VCMI’s revised Scope 3 proposal could distract from and delay immediate climate action

The NewClimate Institute opposes VCMI's revised Scope 3 Claim, which would allow companies to use carbon credits for up to 24% of their target emission levels until 2038. The Institute argues this mechanism risks enabling 'business-as-usual' scenarios, allowing companies to increase short-term emissions while maintaining ambitious-sounding targets, and disadvantaging 'front-runner' companies that invest in genuine value chain decarbonization. The document asserts that this proposal contradicts the direction of the Science Based Targets initiative (SBTi) and the recommendations of the UN High-Level Expert Group on the Net-Zero Emissions Commitments of Non-State Entities.

• The VCMI revised proposal suggests companies could use carbon credits for up to 24% of their target emission levels until 2038 to address the "emissions gap" between actual emissions and target trajectories. The NewClimate Institute argues this could mislead stakeholders and encourage the use of credits as an alternative to actual value chain emission cuts.
• The proposal may lead to a reduction in corporate climate ambition, potentially allowing companies to maintain targets that are critically insufficient for the 1.5°C goal or that essentially represent business-as-usual scenarios.
• The combination of the 24% flexibility allowance and VCMI's provision for non-linear pathways could allow companies to increase emissions in the short term (e.g., up to 2030) while still qualifying for the Scope 3 Claim, effectively delaying meaningful action.
• The mechanism could create a disincentive for 'first movers'—such as Volvo Group, Mars, and Iberdrola—who invest substantial resources in genuine decarbonization, by allowing laggard competitors to appear as though they are making similar progress.
• The VCMI proposal is viewed as inconsistent with the Science Based Targets initiative (SBTi) and the UN High-Level Expert Group, both of which emphasize that offsetting should not be used to achieve short- and medium-term emission reduction targets.

APA

NewClimate Institute (2024). VCMI’s revised Scope 3 proposal could distract from and delay immediate climate action. http://www.newclimate.org/news/vcmis-revised-scope-3-proposal-could-distract-from-and-delay-immediate-climate-action

Chicago

NewClimate Institute. VCMI’s revised Scope 3 proposal could distract from and delay immediate climate action. 2024. http://www.newclimate.org/news/vcmis-revised-scope-3-proposal-could-distract-from-and-delay-immediate-climate-action.

Wikipedia

{{cite press release |author=NewClimate Institute |title=VCMI’s revised Scope 3 proposal could distract from and delay immediate climate action |date=2 September 2024 |url=http://www.newclimate.org/news/vcmis-revised-scope-3-proposal-could-distract-from-and-delay-immediate-climate-action |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{newclimateinstitute2024vcmis, author = {{NewClimate Institute}}, title = {{VCMI’s revised Scope 3 proposal could distract from and delay immediate climate action}}, publisher = {NewClimate Institute}, year = {2024}, month = sep, url = {http://www.newclimate.org/news/vcmis-revised-scope-3-proposal-could-distract-from-and-delay-immediate-climate-action}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }