¶¶ÒùÊÓƵ

Language selection

Search

Directive on the Eligibility of Carbon Credits for International Development Assistance

Section 1: Purpose

The purpose of the Directive on the Eligibility of Carbon Credits is to provide guidance on eligible expenses and on the eligibility criteria for recipient organizations in the context of projects funded through ¶¶ÒùÊÓƵ (GAC) International Development Assistance (IDA).

Section 2: Application and effective date

The Directive is effective as of August 1, 2023, and applies to all new IDA grant and contribution agreements signed by GAC on or after this date.
For all grant and contribution agreements signed before August 1, 2023, the Directive applies provided that the carbon credit costs do not lead to an increase in the budget’s travel section that exceeds the flexibility indicated in the approved agreement/arrangement.

Section 3: Amendments

GAC may amend the Directive’s provisions at any time as a result of changes in GAC policies and/or procedures. Advance notice of 30 days will be given to organizations that have an active agreement with GAC.

Section 4: General rules

Consistency: This Directive should be applied consistently across all GAC-funded projects.

Integrity: Claimed expenses must cover expenses actually incurred, they must be reasonable and in accordance with the terms and conditions of the GAC grant and/or contribution agreement, and they must meet the requirements outlined in this Directive.

Reciprocity: The organization is encouraged to develop an internal policy to reduce greenhouse gas (GHG) emissions and develop an internal budget envelope to purchase carbon credits for projects that are not funded through GAC’s IDA.

Value for money: The organization must establish procedures and processes for the procurement of carbon credits that are documented and transparent in order to ensure cost-competitiveness.

Prioritizing alternatives: The organization must contribute to reducing GHG emissions relating to air travel by prioritizing virtual meetings and choosing travel by bus and/or train for short distances when possible and appropriate, depending on the project.

Section 5: Eligibility and criteria

Carbon credits are only eligible for air travel for eligible activities in the context of projects funded through GAC’s IDA.

Carbon credits are eligible only if the following three conditions are met:

Notice: Organizations must procure carbon credits from registered organizations and/or where the offset activities are carried out in a country that is eligible for IDA, with a preference for the developing country where project activities are carried out.

Remarks

Report a problem on this page
Please select all that apply:

Thank you for your help!

You will not receive a reply. For enquiries, please .

Date modified: