In this webinar co-hosted by the Voluntary Carbon Markets Integrity Initiative (VCMI) and the International Chamber of Commerce (ICC), learn about the Scope 3 Action Challenge and VCMI’s Scope 3 Action Code of Practice—a practical solution designed to help businesses take high-integrity action on scope 3 emissions. This session explores the broader challenges companies face in addressing scope 3 emissions and how high-quality carbon credits, alongside deep decarbonization, can accelerate progress toward net zero.

Hear from industry leaders, policymakers, and experts as they discuss global best practices on scope 3 action, the role of voluntary carbon markets, and how businesses can align their climate strategies with credible, high-integrity solutions. Whether you’re looking to take immediate action, understand how to responsibly use carbon credits, or explore ways to integrate high-integrity approaches into your climate strategy, this session will provide the practical steps you need.

Speakers

To watch the recording or download the webinar slides please click here

To learn more about Scope 3 Action click here

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• UK, Peru and Panama governments welcome Code. UK government also exploring implementation as part of live consultation.

London, United Kingdom – 30th April: The Voluntary Carbon Markets Integrity Initiative (VCMI) has today launched its Scope 3 Action Code of Practice¹. The new best-practice framework has been developed to ensure companies continue to take climate action every year, even when their efforts to reduce scope 3 greenhouse gas (GHG) emissions hit barriers².

Corporate scope 3 emissions are not being reduced at the pace or scale needed, with many companies falling behind in meeting climate targets³. Increased action on scope 3 emissions is critical to meeting the goals of the Paris Agreement, yet the global ‘scope 3 emissions gap’ – the shortfall between corporate scope 3 emissions reduction targets and what they are achieving – is growing when it needs to be closed. At 1.4 gigatons GHG, the scope 3 emissions gap is equivalent to the combined total annual emissions of Germany, the UK and Italy (in 2023), and estimated to grow fivefold to 7 gigatons by 2030⁴.

Scope 3 Action Code of Practice  

Recent research and wider analysis, shows that many companies face significant barriers in reducing scope 3 emissions in line with science-aligned decarbonization pathways. The Code provides a framework for companies to establish their scope 3 emissions gap, disclose the barriers they are facing, list measures implemented to overcome the barriers they hit, and take action on unabated scope 3 emissions using high-quality carbon credits.  

Carbon credits are used in addition to, and not as a substitute for, direct decarbonization of emissions. The Code sets 2040 as the latest time by which companies should have overcome barriers and be back to their decarbonization pathway consistent with reaching net zero. Carbon credits, meeting quality criteria set out in the Code, are used in the interim to close the scope 3 emissions gap, meaning climate action continues to be funded every year through the financing of emissions reduction and removal projects elsewhere. 

Mark Kenber, Executive Director, VCMI, said: “Addressing scope 3 emissions is one of the most pressing challenges in corporate climate action, yet many businesses lack the tools and frameworks to act effectively. The Scope 3 Action Code of Practice provides a practical, science-aligned solution to help companies close the gap between ambition and action.” 

The Code’s framework for scope 3 action is also a valuable resource for governments and policymakers. It provides a clear, pragmatic and high-integrity approach to informing consistent policy frameworks that will incentivize greater corporate ambition. The UK government, in its recently launched consultation on the use of voluntary carbon markets, has welcomed VCMI’s work on scope 3 guidance and is exploring its implementation as a route for additional corporate action.  

A range of global sustainability organizations and leaders have also endorsed the Code. This includes the International Chamber of Commerce, the We Mean Business Coalition, the Environmental Defense Fund, the Leaf Coalition, in addition to former UNFCCC Executive Secretary Christiana Figueres and businesses including Natura, among others. 

Scope 3 Action Challenge 

Alongside the Code, VCMI has launched the Scope 3 Action Challenge. The Challenge, supported by 10 partner organizations including the International Chamber of Commerce, The Nature Conservancy and the We Mean Business Coalition, calls on signatories from across business and civil society to drive a step change in scope 3 decarbonization, recognizing the scope 3 emissions gap is growing larger and the importance of additional action in keeping the goals of the Paris Agreement within reach.  

At this crucial time in the run-up to COP30, the Challenge provides recognition for actors committed to tackling scope 3 emissions and signposts practical tools for companies to take action. Signatories will sign a pledge statement which commits to:  

• Acknowledge the urgency of closing the scope 3 emissions gap and the growing risks of inaction.  

• Support the use of all credible solutions to accelerate corporate decarbonization.  

• Commit to transparency and accountability in their climate strategies.  

• Join a collective movement of leaders demonstrating ambition and action.  

Other Scope 3 Action Challenge Partners providing the solutions and capacity to tackle scope 3 emissions are Anthesis, Carbon Markets Institute, CNaught, Climate Impact Partners, Emergent, GenZero, Patch, Puro.earth and Verra. 

VCMI’s Scope 3 Action Code of Practice is one aspect of a comprehensive menu of tools, mechanisms and guidance highlighted by the initiative to support companies to accelerate action on scope 3 emissions.  

