Verra Issues First Carbon Credits for Rescued Food

Verra, the world's largest carbon crediting program, has begun issuing carbon credits for rescued food, a novel financial instrument designed to fund organizations that divert food from landfills and distribute it to those in need. These credits are made available through Brightly, a Boston-based startup founded in 2023 by Andy Levitt, who previously established the plant-based meal kit company Purple Carrot. Brightly has already secured agreements with over 25 food rescue organizations, including Feeding America, and its food waste carbon credits are now officially recognized under Verra's methodology for reducing food loss and waste. This development marks the first time carbon credits have been generated specifically for projects focused on preventing food waste and facilitating its redistribution.

The concept of carbon credits, while intended to incentivize environmental projects, has faced scrutiny. Studies have indicated that certain projects have not delivered tangible climate benefits, and critics suggest that the availability of credits can facilitate "greenwashing," allowing companies to claim environmental responsibility without substantial impact. Andy Levitt acknowledges the existing distrust within the carbon market but asserts that Brightly's model fosters a "virtuous loop of activity." This loop, he explains, generates funding for increased food rescue efforts, thereby enabling non-profit organizations to provide food for a greater number of people. Levitt highlights the unique value proposition for corporations seeking to address both environmental concerns and food insecurity simultaneously, characterizing these credits as a "whole new category and class of carbon credits that exists in the market."

Food waste represents a significant global challenge. In the United States alone, an estimated 40% of all food produced is never consumed. This waste occurs at various stages of the supply chain, from farms where food may not be harvested, to grocery stores where products expire before sale, and finally to households where uneaten food is discarded. The majority of this wasted food, approximately 60%, ends up in landfills. When food decomposes in landfills, it releases methane, a potent greenhouse gas with a global warming potential 28 times greater than carbon dioxide over a 100-year period. By diverting food from landfills and facilitating its redistribution, Brightly's initiative not only addresses food insecurity but also directly mitigates greenhouse gas emissions associated with food waste decomposition, thereby contributing to climate change mitigation efforts.