Major carbon polluters seeking to offset their emissions are giving less money to green projects with questionable climate benefits, following extensive criticism about corporate greenwashing, two new reports show.
Widespread concerns about the integrity of projects funded through the voluntary carbon market have led corporate polluters to increasingly support projects whose climate benefits have been verified by watchdog groups. The voluntary market lets corporations donate to independent efforts that slow climate change and claim their payments as emissions offsets to meet climate goals.
The shift to verified projects follows years of criticism that the corporations were funding projects with little climate benefit. The criticism spawned new companies and programs that score independent projects on their climate benefits, similar to how ratings agencies rate bonds to help guide corporate funders.
“Integrity considerations are playing a growing role in shaping demand across the market,” said an analysis by BeZero Carbon, a London-based firm that rates projects on their likelihood of cutting greenhouse gas emissions using an AAA to D scale.
