Carbon Credit Permanence
Carbon & Climate Finance
Definition
Permanence measures how long a carbon reduction or removal is expected to stay out of the atmosphere.
Why it matters
A ton stored for decades is not economically identical to a ton stored for centuries. Permanence affects credit quality, buyer claims, reversal risk, and pricing.
Technical details
Different permanence profiles
Forestry and soil projects can reverse through fire, disease, harvest, or land-use change.
Biochar, mineralization, and geologic storage generally target longer durability but still require monitoring and verification.
Buyers should distinguish avoided emissions, short-duration storage, and durable removals.
Contract implications
Check the durability claim, monitoring term, replacement obligations, buffer-pool coverage, and what happens if a credited ton reverses after issuance.