Lord Nicholas Stern put his imprimatur on a carbon-ratings service that analyzes whether emissions-reducing efforts are likely to achieve their targets.
The service was launched on June 25, 2008, by IDEAcarbon, a consultancy on carbon finance and part of IDEAglobalGroup, a Singapore-based research company, where Lord Stern is vice chairman.
The service is an attempt to draw mainstream investment to the carbon market by increasing transparency. Concerns have been raised that a significant proportion of the greenhouse gas saving projects will not deliver the savings that they have claimed.
IDEAcarbon rates projects from AAA to D depending on the likelihood that they will deliver the promised emissions reductions within the stated time period. The ratings take into account five risks: the project’s size and complexity, the participants’ experience, the local and market context, implementation factors and the regulatory framework.
Source: WSJ, 26/06/08
