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Market insight

The State of Carbon Credits 2023

October 18, 2023

This is Sylvera’s second annual publication of The State of Carbon Credits. This year, we provide an overview of how the market can move forward after a year of intense scrutiny.

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Data source: Viridios AI

As we approach the end of a year that surfaced criticism and doubt in the market, it is essential that VCM participants take meaningful and impactful action now to prepare for and make progress in 2024.

This report highlights where quality exists today and where scrutiny is deserved; to date, REDD+ projects are the only Sylvera-rated projects that have received a AA rating—the highest quality rating available currently in the market—while RES credits have the most additionality uncertainty and have not been rated above a C. We provide case studies across all rated project types to shed light on the depth of assessments needed to identify quality.

As buyers gain more transparency about credit quality, they can navigate the market with confidence and move quickly to seize advantageous investment opportunities. Across all project types, prices have dropped this year, with nature-based projects having a price premium compared to technology-based projects. Discerning buyers have the opportunity to move now and purchase higher-quality credits while the market is down. 


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

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