Isometric has entered the environmental attribute certificates market, aiming to build certification systems that support decarbonisation in high-emission industries like steel and cement.
Isometric has also entered the Environmental Attribute Certificates (EACs) market and has created certification mechanisms that could help with decarbonisation in industries like steel and cement. This has been driven by a growing need for financing instruments enabling emissions reductions without modifying the logistics of the business.
As part of its strategy, Isometric plans to act as a provider that would be able to cover carbon removal, superpollutant reduction, and EACs on one registry. The intention is to create an integrated platform for environmental claims across the board.
Environmental Attribute Certificates (EACs) are meant to detach environmental benefits from the goods through what is referred to as a “book and claim” instrument. Companies can buy verified emissions reduction associated with low-carbon material, but not necessarily use it to produce the actual material. It may become more popular due to a strong need for a reduction in emissions from steel and cement manufacturing.
Combined, the production of steel and cement accounts for 14 percent of all the emissions globally, making this sector key to industrial decarbonisation. Even though innovations like hydrogen steelmaking are already being explored, the implementation of such initiatives has been held back by the lack of financing.
EACs are among those tools being used in that regard. They provide an indirect way for funding of low-carbon manufacturing by creating an income source for producers who work on reducing emissions technologies. Some of the world's largest firms, like Microsoft, Meta, Amazon, and Google, were already using such instruments to finance the production of low-carbon materials.
On the other hand, EACs represent an unexplored area with poorly developed certification procedures. The lack of clear procedures to verify their environmental impact creates problems for potential users of those certificates. For its part, Isometric decided to fill the gap by developing appropriate certification standards and registry systems.
The company also works on creating certificate issuance, tracking, and retirement systems in line with newly emerging international standards. The said systems are supposed to help promote EACs' use in various industries, including the construction materials industry, fuels, and energy sectors.
That happens amid ongoing development of carbon markets and carbon-related instruments to help meet net-zero objectives. Environmental attribute certificates and similar schemes appear to be increasingly popular among those used to solve environmental issues in certain industries.
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