The NASCSP Carbon Trading Project
The NASCSP Carbon Trading Project is a vehicle for State Weatherization Assistance Programs (WAP) to access the voluntary carbon markets, sell carbon offsets based on their energy efficiency retrofits, and generate additional revenue for WAP. NASCSP is developing a national platform to quantify WAP?s emission reductions. This project builds on NASCSP?s long relationship with the WAP network and the great potential impact for this new revenue stream. This project will generate additional funds for State Weatherization Assistance Programs by rigorously quantifying and monetizing the program?s environmental benefits. NASCSP is utilizing the Verified Carbon Standard (VCS), an international standards body for carbon offsets that certified 58% of all carbon offsets transacted on the voluntary market in 2011.
What is a carbon offset?
A carbon offset represents a verified reduction in the emissions of greenhouse gases.
Goals of the Carbon Trading Project
- Leverage additional funding for WAP from the sale of carbon offsets in the voluntary market
- Strengthen the quality of work and data in the WAP network
- Create and maintain jobs throughout the WAP and carbon offset industries
The first phase of the project is a detailed analysis of state data systems and processes to ensure they meet the requirements of the VCS. The NASCSP team will work closely with State staff to identify gaps and outline feasible strategies to fulfill State needs. In the second phase of the Project, NASCSP will take States? data through the Validation, Verification, and Registration steps of the VCS requirements. Acting as a single coordinator for a national Carbon Trading Project, NASCSP can achieve economies of scale, increasing the potential return to States. Once registered, NASCSP will market and sell the carbon offsets on behalf of the States by developing and negotiating deals with buyers on the voluntary carbon market. Finally, NASCSP will ensure that the net proceeds from carbon offset sales are returned to State Weatherization Assistance Programs in the agreed upon manner.
Additionality and/or Performance Benchmarks
VSC requirements include the need to calculate a performance benchmark indicating what the energy savings rate would be in the same building stock in the absence of support and intervention. Only those weatherized buildings with savings rates above the performance benchmark are considered additional and eligible to have emissions reductions verified. The performance benchmark is based on the percentage change in energy consumption in the dwellings that are not part of the project activity but are of the same building stock over the three most recent years.
The Standard methods typically demonstrate additionality using pre-defined, quantitative methods that are considered to be more objective in determining the Projects Performance Benchmarks. NASCSP performance benchmarks are based on an evaluation of the energy savings and reductions in energy demand in similar housing stock that has not been weatherized.
The evaluation determines average energy savings in absence of weatherization and requires analyzing three years of energy consumption data. The following spreadsheets provide the detailed information evaluated and implemented into our Carbon Project as required by VCS. The first spread sheet is for single family data collection and the second one provides data on multi-family performance.
The following presentations have been developed by both NASCSP and our partners and provide some additional background information on the Carbon Project.
2012 NASCSP Annual Training Conference
National Carbon Offset Trading Project
2012 NASCSP Mid-Winter Orientation and Training Conference
Weatherization and the Carbon Market
Joel Eisenberg, Program Manager, Oak Ridge National Laboratory
For more information contact Bob Scott, Energy Services Director, NASCSP.