Updates to Foundational Criteria of VCMI Claims Code of Practice  

VCMI has also reviewed and revised the Foundational Criteria that form the first step of the VCMI Claims Code of Practice and the new Scope 3 Action Code of Practice⁵. The four Foundational Criteria must be met by companies before they can credibly make use of high-quality carbon credits as part of their climate commitments.

The revisions apply to two of the Foundational Criteria and have been reviewed by VCMI’s Expert Advisory Group and Stakeholder Forum, tested with a group of companies and approved by its Steering Committee. The changes have been made to ensure the Foundational Criteria evolve in line with best practice approaches and the practicalities of delivering on net zero corporate climate action.  

– ends – 

Supporting comments

Philippe Varin, Chair, International Chamber of Commerce (ICC), adds: “ICC represents a global business community committed to enhancing ambition on climate. Scope 3 emissions represent a significant share of our members’ greenhouse gas footprints and their supply chains are often complex, which can mean the path to decarbonization does not always run smooth. VCMI’s Scope 3 Action Code of Practice provides a high-integrity solution for businesses to close their scope 3 emissions gap. The time for action is now and we call on our members to follow the Code as their blueprint for delivering more rapid results and being part of the solution.” 

Kerry McCarthy MP, UK Minister for Climate, explains: “The UK Government sees a clear and appropriate role for the responsible voluntary use of high integrity carbon credits and welcomes the ambition set out in VCMI’s Scope 3 Action Code of Practice. We are inviting views on this approach through our consultation on raising the integrity and impact of voluntary carbon and nature markets.  

“By combining direct decarbonisation within the value chain alongside appropriate use of high-integrity carbon credits, businesses can go further, faster, and deliver finance to projects that reduce and remove emissions. Now is the time to embrace this approach, unlock momentum, and ensure companies deliver the speed and scale of global climate action required.” 

Christiana Figueres, Founding Partner of Global Optimism and Former Executive Secretary, UNFCCC, added: “As the climate crisis deepens, corporate action on Scope 3 emissions – the largest share of many companies’ footprints – is falling far short of what science and frontline communities demand. The gap between ambition and action currently stands at 1.4 gigatonnes of CO₂e today and could grow to 7 gigatonnes by 2030. This trajectory threatens all of our shared futures, but we are not without solutions. 

“The Voluntary Carbon Markets Integrity Initiative’s Scope 3 Action Code of Practice provides a science-aligned, practical pathway for credible action. It is not a license to delay, but a framework of integrity. It ensures carbon credits are used only where direct reductions face real barriers, and always in addition to deep emissions cuts. 

“Developed through extensive stakeholder consultation, the Code reflects the ambition and accountability we need now. High-integrity credits are not a loophole, they are a lever of change. They can increase corporate ambition, accelerate global decarbonization, and channel urgently needed finance into emerging and developing economies. 

“With courageous leadership and credible action, we can close the Scope 3 gap – and move closer to the safe and just future we owe the next generation.”

Juan Carlos Castro Vargas, Minister of the Environment, Peru, said: “The Peruvian Government, through the Ministry of the Environment, recognizes the urgency of accelerating climate action, with a particular emphasis on the corporate sector. The Scope 3 Action Code of Practice from the Voluntary Carbon Markets Integrity Initiative (VCMI) offers companies a science-based option to reduce carbon emissions that are difficult to address in the short term. This approach aligns with Peru’s commitment to decarbonization and for this reason, we support initiatives that help close the emissions gap and contribute to achieving global climate goals.” 

Juan Carlos Monterrey Gomez, Special Representative for Climate Change and Director of Climate Change, Ministry of Environment, Panama, said: “The Government of Panama recognizes the urgent need for stronger action on corporate Scope 3 emissions, as current efforts remain insufficient to achieve global net-zero targets. The Climate Change Directorate of the Ministry of Environment of Panama welcomes the launch of the Voluntary Carbon Markets Integrity Initiative’s (VCMI) Scope 3 Action Code of Practice. This initiative provides a pilot framework for companies to address unabated Scope 3 emissions through a dual approach: direct reductions and the responsible use of carbon credits when faced with decarbonization barriers.” 

Ravi Menon, Singapore’s Ambassador for Climate Action, said: “I welcome efforts by the Voluntary Carbon Markets Integrity Initiative to support the use of high-quality carbon credits by businesses to close their scope 3 emissions gap. Corporate purchases of carbon credits can play a key role in enabling decarbonisation efforts that would otherwise not have been economically viable.” 

Usha Rao-Monari, VCMI Chair, said: “High-integrity carbon markets are critical to delivering the scale and speed of climate action that is required. By following VCMI’s Scope 3 Action Code of Practice companies can signal their commitment to not just setting targets for the future but ensuring they are financing climate action each and every year. We need every solution available and everyone to step up, from government policy, to NGO campaigning, to corporate action. Now is the time for ambition and real-world impact.”  

Pim Valdre, Head of Climate and Net Zero, World Economic Forum, said: “In the race to deliver net zero emissions, we must use every solution available to transform the global economy. Corporate leaders recognize that scope 3 emissions, though challenging, are critical to meeting net zero targets. Decarbonization must be the priority, but we need companies to go further, faster and the Scope 3 Action Code of Practice, developed by VCMI, provides companies with an additional option to deliver rapid, positive impact.” 

