Verra Rejects 37 Rice Cultivation Projects in China Over Quality Concerns
Verra, a leading non-profit organization in the voluntary carbon credit market, has taken a significant and unprecedented step by rejecting 37 rice cultivation projects in China. In addition to this decision, Verra imposed substantial sanctions on the project developers and the validation and verification bodies (VVBs) involved in their implementation.
These actions followed a comprehensive quality control review, reflecting Verra’s effort to strengthen transparency, integrity, and quality across voluntary carbon markets.
The rejected projects applied the AMS-III.AU methodology, which originates from the UN Clean Development Mechanism (CDM). The methodology was permanently deactivated by Verra in March 2023 and was designed to reduce methane emissions through modified water management practices in rice cultivation.
However, the quality review identified serious shortcomings, including:
- insufficient justification of additionality,
- overstated project areas,
- lack of credible evidence to support baseline and project scenarios.
The assessment was reinforced by remote sensing data analysis, which further substantiated the identified concerns.
Verra’s decision to impose sanctions represents a landmark moment for the voluntary carbon market. As part of the enforcement actions, Verra issued non-conformance reports to four VVBs:
- China Classification Society Certification Company
- China Quality Certification Center
- Shenzhen CTI International Certification Co., Ltd
- TÜV Nord Cert GmbH
These VVBs are required to submit robust corrective action plans within 15 days to prevent similar issues in the future. Failure to comply may result in the temporary suspension of their authorization to audit other projects in the AFOLU (Agriculture, Forestry and Other Land Use) sector under Verra standards.
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