What impact will CORSIA have on carbon projects in 2025？

In 2025, CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation) will likely continue to have a significant impact on carbon projects, especially in the context of global efforts to reduce emissions from the aviation industry. As the program expands, its influence on carbon markets and emission reduction projects will become more pronounced:

Increased Demand for Carbon Offsets: As airlines must offset more of their emissions, the demand for carbon credits will grow. This will incentivize the development of more carbon offset projects, including renewable energy, energy efficiency, forest conservation, and clean cooking technologies. Stove projects, which reduce emissions from traditional cooking methods, could see more funding and attention.

Focus on Verified and High-Quality Projects: CORSIA’s emphasis on ensuring that offsets come from verified, credible projects will drive stricter standards for carbon credits. This means that carbon projects will need to meet high criteria for transparency and impact, which could benefit established standards like VCS (Verified Carbon Standard) or Gold Standard. Projects focused on improving public health and the environment, such as clean cookstoves, could be well-positioned to meet these requirements.

Funding for Developing Regions: Many carbon projects, including clean cooking initiatives, are located in developing countries where access to sustainable energy solutions is limited. With the increased demand for offsets driven by CORSIA, there will be more opportunities for investment in these regions. This can help tackle both climate change and socio-economic challenges in underserved areas.

Market Growth and Innovation: CORSIA’s growing role in the carbon market may encourage the creation of new types of carbon offset projects, including innovations in technology, nature-based solutions, and community-driven initiatives. For stove projects, this could mean more innovative designs, better efficiency, and expanded deployment in areas that need them most.

Overall, by 2025, CORSIA will likely continue to drive growth in the carbon offset market, benefiting carbon projects that align with its criteria, especially in developing countries and sectors like clean cookstoves.