{"id":3174,"date":"2025-12-23T09:22:00","date_gmt":"2025-12-23T08:22:00","guid":{"rendered":"https:\/\/yuntas.eu\/life-co2rk-actions\/mercado-voluntario-carbono-portugal\/"},"modified":"2026-03-15T10:06:17","modified_gmt":"2026-03-15T09:06:17","slug":"carbon-voluntary-market-portugal","status":"publish","type":"acciones-co2rk","link":"https:\/\/yuntas.eu\/en\/life-co2rk\/actions\/carbon-voluntary-market-portugal\/","title":{"rendered":"The New Legal Framework for the Voluntary Carbon Market in Portugal"},"content":{"rendered":"\n

Carbon markets are trading systems through which carbon credits can be bought and sold. Companies or individuals can use carbon markets to offset their greenhouse gas (GHG) emissions by acquiring carbon credits from entities that remove or reduce them. One carbon credit is equivalent to one tonne of carbon dioxide (CO2) or the equivalent amount of another greenhouse gas, reduced or sequestered. When a credit is sold, it is no longer tradable. <\/p>\n\n

Therefore, carbon markets help channel financial resources to support emissions reduction or removal activities worldwide that would otherwise not be implemented due to factors such as insufficient policies and economic incentives. Carbon markets also provide an economic supplement in areas with low production potential but high conservation potential, and a potential increase in income for forest and agroforestry owners for the environmental services provided. <\/p>\n\n

In this regard, innovative instruments have been developed that enable the reduction of greenhouse gas emissions and promote carbon capture solutions. The European carbon market, known as the European Union Emissions Trading System (EU ETS), is part of the European Union’s climate policies to achieve climate neutrality by 2050 and regulates approximately 40% of total EU greenhouse gas emissions. <\/p>\n\n

Implementing Regulation (EU) 2025\/2358 defines the operation of certification systems governed by the Carbon Sequestration and Carbon Farming (CSGF) Regulation. The application period for this regulation, which establishes the technical, procedural, and auditing requirements that systems must meet, is expected to open in early 2026. Regulation 2025\/2358 certifies the bodies responsible for validating, canceling, and registering carbon absorption units and also defines important standards for certification systems, certification bodies, authorities, and operators. <\/p>\n\n

The Regulation stipulates that each system must have a clear and transparent governance model, with defined procedures for the issuance, updating, and cancellation of Certified Carbon Absorption Credits. Each system must have its own registration system, compatible with the EU system, and include rules on conflicts of interest, confidentiality, independence, and complaints mechanisms. It also defines that certification bodies must be independent, technically competent, and comply with applicable accreditation standards, ensuring that auditors have the necessary qualifications. Finally, auditors must conduct documentary and on-site checks, assess compliance with the CRCF methodologies, and ensure periodic controls of continuity, additionality, permanence, and compliance with sustainability standards. <\/p>\n\n

Voluntary Carbon Market (VCM) in Portugal<\/h2>\n\n
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Oporto, cork processing industry hub for cork produced in Spain and Portugal<\/figcaption><\/figure>\n\n

In Portugal, Decree-Law No. 4\/2024 establishes, for the first time, a legal and regulatory framework for the Voluntary Carbon Market (VCM). This regime creates the conditions for the development of emissions reduction or sequestration projects, reinforcing the national commitment to carbon neutrality by 2050. This Decree-Law aims to create a credible, transparent, and effective system for the VCM (Carbon Credit Market).<\/p>\n\n

Thanks to this market, Portugal will have clear rules that will incentivize emissions reduction and carbon capture, facilitate investment in nature-based and technology-based projects, and strengthen market confidence through independent verification and digital registries.<\/p>\n\n

This market will be managed through a digital platform operated by the Energy Agency (ADENE), which facilitates the registration, monitoring, and trading of carbon credits. The Portuguese Environment Agency (APA) is responsible for overseeing the market’s operation and ensuring compliance with regulations. <\/p>\n\n

Carbon credits can be classified in two ways, according to when they are generated:<\/p>\n\n

    \n
  • Future Carbon Credits (FCCs): Issued before the actual reduction of emissions or carbon sequestration. These credits can be particularly relevant as a form of advance financing for projects, such as afforestation and reforestation, where these processes require more time. <\/li>\n\n\n\n
  • Verified Carbon Credits (VCCs): Issued after the actual reduction of emissions or carbon sequestration.<\/li>\n<\/ul>\n\n

    Carbon credits can also be classified as Carbon+ Credits, awarded to projects that not only sequester carbon but also include benefits related to biodiversity and natural capital. These are certified areas, such as those certified by the FSC, which adhere to recognized environmental, social, and economic criteria. <\/p>\n\n

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    Montado and dehesa can find in Carbon+ an additional economic valuation of Carbon credits for biodiversity generation, in addition to Climate Change Mitigation<\/figcaption><\/figure>\n\n

    Project Categor\u00edes<\/h2>\n\n

    Projects can be classified into two categories: GHG emissions reduction or carbon capture. Any type of project is eligible as long as there is an approved carbon methodology and it complies with the defined principles and rules. <\/p>\n\n

    Until the end of 2024, the Ministry of Environment and Energy launched a process for receiving expressions of interest. This allowed for the identification of potential carbon projects in order to prioritize and guide the development of carbon methodologies. <\/p>\n\n

    Process phases<\/h2>\n\n
      \n
    1. Submission of the project application to the MVC (Monthly Carbon Credit)<\/li>\n\n\n\n
    2. Validation by the verifier<\/li>\n\n\n\n
    3. Project available for investment<\/li>\n\n\n\n
    4. Monitoring and verification of the project by a verifier<\/li>\n\n\n\n
    5. Registration of the transaction on the registration platform<\/li>\n<\/ol>\n\n

