# ICR Article 6.2 Procedures v1.0

![](https://2441265052-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FfIdoGcZZdvap67xjb5h1%2Fuploads%2FD13PUyvuSOSE8MFWbUym%2F0.png?alt=media)

***Summary***

ICR serves as a framework for *climate projects* of any size, promoting environmental integrity through accelerating credible action and ensuring credibility, consistency, and transparency in quantification, *monitoring*, reporting, *validation*, and *verification*

| Version no.     | 1.0              |
| --------------- | ---------------- |
| Date of Version | 15. October 2024 |

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### Introduction <a href="#toc180013899" id="toc180013899"></a>

### 0.1 Article 6.2 <a href="#toc180013900" id="toc180013900"></a>

Article 6 of the Paris Agreement addresses the cooperative approaches that countries can use to achieve their *Nationally Determined Contributions (NDCs)* to mitigate climate change. It is designed to promote cooperation in implementing *NDCs*, allowing for greater flexibility and efficiency in achieving climate goals.

Article 6.2 of the Paris Agreement facilitates international cooperation in achieving climate goals by enabling the transfer of *internationally transferred mitigation outcomes (ITMOs).* Article 6.2 allows countries to work together by transferring *GHG emissions mitigations* across borders, which can be counted towards their respective *NDCs*. The primary objective of Article 6.2 is to enhance the flexibility, cost-effectiveness, and ambition of global climate action. All cooperative activities need to contribute to sustainable development, reinforcing the Paris Agreement's broader goals of fighting climate change while promoting economic and social advancement. By leveraging Article 6.2, countries can meet their *NDCs* more efficiently and foster international collaboration in the overall aim of nations to meet the goals of the Paris Agreement and support sustainable development.

### 0.2 CORSIA <a href="#toc180013901" id="toc180013901"></a>

*GHG emissions* from international aviation are not included under the Paris Agreement goals set by nations as *GHG emissions* are not reported under national reporting of *GHG emissions* and thus excluded from *NDCs* set by nations. However, *GHG emissions* from international aviation account for \~2% of global *GHG emissions*. The Carbon Offsetting and Reduction Scheme for International Aviation (*CORSIA*) represents an effort by the International Civil Aviation Organization (*ICAO*) to address *GHG emissions* from international aviation and their impacts on climate change. In an effort to ensure carbon-neutral growth from 2020 onwards, *CORSIA* is a key component of the aviation industry's broader strategy to mitigate climate change from aviation, which also includes technological advancements, operational efficiencies, and the adoption of sustainable aviation fuels.

Central to *CORSIA* is the establishment of a baseline, defined as the average *GHG emissions* from international aviation in 2019 and 2020. This baseline serves as the reference point against which future *GHG emissions* are measured. To ensure transparency and accountability, airlines must adhere to a robust Monitoring, Reporting, and Verification (*MRV*) system involving annual monitoring and reporting of *GHG emissions* to national authorities, and having the data verified by independent third parties.

*CORSIA's* implementation is structured in phases to gradually bring the global aviation industry into compliance:

* **Pilot Phase (2021-2023)**: Participation is voluntary, allowing early adopters to begin implementing and refining the scheme.
* **First Phase (2024-2026)**: This phase also remains voluntary, providing additional time for states to join and participate.
* **Second Phase (2027-2035)**: Participation becomes mandatory for all ICAO member states, with exemptions for least developed countries, small island developing states, landlocked developing countries, and countries with minimal international aviation activity.

Airlines are required to offset their *GHG emissions* growth by purchasing eligible emission units (*carbon credits*) that follow the article 6.2 mechanism, preventing *double claiming* of the *GHG emission mitigations*. The *offsetting* requirement is calculated based on the difference between the airline’s annual *GHG emissions* and the established baseline. Only *GHG emission* units that meet *ICAO’s* *criteria* for environmental integrity, additionality, and transparency are eligible for compliance.

### 0.3 Voluntary compensation <a href="#toc180013902" id="toc180013902"></a>

Despite the fact that under the Paris Agreement, nations have committed to limiting global warming to 1.5 degrees Celsius and achieving a balance between *GHG emissions* and removals in the second half of this century, current mitigation commitments fall significantly short of the necessary scale and speed required to meet the long-term goals of the Paris Agreement.

To bridge this “ambition gap,” *GHG emission mitigation* efforts worldwide need to urgently intensify by accelerating *GHG emission mitigations* on an unprecedented scale and pace. Countries need to both implement their existing national targets and increase their ambition. Actions by organizations are crucial in achieving and enhancing national targets, and can also support efforts beyond current *NDCs*. Engaging the entire society in taking action and cooperating across boundaries is essential for success in this critical transformation.

