Salesforce Introduces New Functionality To Increase Quality And Transparency In The Voluntary Carbon Market

Over the past few years, the voluntary carbon market (VCM) has grown at an unprecedented rate, with the value of traded carbon credits exceeding $1 billion in 2021 (see Verdantix Market Overview: The Future Of Voluntary Carbon Markets). The main drivers behind this growth are increased stakeholder interest in ESG performance and new rules governing the global carbon market that were established at COP26 in November 2021. Now more than ever, corporates are seeking to integrate carbon credits into their carbon management financial decisions.

Last week, Salesforce announced the launch of its Net Zero Marketplace, a carbon credit purchasing platform designed to connect buyers and "ecoprenuers" (environmentally focused entrepreneurs) to third-party rated carbon credits. Built on Salesforce's Commerce Cloud, Net Zero Marketplace provides customers with detailed information about carbon credit projects - including pricing, how the project aligns with the UN Sustainable Development Goals and third-party ratings - to increase transparency and trust. Net Zero Marketplace will initially have close to 90 projects across 11 countries in Africa, Australia, Europe, Latin America, and the United States. Users will be able to purchase carbon credits in the United States starting in October 2022, with additional markets available in 2023.

To ensure the quality of carbon credit projects, Salesforce requires that all projects in the Net Zero Marketplace fit into Salesforce's internal project criteria, which are generally aligned with the Integrity Council for the Voluntary Carbon Market's (ICVCM's) proposed Core Carbon Principles. With the Net Zero Marketplace, Salesforce continues to support strategic efforts to increase quality and transparency in the voluntary carbon market, such as the ICVCM. The Net Zero Marketplace will also include projects that have clear additional benefits (beyond carbon removal) such as increasing biodiversity. To build this comprehensive marketplace, Salesforce has leveraged its partner network, including carbon credit providers - Climate Impact Partners, Cloverly, Lune, Pachama, Respira and South Pole - third-party raters Calyx Global and Sylvera, and payment processor Stripe.

The Net Zero Marketplace compliments Salesforce's Net Zero Cloud solution, which enables customers to measure their carbon footprint and manage their reductions (see Verdantix Green Quadrant: Enterprise Carbon Management Software 2022). Specifically, Net Zero Cloud customers will be able to integrate carbon credits purchased in Net Zero Marketplace into Net Zero Cloud so they can see the impact of their offsets on their carbon footprint to drive future decision making.

As investment in the VCM continues, expect other vendors offering carbon and ESG management software to look for innovative ways to incorporate carbon credit purchasing functionality into their solutions. Currently, a limited number of vendors - such as OneTrust and Sweep - have developed built-in carbon credit purchasing capabilities. As tens of thousands of firms are looking for software solutions to help them navigate a changing regulatory landscape and stakeholder demands around their carbon footprint, expect increased demand for tools like Net Zero Marketplace to integrate carbon credits into operational decision making.

To learn more about carbon management software read the full report: 2022 Verdantix Green Quadrant Enterprise Carbon Management Software. Follow this link if you would like to learn more about the future of the voluntary carbon market.