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Commission proposal
for a Carbon Removal
Certification (CRC) Regulation
Why carbon removals?
GHG projections for climate neutrality
1990 GHG emissions = 100
Source: EU 2030 Climate Target Plan
Drastically
reduce
emissions
Roughly
double
carbon
removals
Climate
neutrality
The policy context
• EU objective of climate neutrality by 2050
Climate Law
• ambitious target for net carbon removals in soils, forests and wood
products: -310 Mtonnes by 2030
Land Use, Land Use Change and Forestry (LULUCF) Regulation
• roadmap to enable carbon removals:
• carbon farming should contribute to 2030 target for LULUCF
• industrial solutions should remove at least -5 Mtonnes in 2030
Communication on Sustainable Carbon Cycles
To become climate neutral, deep
and drastic emissions cuts will
always be the core of our efforts.
But it is impossible to bring all of
our emissions down to zero. So
we will need carbon removals
as well, through technology or
natural carbon sinks.
Executive Vice-President Frans
Timmermans
Press conference 30th November 2022
Different types of carbon removal activities
PERMANENT STORAGE CARBON FARMING
CARBON STORAGE IN
PRODUCTS
E.g. Bioenergy with Carbon
Capture and Storage (BECCS),
Direct Air Carbon Capture and
Storage (DACCS)
E.g. Af-/re-forestation, improved
forest management,
agroforestry, soil carbon
sequestration, peatland
restoration
E.g. Use of wood-based
materials in construction, long-
lasting Carbon Capture and
Utilisation (CCU)
Why certify carbon removals?
Incentivising high-quality carbon removals
Tailored certification methodologies
Fighting greenwashing & build trust
Harmonise market conditions
From objectives to
the legal proposal
Incentivising high-
QU.A.L.ITY carbon removals
TAILORED certification
methodologies
Fighting greenwashing &
build TRUST
HARMONISATION of market
conditions
Legislative Proposal
1: Scope
2: Definitions
3:Eligibility
Art. 4-8: Quality criteria
4: Quantification
5: Additionality
6: Long-term storage
7: Sustainability
8: Certification methodologies
Art. 9-14: Certification &
Certification schemes
Art. 15-18: Final provisions
9: Certification of compliance
10: Operation of certification bodies
11: Operation of certification schemes
12: Registries
13: Recognition by the Commission
14: Reporting
Art. 1-3: General provisions
QU.A.L.ITY criteria for all carbon removals
QUANTIFICATION ADDITIONALITY LONG-TERM STORAGE SUSTAINABILITY
Carbon removal activities are
measured accurately and
deliver unambiguous benefits
for the climate
Carbon removal activities go
beyond market practices and
what is legally required
Certificates clearly account for
the duration of carbon storage
and distinguish permanent
storage from temporary
storage
Carbon removal activities do
not harm the environment or
even benefit other
environmental objectives such
as biodiversity
To operationalise the EU quality criteria, the
Commission, supported by an expert group, will
develop tailored certification methodologies
for the different types of carbon removal activities
Requirements for certification
THIRD-PARTY
VERIFICATION
RELIABLE
CERTIFICATION
SCHEMES
PUBLIC REGISTRIES
OF CARBON
REMOVALS
Carbon removal activities
should be verified by
independent auditors
Certification schemes should
have a trustworthy
governance system in place
Carbon removals should be
recorded in interoperable
registries to avoid double-
counting
The Commission will recognise certification
schemes that should be used by operators to
demonstrate compliance with the Regulation
How does it work?
EU develops
methodologies
& recognises
certification
schemes
Operators
join an
EU-recognised
certification
scheme
Certified carbon
removals are
recorded in
registries
Third-party
verification of
the activity
The activity is
periodically
certified
Timeline
Based on the EU QU.A.L.ITY
framework, the Commission,
supported by an expert group,
develops tailored
certification methodologies
for the different types of
carbon removal activities.
Then, certification schemes
will certify carbon removal
activities through third-party
verification. The certificates will
be published in transparent and
interoperable registries to avoid
double-counting.
Co-decision process with
European Parliament and
Council starts after adoption of
the proposal (30th November
2022)
How can the CRC Regulation can be used?
Public support
• Achieve climate
targets, e.g.
