Toward a Tradable Low-Carbon Cement Standard: Policy Design Considerations for the United States

The document argues for a tradable low-carbon cement standard in the United States that uses emissions intensity benchmarks to reward low-carbon producers and penalize high-emitters. It suggests that such a targeted approach could be more effective than economy-wide carbon pricing for the cement sector. The proposed standard would cover Scope 1 and Scope 2 emissions of CO2, CH4, and N2O per unit of clinker and mineral additives. Key design recommendations include starting the benchmark slightly below current average intensity, tightening it annually, and implementing price floors and ceilings for credits. The author emphasizes that this standard must be part of a broader policy suite, including innovation and demand-stimulation policies, to fully decarbonize the cement-concrete value chain.

• A tradable low-carbon cement standard would use emissions intensity benchmarks to create financial incentives for decarbonization, rewarding companies that reduce intensity and requiring others to surrender credits.
• The proposed standard is intended to be more effective for the cement sector than economy-wide carbon pricing by providing targeted incentives for both existing abatement options and emerging technologies.
• The recommended emissions intensity metric should encompass direct (Scope 1) and indirect (Scope 2) emissions of carbon dioxide, methane, and nitrous oxide per unit of clinker and mineral additives.
• The standard's stringency should begin marginally below the current average emissions intensity and be tightened annually, with the rate of decline updated every five years to align with global climate goals like holding warming to 1.5°C.
• A low-carbon cement standard alone is insufficient for full sector decarbonization; it requires complementary policies to address innovation, financial barriers, and market demand across the cement-concrete value chain.

APA

World Resources Institute (n.d.). Toward a Tradable Low-Carbon Cement Standard: Policy Design Considerations for the United States. https://www.wri.org/research/toward-tradable-low-carbon-cement-standard-policy-design-considerations-united-states

Chicago

World Resources Institute. Toward a Tradable Low-Carbon Cement Standard: Policy Design Considerations for the United States. n.d. https://www.wri.org/research/toward-tradable-low-carbon-cement-standard-policy-design-considerations-united-states.

Wikipedia

{{cite report |author=World Resources Institute |title=Toward a Tradable Low-Carbon Cement Standard: Policy Design Considerations for the United States |url=https://www.wri.org/research/toward-tradable-low-carbon-cement-standard-policy-design-considerations-united-states |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldresourcesinstitutendtoward, author = {{World Resources Institute}}, title = {{Toward a Tradable Low-Carbon Cement Standard: Policy Design Considerations for the United States}}, institution = {World Resources Institute}, url = {https://www.wri.org/research/toward-tradable-low-carbon-cement-standard-policy-design-considerations-united-states}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }