The Global Carbon Council (GCC) and Global Environmental Markets Ltd. (GEM) have recently announced their partnership to acquire the Global Carbon Registry® (GCR). The GCR will be utilized by GCC to effectively manage carbon credits, simplifying the process of issuing, transferring, and retiring these credits. Additionally, the registry is equipped to handle Article 6.2 credits, catering to countries interested in this aspect.
GCC is an internationally recognized carbon credit and sustainable development program. The GCR is an advanced system that aids in tracking Article 6.2 credits, which play a crucial role in global climate efforts. As part of the voluntary carbon market (VCM), the registry offers various features to facilitate smoother and simpler transactions. The introduction of the Global Carbon Registry GCR has the potential to revolutionize the VCM by providing a platform for reporting Internationally Transferred Mitigation Outcomes (ITMOs) or Article 6.2 credits. ITMOs are a carbon emissions trading system where countries can buy or sell carbon credits with other nations. This has the potential to create new carbon markets and further reduce global greenhouse gas emissions.
During COP27 last year, Ghana and Switzerland, along with Vanuatu, signed the first-ever voluntary cooperation involving ITMOs. The innovative registry not only benefits GCC but is also designed to assist governments and countries in creating their own carbon registries, thereby advancing VCM solutions. Dr. Yousef, the founding chairman of GCC, emphasized the significance of acquiring GCR in carbon markets, stating that it represents a significant leap forward in seamlessly integrating carbon credit certifications and insurance. He added that the partnership not only revolutionizes the issuance of carbon credits but also empowers nations to shape their own registries, influencing the very structure of carbon markets.
The GCR streamlines carbon market transactions, managing everything from issuing credits to transferring and retiring them. It boasts a user-friendly interface that stands out in the carbon market industry. Furthermore, the registry integrates with other platforms, making it easier for users to access and expand their market reach. It also meets the requirements set by CORSIA, a regulatory program, ensuring that users comply with regulations while participating in the market.
The Global Carbon Registry® and GCC have collaborated to create a comprehensive solution that connects with exchanges, auctions, and other registries like CAD Trust (Climate Action Data Trust). Wayne Sharpe, CEO of GEM, expressed pride in partnering for a promising future in carbon markets. Nations worldwide are seeking a robust registry, and with the Global Carbon Registry®, they gain cutting-edge technology and top-notch credit standards. This technology supports nations in setting up sub-registries affordably. The announcement aligns with the Global Carbon Council’s presence at COP28, where they are focusing on key topics such as implementing Article 6.2 of the Paris Agreement, improving carbon credit integrity, and enhancing efficiency through digitization in carbon markets.
In a recent development, the Gulf Organisation for Research & Development (GORD), which oversees GCC, has introduced a significant initiative called the Climate Action Center of Excellence (CACE). This strategic launch aims to accelerate the implementation of Article 6 of the Paris Agreement, which is one of the cornerstones of GCC’s strategy to mitigate climate change. CACE’s main objective is to provide robust and impactful solutions that empower businesses and governments to mitigate carbon emissions. It also aims to efficiently mobilize climate finance, ensuring optimal use of investor funds while generating new sustainable projects.
The launch of CACE coincides with the staggering financial need estimated at around $4.4 trillion for developing countries to fulfill their Nationally Determined Contributions (NDCs). This highlights the critical role of the private sector in funding and supporting emission reduction activities required by nations. The CACE framework aims to channel substantial funding into projects that effectively curb emissions. The acquisition of GCR by GCC promises to enhance transparency, streamline transactions, and foster the growth of global carbon markets, playing a pivotal role in the pursuit of sustainable development and climate change mitigation.