The Paris Agreement recognizes that market-based cooperation under its Article 6 enables higher ambition in climate action. The Article 6 framework can be utilized for market-based cooperation to achieve national targets and for other purposes, such as the voluntary use of *carbon credits*.

Voluntary *compensation* involves the purchase and *retirement* of *carbon credits* generated from *GHG projects*. The core principle behind voluntary *compensation* is that these *GHG emissions* *mitigations* are additional—meaning they would not have occurred without the voluntary initiative.

Both at the national and the organizational level fully eliminating their *GHG emissions* is often not feasible and can be a time-consuming process. To complement efforts implemented by organizations, they can support *GHG emission mitigations* achieved outside their value chains and boundaries. This can be accomplished by purchasing *carbon credits* from *projects* *registered* with *GHG programs*. The voluntary purchase and use of such *carbon credits* enable entities to support greater, faster, and earlier mitigation than they could achieve through their own ambitious actions alone.

The support can assist the *host country* of the *project* in meeting its targets or help *GHG emission mitigation* globally beyond national targets, thereby contributing to global ambition-raising. Through the voluntary use of *carbon credits*, users can make public *claims* about contributing to national targets, counterbalancing specific *GHG emissions*, or supporting global ambition-raising.

To genuinely contribute to *GHG emission mitigations*, voluntary use of *carbon credits* needs to be of high integrity meaning *organizations* should use *carbon credits* only to supplement—not substitute—their efforts to reduce their own *GHG emissions*, and they should be transparent about their targets, emissions, and *carbon credit* use. They should utilize high-quality *carbon credits* that represent real, additional, permanent, and verified *GHG emission mitigation outcomes*. They may be purchased to support the *host country* to meet its *NDCs* or to increase ambition under the Paris Agreement preventing *double claiming* of *GHG emission mitigations* under the Paris agreement. This involves *organizations* to understand their *claims* regarding the use of *carbon credits* which should be truthful, clear and transparent.

Cooperation is a powerful tool for enhancing learning, scalability, and cost-effectiveness, which, in turn, can drive greater ambition.

### 0.4 Summary <a href="#toc180013903" id="toc180013903"></a>

Ensuring the quality and integrity of *carbon credits* is crucial. Robust standards and oversight are needed to prevent or identify issues such as *double counting* and to ensure that offsets represent genuine, additional *GHG emissions mitigations*.

These requirements and procedures are intended to ensure alignment with the requirements of decision 2/CMA.3, Guidance on cooperative approaches referred to in Article 6, paragraph 2, of the Paris Agreement (Article 6.2) and *CORSIA* eligibility criteria and are based on Guidelines on Avoiding Double Counting for the Carbon Offsetting and Reduction Scheme for International Aviation (GADCCORSIA).

![](https://2441265052-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FfIdoGcZZdvap67xjb5h1%2Fuploads%2F53U6xiyR6DX77nJRMe06%2F1.png?alt=media)

Figure 1: Double claiming under the Paris Agreement

### 1. Scope <a href="#toc180013904" id="toc180013904"></a>

This document specifies requirements and procedures for *projects* intending to be eligible for *issuing* *ICCs* as *internationally transferred mitigation outcomes (ITMO)* at the time of *registration* and/or at the time of *issuance* of *ICCs* for international trading of *carbon credits*, *Article 6.2 ICCs.*

### 2. Normative references <a href="#toc180013905" id="toc180013905"></a>

* ICR requirement document
* ICR definitions
* ICR process requirements
* ICAO document - CORSIA Emissions Unit Eligibility Criteria
* Guidelines on Avoiding Double Counting for the Carbon Offsetting and Reduction Scheme for International Aviation (GADCCORSIA)
* The Paris Agreement
* Decision 2/CMA.3
* Decision 18/CMA.1

### 3. Definitions <a href="#toc180013906" id="toc180013906"></a>

For the purposes of this document, the terms and definitions given in the ICR definitions apply in addition definitions and acronyms from *ICAO* and *UNFCCC* relating to operation of *ITMOs*. In addition, the following definitions apply:

**Double claim** means in terms of this document, when two or more parties claim the same *GHG emission mitigation outcome* toward their national or sector-wide *GHG emission* reduction cap or target (e.g., mitigation targets/pledges under the Paris Agreement as formulated in the *NDCs* and/or aeroplane operators *offsetting* obligation under *CORSIA*).

