTX was the only Carbon Exchange worldwide that was profitable in 2022, hence we can rightfully be proud of our own sustainable business model, which is why we have stood the test of time for over 15 years.?

Projects of?the Month

1.?Verra VCS

Energy Efficiency & Waste Management - 4 SDG’s

Canada (North America) – USD $5.50

This project groups small to medium sized companies which are part of the industrial, commercial, and institutional sectors accounting for ≤ 25,000 tCO2e emission / year / facility, inside the Province of Quebec, inside a "Sustainable Community" within a Territory.

Around 10,000 participating Facilities, will achieve together a potential 22,852,000 tCO2e of GHG emission reductions during the 10-year crediting period. The emissions reductions are achieved through recycling, composting, heat, and fuel conversion in each facility inside the Sustainable Community. The companies that participate have a greater access to local and international markets which allow them to increase and maintain their GHG reduction actions.

2.?UNFCCC CDM CERs

Cookstoves - 3 SDG’s

Malawi (Africa) – USD $5.00

The project aims to promote sustainable development and the reduction 26,328 tCO2e from non-renewable biomass fuel through dissemination of improved household cookstoves. Energy supply in Malawi is dominated by biomass in the form of (firewood, charcoal, agricultural and industrial wastes) due to lack of affordable and reliable alternatives. Rural & urban households mainly use wood and charcoal respectively for cooking and the current supply does not adequately meet demand.

Further, Malawi has an energy sector with low purchasing power, Household Air Pollution affecting mostly women and children, and vast land degradation caused by over harvesting of wood. The project's objective is to ensure that biomass is sustainably used, and carbon emissions are reduced using energy efficient technologies and by building strong partnerships to promote the manufacture, supply, use and financing of improved cookstoves.

Additional project goals include: air and soil quality improvement; promotion and generation of income and employment by locally made technologies, stove production, installation, marketing, logistical and administrative support, and monitoring; improvement of livelihood of the poor by reduction of household expenditure and time collecting and transporting wood fuel; reduction of accidental burns and scalds since the project stoves are safer than baseline stoves; and, technology transference and technological self-reliance by the local design and test that do not involve exotic parts or tools.

3.? Gold Standard

Wind - 4 SDG’s

India (Asia) - USD $4.75

The project involves the installation and operation of Wind Turbine Generators (WTGs) in Kutch District, Gujarat India which will provide electricity to the regional Indian grid. The emissions reduction is achieved by using renewable resources (wind energy) for generating power otherwise generated by fossil power plants. The estimated annual reductions correspond to 840,956 tCO2e per year.?

The commissioning of the towers, maintenance, and operation stimulates direct and indirect employment. The project implementation also requires development and improvement of road network infrastructure in the surrounding area which will benefit the villagers of the vicinity of the project.

CTX Members – if you have any questions, please email [email protected]

Thank you all for your contributions to help save?the planet for our future generations.