Carbon Credit Quality Initiative--led by Environmental Defense Fund, WWF, Oeko-Institut--launches interactive tool to score carbon credit quality; early scoring confirms market has 'both wheat and chaff', tool aims to help consumers tell the difference

Sample article from our Housing & Economy

NEW YORK , May 31, 2022 (press release) –

Carbon Credit Quality Initiative (CCQI) released transparent scorings for three carbon credit types to help enhance the quality of credits being transacted in the market

The Carbon Credit Quality Initiative (CCQI) launched a new interactive tool to score the quality of several types of carbon credits. The free online CCQI Scoring Tool enables buyers in the growing carbon credit market to make more informed decisions and ultimately aims to improve the quality of credits transacting in the market.  

Led by Environmental Defense Fund, World Wildlife Fund (WWF-US), and Oeko-Institut, CCQI offers free resources, including its robust assessment methodology and interactive scoring tool, to support carbon credit buyers who seek the highest possible quality as well as to build broader public understanding of which credits deliver the greatest climate mitigation impact. The tool is now available at 
The first set of scores released by CCQI assesses the quality of three carbon credit project types (landfill gas utilization, establishment of natural forests and efficient cookstoves) under four carbon crediting programs (the Clean Development Mechanism, Climate Action Reserve, Gold Standard and the Verified Carbon Standard operated by Verra).  

The first round of CCQI scorings show that carbon credits often perform well in some areas but poorly in others. Efficient cookstove projects, for example, face serious shortcomings in quantifying emission reductions and addressing non-permanence but often generate high environmental and social benefits. 
“CCQI’s first round of scoring confirmed that there is both wheat and chaff in the carbon credit market. The important thing, however, is that the consumer can tell the difference,” said Pedro Martins Barata, Senior Director of Climate at Environmental Defense Fund. “Free, transparent resources like our Scoring Tool can move the market toward quality by helping users understand what quality means for carbon credits.” 

Carbon credits are in high demand from buyers aiming to meet their voluntary climate commitments and compliance obligations under emissions trading schemes and carbon tax policies.

“When buyers come to the carbon credit market, they are sometimes surprised that detailed guidance on how to evaluate credits is not publicly available,” said Brad Schallert, WWF's director of carbon market governance and aviation. “CCQI hopes to fill this information gap by offering our scoring tool as one of several steps a buyer takes when conducting due diligence on how credits might differ in quality.”  

Carbon credits are assessed using CCQI’s methodology, which scores a given carbon credit on an interval scale of one through five against several quality objectives, listed below. This allows buyers to understand the nuances and trade-offs in the quality of carbon credits and make an informed decision.  

For instance, the CCQI scores reveal considerable differences between carbon crediting programs. For example, the Clean Development Mechanism was found to have the best third-party auditing rules, the Climate Action Reserve performed best in its approach for compensating for potential non-permanence, the Gold Standard was found to have the most comprehensive environmental and social safeguards, and the Verified Carbon Standard performed high in its governance, transparency and its approaches for reducing non-permanence risks. 

“What makes a high-quality carbon credit is a complex question,” said Lambert Schneider, Research Coordinator for International Climate Policy at Oeko-Institut. “We designed our Scoring Tool so that users could have a nuanced 360-degree view of different quality features of carbon credits. The scorings show a mixed performance of carbon crediting programs. If all carbon crediting programs would adopt the best practice approaches from their peers, however, this would be an important step forward in addressing the quality problems currently faced in the market.” 

CCQI’s quality objectives include:   

Robust determination of the GHG emissions impact: How well does the carbon credit ensure additionality and robust quantification of emissions reductions and removals? 

Avoiding double counting: How well does the carbon crediting program avoid different forms of double counting? 

Addressing non-Permanence: Does the carbon credit have significant risks of non-permanence, in which stored carbon is lost though natural or anthropogenic disturbances? Does the carbon crediting program have adequate provisions to mitigate those risks?  

Facilitating a transition towards net-zero emissions: Is the credit contributing toward the adoption of low, zero or negative emissions technologies and practices, and avoids lock-in of technologies and practices that lead to continuous GHG emissions? 

Strong institutional arrangements and processes: How strong are the institutional arrangements of the carbon crediting program issuing the credits? Does the program have strong governance, transparency, and auditing practices?   

Environmental and social impacts: How robust are the program’s environmental and social safeguards? What are the typical expected sustainable development impacts of the project type? Does the carbon credit contribute to improving adaptation and resilience? 

Host country ambition: Is the host country where the project is located committed to global temperature goals and pursuing an ambitious NDC? 

CCQI will expand its Scoring Tool to assess more project types and programs, allowing users to discover how other project types and programs perform on quality and cover a larger share of the current market. The next round of scores will be released later by the end of 2022. 

For more information, visit  

# # #

One of the world’s leading international nonprofit organizations, Environmental Defense Fund ( creates transformational solutions to the most serious environmental problems. To do so, EDF links science, economics, law, and innovative private-sector partnerships. With more than 3 million members and offices in the United States, China, Mexico, Indonesia and the European Union, EDF’s scientists, economists, attorneys and policy experts are working in 28 countries to turn our solutions into action. Connect with us on Twitter @EnvDefenseFund

* All content is copyrighted by Industry Intelligence, or the original respective author or source. You may not recirculate, redistrubte or publish the analysis and presentation included in the service without Industry Intelligence's prior written consent. Please review our terms of use.

See our dashboard in action - schedule an demo
Jason Irving
Jason Irving
- SVP Enterprise Solutions -

We offer built-to-order housing & economy coverage for our clients. Contact us for a free consultation.

About Us

We deliver market news & information relevant to your business.

We monitor all your market drivers.

We aggregate, curate, filter and map your specific needs.

We deliver the right information to the right person at the right time.

Our Contacts

1990 S Bundy Dr. Suite #380,
Los Angeles, CA 90025

+1 (310) 553 0008

About Cookies On This Site

We collect data, including through use of cookies and similar technology ("cookies") that enchance the online experience. By clicking "I agree", you agree to our cookies, agree to bound by our Terms of Use, and acknowledge our Privacy Policy. For more information on our data practices and how to exercise your privacy rights, please see our Privacy Policy.