Climate projects that register with ICR must conform to all requirements depicted under the ICR Requirement Document and further the ICR Process Requirements. For accessibility, the lifecycle of a Climate project under the ICR follows these steps.
Review of available methodology: Project developers review available and approved methodology for applicability. Methodologies set out the details for quantification, implementation, and monitoring for different projects and sectors. Methodology approved by the Clean Development Mechanism, Verified Carbon Standard, and Gold Standard for the Global Goals are approved.
Methodology Review: If the proposed project hasn’t been approved, project developers need to go through a methodology review where ICR and an accredited validation and verification body review the methodology in question for conformity to requirements of ICR Requirements and the requirements of ISO 14064-2:2019. ICR promotes the development of new methodology irrespective of if it leads to avoidance or reduction in emissions or is a carbon removal.
Project Design Description: Utilizing approved methodology, the Project developers complete the project design description according to the methodology and the ICR requirements using an applicable template from ICR.
Early registration: During the design phase or when a validation body has been contracted, the Project developer can apply for early registration of the project in the registry. Before completing early registration, the Project developer needs to open an account with the registry. When projects have been early registered, they are listed in the registry as “in development” or “under validation” respectfully. Before completing early registration, the Project developer needs to open an account with the registry, pay applicable fees, and upload the project design description to the registry.
Project Validation: Project developers must have an accredited validation body to validate that the project conforms to all ICR requirements and applied methodology. The Project developer must upload a validation report to the registry.
Registration: When the Project design description has been validated, the project’s status can be updated to “registered.” Registration of projects initiates a project review by the ICR to ensure that all applicable documents are complete and signed where necessary. An eligible validation/verification body has completed the validation and/or verification, and mitigations have not been issued under another GHG program, etc.
Issuance of ICCs: ICR acknowledges the importance of funding projects to minimize associated costs, access to funding, and the possibility to scale climate methodologies/projects quickly. Therefore, project proponents may issue ICCs after projects are Validated and before mitigations are Verified. This may ease funding, facilitate climate actions, scale climate projects and provide market visibility and credibility to their projects. Note that ICCs are issued based on estimated mitigation outcomes and cannot be retired until verified.
Each ICC is assigned a unique serial number for traceability, i.e., status or when used as offsets. Project developers may hold, sell, transfer or retire ICCs at their discretion users of the registry are free to transfer ICCs between accounts at any time. A permanent record of each ICC can always be found in the registry, safeguarding transparency and preventing double accounting.
Ex-ante Issuance: Issuance allows for the issuance of 60% of estimated mitigation outcomes for the crediting period, notwithstanding ICCs demarcated for Adjustment Accounts. Ex-ante issuance without verification of mitigation outcomes can never be more than 60% of the total estimated volume in the Project description document. All ICCs that have not been verified for real mitigation outcomes are inactive and cannot be used to offset until activated.
Ex-post issuance: Ex-post issuance of ICCs is also permissible and as such can complete a full issuance and activation of ICCs simultaneous to Issuance according to findings of the verification report.
Project implementation: The project developer implements the project following the Project design description.
Project monitoring: Monitoring and calculations of mitigation outcomes are carried out following the monitoring plan. The Project developer must use applicable template for monitoring and upload periodically to the registry.
Verification of mitigation outcomes: All mitigation outcomes must be verified by an accreditated verification body.
Activation of ICCs: For each monitoring period or when the project developers apply for activation of ICCs, the project developer must submit the monitoring report to the registry accompanied with the verification report verifying the amount of ICRs qualified for activation. Subject to the verification findings, the project developer can issue the remaining 40% not issued at registration. If mitigation outcomes result in more/less than estimation in the Project design description remaining ICRs are issued accordingly.
End of Crediting Period: At the end of the crediting period, the project developer can apply for the continuance of crediting subject to validation that the project still confirms to then effective ICR requirements.