New Climate Certificates Aim to Reshape Industrial Decarbonization
- $30 billion: The global Renewable Energy Certificates (RECs) market in 2025, demonstrating the scale of existing environmental attribute markets. - New EACs: Environmental Attribute Certificates for low-carbon materials like green steel and sustainable aviation fuel, enabling companies to claim verified climate benefits without direct sourcing. - Facility-level data: Certificates rely on rigorous life cycle assessments (LCAs) and production data to ensure integrity and prevent double-counting.
Experts view this certification framework as a promising market-based solution to accelerate industrial decarbonization by addressing supply chain barriers and enhancing the financial viability of low-carbon materials, though its success will depend on broad adoption and trust in its methodology.
New Climate Certificates Aim to Reshape Industrial Decarbonization
By Jennifer Anderson
SAN FRANCISCO, CA – February 17, 2026 – A novel attempt to accelerate industrial decarbonization was unveiled today as Absolute Climate, a standards developer for climate technology, launched a new certification framework that transforms the measured climate benefits of low-carbon products into tradable assets.
The system allows companies to purchase and claim the verified environmental benefits of materials like green steel or sustainable aviation fuel, even if they cannot physically procure the products themselves. This is accomplished through a new class of Environmental Attribute Certificates (EACs), a mechanism designed to overcome persistent supply chain barriers and inject much-needed capital into the production of sustainable materials.
“Demand for low-carbon products and services is real, but access isn’t,” said Peter Minor, CEO of Absolute Climate, in a statement accompanying the launch. “This pathway turns measured, product-level climate benefits into something companies can actually use, even when direct sourcing isn’t possible, without diluting integrity or blurring the line between reductions and removals.”
The initiative steps into a global market grappling with the immense challenge of decarbonizing heavy industry and complex supply chains, offering a market-based solution that aims to make climate action more accessible and financially viable.
A New Currency for Carbon Reduction
The concept of Environmental Attribute Certificates is not new. The global energy sector has long relied on them in the form of Renewable Energy Certificates (RECs), which represent the environmental attributes of one megawatt-hour of electricity generated from a renewable source. This established market, valued at nearly $30 billion in 2025, allows companies to meet renewable energy goals by purchasing certificates separate from the physical electricity.
Absolute Climate is now applying this same logic of decoupling the environmental attribute from the physical commodity to tangible goods. Under the new framework, a manufacturer producing concrete with a significantly lower carbon footprint can have that emissions reduction verified and certified. While the physical concrete is sold locally, the certificate representing its climate benefit can be sold to a company anywhere in the world. That buyer can then exclusively claim the benefit as part of its own emissions reduction strategy, known as Scope 3 or supply chain emissions.
This model directly addresses common logistical hurdles. Many organizations seeking to use low-carbon materials are stymied by limited regional supply, project timelines that don't align with production schedules, or a lack of control over procurement decisions made by contractors and suppliers. By creating a transferable certificate, the framework allows companies to support and claim credit for decarbonization efforts regardless of their geographical location or direct involvement in a specific supply chain.
For producers of low-carbon materials, this creates a new revenue stream. The ability to sell EACs can improve the financial calculus for investing in greener production technologies, helping these suppliers secure financing and scale their operations more quickly.
Building Trust in a Skeptical Market
The launch arrives at a time of intense scrutiny for all forms of environmental claims. The voluntary carbon market has been plagued by concerns over greenwashing, the integrity of carbon credits, and the challenge of proving that a claimed climate benefit is real, permanent, and not double-counted. Recognizing this, Absolute Climate has built its announcement around the pillars of integrity and transparency.
The company states its certification process relies on facility-level production data and rigorous life cycle assessments (LCAs) to quantify the climate benefit against an industry baseline. Certificates are only issued after the physical product has been produced and entered the supply chain. To combat the critical issue of double-counting, each EAC will be tracked on partner registries to ensure a claim is made only once.
This focus on robust Measurement, Reporting, and Verification (MRV) is crucial for gaining market trust. It mirrors the best practices of established carbon standards like Verra and Gold Standard, which rely on independent verification and public registries to maintain credibility. Absolute Climate also emphasizes its role as an independent standards developer, claiming to separate the process of setting rules from participating in the market—a governance structure intended to prevent conflicts of interest.
Furthermore, the framework makes a clear distinction between emissions reductions and carbon removals. The EACs for low-carbon materials represent a reduction in emissions within an industrial system, a fundamentally different impact than technologies designed to actively remove existing carbon dioxide from the atmosphere. This clarity is vital for companies making precise and defensible climate claims.
“Decarbonization won’t happen when limited data makes it difficult to make strong, credible claims. The reward isn’t enough to overcome the risk,” Minor added. “Our certification approach fixes that by tying every claim to measured evidence and making sure it’s used once, and used correctly.”
Unlocking Green Potential in Heavy Industry
The true test of the new framework will be its adoption within hard-to-abate sectors like cement, steel, and aviation. These industries are foundational to the global economy but are also among the most significant sources of greenhouse gas emissions and have limited, expensive decarbonization options.
By creating a tradable asset from verified emissions reductions, the EACs could provide the financial incentive needed to accelerate the deployment of innovative technologies. A steel mill investing in hydrogen-based production or a cement plant implementing carbon capture could monetize the resulting emissions savings, helping to offset the high capital costs.
This approach aligns with a broader global trend toward creating standardized, verifiable units of climate action. The European Union, for example, is developing its own Carbon Removal Certification Framework (CRCF), which will also certify carbon stored in products like wood construction materials. These initiatives signal a move toward a more sophisticated and regulated market for a variety of climate outcomes.
While the potential is significant, the path forward will require navigating considerable complexity. The framework's success will depend on broad acceptance of its methodology, seamless integration with various corporate and national emissions accounting standards, and the willingness of major industrial players and corporate buyers to participate. The market will be watching closely to see if this new financial tool can truly help forge a more sustainable industrial future.
