Guidance on Voluntary Use of Nature-based Solution Carbon Credits Through 2040
Summary
The World Resources Institute (WRI) outlines a framework of ten 'guard rails' to ensure that the voluntary use of nature-based solution (NBS) carbon credits supports the 1.5°C warming limit and protects biodiversity and human rights. The guidance distinguishes between using credits to 'counterbalance' unabated emissions—which requires a science-based reduction pathway—and using them to 'contribute' to a jurisdiction's climate mitigation. WRI emphasizes a shift from project-level to jurisdictional-scale REDD+ credits and mandates transparent reporting aligned with the Greenhouse Gas Protocol.
Key insights
- WRI establishes two primary categories for the credible use of NBS credits generated outside an organization's value chain: 'counterbalancing' annual unabated emissions for organizations on a science-based pathway, and 'contributing' to a specific jurisdiction's climate mitigation without offsetting the organization's own emissions.
- To ensure environmental and social integrity, WRI recommends ten 'guard rails' divided into supply-side, demand-side, and transaction categories. Supply-side rails require that credits ensure environmental integrity, respect human rights, and provide a net gain to biodiversity.
- Organizations using NBS credits to counterbalance emissions must be on a transparent mitigation pathway aligned with limiting warming to 1.5°C, validated by the Science Based Targets Initiative (SBTi) or an equivalent body, ensuring credits supplement rather than replace internal emissions reductions.
- The guidance advocates for a rapid transition from project-level carbon credits to jurisdictional-scale REDD+ credits, which better incentivize government-level policy reform and the recognition of Indigenous rights.
- Organizations are advised to prioritize high-quality emissions reduction credits over removal credits (such as reforestation) in regions where deforestation is still occurring unabated.
- Reporting requirements for organizations include the separate disclosure of all scope 1, 2, and 3 emissions, any removals, and the specific volume and type of NBS credits traded, following the Greenhouse Gas Protocol.
- Regarding transaction integrity, organizations should use credits from programs with strong governance and transparently report whether credits are backed by host country corresponding adjustments to avoid double claiming.
Cite the original document
- APA
- Bhatia, P., Cummis, C., Moss, K., & Warman, J. (2022). Guidance on Voluntary Use of Nature-based Solution Carbon Credits Through 2040. World Resources Institute. https://www.wri.org/technical-perspectives/guidance-voluntary-use-nature-based-solution-carbon-credits-through-2040
- Chicago
- Bhatia, Pankaj, Cynthia Cummis, Kevin Moss, and Javier Warman. Guidance on Voluntary Use of Nature-based Solution Carbon Credits Through 2040. World Resources Institute, 2022. https://www.wri.org/technical-perspectives/guidance-voluntary-use-nature-based-solution-carbon-credits-through-2040.
- Wikipedia
- {{cite report |last1=Bhatia |first1=Pankaj |last2=Cummis |first2=Cynthia |last3=Moss |first3=Kevin |last4=Warman |first4=Javier |title=Guidance on Voluntary Use of Nature-based Solution Carbon Credits Through 2040 |publisher=World Resources Institute |date=2 June 2022 |url=https://www.wri.org/technical-perspectives/guidance-voluntary-use-nature-based-solution-carbon-credits-through-2040 |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{bhatia2022guidance, author = {Bhatia, Pankaj and Cummis, Cynthia and Moss, Kevin and Warman, Javier}, title = {{Guidance on Voluntary Use of Nature-based Solution Carbon Credits Through 2040}}, institution = {World Resources Institute}, year = {2022}, month = jun, url = {https://www.wri.org/technical-perspectives/guidance-voluntary-use-nature-based-solution-carbon-credits-through-2040}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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