LULUCF, Nature
Restoration Law
• Targeted support
under CAP,
State Aid,
Innovation
Fund…
Private financing
• Supply chain
contracts
• Improve
transparency
and integrity of
voluntary carbon
markets
• No link with the
EU ETS
Fight
greenwashing
• Corporate
Sustainability
Reporting
• Green claims
LINKS
• Proposal: https://climate.ec.europa.eu/document/fad4a049-ff98-476f-b626-b46c6afdded3_en
• Impact Assessment: https://climate.ec.europa.eu/document/ab53e63b-4b85-4d28-ac67-
6bd742506bae_en
• Press release: Commission proposes certification of carbon removals (europa.eu)
• Q&A: https://ec.europa.eu/commission/presscorner/detail/en/qanda_22_7159
• Factsheet: https://ec.europa.eu/commission/presscorner/detail/en/fs_22_7161
• More information on Sustainable Carbon Cycles: https://ec.europa.eu/clima/eu-action/forests-
and-agriculture/sustainable-carbon-cycles_en
• Delivering the European Green Deal: https://ec.europa.eu/info/strategy/priorities-2019-
2024/european-green-deal/delivering-european-green-deal_en
Useful links

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Commission proposal for a Carbon Removal Certification (CRC) Regulation

  • 1. Commission proposal for a Carbon Removal Certification (CRC) Regulation
  • 2. Why carbon removals? GHG projections for climate neutrality 1990 GHG emissions = 100 Source: EU 2030 Climate Target Plan Drastically reduce emissions Roughly double carbon removals Climate neutrality
  • 3. The policy context • EU objective of climate neutrality by 2050 Climate Law • ambitious target for net carbon removals in soils, forests and wood products: -310 Mtonnes by 2030 Land Use, Land Use Change and Forestry (LULUCF) Regulation • roadmap to enable carbon removals: • carbon farming should contribute to 2030 target for LULUCF • industrial solutions should remove at least -5 Mtonnes in 2030 Communication on Sustainable Carbon Cycles
  • 4. To become climate neutral, deep and drastic emissions cuts will always be the core of our efforts. But it is impossible to bring all of our emissions down to zero. So we will need carbon removals as well, through technology or natural carbon sinks. Executive Vice-President Frans Timmermans Press conference 30th November 2022
  • 5. Different types of carbon removal activities PERMANENT STORAGE CARBON FARMING CARBON STORAGE IN PRODUCTS E.g. Bioenergy with Carbon Capture and Storage (BECCS), Direct Air Carbon Capture and Storage (DACCS) E.g. Af-/re-forestation, improved forest management, agroforestry, soil carbon sequestration, peatland restoration E.g. Use of wood-based materials in construction, long- lasting Carbon Capture and Utilisation (CCU)
  • 6. Why certify carbon removals? Incentivising high-quality carbon removals Tailored certification methodologies Fighting greenwashing & build trust Harmonise market conditions
  • 7. From objectives to the legal proposal Incentivising high- QU.A.L.ITY carbon removals TAILORED certification methodologies Fighting greenwashing & build TRUST HARMONISATION of market conditions Legislative Proposal 1: Scope 2: Definitions 3:Eligibility Art. 4-8: Quality criteria 4: Quantification 5: Additionality 6: Long-term storage 7: Sustainability 8: Certification methodologies Art. 9-14: Certification & Certification schemes Art. 15-18: Final provisions 9: Certification of compliance 10: Operation of certification bodies 11: Operation of certification schemes 12: Registries 13: Recognition by the Commission 14: Reporting Art. 1-3: General provisions
  • 8. QU.A.L.ITY criteria for all carbon removals QUANTIFICATION ADDITIONALITY LONG-TERM STORAGE SUSTAINABILITY Carbon removal activities are measured accurately and deliver unambiguous benefits for the climate Carbon removal activities go beyond market practices and what is legally required Certificates clearly account for the duration of carbon storage and distinguish permanent storage from temporary storage Carbon removal activities do not harm the environment or even benefit other environmental objectives such as biodiversity To operationalise the EU quality criteria, the Commission, supported by an expert group, will develop tailored certification methodologies for the different types of carbon removal activities
  • 9. Requirements for certification THIRD-PARTY VERIFICATION RELIABLE CERTIFICATION SCHEMES PUBLIC REGISTRIES OF CARBON REMOVALS Carbon removal activities should be verified by independent auditors Certification schemes should have a trustworthy governance system in place Carbon removals should be recorded in interoperable registries to avoid double- counting The Commission will recognise certification schemes that should be used by operators to demonstrate compliance with the Regulation
  • 10. How does it work? EU develops methodologies & recognises certification schemes Operators join an EU-recognised certification scheme Certified carbon removals are recorded in registries Third-party verification of the activity The activity is periodically certified
  • 11. Timeline Based on the EU QU.A.L.ITY framework, the Commission, supported by an expert group, develops tailored certification methodologies for the different types of carbon removal activities. Then, certification schemes will certify carbon removal activities through third-party verification. The certificates will be published in transparent and interoperable registries to avoid double-counting. Co-decision process with European Parliament and Council starts after adoption of the proposal (30th November 2022)
  • 12. How can the CRC Regulation can be used? Public support • Achieve climate targets, e.g. LULUCF, Nature Restoration Law • Targeted support under CAP, State Aid, Innovation Fund… Private financing • Supply chain contracts • Improve transparency and integrity of voluntary carbon markets • No link with the EU ETS Fight greenwashing • Corporate Sustainability Reporting • Green claims
  • 13. LINKS
  • 14. • Proposal: https://climate.ec.europa.eu/document/fad4a049-ff98-476f-b626-b46c6afdded3_en • Impact Assessment: https://climate.ec.europa.eu/document/ab53e63b-4b85-4d28-ac67- 6bd742506bae_en • Press release: Commission proposes certification of carbon removals (europa.eu) • Q&A: https://ec.europa.eu/commission/presscorner/detail/en/qanda_22_7159 • Factsheet: https://ec.europa.eu/commission/presscorner/detail/en/fs_22_7161 • More information on Sustainable Carbon Cycles: https://ec.europa.eu/clima/eu-action/forests- and-agriculture/sustainable-carbon-cycles_en • Delivering the European Green Deal: https://ec.europa.eu/info/strategy/priorities-2019- 2024/european-green-deal/delivering-european-green-deal_en Useful links