The International Emissions Trading Association (IETA) has revealed an update on the forthcoming launch of Climate Action Data Trust (CAD Trust), a decentralised metadata system that can link, aggregate and harmonise all major carbon market registry data.
The CAD Trust open-source metadata system will use distributed ledger technology to create a decentralised record of carbon market activity with the aim to avoid double counting, increase trust in carbon credit data and build confidence in carbon markets.
CAD Trust is a joint initiative of IETA, the World Bank and the Singapore government, along with a variety of governments and public and private organisations.
A number of countries and companies plan to use carbon markets to deliver their contributions to the Paris Climate Agreement. IETA’s review of the latest updates to Nationally Determined Contributions shows that about 80% are interested in using Article 6 trading provisions to meet their goals.
To use Article 6, countries must track and report on use of international credits through a registry system. The CAD Trust system will assist in promoting high-integrity systems and digital linkages.
An independent entity
CAD Trust evolved out of the Climate Warehouse, an initiative launched by the World Bank. For the past three years, the initiative has prototyped a series of simulations of the data system with partner governments, carbon crediting programmes and other organisations. The final prototype ended in August and work is now underway to prepare the data layer to go live.
The CAD Trust platform will go live in early December, when the public metadata layer will be widely available through https://climateactiondata.org
The Climate Action Data Trust will be an independent entity domiciled in Singapore. It is led by the Council that consists of government representatives and major carbon registries.
The official launch is planned to take place at the Asia Climate Summit which is being held in Singapore on the 7th to 8th of December.