Challenge #2: Lack of Clarity in Commitments and Claims
Market integrity is necessary to unlock private sector capital for the scale-up of the Voluntary Carbon Markets.
Lack of clarity in the meaning of claims and commitments as well as lack of transparency in corporate climate performance can undermine the investment on VCM (VCMI 2023).
There is a need to bridge the information asymmetry between the supply- and the demand-side of carbon markets. This will ensure the high integrity of the market through transparent communication in the use of carbon credits in climate change mitigation strategies.
Voluntary Carbon Markets Integrity (VCMI) Initiative’s Claims Code of Practice.