How to build a high-performance carbon credit procurement strategy for your business

May 13, 2025
10
min read
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TL;DR

The carbon market continues to mature. What was once seen as a testing ground for environmental science is now viewed as a mainstream way to reduce greenhouse gas emissions and meet climate strategy goals. As such, companies purchasing carbon credits is now common practice.

There's just one problem: legacy procurement methods are opaque, slow, and untrustworthy. Put simply, these methods make it hard to align carbon credits with strategic goals.

You can address this issue by developing a high-performance carbon credit procurement strategy that meets regulatory requirements and contributes to meaningful climate change. The eight-step process below will show you how. Let's get started.

1. Set your guiding principles before you buy anything

Don't rush to acquire carbon credits—either by chasing the newest emerging project type or by panicking in response to policy pressure. Instead, take time to align stakeholders, define what a successful carbon credit procurement looks like, and choose procurement principles:

  • Align stakeholders internally: Bring your sustainability, finance, procurement, and compliance personnel together. That way everyone can voice their opinions, drivers, and concerns.
  • Define what success looks like: Ask stakeholders to identify carbon-related goals for your company. Do you want to hit specific climate targets? Build a brand around renewable energy and other green principles? Be seen as a frontrunner in innovative new project types? Reduce costs by investing at an early stage? All of the above? When you answer these questions, you can invest in a more strategic way.
  • Choose procurement principles: Lastly, choose philosophies to abide by. For example, will you only invest in carbon removal projects? Or work with project developers who prioritize co-benefits (like how reforestation projects lead to carbon capture and habitat restoration, soil conservation, etc.)? Or only pursue high-quality credits that guarantee compliance? Decide what matters to your organization.

Carbon credit buyers have a lot of details to work out before they buy. Fortunately, proven frameworks make the process easier. For instance, ICVCM identified 10 fundamentals for purchasing carbon offset credits. VCMI developed a Claims Code of Practice to help ensure the integrity of the voluntary carbon market. Other frameworks include CORSIA, EU, and CRCF. Each of these frameworks can inform your company's approach to purchasing credits.

2. Understand the carbon market you’re buying into

Carbon markets turn CO2 emissions into tradable commodities.

Sellers in the market generate carbon credits via emission reduction efforts, reforestation project development, renewable energy investments, etc. Buyers in the market procure the carbon credits generated to offset the carbon footprint their companies create. 

There are two carbon markets: compliance and voluntary. The compliance market uses government regulations to reduce emissions in specific industries. Participation is mandatory and credits are procured to avoid fines. The voluntary market is not regulated by governments. Companies and individuals participate as part of their self-driven net-zero strategies to offset emissions and improve their reputations.

Key carbon credit procurement trends in 2025

You need to understand current industry trends to build a high-performance carbon credit procurement strategy. Here are the biggest trends we expect to see in 2025 and beyond:

  • Price divergence: The price of carbon credits varies wildly. Some cost $5, others cost $500. It typically depends on the carbon project's quality, running costs, and demand.
  • Project quality: Buyers are willing to pay more for high-quality carbon credits. Carbon accounting, additionality, and permanence are important to companies in this space.
  • Regional policies: Local regulations, like California's AB 1305 and the EU's Green Claims laws, aim to prevent greenwashing. Companies must share specific details to support environmental claims. These laws could drive demand for high-quality projects.
For more information on carbon credit procurement trends, read our “Key Takeaways for 2025” article. We share five, data-backed tips to improve your procurement strategy.
Key Takeaways for 2025 Strategies

3. Build a cross-functional carbon procurement taskforce

Now that you know the market, it's time to build your procurement team.

First, understand that isolation is the enemy. You should build a cross-functional taskforce that includes sustainability, finance, and legal professionals—as well as the c-suite.

Why is this important? Because it will align the individuals within your company. What if your Head of Sustainability wants to invest in durable carbon removal, which typically costs more, but your CFO will only sign off on cheap forestry projects that don't progress climate goals?