**Host country letter of attestation and authorization or letter of attestation and authorization** means a letter issued by a designated national authority or designated focal point of *host country* of the *GHG project* confirming that a *corresponding adjustment* shall be applied by the *host country*.

**Non-corresponding adjustment** means where a *host-country,* that has issued a *letter of attestation and authorization,* and the *host-country* has failed to apply a *corresponding adjustment* over a period.

**Non-corresponding adjustment event** means an event where a *host-country* has failed to apply a *corresponding adjustment* over a period and initiates a compensation mechanism application.

### 4. General <a href="#toc180013907" id="toc180013907"></a>

The requirements presented in this document regarding *double issuance, double use* and *double claiming* are additional to requirements in section 3.8 of the ICR requirement document. This document presents additional requirements and procedures for *GHG projects* to demonstrate that *project* *registration* and *issuances* of *ICCs* are in conformity with article 6.2 of the Paris Agreement (Article 6.2) and *CORSIA* Emissions Unit Eligibility Criteria. The requirements will be updated regularly as the Article 6.2 mechanism evolves but should represent current best practice.

The applicability of this document limits to *projects* that intend to be eligible as *ITMOs* at the time of *registration* and/or at the time of *issuance* of *ICCs*.

*ICCs* that have been approved as *ITMOs* are identified specifically in the *ICR registry* and further, the serial identifier of the relevant *vintage* indicates if it’s eligible for *international transfer*\[1]. The *ICR registry* and ICR requirements comply with the items identified in table 3 of Section III.2 in the GADCCORSIA, which details the provisions that need to be incorporated into the ICR program requirements, procedures and operations.

This document is intended for use by *project proponents*, *host countries*, insurance companies, *VVBs* and ICR and guidance for the *UNFCCC* and *ICAO*.

### 5. Prevention of double counting <a href="#toc180013908" id="toc180013908"></a>

Requirements for avoiding *double counting* are provided in section 3.8 of the ICR requirement document. ICR further has procedures to prevent issuance, double use, and *double claims* of *GHG emission mitigations*. ICR procedures also apply under *double counting* relating to *CORSIA* and Article 6.2.

To avoid *double claiming* in relation to countries' progress towards mitigation targets pledged in their *NDCs*, countries may authorize the use of *carbon credits* by other parties of the Paris Agreement to meet their *NDCs*, aeroplane operators under *CORSIA* or other use and ensure they report to the *UNFCCC* and make *corresponding adjustments (CAs)*\[2]. Countries are required to report to the *UNFCCC* and make *CAs* as mandated by the *UNFCCC*\[3]. ICR will seek evidence that these pledged *CAs* have been made.

For ICR, *ICCs* determined by *ICAO* to be *CORSIA*-eligible emissions units or eligible as *ITMOs* (*Article 6.2 ICCs*), the steps outlined in the flowchart below, adapted from the GADCCORSIA and adjusted for the *ICR program* including the compensation mechanism, shall be followed for *projects* and the *ICCs* to be eligible for use under *CORSIA*, under Article 6.2 or by voluntary means requiring the *CAs* to be applied by *host country*.

The *project proponent* is responsible for some steps while ensuring that ICR and *VVBs* will review, approve and report all determinations and associated documentation. Below are details for the numbered steps in Figure 1:

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Figure 2: Steps for avoiding double claiming

### I. Host country letter of attestation and authorization <a href="#toc180013909" id="toc180013909"></a>

The *project proponent* shall obtain and submit a *letter of attestation and authorization* from the *host country* confirming that the *CA* shall be applied by the *host country* (the *Letter*) to ICR. All *Letters* are publicly available on the *ICR registry*. ICR will only designate *ICCs* as eligible for Article 6.2, *CORSIA* or for voluntary claims requiring the CA to be applied by host country, once the Letter has been uploaded to the registry and reviewed by the ICR, only to any limit established in the Letter, and as long as all other ICR, CORSIA, Article 6.2 or applicable international requirements are met. The letter shall include:

