A carbon project in the Amazon is under investigation. Some companies reaped the benefits anyway

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🗞️ Driving the news: Mastercard, BlackRock, and Philip Morris International used carbon credits from a suspended Amazon forestry project to offset emissions, despite the project being under investigation for legal issues
• These credits were retired even after the project’s suspension raised concerns about its validity.

🔭 The context: The Pacajai REDD+ Project, which had been offering carbon credits for forest protection in the Amazon, was suspended in September 2023 due to disputes over land ownership and environmental benefits
• Despite this, several companies, including Mastercard, BlackRock, and Philip Morris, retired credits from the project, raising questions about the credibility and integrity of the carbon credit market

🌍 Why it matters for the planet: The controversy surrounding these carbon credits highlights ongoing issues in the carbon offset market, where projects may not always deliver promised environmental benefits
• The use of questionable credits undermines trust in climate initiatives and risks delaying the transition to real, effective solutions for reducing emissions and protecting ecosystems

⏭️ What’s next: As the investigation continues, companies may need to reassess their reliance on carbon credits from projects with uncertain outcomes
• This case could spark further scrutiny of carbon credit standards and lead to calls for stronger regulation in the market to ensure environmental integrity

💬 One quote: “The evidence suggests the system is not working as portrayed.” — Rachel Rose Jackson, director of climate research at Corporate Accountability

📈 One stat: More than 7.3 million of the 10.1 million Pacajai credits issued have been retired, but questions remain about their validity

See on illuminem's Data Hub™ the sustainability performance — carbon credit purchases, total emissions, and climate targets of thousands of companies

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