UN Climate Change News, 30 October 2025 - The UN body responsible for setting up an international carbon market under the Paris Agreement has agreed its first new methodology, which sets out how emissions reductions from a specific project type can be calculated.
This first Paris Agreement Crediting Mechanism methodology defines how methane emissions from landfill sites can be managed and qualify for UN-backed carbon credits, helping to address one of the most potent greenhouse gases and cutting climate-warming emissions.
It is the first project type to have a Paris-aligned methodology approved under the mechanism, and the first in the world to detail how alignment of the baseline with the Paris Agreement can work in practice.
It applies the concept of a downward adjustment to gradually reduce crediting levels over time, applying different rates to different solutions. Projects that simply burn off methane (flaring) see their crediting level fall more quickly, while projects that use methane to produce energy keep higher crediting levels for longer. This approach rewards better solutions, encourages innovation and avoids locking in less sustainable practices.
This marks a turning point, making the UN carbon market fully operational, as activities can now be submitted for registration using this first Paris-aligned methodology. Further methodologies for other project types, such as renewable energy, are expected to follow.
"This is a breakthrough for the Paris Agreement Crediting Mechanism - the first practical application of Paris-aligned crediting as expressed in our methodological standard adopted last year. As the world looks for credible ways to cut emissions and deliver on climate promises I hope this is only the first of many innovative methodologies." said Martin Hession, Chair of the Article 6.4 Supervisory Body.
"Starting with landfill methane, we're showing how carbon markets aligned to the Paris Agreement can deliver real-world solutions - and there's plenty more to come."
Alongside the landfill methane methodology, the Supervisory Body also adopted an investment analysis tool. The tool requires project developers to demonstrate additionality by showing that their activities would not be viable without revenue from carbon credits. This ensures that credits are only issued for actions that go beyond business as usual and genuinely contribute to climate goals.
Major outcomes in 2025
Since the agreement on carbon markets at COP29, the Supervisory Body has laid the groundwork for the Paris Agreement Crediting Mechanism to operate with integrity and transparency. This includes new standards for how projects measure their impact, covering how to estimate what emissions would have happened without the project (the 'baseline') and how to account for any unintended increases in emissions elsewhere (known as 'leakage').
The Body also adopted a reversal standard, aimed at ensuring climate gains from projects relying on the storage of emissions are not lost over time, and a standard to support projects in communities lacking basic needs.
Next steps at COP30
At COP30, the Body will present its annual report to Parties to the Paris Agreement, who may clarify or expand its mandate and guide future work on new methodologies and market rules.
