How the Recent Updates to Verra’s VM0047 Methodology Improves Project Quality 

The voluntary carbon market (VCM) has taken a major step forward with the approval of Verra’s VM0047 methodology by the Integrity Council for the Voluntary Carbon Market (ICVCM). Recognized under the ICVCM’s Core Carbon Principles (CCP) framework, this methodology now carries the CCP label—signaling to buyers that carbon credits issued under VM0047 represent high-integrity, long-term carbon removals. The most recent update to the VM0047 methodology, VM0047 v1.1, is currently under review. 

As the market matures, transparency and rigor in carbon accounting are crucial for developing high integrity projects. VM0047 demonstrates how innovative tools and evolving standards can enhance the credibility of nature-based carbon projects, particularly in reforestation and revegetation. 

What Is Verra’s VM0047? 

Released in October 2023, VM0047: Afforestation, Reforestation, and Revegetation (ARR) Projects is a significant evolution in carbon accounting for nature-based solutions. The methodology supports projects that increase the density of trees or other types of woody vegetation. 

Unlike previous approaches, VM0047 is the first methodology in the VCM to apply dynamic performance benchmarks derived from remote sensing data. This innovation allows for more accurate, adaptive, and transparent baseline scenarios over time—addressing one of the most contentious aspects of carbon crediting. 

Prior to VM0047, afforestation and reforestation projects often relied on methodologies like AR-ACM0003 or AR-AMS0007 under the Clean Development Mechanism. These approaches, while foundational, offered limited flexibility and often lacked sufficient precision for today’s expectations around transparency and integrity. 

Two Approaches for Carbon Accounting 

VM0047 introduces two pathways for quantifying carbon removals, each tailored to different project contexts: 

1. Census-Based Approach 

This approach is used when pre-existing woody biomass cover is less than 10 percent, or when the project area includes continuous cropping, settlements, or lands categorized as “other”. This approach assumes no natural revegetation would occur without project intervention. As such, the baseline carbon stock is zero. 

• Project Boundary: The census approach defines a 10-meter buffer around the GPS location of each planting unit. These buffers may overlap within a project instance, but must not overlap with buffers of a separate project instance. 
• Leakage: This approach assumes no leakage, making it simpler to model and justify removals.

2. Area-Based Approach 

This more complex method is used when revegetation is likely to occur under business-as-usual conditions. It requires the application of a dynamic performance benchmark to estimate the baseline. 

• Leakage: The leakage module VMD0054 applies only to this approach.
• Remote Sensing: The benchmark is based on satellite-derived metrics, like NDVI or LiDAR-derived canopy height, which correlate with aboveground carbon stocks. 
• Control Plots: These are matched to project plots using biophysical, social, and political comparability, including historical stocking index trends.  

The Role of Dynamic Performance Benchmarks 

The performance benchmark is the cornerstone innovation of VM0047. It enables real-time, remote monitoring of both baseline and project vegetation changes, grounded in scientifically validated indices like NDVI. 

How It Works: 

1. Stocking Index (SI): A remote sensing metric correlated with aboveground biomass. 

2. Time Series Modeling: At least three time points are used to model SI changes over time for both control and project plots. 

3. Matching: A k-nearest neighbor matching algorithm (without replacement) is used to pair project plots with appropriate control plots. 

4. Distance Metrics: Plots are matched using multivariate distance metrics, such as Euclidean distance. 

By updating the baseline at each verification period, VM0047 reflects real-world changes—capturing new land use trends, climate anomalies, or policy shifts. This dynamic approach reduces the risk of over-crediting while ensuring the integrity of issued credits. 

Updates in VM0047 Version 1.1 

The draft version 1.1 of VM0047, published May 14^th 2025, introduces important clarifications and expansions that reflect Verra’s responsiveness to both scientific advancements and practitioner feedback. 

The previous version of the methodology required project activities to only occur on land that had not been classified as forest for at least 10 years. Now, VM0047 v1.1 allows for ARR project activities on forested land, as long as the area had not been managed for wood products. This expansion allows the methodology to be used on degraded forest land. 

Additionally, the updated methodology now allows for the removal of pre-existing woody biomass, provided the biomass is measured and fully accounted for in project emissions. This update allows for the complete removal of invasive species during site preparation, contributing to the success of project planting activities. 

Another significant update changes how the methodology treats projects on organic soils and wetlands. While version 1.0 prohibited any activity that manipulates the water table in these areas, version 1.1 allows such projects to be included if they are paired with an approved wetland restoration methodology. For example, VM0036: Methodology for Rewetting Drained Temperate Peatlands can be applied concurrently to ensure all relevant carbon pools are accounted for, broadening the applicability of VM0047. 

These refinements improve the methodology’s scientific rigor while also increasing its usability for diverse project scenarios. Verra has recently submitted VM0047 v1.1 to the ICVCM for assessment against the CCP Assessment Framework. The update is currently under review.  

What This Means for Project Developers 

For developers, VM0047 brings a new level of rigor and opportunity: 

• Higher Market Credibility: Automatic CCP labeling boosts market confidence and buyer demand. 

• Compatibility with Other Methodologies: New flexibility allows integration with wetland methodologies, broadening eligible project types. 

• Dynamic Monitoring: Regular re-establishment of the baseline ensures relevance and adaptability over time. 

Learn how EP Carbon supports ARR project developers  

Looking Ahead 

Dynamic performance benchmarks signal a new direction for removals accounting. By using remote sensing to define site-specific baselines, VM0047 improves additionality assessments and may set a precedent for future methodologies. The methodology’s flexibility may also open the door for wider adoption. Its integration with wetland methodologies, reduced leakage estimates for census-based approaches, and accommodation of tighter planting spacing expand its applicability across ecosystems and project types. Iterative updates keep the methodology grounded in emerging science. The transition from version 1.0 to 1.1 demonstrates Verra’s commitment to transparency and continuous improvement, reinforcing confidence among project developers and credit buyers. As the market increasingly favors high-integrity removals, VM0047 positions ARR as a key tool. Projects using this methodology are likely to become more competitive, especially under emerging procurement criteria that emphasize long-term impact and credible baselines. 

Contact EP Carbon to learn how we can help your ARR project meet the highest standards.