ENVIRONMENTAL ASSET TYPES
Restorationkeyboard_arrow_up
Restoration projects, focused on carbon removals, utilize methodologies like Afforestation, Reforestation, and Revegetation (ARR) to restore degraded forests or cropland, transforming them into functioning forest ecosystems. These projects generate carbon credits by removing greenhouse gases, a process highly valued in the carbon market. The emphasis on revitalizing degraded landscapes makes these credits some of the most sought-after in the market.
Conservationkeyboard_arrow_up
Conservation projects focus on existing but vulnerable forests, generating REDD+ (Reducing Emissions from Deforestation and Forest Degradation) credits or other avoided deforestation credits. These projects incentivize the protection of remaining forests by assigning financial value to intact ecosystems, helping to prevent significant release of greenhouse gas emissions, and playing a critical role in climate change mitigation.
Improved Forest Managementkeyboard_arrow_up
Improved Forest Management (IFM) methodologies, within the context of forest conservation, aim to prevent logging and conserve forests that might otherwise face degradation and biodiversity loss due to timber extraction. By halting planned timber harvests and converting legacy logging concessions, IFM projects significantly reduce greenhouse gas emissions. They produce two types of credits: removals, for the restoration of degraded forests, and reductions, for conserving existing forests. IFM projects sit at a unique place in the market, reflecting the nature of dual impact.
Wetland Restoration and Conservationkeyboard_arrow_up
Wetland Restoration Credits (WRC) are created through the rehabilitation of degraded wetlands, such as peatlands and mangroves, which are highly efficient at storing carbon. These ecosystems are able to sequester large amounts of carbon in their soils and vegetation while offering additional benefits like biodiversity protection, and flood control. By rewetting drained wetlands or rehabilitating degraded areas, WRC projects prevent carbon emissions from decomposition and enhance carbon capture, making WRCs a valuable tool in combating climate change.