1. ICR project ID
2. Title of *project*
3. Name of *host country*
4. Include a link to the project in the *ICR registry*
5. Acknowledge that the project has issued, or intends to issue, offset credits for the *GHG emission mitigations* that occur within the *host country* with the *ICR program* to which the letter is provided.
6. Authorize the use of the *GHG emission mitigations*, *issued* as *ICCs* by the *project proponent*, by a holder of such *ICCs* in order to meet *offsetting* requirements by an aeroplane operator under *CORSIA*, *NDC* targets under article 6.2 or by voluntary means requiring the *CA* to be applied by the *host country*;
7. Declaration that the *host country* will not use the *project’s* *GHG emission mitigations* to track progress towards its *NDC* and will account for their use for either international mitigation purposes or other purposes, by applying *CA* in B of Annex III of 2/CMA.3 in the structured summary (required pursuant to paragraph 77(d) of the annex to decision 18/CMA.1, as part of the biennial transparency report in C of Annex IV of 2/CMA.3 and the country’s annual information as referred in B Annex IV 2/CMA.3, and consistent with relevant future decisions by the *CMA.*
8. Definition of “first transfer” in terms of when a CA will be applied for other international mitigation purposes upon
   1. Authorization
   2. Issuance
   3. Use or cancellation of the mitigation outcome
9. Declaration that the country will report on the authorization and use of the *project’s GHG emission mitigations* in a transparent manner as part of the biennial transparency report in C of Annex IV of 2/CMA.3 and the country’s annual information as referred in B Annex IV 2/CMA.3, and consistent with relevant future decisions by the *CMA.*
10. Signature and contact details of authorized signatory of designated national authority or designated focal point of the *host country*.

The *letter* may also include:

11. Include a request to ICR to provide information to the *host country* on the use of authorized *ICCs*.
12. Provide a limit for the maximum number of the *project’s* *GHG emission mitigations*, *issued* as *ICCs*, that the *host country* authorized for use, including any limits on the time period over which the *host country* provides such authorization and/or other limitations on use (e.g., only for *CORSIA*).

The *project proponent* shall use, or rely on the ICR letter of attestation template, or a market-standard letter of attestation template.

In addition to the above, ICR’s promotes that the *project proponent* and the national authorized entity consider that the *letter* and any agreements relating to the *project activities* should, where relevant:

1. Constitute a legally valid, binding and enforceable agreement against the contracting entity(ies) of the host government, under the laws of the *host country*. For this, the *project proponent* and/or other relevant partners to the *project* (such as investors) should seek a legal opinion from local counsel as to the validity and enforceability of its terms;
2. Contain clear governing law and dispute resolution provisions, including rights of recourse against the host government via arbitration, clearly outlining actions required by each party to the contract and under what circumstances each can terminate any agreements;
3. Clearly outline circumstances under which the *host country’s* government’s non-compliance with its terms constitutes a material breach of any agreements; and
4. The *letter* specifically should contain the appropriate provisions outlining the *host country’s* authorization regarding the use of *ITMOs* towards other international mitigation purposes, and its commitment to apply and report the *CAs* in its accounting for *NDCs* under *UNFCCC* Article 6.2 rules.

In this respect, ICR encourages *project proponents* and other *stakeholders* to adopt a market-standard *letters* template.\[4]

### I.1 Time of submission <a href="#toc180013910" id="toc180013910"></a>

*Project proponents* shall submit the *letter* together with the *project* documentation required for submission of request for *pre-registration*, see ICR process requirements, of the *project* with the *ICR program* to allow *VVBs* and ICR to assess the completeness and legitimacy of the *letter*. If the *letter* can’t be submitted by the *project proponent* as part of request for *pre-registration*, the *letter* shall be submitted together with *monitoring* and *verification reports* required for request for *issuance* of *Article 6.2 ICCs*. The *project* is not identified as Article 6.2 eligible until the *letter* has been received by the ICR and verified. The *project* may however be identified as in the progress of obtaining a *letter*.

### II. Issuance and retirements <a href="#toc180013911" id="toc180013911"></a>

### II.1 Issuance <a href="#toc180013912" id="toc180013912"></a>

*Issuance* of *Article 6.2 ICCs* follows the process outlined in section 4.3 and 4.4 in ICR process requirements. In addition to the process outlined the following applies.

*Article 6.2 ICCs* are not *issued*, i.e. with identifier for *host-country* approval until the *project proponent* has submitted the *letter* to ICR and uploaded to the *registry* and ICR has done due-diligence on the legitimacy of the *letter*.

In the case that a *letter* has not been submitted, and the *project proponent* intends to *issue* *ICCs, ICCs* are *issued* without permission for *international transfer*. When the *project proponent* has submitted the *letter* and the *letter* approved by ICR, remaining *ICCs* may be converted to *Article 6.2 ICCs*.

If any limitations are provided for in the *letter* on use, volume or other limitations ICR will respect any such limitations.

