The Global Carbon Council (GCC) has launched a public stakeholder consultation on its draft methodology, Methodology for Renewable Energy Generation for Third-Party Consumer(s)’ (GCCNMT004). This new methodology marks an important step as no existing methodology addresses renewable energy generation projects that supply electricity to third-party consumers and/or partially export to the grid. GCCNMT004 aims to expand access to high-integrity carbon markets to catalyze emerging renewable energy business models worldwide.
The development of this methodology responds to growing demand from renewable energy generators seeking to invest in projects that supply electricity directly to industrial and commercial third-party consumers through direct transmission lines or via grid through wheel arrangements under direct Power Purchase Agreements (PPAs). Existing carbon methodologies never addressed these third-party supply structure. GCCNMT004 has therefore been developed to close this gap with a robust approach that relies exclusively on ex-post monitoring of the grid emission factor, thereby accounting for changes in the ghg intensity of the grid over the crediting period.
Scope & Applicability
The methodology enables the quantification of emission reductions from greenfield renewable energy projects supplying electricity to one or more third-party consumers, with any surplus electricity exported to the grid. It applies to:
- Solar, wind, and hydropower projects.
- Projects supplying electricity through wheeling arrangements or direct transmission lines.
- Renewable energy projects partially or fully dedicated to third-party consumers
- Hybrid renewable energy systems integrated with energy storage systems, be it battery energy storage systems (BESS) or pumped-hydro storage plants (PSP).
The methodology reflects modern electricity market structures and supports host countries in advancing high-integrity carbon market implementation.
Key Features of Draft Methodology
The proposed methodology has been designed to ensure strong environmental integrity and practical applicability. Key features include:
- Clear treatment of third-party power supply models, including corporate PPAs and open-access arrangements.
- Robust baseline and additionality assessment, aligned with internationally recognized tools and best practices.
- Accurate accounting of grid displacement and captive power replacement, ensuring credible baseline emission factor and emission reduction claims.
- Coverage of hybrid renewable-plus-storage systems, reflecting emerging clean energy configurations.
- Integration of Digital MRV (DMRV) to strengthen transparency, automation, and data integrity across the project lifecycle.
Together, these elements ensure the methodology is technically sound, market-relevant, and implementation-ready.
Why This Matters
Direct renewable energy procurement is becoming a cornerstone of corporate and national decarbonization strategies. By providing a clear and credible carbon accounting framework for third-party renewable power supply, GCCNMT004:
- Expands access to high-integrity carbon markets for renewable energy generators
- Supports host countries in achieving their climate targets
- Encourages private-sector investment in clean energy infrastructure
- Strengthens confidence in renewable energy–based carbon credits
This methodology advances GCC’s mission to align market mechanisms with real-world decarbonization pathways.
How to Participate in the Public Consultation
The Global Carbon Council invites governments, project developers, validation and verification bodies, market participants, and other stakeholders to review the draft methodology and share feedback to further strengthen its clarity, applicability, and environmental integrity.
Comment Period: Open until 18 February 2026
Submit Comments To: operations@globalcarboncouncil.com
GCC encourages all experts and practitioners in renewable energy and carbon markets to engage in this consultation and contribute to the development of a robust and future-ready methodology.
