? Oh my, it's the VCMI

Hi there,

Following much anticipation, the Voluntary Carbon Markets?Initiative (VCMI) has released its Claims Code of Practice to promote integrity across the market. This new code makes essential reading for any business leaders voluntarily including carbon credits in their decarbonisation strategies. Please scroll down to read our summary.

Our second announcement is that the Environmental Finance Awards are back. As this is the annual ranking for the voluntary carbon market, we kindly ask for your support in two categories:?Best Market Innovation and Best Wholesaler. You can find out more below, or simply follow this link to cast your vote.

And finally, the Science Based Targets initiative has launched a?public consultation on Beyond Value Chain Mitigation. Anyone interested is invited to complete this survey with feedback on the questions posed in the public consultation document.

As always, we have also shared this newsletter via email. Please follow?this link?to subscribe should you wish to receive it straight to your inbox. And please share with your network if you think that they would enjoy it too.

Newsflash

• As London Climate Action Week draws to a close, N4C shares the key themes emerging from Nature Tech in Action, an event hosted in collaboration with MRV Collective.
• Staying in the UK, Carbon Pulse reports that the country has ruled out the purchase Article 6 credits - at least in the near term - but is still interested in becoming a global carbon crediting hub.
• Reuters reports that the rate of tropical forest loss increased by 10 percent in 2022, despite international protection pledges.
• Given this stark fact, coverage from the WEF of the European Central Bank’s words on nature loss seem extremely pertinent. The bank states that by destroying nature, we are also destroying the economy.?
• But there is hope. The Economist Impact outlines five changes that can be made to encourage the private sector to invest more heavily in nature.
• To assist with corporate action,?South Pole launches Climate Funding Action (CFA) - a new climate claim and label to help companies share their environmental action both within and beyond their value chain.?
• Carbon Pulse publishes a piece by the NCS Alliance on four key considerations for businesses buying carbon credits.
• The WSJ covers emerging carbon removal companies - Lithos, Carbon to Sea Initiative and Living Carbon - and considers the opportunities and risks presented by each.
• The Guardian assesses the state of biodiversity loss prevention since COP15. The good news is that the seas are better protected; the bad news is that the EU’s proposal for legally binding nature restoration targets has not been backed by the European People's Party.
• Imperial College Business School invited three speakers to answer the evocative question: Are carbon credits worthless? On LinkedIn,?Tommy Ricketts, co-founder and CEO of?BeZero, shares his takeaways from the discussion.?

Don't miss the VCMI

VCMI launches Claims Code of Practice

What is the Code?

The Claims Code of Practice has been created to guide companies to successfully introduce high quality carbon credits into their decarbonisation strategies.

What are the main changes since 2022?

Since the Provisional Claims Code was circulated last year, it has become more specific in its requirements.

• It presents a clear criteria for high quality carbon credits centred around the IC-VCM's Core carbon Principles.
• The Code has introduced changes to thresholds for claims which are determined by the volume of credits retired.
• And crucially, the Code articulates what is means for a company to be on track with its targets.

What is the four-step process?

The Code is based on a four-step process (see graphic above).

1. Comply with foundational criteria. This includes a net-zero target no later than 2050 and a disclosure of greenhouse gas emissions.
2. Select a VCMI claim to make. Companies must pass a threshold of high-quality emissions reductions. These are classed as silver, gold or platinum.
3. Meet the required carbon credit use and quality thresholds. This means purchasing credits that comply with the Core Carbon Principles.
4. Obtain third-party assurance following the VCMI Monitoring, Reporting & Assurance (MRA) Framework. A report on this process is scheduled for November 2023.

What's being said?

The launch of the Code has generated a good deal of coverage. Find out more from Trove Research, Reuters, Bloomberg,?South China Morning Post, and?GreenBiz.

News from the field

Demand for Delta Blue Carbon credits is expected to outstrip supply

Reuters covers an announcement from Climate Impact X (CIX), stating that?the demand for credits from Delta Blue Carbon is expected to outstrip supply by more than 50 percent. Referring to a recent credit auction, the report said:

“The exchange said more than 60% of successful bid volumes were priced at over $30 a ton, with some bid prices as high as $50 a ton. However, all the credits were sold at $29.72 a ton.”

Carbon Tanzania continues Village Game Scout training

Carbon Tanzania announces that 138 people have completed their Village Game Scout training. Nine trained for commander roles and sixteen of the new scouts are women. Village Game Scouts are employed by Carbon Tanzania to monitor conservation areas, report deforestation and catch illegal poaching activities.

Respira's News

The Environmental Finance Awards are here…please vote for Respira

The Annual Voluntary Carbon Market Rankings are back and ready to recognise leading service providers across the sector. This year, we would like to ask for your support.

Last year, we pioneered the development of insurance solutions for the voluntary carbon market with Howden. What's more, we always operate with a win-win mentality. Acting as principal, we create long-term off-take agreements with developers to provide their projects with the financial stability they need to deliver effective climate solutions.

Given this track record, we kindly ask you to consider voting for Respira in the following categories:?Best Market Innovation and Best Wholesaler. Place your votes here by the 28th July.

"We're not a broker, we're a carbon finance company"

In our latest?blog article, our team introduces you to the Respira model. Traditionally, carbon credits have been bought and sold by brokers on a spot basis, but at Respira we operate differently. We have helped to shift towards a carbon finance model of credit trading - a model which prioritises the overall stability of our flagship portfolio projects.?

Dates for the diary

• Between the 1st and 3rd of July, leaders will gather for the 59th Session of the IPCC in Nairobi, Kenya.
• From the 5th to the 7th of July, Argus Media will hold the Argus Carbon Markets and Regulation Conference in Lisbon.?
• And from the 27th to the 28th of July, the First Annual Conference on Nature-based Solutions using Carbon and Biodiversity Funding will take place at the University of Lincoln. Our Director of Natural Climate Solutions, Ed Hewitt is looking forward to joining the panel, so please reach out if you also plan to be there.

And finally, one for the podcast listeners...The New Statesman shares a special podcast episode with the Luxembourg Stock Exchange titled: 'Sustainable finance can save us from the energy crisis.'

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Respira International is an impact-driven carbon finance business. Respira’s high-quality carbon credits allow corporations and financial institutions to mitigate their environmental impact. Respira channels private capital into climate solutions ensuring long-term relationships with trusted carbon project developers that enable its clients to use predominantly nature-based solutions to build sustainable, climate-positive businesses and portfolios. Respira’s team combines deep and varied experience working in global financial markets with a robust understanding of carbon project development in leading international conservation organisations. Respira operates with an innovative offtake and profit share model which reinvests back into local communities.?