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Money-for-Ton Method

Definition

This is a method for determining the scale of a beyond value chain mitigation (BVCM) pledge. Using this method, a company would channel finance into BVCM based on predefined reference price of the unabated GHG emissions of that company in a defined period (e.g., in a given year or since the inception of the company). The volume of finance deployed towards BVCM would be determined by the chosen cost of carbon (e.g., a social cost of carbon or otherwise) and the unabated emissions in that defined period.

Additional Notes

Related to BVCM,
Money-for-money method,
Ton-for-ton method

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