Carbon Development Mechanism (CDM)

What is CDM?

CDM validation is the independent evaluation of a project activity against the requirements of CDM. It is based on the project's design documentation, in particular the project's baseline, monitoring plan and compliance with relevant UNFCCC and host party criteria, to establish whether tradable credits are generated. In order to register for this scheme, all CDM projects must undergo a validation.

CDM verification is the periodic review and ex post determination of the monitored greenhouse gas (GHG) emissions reductions that have occurred as a result of a registered CDM project activity. A successful verification determines and certifies the amount of emission reduction credits earned. Certification is the written assurance that a project activity achieved the emission reductions as verified. The CDM Executive Board (CDM EB) then issues these credits.

What can CDM validation and verification do for you?

  • It will establish the integrity of your project design document, monitoring plan and all supporting assumptions, etc (validation). 
  • It will establish the integrity of your system(s) and processes for monitoring and reporting emissions from the project and the emissions reduction data (verification). 
  • It provides the UNFCCC with confirmation of your conformance with CDM decisions, procedures and methodologies.
  • It provides you with our validation report which allows you to register the project and our certficate which allows you to receive certified emission reductions (CER). 

Who can be validated and verified?

Companies in industrialised countries wishing to invest in eligible, cost-efficient GHG reduction projects in developing countries to offset their own reduction commitments or trade excess CERs.

How can LRQA help?

We offer validation of the project's documentation against the requirements of CDM allowing you to register your project.

Periodic verifications confirm that your project operations are installed/implemented as planned, that the monitoring systems are in place, are fully functional and are compliant with those described in the monitoring and reporting plan, and that verifiable emission reductions can be expected to be generated. A periodic verification will determine whether the GHG emissions reduction data is 'free' from misstatements and that sufficient documentary evidence supports this reported data. We also certify that you achieved your GHG emissions reductions as verified, letting the CDM EB issue the CERs which you can then trade. We will make flexible arrangements with all parties involved to make sure your project design documents and other key documents are independently validated and your actual emission reductions are verified against scheme requirements.