What are the regulations of the voluntary carbon credit?

Q: What are the regulations of the voluntary carbon credit?

The Voluntary Carbon Market lacks government regulation and is currently governed by non-profit organizations and Net Zero protocols. France has established certain criteria for the quality and use of carbon credits.

Regulations of the voluntary carbon credit explained

Below are all the questions about Carbon markets: EU-ETS and Voluntary Carbon Market, regulations, rules for qualitative carbon credits, difference between avoidance and removal carbon credits and more!

The Voluntary Carbon Market currently lacks regulation by any governmental entities. The rules are established by non-profit organizations such as the Integrity Council for the Voluntary Carbon Market (ICVCM) and the Voluntary Carbon Market Initiative (VCMI).

Additionally, some Net Zero protocols, such as the Science-Based Targets Initiative (SBTi) and Carbon Trust, establish their own regulations on the acceptance of carbon credits. These criteria largely align with the guidelines outlined by the ICVCM.

Finally, some countries are beginning to define laws concerning the quality and usage of carbon credits. Notably, in France, the "Code de l'Environnement" and the "Decret de loi sur la compensation carbone et les allégations de loi sur la neutralité carbone" establish certain criteria.