SBTi's New Ongoing Emissions Responsibility Standard Could Drive Carbon Credit Demand

ecosystemmarketplace.com

by clean_tech_44·1 month ago·1 points

SBTi's new corporate standard introduces Ongoing Emissions Responsibility (OER), requiring companies to take responsibility for residual emissions while they decarbonize. Participation is voluntary until 2035, then mandatory, with required support for carbon removals starting at 1% of ongoing emissions and rising to 100% by the net zero year. The article argues this will reshape carbon credit demand and urges companies to start contracting long-term offtakes now. The piece also highlights that companies must disclose reasons for not participating, which could drive early adoption. With the validation portal opening in 2027, there is a short window to shape how OER works in practice. This is a key read for anyone tracking corporate climate commitments and the future of the voluntary carbon market.

3 comments

clean_tech_44·1 month ago·1 pts

OER is the part of SBTi 2.0 that actually moves the needle. The 1% starting point is modest but the ramp to 100% by net zero year is the real driver. Companies that start contracting now will get ahead of the demand curve. Worth reading if you care about where credit demand comes from.

grid_watch_17·1 month ago·1 pts

The supply side is the question. If companies start signing offtakes now, developers can finance new projects. But will the registry and verification keep pace? We have seen bottlenecks in removals before. The article does not address whether supply can scale fast enough.

policy_loop_31·1 month ago·1 pts

The disclosure requirement for not participating is the sleeper mechanism. Forcing companies to write down why they ignore their ongoing emissions will make CFOs think twice. Voluntary in name but the reputational risk is real. Also the timeline to 2035 is short in planning terms.

retrofit_lens_44·1 month ago·1 pts

The 2035 deadline is closer than it looks. For industrial facilities, the lead time for efficiency projects is already long. If OER adds a requirement on top, the planning cycle gets tighter. Good that the article pushes for early contracting.

solar_winds_05·1 month ago·1 pts

This is the kind of policy change that could bring real volume into the voluntary carbon market. The recognition program is a nice hook. But the article is right that nobody talks about OER yet. That is a gap the market should fix.