      Methodology<\/h2>\n\n

      The methodology establishes a set of criteria and guidelines for the recognition of projects and the credits that will be generated. For a carbon project to be accepted, the following is required: <\/p>\n\n

        \n
      • Defining the baseline scenario (current scenario);<\/li>\n\n\n\n
      • Quantifying the projected GHG emission capture or reduction (ex-ante scenario of the project) based on the project duration and in accordance with best practices;<\/li>\n\n\n\n
      • Measuring and verifying the actual emission capture or reduction (ex-post scenario of the project) based on the project duration and in accordance with best practices;<\/li>\n\n\n\n
      • Presenting the project duration;<\/li>\n\n\n\n
      • Guidelines for risk assessment, including emissions rollback risks, and risk mitigation measures;<\/li>\n\n\n\n
      • Requirements for monitoring, reporting, and verification, particularly for the monitoring plan, monitoring report, and verification report, including specifying the frequency of submission of these documents;<\/li>\n\n\n\n
      • Guidelines for identifying potential externalities and indicators that allow for their assessment during the project.<\/li>\n<\/ul>\n\n

        The methodology for new afforestation was approved at the end of October 2025. The methodologies for forest management and reforestation are currently open for public consultation at the time of this publication.From the perspective of forest producers, represented by UNAC (Union of Mediterranean Forests), the creation of Mediterranean Forest Management (MFM) presents a significant opportunity to recognize and value the effective contribution of Mediterranean forests to climate change mitigation. As a representative body for forest producers and organizations, UNAC has actively monitored the development of public policies for the sector, advocating for models that recognize the role of sustainable forest management, particularly in carbon sequestration and the provision of ecosystem services. In this context, UNAC emphasizes the importance of a technically feasible MFM framework, adapted to the realities of Mediterranean forests, and capable of integrating producers who already ensure responsible land management. <\/p>\n\n

        While the publication of Decree Law No. 4\/2024 of January 5, which establishes the VCM (Virtual Carbon Market), represents a significant step, aspects of the definition of some concepts still do not fully reflect certain realities. One example is the concept of carbon stock, which only considers stocks located within projects.However, when sequestered carbon\u2014for example, in the form of wood\u2014is “exported”<\/strong> outside the project, this is considered an emission. Nevertheless, wood is usually used in a way that keeps the carbon stored for long periods. Therefore, a project’s storage capacity becomes quite limited.Another example is the concept of additionality<\/strong>, which applies when the “reduction of GHG emissions or carbon sequestration associated with the project exceeds the baseline scenario and results from activities not required by current legislation or when the project is financially attractive as a result of certification of the activity by the voluntary carbon market.” If this concept is applied literally, a large part of the forestry sector could be excluded from the MVC (Monocompass Variable Cost). <\/p>\n\n

        In a baseline scenario that already presupposes exemplary and sustainable management, it is very difficult for a project to demonstrate a significant increase in carbon sequestration compared to what is already being sequestered. However, the managers\/owners of these areas are responsible for sequestering carbon, reducing emissions, and providing other ecosystem services\u2014such as biodiversity, water purification, and soil conservation\u2014already associated with good management, but without the possibility of economic valuation.At the same time, the current interpretation of financial additionality tends to exclude projects that are economically viable without support, by requiring that their implementation depend almost exclusively on revenue from the voluntary carbon market. This interpretation ultimately harms efficient and well-managed initiatives, limiting the scale and potential impact of the voluntary carbon market. <\/p>\n\n

        The importance of managing the montado, mentioned above, is clearly demonstrated in the ECOPOL study, developed in collaboration between UNAC and the Instituto Superior T\u00e9cnico. This study developed a methodology to quantify and economically value the ecosystem services of montados in order to improve the implementation of Rural Development policies. Four alternative scenarios for the evolution of the montado system were defined, based on the reality of its management in Portugal. Two extreme scenarios: scenario (A) \u2013 abandonment (no management) and scenario (C) \u2013 intensive management; and two intermediate scenarios: (B1) \u2013 closed without grazing and (B2) \u2013 closed with grazing, to compare the different systems in terms of their potential to provide the selected ecosystem services. <\/p>\n\n

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        Fig.1.- Montado management scenarios definition (ECOPOL study, 2020 technical report)<\/figcaption><\/figure>\n\n

        The analysis showed a reduction in the supply of virtually all ecosystem services in scenarios A and C, compared to scenarios B1 and B2. The latter constitutes the reference scenario, where a greater supply of all services considered was recorded, particularly carbon sequestration.Based on this study, the hypothesis is to apply these findings to projects based on the principle of emissions reduction, which would be consistent with the proposed methodologies. <\/p>\n","protected":false},"excerpt":{"rendered":"

        Perspectives of the forestry sector in light of the new Portuguese regulatory framework and its compatibility with EU regulations<\/p>\n","protected":false},"featured_media":3173,"template":"","class_list":["post-3174","acciones-co2rk","type-acciones-co2rk","status-publish","has-post-thumbnail","hentry"],"acf":[],"_links":{"self":[{"href":"https:\/\/yuntas.eu\/en\/wp-json\/wp\/v2\/acciones-co2rk\/3174","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/yuntas.eu\/en\/wp-json\/wp\/v2\/acciones-co2rk"}],"about":[{"href":"https:\/\/yuntas.eu\/en\/wp-json\/wp\/v2\/types\/acciones-co2rk"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/yuntas.eu\/en\/wp-json\/wp\/v2\/media\/3173"}],"wp:attachment":[{"href":"https:\/\/yuntas.eu\/en\/wp-json\/wp\/v2\/media?parent=3174"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}