Integrity, Inclusion and Action at New York Climate Week 2024

The Integrity Council participated in New York Climate Week 2024, joining global leaders, corporate executives, and representatives of Indigenous Peoples and/or local communities and governments to engage in critical conversations about the future of carbon markets.

We were proud to co-host a flagship event, Accelerating Climate Action: Delivering High-Integrity Carbon Markets (AKA VCM Day), in partnership with Global Carbon Markets Utility (GCMU) and the Voluntary Carbon Markets Integrity Initiative (VCMI).

High level speakers from the Climate Vulnerable Forum, the US, Singapore, UK, Japanese, Beninese, Dominican, Brazilian, Mozambican, Nigerian, Ghanaian and Peruvian Governments, along with UNEP, the Nature Conservancy and more agreed on the importance of integrity, transparency and scaling impact. The event also shone a light on the urgency of putting Indigenous Peoples and/or local communities at the centre of the global effort to protect our planet’s ecosystems and to reduce and remove carbon emissions.

Discussions highlighted the essential role that high-integrity carbon markets must play in tackling the climate emergency. Speeches and panel discussions reaffirmed a simple but critical message: the building blocks of a high-integrity, reformed voluntary carbon market (VCM) are now firmly in place. Through the establishment of the Core Carbon Principles (CCPs), alongside VCMI’s work on credible corporate claims and GCMU’s aim to develop the necessary infrastructure to manage a standardised, transparent carbon market, the focus is now on what is needed to scale a high-integrity voluntary carbon market and deliver its potential climate impact.

New partnerships and commitments announced

During the VCM Day event, Annette Nazareth, Chair of the Integrity Council, announced a new partnership with the Africa Carbon Markets Initiative (ACMI) that will pave the way for high-integrity, scaled carbon markets across Africa. This partnership, combined with our collaboration with GCMU and VCMI, is helping to ensure that we build a globally connected, locally anchored market that delivers climate finance at the pace required to address the climate crisis.

In another significant announcement, the UK Government shared its intention to consult on reforms to strengthen the market, another key step toward restoring confidence in the VCM.

The heart of high-integrity carbon markets

One of the most powerful messages throughout VCM Day came from representatives of Indigenous Peoples and/or local communities, who stressed the vital role they play in safeguarding the planet’s ecosystems. Onel Masardule, Co-chair of the VCM Engagement Forum, underscored this when he shared that Indigenous Peoples manage 40% of the world’s intact landscapes. “Their rights and traditions must be respected,” he said, emphasising that Indigenous Peoples need to play an integral role in shaping the future of the VCM.

Read more from Onel in his blog post outlining the newly established priorities of the Engagement Forum, and why Indigenous Peoples and/or local communities must be at the heart of the reformed voluntary carbon market.

Francisco Souza, Indigenous Peoples member of the Integrity Council’s Board, also talked about Indigenous stewardship. He reminded attendees that despite representing just 5% of the world’s population, Indigenous Peoples are responsible for managing critical carbon sinks that play a pivotal role in mitigating climate change. Ensuring their voices are heard and their rights are protected is not just a moral imperative; it is essential to the long-term success of carbon markets.

Stella Napanu, a member of the Engagement Forum, added her perspective on the importance of inclusion, particularly for women. “We need to put money in the hands of women who make decisions, not just treat them as beneficiaries,” she said. “Empowering women through carbon finance is key to long-term success.”

The CCPs are designed to ensure that high-integrity carbon credits deliver both environmental and social benefits. This means engaging with Indigenous Peoples and/or local communities in a way that respects their knowledge, culture, and governance over their lands. Carbon projects must be designed in ways that protect Indigenous rights, redistribute benefits, and ensure access to inclusive finance models that support long-term sustainable development.

Speed, scale, and integrity

Transition credits were also in the spotlight – that is, carbon credits linked to national-level decarbonisation strategies. Amy Merrill, CEO of the Integrity Council, noted that transition credits could play a vital role in helping countries move away from fossil fuels while still safeguarding community rights and development priorities. She said, “Understanding carbon crediting in the context of national transition plans, along with ensuring sustainable development and social safeguards, will need to be key elements of transition credits moving forward.”