Any deductions due to adjustment deposits follow section 2.3.

### II.2 Retirements <a href="#toc180013913" id="toc180013913"></a>

Any *retirements* of Article 6.2 follow section 5.2 of the ICR process requirements. In addition, the following applies.

Any *retirements* of *Article 6.2 ICCs* where ICR has not confirmed *CA* will be identified accordingly, i.e. pending *CA*. When ICR has confirmed application of *CA* any *Article 6.2 ICCs* that applies to the *CA* will be identified accordingly, i.e. *CA* applied. If ICR confirms that a *non-CA event* exists, *Article 6.2 ICCs* will be identified accordingly i.e. *No CA* applied.

### II.3 ICR compensation mechanism under international transfers <a href="#toc180013914" id="toc180013914"></a>

The *project proponent* and/or other related partners (such as equity investors) shall compensate for, replace or otherwise reconcile instances of *ICCs* used for *international transfers* and claimed by the *host country* towards meetings of its *NDC*. *Project proponents* and/or other related partners shall present a compensation mechanism to compensate for any *double claims* of *GHG emission mitigation* units between aeroplane operators for the *CORSIA*, or other *international transfers* and *host countries* towards *NDC* achievement. Compensation is required in the event if *CA* has not been completed or credible evidence of intention of *CA* can’t be obtained by ICR within a year (12 months) after the *CA* was due (15th April, annually)\[5] to be reported to the *UNFCCC* by the *host country*. See section 5 below on *non-CA events*.

The compensation mechanism includes the below options:

1. **Insurance / Guarantee:** A legally secure and binding guarantee and/or *insurance policy* that provides sufficient remedies in either financial value or replacement *instruments* to mitigate any *non-CA events* (a “Replacement Contribution”). Any replacement *instruments* shall be Article 6.2 eligible *ICCs*, or comparable Article 6 credit, that have not been transferred, retired or otherwise committed. The replacement contribution shall be used to mitigate the *host country’s double claim* of *GHG emission mitigations* under its *NDC*. This guarantee and/or *insurance policy* could be from an investment grade third-party providing guarantees or insurances meeting ICR *insurance eligibility criteria*. The third-party shall have an investment grade credit rating and valid regulatory license to operate in the applicable jurisdiction(s). The party that takes out and/or benefits from (as the “Loss Payee”) the compensation mechanism could be:
   1. The *project proponent*
   2. The related partner, investor, lender or buyer
   3. ICR
2. **Adjustment deposit:** Contribution to an ICR *Article 6.2 double claiming adjustment* *account* as a safeguard to ensure replacement of *Article 6.2 ICCs* corresponding to the number of units that were *double claimed* by the *host country*. ICR will cancel *Article 6.2 adjustment* *ICCs* to compensate the *host country’s* *double claim* of *GHG emission mitigations*. The non-corresponding adjustment account (“*Article 6.2 account*”) contribution volume of *Article 6.2 ICCs* will be a percentage of issued *Article 6.2 ICCs*. To determine *Article 6.2 account* contribution ICR conducts a risk assessment of *double claim* risk. Risk factors considered include but are not limited to counterparty, *host country* and project specific risk that could result in a *non-CA event*, e.g. political and regulatory risk scoring tools. When reporting on *non-CA* risk, ICR risk assessment template shall be used. To conduct the assessment ICR may rely on *external risk advisors* from the insurance industry. The *Article 6.2 account* is managed according to section 4.4.3 in ICR process requirements. ICR will manage *Article 6.2* *ICCs* deposited to the *Article 6.2 account*, based *project types*, i.e. is there a risk of *reversal* and follow procedures prescribed in section 4.4.1 of the ICR process requirements for such *Article 6.2 ICCs*.

### III. ICR annual reporting <a href="#toc180013915" id="toc180013915"></a>

ICR will publish, and publicly disclose, annual reports that provide aggregated information related to any *issuance* and *retirements* of *Article 6.2 ICCs*. ICR will publish these reports within six (6) months after the end of each calendar year and will specifically submit the reports to *ICAO*, to all *host countries* related to issued *Article 6.2 ICCs* and the *UNFCCC*. Reported information will include:

1. Quantity of *Article 6.2 ICCs* issued by *host country*, calendar year, retired for different means of *claims*, e.g. *CORSIA, NDC* targets under article 6.2, for voluntary claims and for any *double claims*.
2. Quantity of *Article 6.2 ICCs* retired by aeroplane operator for each *CORSIA* compliance period.
3. The maximum number of *GHG emission mitigations* from ICR *projects* authorized by *host countries* for use by other countries or entities, by country and calendar year.

