BeZero launches new tool to help buyers construct risk-adjusted and credible net zero strategies
BeZero Carbon has today launched a new carbon credit portfolio construction tool, enabling customers to develop credible net zero strategies by making risk-adjusted carbon claims.
The tool allows customers to understand risk across their carbon credit portfolios, and helps them understand how many credits they need to purchase or retire to make legitimate tonne-based claims.
BeZero Carbon is now the only ratings agency in the voluntary carbon market (VCM) to provide an end-to-end toolkit to allow customers to assess risk at any stage in a project’s lifecycle.
Carbon ratings agency BeZero Carbon has today launched a new risk-adjusted portfolios tool, to help customers construct credible carbon credit strategies that align with their net zero priorities. BeZero Carbon is now the only ratings agency in the VCM to offer an end-to-end assessment of quality at any stage of a carbon credit project’s lifecycle, and across any sector, thanks to its suite of products launched this year.
The tool implements BeZero’s first-of-its-kind discounting methodology. It enables customers to examine their carbon credit portfolios, and calculate how many credits of a given quality they’d need to purchase or retire to make credible tonne-based carbon offset or reduction claims. This is vital to help the VCM reach its full potential and scale - it provides end-buyers with greater confidence in the use of carbon credits in their net zero strategies, helping them better understand the over-purchasing factor needed to make quantitative carbon claims.
This is just the latest launch from BeZero Carbon to create a full-service carbon risk toolkit capable of assessing projects from origination to retirement. Last month, BeZero Carbon launched its Scorecard, an industry-first tool which helps buyers self-assess carbon risk, helping screen early stage and live projects they are interested in.
This followed the launch of BeZero’s first ever public ex ante rating (of a project yet to issue any credits). With the primary carbon market attracting approximately three to five dollars for every dollar invested in the secondary market, ex ante ratings are a crucial tool to increase investor confidence and better understand project risk at the early stages of development.
These new products complement the ex post BeZero Carbon rating, launched in 2022. Headline ratings are hosted free to all on the BeZero website, and to date BeZero has assessed more than 360 projects worldwide to determine their likelihood of avoiding or removing a tonne of carbon.
Sebastien Cross, co-founder and Chief Innovation Officer at BeZero Carbon said:
“The voluntary carbon market continues to evolve rapidly and we’re proud to be providing ongoing innovation to support this. Our end-to-end toolkit enables market participants to understand and manage risk from the inception of a project to the point its credits are retired. This tool specifically helps bridge the gap between the credits on offer in the market and the tonne-based claims buyers are seeking to make.”