Lea Borkenhagen, Senior Vice President, EDF+Business, said: “As climate impacts intensify, we must take every possible action to lower emissions. Decarbonizing now is a critical business imperative that builds resilience and competitive advantage. Global value chains are a major source of emissions and climate risk, but also complex systems that are difficult to decarbonize quickly. We must do two things at once: reduce emissions in line with science, and drive finance toward critical climate and nature efforts necessary to ensure a thriving planet for people and businesses. VCMI’s leadership will enable high-impact climate finance, give businesses the confidence to act today, and contribute to the protection of nature. EDF welcomes VCMI’s efforts to bring credibility and clarity to this essential effort.”

Jenny Ahlen, Managing Director of Net Zero, We Mean Business Coalition, adds: “The transition to a net zero future requires a drastic shift in the scale and speed of climate action. For business, this shift must include efforts to address scope 3 emissions, which often make up more than 70% of a company’s total emissions. We Mean Business Coalition works across business, policymakers and regulatory bodies to champion clear and pragmatic ways for companies to tackle their emissions.  

“VCMI’s Scope 3 Action Code of Practice lays out a high-integrity approach for businesses to use carbon credits as a complement to direct scope 3 emissions reductions efforts. It represents a valuable addition to the toolbox of solutions that can support businesses going further, faster. It’s time to act and we need to use every effective solution available.” 

Fernanda Facchini, Head of Climate Change and circularity, Natura, said: “At Natura, we envision a regenerative future where every company embraces sustainable business practices. VCMI’s new Scope 3 Action Code of Practice provides a credible and practical pathway for companies at earlier stages of the transition to a low carbon economy — especially those navigating the complexities of decarbonizing their Scope 3 emissions. It’s an important step to broaden engagement and accelerate global progress toward net-zero.” 

Phil Brady, Executive Vice President, Policy, Emergent, said: “While direct value chain decarbonization is essential, the scale of the climate crisis demands that companies utilize every credible tool available. VCMI’s Scope 3 Action Code of Practice provides much needed guidance on how high-integrity carbon credits – including those driving large-scale action through forest protection – can responsibly complement ambitious corporate climate action on the path to net zero.” 

Key resources: 

• Scope 3 Action Code of Practice is available here: https://vcmintegrity.org/scope-3-action  
• The Scope 3 Action Challenge pledge is available here: https://vcmintegrity.org/scope-3-action-challenge_pledge-statement/ 
• See the following link for additional background on development of the Code and outcomes of a stakeholder public consultation by VCMI, informing its development: https://vcmintegrity.org/wp-content/uploads/2025/04/VCMI-Beta-Scope-3-Claim-Public-Consultation-Report.pdf 
• Additional context of revisions to Foundational Criteria is available here:  https://vcmintegrity.org/vcmi-claims-code-of-practice/#changes%20to%20foundational%20criteria 

Notes to Editor:  

1. The Scope 3 Action Code of Practice is an evolution of VCMI’s earlier work developing a beta Scope 3 Claim. This process has included an extensive public consultation (involving more than 600 stakeholders from 31 countries), technical assessment and road testing of the process with companies. Its development has also included on-going review and feedback from VCMI’s Expert Advisory Group and Stakeholder Forum. See this report to learn more about steps involved in the process.

2. Scope 3 emissions are the indirect emissions that occur across an organization’s value chain. Research into scope 3 emissions and the barriers corporates face in addressing them recently conducted and published by Ramboll, highlights a range of challenges such as the limited availability of technically suitable low-carbon options (Ramboll, 2025). This is supported by broader wide-ranging analysis.

3. Research by CDP and Bain found that 47% of companies are ‘well behind’ on delivering their scope 3 targets (Bain & Company & CDP, 2024) This is also support by broader wide-ranging analysis.

4. For scope 3 emissions gap data analysis see MSCI Carbon Markets (2023) for VCMI and for national GHG emissions data see European Commission’s the EDGAR (2024).

5. Detail on specific revisions to the Foundation Criteria can be found here.

About VCMI 

The Voluntary Carbon Markets Integrity Initiative (VCMI) is an international non-profit committed to realizing the full potential of high-integrity voluntary carbon markets (VCMs). Our mission is to empower companies, governments, and non-state actors to maximize the impact of their climate actions through the use of high-quality carbon credits. 

VCMI’s Codes of Practice provide rigorous, science-aligned guidance for organizations to take credible and transparent climate action using high-quality carbon credits, enabling them to align their climate transition plans with accelerating progress to global net zero. 

Through our Access Strategies Program, VCMI supports host-country governments in creating robust policies and frameworks that ensure the effective integration and governance of high-integrity VCMs within national climate plans. This program is instrumental in building the necessary infrastructure for countries to participate meaningfully and benefit from the global carbon market. 

At VCMI, we are committed to integrity, transparency, and impact, ensuring that every carbon credit used contributes to real, verifiable climate progress. 

For media enquiries, please contact: VCMI@bcw-global.com 

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