### IV. Corresponding adjustment confirmation <a href="#toc180013916" id="toc180013916"></a>

ICR will take action to obtain evidence of the appropriate application of *CAs* from *host countries* of *projects* holding *letters* on their *GHG emission mitigations* in the *host country’s* biennial transparency reports to the *UNFCCC* and annual information as referred in B Annex IV 2/CMA.3. The *host country* reports should clearly reference *projects* (e.g. IDs) and *Article 6.2 ICCs* (e.g., using unique identifiers, serial numbers) and a specific reference to the authorization *letter* for which the *host country* has applied the *CA*. Once evidence has been confirmed, ICR will report such evidence on the *ICR registry* and indicate that a *CA* has been applied for each *project* and *vintage*.

### V. Non-corresponding adjustment events for Article 6.2 ICCs double claim <a href="#toc180013917" id="toc180013917"></a>

In the event that the *CA* has not been applied or credible evidence cannot be obtained within a year (12 months) after the *CA* was due to be reported to the *UNFCCC* by the *host country* (*non-corresponding adjustment event (Non-CA event)*), the *project proponent* and/or other related partner approved by ICR, or ICR shall compensate for the *non-CA event* for the *double claimed* volume following its compensation mechanism (see item 2 above). ICR will inform the *UNFCCC* and *ICAO* accordingly and will evaluate possible revisions to the *host country’s* risk classification or whether to cease designating as eligible *Article 6.2 ICCs* from the respective *host country* for Article 6.2 or *CORSIA*.

If ICR determines that a *double claim* exists of actual *GHG emission mitigations* issued as *Article 6.2 ICCs*, the *double claim* shall be compensated.

#### V.1 For Article 6.2 ICCs with insurance the following applies: <a href="#toc180013918" id="toc180013918"></a>

The approved insurance company shall compensate for the *double claim* as outlined under the terms and conditions of its *insurance policy*. This compensation may be financial compensation or in-kind. If in-kind insurance claim payment is provided, ICR shall determine fungibility to the affected *Article 6.2 ICCs* subject to the *non-CA event* and *double claim*.

#### V.2 For Article 6.2 ICCs with adjustment deposit to ICR Article 6.2 account the following applies: <a href="#toc180013919" id="toc180013919"></a>

For *non-CA events* where adjustment deposit has been applied the following sequential steps apply.

1. Where excess *Article 6.2 ICCs* remain in the *Article 6.2 account* that are not subject to the *double claim*, and it can be demonstrated that they have not been used for compensation purposes, immediate *cancellation* by the ICR of the *Article 6.2 ICCs*.
2. Where excess *Article 6.2 ICCs* from other *projects* remain in the *Article 6.2 account* that are not subject to the *double claim*, immediate *cancellation* by the ICR of the *Article 6.2 ICCs.*
3. The *project proponent* and/or other related partner shall deposit *Article 6.2 ICCs* to ICR's *Article 6.2 account* for the same amount as the *double claim* or remaining amount which shall be cancelled.
4. Purchase by the *project proponent* of an equivalent number of replacement Article 6 credits and *cancellation* of the same within 60 business days of receiving formal ICR notification of such required action.
5. Replacement of *Article 6.2 ICCs* through immediate *cancelation* from subsequent *issuances* of *Article 6.2 ICCs* from the *project* subject to no *double claim* exists. If the *project proponent* has no holding of *Article 6.2 ICCs* on its *registry account*, deductions shall transfer to the subsequent *issuances* of *Article 6.2 ICCs*.

For *projects* that have been exposed to *non-CA events* ICR may suspend any further *Article 6.2 ICC issuances* of the *project* until ICR has prior confirmation of a *CA* has been applied and reported and previous *non-CA events* been rectified.

### Appendix – Document history <a href="#toc180013920" id="toc180013920"></a>

| Version | Date       | Comment                                                                   |
| ------- | ---------- | ------------------------------------------------------------------------- |
| 1.0     | 15.10.2024 | <p>First version.</p><p>Minor changes made after public consultation.</p> |

1. See ICR process requirements section 4.1. ↑
2. III. B Decision 2/CMA.3 of the UNFCCC ↑
3. IV. Decision 2/CMA.3 of the UNFCCC ↑
4. ICR understands that further developments in this respect will be announced by key market stakeholders soon ↑
5. IV. B Decision 2/CMA.3 of the UNFCCC ↑