This would be a problem. Fortunately, it can be solved by breaking down silos. For example, your Head of Sustainability can educate your CFO as to why nature based solutions are more valuable, should be seen as an investment rather than a cost, etc. When your CFO understands the benefits, and can better forecast future prices, they'll likely get on board.

Sylvera can improve the education process by giving companies access to real-time retirement trends, pricing intelligence , supply signals, and other important data points.
Key Takeaways for 2025 Strategies

4. Set quality and risk criteria that align with your principles

What's your due diligence process? In other words, how do you assess the quality and risk criteria for different carbon project types? Simple: you align with your guiding principles.

  • Quality: What does quality mean to your organization? Do you have a certain rating threshold that every project needs to meet? Are you looking for certain co-benefits? Do you only invest in specific host countries that meet certain standards or prioritize innovative solutions? Set quality criteria for your company to make buying credits easier.
  • Risk: How much risk can your organization handle? There's delivery risk, legal risk, and reputational risk to think about. There's also the potential for double counting, which is prohibited in Article 6.2 of the Paris Agreement. Developers sometimes issue the same credit to multiple entities to increase carbon revenue. This could cause legal trouble for your company. At the very least, it will keep it from maximizing impact. (Note: if your company is very risk-averse, consider purchasing insured carbon credits.)

The Sylvera platform helps users assess the quality and risk of carbon credits. Our independent ratings are not only trustworthy, they can be used to apply consistent scores to different projects, mitigating the risks we mentioned above.
Learn more

The Sylvera platform helps users assess the quality and risk of carbon credits. Our independent ratings are not only trustworthy, they can be used to apply consistent scores to different projects, mitigating the risks we mentioned above.

Even better, our Project Catalog can help you find high-quality projects in minutes. Looking for carbon removal projects? What about methane capture projects? The Sylvera platform includes easy search and filter features to find what you need fast. This will save you hours of time.

5. Streamline supplier discovery and carbon credit transactions

It's time to procure carbon credits that align with your principles and goals.

In the past, you would scour the internet and send a request for proposal (RFP) to every potential seller. It was a long and tedious process. Good news: there's a better way.

Centralized supplier networks like Sylvera’s Connect-to-Supply allow users to source credits from 250+ trusted suppliers. You can find credits that meet your specific criteria in record time. Just as important, credits can be sourced at any stage, from pre-issuance, to spot, to forward.

Also worth mentioning, Sylvera partners with Xpansiv to simplify carbon credit procurement. The result? Users can obtain credits faster and at a lower cost—and with a single contract.

One more thing: Connect to Supply customers also get access to the rest of Sylvera's tools. That means you can easily see project ratings and evaluate an individual project's strengths, procure quality carbon credits, and even monitor project activity (particularly if you’ve invested at the pre-issuance stage.)

6. Use market intelligence to guide timing and pricing

Knowing what to buy and when to buy it are two different things. After all, credit pricing is volatile. The last thing you want to do is mistime your purchase and overpay for carbon credits.

The question is, how do you ensure timely credit issuance? We have a few ideas:

  • Look for purchasing trends: Keep your finger on the pulse of the industry. Analyze supply and demand trends in many countries around the world. Understand buyer behavior and how companies procure carbon credits. Then aggregate this information to determine undervalued credits and ensure low cost credit delivery for your organization.
  • Leverage available retirement data: A carbon credit certifies the capture or avoidance of one tonne of CO2. Once a carbon credit is used it needs to be "retired," i.e. permanently removed from the marketplace, to avoid double accounting. Retired credits data will teach you a lot about credits issued in recent months. This knowledge will help you identify purchasing trends and pinpoint undervalued, low cost projects.
  • Implement a blended price strategy: Last but not least, invest in carbon reduction credits (actions that reduce greenhouse emissions,) carbon removal credits (projects that extract and sequester carbon dioxide from the atmosphere,) and carbon avoidance credits (actions that prevent carbon-admitting activities.) By investing in all three credits, you'll build a strong, low risk portfolio that limits legal issues and betters the environment.

7. Monitor project delivery over time—don’t buy and forget

Carbon credit procurement is an ongoing process.

Once you buy high-quality credits that align with your company's principles and goals, you need to monitor them to make sure you actually receive the credits you paid for.