The day also saw fascinating discussions on the role of high-integrity carbon credits in accelerating the energy transition. Given the complexity of assessing additionality for deployment of renewable energy and the importance of ensuring fossil fuel phase out considers social impacts like jobs, the Integrity Council also shared that a new Continuous Improvement Work Programme (CIWP) will explore how carbon crediting could support a just transition away from fossil fuels.

Restoring confidence and building trust in carbon markets

Restoring confidence in carbon markets is crucial for their long-term success. It’s no secret that the VCM has faced scepticism, with concerns about the credibility and effectiveness of many projects. However, discussions during New York Climate Week made clear that a renewed sense of optimism has emerged, with speakers emphasising the importance of integrity-driven markets that can rebuild trust.

A critical component in restoring this confidence and trust is building a market that is both scalable and transparent. On a panel focused on transforming the carbon markets into an established financial market, leaders from regulatory bodies, financial institutions, exchanges and insurers explored the next steps required to deliver a high-integrity market.

Drawing on lessons from advanced financial markets, panellists emphasised how conventional market infrastructure and standards can benefit both suppliers and buyers. Nellie Liang, Under Secretary for Domestic Finance, U.S. Department of the Treasury, highlighted how the Integrity Council is simplifying the search process for credit quality by setting integrity floors through the CCPs. “A single CCP-Approved label that cuts across a wide range of methodologies and standards should make it easier for buyers and other market participants to assess and compare credits available for purchase,” she said.

In addition, Annette shared insights on the upcoming Continuous Improvement Work Programme (CIWP 7), which will explore how to build a robust and transparent market infrastructure. This initiative is set to drive the scaling of the market to achieve its full potential, while maintaining the high standards necessary to ensure lasting climate impact.

The future of the VCM – unlocking finance for nature and climate solutions

Speaking about the critical role that carbon markets play in financing nature-based solutions, such as reforestation and biodiversity conservation Annette said, “Carbon markets have the power to channel finance into sustainable projects that not only reduce emissions but also protect biodiversity and support local communities.”

This is particularly important for the Global South, where Indigenous Peoples and/or local communities are on the front lines of both climate change and biodiversity loss. By ensuring that carbon credits are grounded in integrity, the VCM can serve as a powerful mechanism to direct finance to these communities, creating both environmental and social benefits.

Annette reiterated that “integrity is not just a goal—it’s the linchpin for building a voluntary carbon market capable of delivering real climate outcomes at scale”.

A call to action: the role of integrity in scaling climate solutions

At the end of New York Climate Week, there was a clear message in terms of the voluntary carbon market: it is a critical tool in our response to the climate emergency, but it must be built on integrity and transparency if it is to succeed.

As Amy Merrill concluded in her closing speech, scaling the voluntary carbon market requires an “AND” approach:

• Independent AND international markets working together to drive net-zero goals for countries and companies.
• Reductions AND removals, nature AND technology, AND coal transition.
• Markets that are fair AND efficient.
• Corporate actions that REDUCE supply chain emissions AND INVEST in carbon credits.

This holistic, inclusive approach is key to building a market that is globally connected, yet locally anchored, with all actors pulling in the same direction. Together, we can continue to drive reforms, build scale, and unlock the finance needed to meet our global climate goals.

The path forward is clear: through strong standards, meaningful participation from Indigenous Peoples and/or local communities, and a commitment to social integrity, the VCM can become a powerful lever for both environmental and social good.

As we look ahead to the next steps for scaling the market, the Integrity Council will continue to lead the way in building a high-integrity voluntary carbon market that serves both people and the planet. Together, with our partners, we can scale the market to deliver real climate action and ensure that the benefits are shared equitably by all.

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The Integrity Council recognises Indigenous Peoples and / or local communities as different and distinct peoples with discreet rights and interests as expressed in international and national instruments, and in traditional laws.

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This post was updated on 8th October 2024.

Images from VCM Day, New York Climate Week 2024