Carbon Credit

CEWT Policy Note CRT-Specific Article 6 Authorisation Roadmap Purpose This policy note sets out a Carbon Recycling Technology (CRT)–specific roadmap for engagement under Article 6 of the Paris Agreement, aligned with the Article 6.4 Guidance (2025). The roadmap is designed to support host-country decision making, protect Nationally Determined Contribution (NDC) ambition, and enable progressive monetisation of high-integrity mitigation outcomes. Core Principle CRT is positioned as conditional-NDC infrastructure delivering baseload zero-emission energy through closed-loop carbon recycling. It is introduced through a staged authorisation pathway that prioritises national integrity, learning, and system confidence before international transfer. Phase 0 – National Positioning CRT is framed as a structural decarbonisation system rather than an offset activity. It supports conditional NDC achievement, long-term net-zero strategies, and energy security, without drawing on unconditional NDC targets. Phase 1 – Article 6.4 Activity Approval The host country approves CRT as an Article 6.4 activity under the Paris Agreement Crediting Mechanism. At this stage, no international transfer occurs and no corresponding adjustments apply. Phase 2 – Mitigation Contribution Units (MCUs) CRT-generated mitigation outcomes are issued as MCUs for domestic use, voluntary cancellation, or results-based climate finance. This phase enables early value creation while remaining NDC-neutral. Phase 3 – Partial Authorisation of A6.4ERs Following verified performance and demonstrated fossil fuel displacement, the host country may authorise a limited volume of A6.4ERs for specific international purposes. Corresponding adjustments apply only to the authorised share. Phase 4 – Full A6.4ER Authorisation CRT is recognised as conditional-NDC infrastructure, enabling full authorisation of A6.4ERs for international transfer as ITMOs, supporting buyer NDCs and compliance mechanisms such as CORSIA. Phase 5 – Policy and Sectoral Scaling CRT becomes eligible for inclusion in positive lists, sectoral or policy crediting approaches, supporting national-scale baseload decarbonisation. Conclusion This staged roadmap aligns with Article 6.4 best practice by avoiding overselling, safeguarding environmental integrity, and enabling host countries to progressively unlock international value from transformative infrastructure.