Carbon Footprint
Carbon Credit Market Gains Integrity With ICVCM’s Approval of 6 New Removal Standards
The voluntary carbon market (VCM) has taken a major step forward. The Integrity Council for the Voluntary Carbon Market (ICVCM) has approved six new carbon removal methodologies under its Core Carbon Principles (CCPs). These methods come from two programs: Isometric and Gold Standard. Both are known for meeting the council’s strict requirements.
This approval signals a shift toward stronger credibility in carbon removal credits. For years, the voluntary carbon market faced doubts about quality, transparency, and permanence.
Many companies hesitated to use credits due to fears of overstated benefits. The ICVCM names specific methods that meet high integrity standards. This helps businesses, investors, and governments have a clearer framework to trust. In the words of Annette Nazareth, ICVCM Chair:
“We are pleased to announce these new approvals for methodologies in a variety of emissions reductions and removals categories. The science is clear that both reductions and removals are critical to effective climate action. These latest approvals will open up new options for integrity-focused buyers to broaden their portfolios of carbon credits across a range of high-impact categories.”
The New Approved Standards
The six approved carbon removal methodologies include the following:
- Gold Standard — Carbon Sequestration Through Accelerated Carbonation of Concrete Aggregate (v1.0)
- Isometric — Biomass Geological Storage (v1.0–v1.1)
- Isometric — Bio-oil Geological Storage (v1.0–v1.1)
- Isometric — Subsurface Biomass Carbon Removal and Storage (v1.0)
- Isometric — Biogenic Carbon Capture and Storage (v1.1)
- Isometric — Direct Air Capture (v1.1)
In addition, the ICVCM confirmed two nature-based methodologies under other programs: CAR Mexico Forest Protocol v3 for improved forest management and VM0047 v1.1 for afforestation and reforestation.
These approvals matter because they are linked to very specific versions of methodologies. Not all projects under Isometric or Gold Standard automatically qualify. Only those that follow these approved versions can carry the CCP label.
From Doubts to Trust: Raising the Bar on Carbon Credits
So far, projects under these new removal methods have issued around 30,000 credits. While this number is small, the pipeline is much larger. ICVCM data show that:
- 24 projects under the Isometric methods are expected to issue over 3.2 million credits annually in the coming years.
- 15 projects under the Gold Standard method could issue over 9,000 credits annually.
In forestry, the CAR Mexico Forest Protocol v3 already has more than 8.1 million credits issued. However, not all will automatically qualify under the CCP label because of new permanence and leakage rules. For example, the protocol now requires a 40-year permanence commitment and allows leakage rates of up to 40%.
This level of detail adds clarity and accountability. It helps ensure that CCP-approved credits represent real, measurable, and durable climate outcomes.
From Billions to Trillions: The Future of Carbon Removal
The carbon removal market is still small compared to the scale of global emissions. Today, VCMs are valued at about $2 billion annually. Forecasts suggest they could reach up to $100 billion by 2030. Carbon removal will be central to that growth.
Currently, removals make up less than 1% of all credits sold. Most credits still come from avoided emissions, such as preventing deforestation. But future sales are shifting toward removals.
Buyers are showing stronger interest in forward contracts for engineered removals, like direct air capture, bio-oil storage, and biomass geological storage.
Analysts project that DAC capacity could reach 60–100 million tons per year by 2035, up from near zero today. Meanwhile, biochar, enhanced weathering, and subsurface storage are also scaling. These new CCP approvals provide the quality assurance needed to attract investment at this level.
Carbon market growth rates are projected at 25–30% annually through the next decade. By 2050, the sector could generate more than $1 trillion annually, reflecting the scale of removals needed to reach climate goals.
- BloombergNEF projects that carbon credit supply will expand 20- to 35-fold by 2050, with engineered removals gaining share. Current supply sits near 243 million tons in 2024, rising to 2.6 billion tons by 2030 and 4.8 billion by 2050.
DAC is forecasted to deliver about 21% of credits by 2050. Prices for credits may increase to $60 per ton by 2030 and $104 by 2050, reflecting greater demand and higher quality standards.
Four Forces Powering the Carbon Removal Boom
Several forces are pushing removals into the mainstream.
- Corporate Net-Zero Goals – More than 5,000 companies worldwide have pledged to reach net zero. Many will rely on removals to balance emissions they cannot fully cut.
- Government Policy – U.S. and European policies, such as the Inflation Reduction Act and the EU Green Deal, provide tax credits and funding for carbon capture.
- Investor Confidence – Clear CCP standards make investors more willing to finance high-quality projects.
- Technology Scaling – Costs for engineered removals like DAC and bio-oil storage are expected to fall as projects scale up.
These trends show why carbon removal is becoming not just a side option but a pillar of climate strategy.
The Price of Permanence: Barriers Still Loom
Even with new approvals, challenges remain. Engineered removals are expensive. Current costs for direct air capture range from $300 to $600 per ton. Experts say this needs to fall below $100 per ton for widespread adoption.
Nature-based removals, while cheaper, raise other questions. Land use, biodiversity impacts, and long-term monitoring must be managed carefully. For example, requiring 40-year permanence adds credibility but also creates financial and operational hurdles for project developers.
The Integrity Council will need to enforce ongoing monitoring, verification, and auditing. Without strong oversight, credibility could erode again.
Why This Matters for Business and Capital
For companies, the approval of Isometric and Gold Standard removals offers more reliable ways to meet net-zero targets. Purchasing CCP-approved carbon credits reduces reputational risks and demonstrates a commitment to real climate action.
For investors, these standards provide a clearer signal about which projects are worth funding. Capital can flow toward technologies and practices that deliver measurable and permanent removals.
Carbon Markets 2030 and Beyond
The ICVCM decision is a foundation for growth. By 2030, analysts expect carbon removal to represent a much larger share of the voluntary market.
Government integration will be another milestone. Both the UK and EU are exploring whether to allow carbon removals in their compliance systems within the next five years. If CCP-approved removals are included, demand could rise sharply.
The Integrity Council’s approval of six new methodologies from Isometric and Gold Standard represents a turning point for carbon markets. These decisions provide greater transparency, stronger safeguards, and a clearer path for scaling carbon removal.
While challenges remain in cost, permanence, and oversight, the foundation for trust is stronger than before. With new standards in place, the carbon removal market can grow from thousands to millions—and eventually billions—of tons of CO₂ removed. This shift is critical to balancing global emissions and moving closer to a net-zero future.
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