You should also monitor pre-issuance carbon credit performance via quarterly updates and alerts. That way you're not caught off guard if/when a project goes awry. Should project development stall or policy changes impact your investment, you'll be able to act in a timely manner.

Sylvera makes it easy to monitor your carbon credit investments . For example, you can use our platform to build a credit "health dashboard" to track every credit in your company's portfolio.
Key Takeaways for 2025 Strategies

Have there been jurisdictional developments? Has a project developer made significant design adjustments? These things can impact performance. As such, you should know about them ASAP. Sylvera Monitoring will give you the information you need, when you need it.

8. Measure and report procurement success

Finally, track all relevant metrics including delivery percentage achieved, cost per tonne, and average rating score. Then report on these metrics internally and externally.

  • Internal reports: Use metrics to build internal reports for finance teams and company leadership. This will help them understand the value of each carbon credit investment. Understanding will lead to support and prevent reallocation of funds to other programs.
  • External reports: Use metrics to build external reports for regulators and avoid legal issues. Then publish sustainability reports online to broadcast company values and connect with customers who care about clean energy and climate change efforts.

Sylvera's Monitoring suite of tools can help track important metrics; support disclosures needed to comply with CA AB1305, CSRD, and other regulations; and align reporting with net zero claims, SBTi, and/or ESG goals. Because of this, Sylvera is a valuable reporting tool.

Book a free demo of Sylvera to see our platform's procurement and reporting features in action.

Level up your carbon credit procurement

High-performance carbon credit procurement is mission critical in 2025. If you can't secure quality credits at acceptable prices, your company could face fines and reputational damage.

To succeed in this market, buyers need a trustworthy tool to find carbon projects, assess project development quality, and streamline the procurement process. Sylvera is that tool.

With Sylvera, you'll get quality insights, access to top suppliers, and project monitoring features. Put another way, Sylvera will help you build your carbon credit procurement strategy on a foundation of integrity. Request a free Sylvera demo today to learn more.

Carbon credit procurement FAQs

What does purchasing carbon credits mean?

Carbon credits are sold via two markets: the compliance carbon market and the voluntary carbon market. Companies can procure credits in the voluntary market at two different stages. Ex-post credits have already been issued and can be used immediately. Ex-ante (also known as pre-issuance) credits have not been issued (because the carbon removal they represent hasn't happened yet) and therefore can't be used immediately—sometimes not for multiple years.

How do companies buy high-quality carbon credits?

Companies can buy carbon credits from the compliance or voluntary carbon markets. Either way, said companies identify for-sale credits that meet their internal criteria. They then approach the seller and make a deal that aligns with their budget and overarching climate strategy.

Tools like Sylvera can streamline this process by rating carbon projects, connecting buyers and sellers, and facilitating deals via our external partner, Xpansiv.

What’s the difference between voluntary and compliance credits?

Voluntary credits are sold via the voluntary carbon market and demand for them is driven by corporate sustainability goals. Put simply, companies are not required to participate in the voluntary carbon market. They do so because they want to facilitate climate change.

Compliance credits are sold via the compliance carbon market. Companies in specific industries buy them to comply with government regulations. If they don't, they could face steep fines. Because of this, compliance credits are often more expensive than voluntary credits.

How do I know if a carbon credit is “good”?

The best way to tell if a carbon credit is "good" or not is to rely on third-party ratings providers. Companies like Sylvera conduct in-depth research to learn about different carbon projects. Sylvera then makes the information they glean available in an easy-to-use app. That way customers can access direct insights from developers, design documents, and above ground biomass data from 48M trees—all enhanced by data from GEDI, Landsat, and the World Bank.

How does Sylvera help with procurement?

Sylvera has a comprehensive suite of tools that helps customers Discover high-quality carbon credits, Evaluate them against internal criteria, Invest in projects that further their climate strategy, and even Monitor credits within their company's carbon portfolio. Request a free demo of Sylvera today to learn more about the tool and determine if it's right for your organization.

About the author

This article features expertise and contributions from many specialists in their respective fields employed across our organization.

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