The Voluntary Carbon Markets Integrity Initiative (VCMI) has introduced a new Code of Practice aimed at helping companies confront one of the most complex challenges in environmental reporting: reducing Scope 3 emissions across their value chains.
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The Scope 3 Action Code of Practice outlines a framework for businesses to identify and address their emissions gaps, particularly those resulting from activities not directly under their control, such as supplier operations or product use. These emissions are typically the most difficult to track and mitigate, but they represent a significant portion of a company’s overall carbon footprint.
VCMI, known for its role in setting integrity standards on the demand side of the voluntary carbon market, underscores the urgency of action. ‘Corporate Scope 3 emissions are not being reduced at the pace or scale needed, with many companies falling behind in meeting climate targets’, the organisation said in a statement.
According to 2023 data from MSCI Carbon Markets, there is currently a 1.4 billion tonne CO₂e gap between companies' Scope 3 targets and actual reductions. Without intervention, this gap could reach 7 billion tonnes by 2030, threatening progress toward the goals of the Paris Agreement.
The new code stipulates that companies can use carbon credits, but only in addition to—and not as a replacement for—direct emission reduction actions. The credits must meet high-quality standards as defined by the code. ‘The Code sets 2040 as the latest time by which companies should have overcome barriers and be back to their decarbonisation pathway consistent with reaching net zero’, VCMI stated.
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To support broader adoption, VCMI has launched the Scope 3 Action Challenge, calling on companies and NGOs to publicly commit to decarbonising their value chains. Founding partners include the International Chamber of Commerce, The Nature Conservancy, and the We Mean Business Coalition.
In tandem, VCMI updated two of its foundational criteria under the Claims Code of Practice, enhancing clarity for carbon credit buyers. Notably, the revisions allow the use of national emissions inventories aligned with the Greenhouse Gas Protocol and clarify expectations around net-zero alignment without requiring public commitments.
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As companies step up efforts to close the Scope 3 emissions gap, the need for high-integrity, science-aligned carbon solutions is more urgent than ever. At DGB Group, we’re uniquely positioned to meet this demand—designing and developing nature-based carbon projects from the ground up. Our work goes beyond offsetting; it delivers verified, measurable outcomes that support corporate green targets and drive ecological restoration at scale. Discover how you can align your goals with real impact and be part of the solution.
