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CO2 Trading Platform for Emission Certificates

Sector: Tertiary sector · Industry: Renewable energy · Organisation: Blockchain Reallabor · Maturity level: Pilot

The CO2 trading platform records companies' emission values and enables transparent trading of CO2 certificates via blockchain technology. The solution creates cost advantages for companies that reduce their emissions as they can sell excess certificates. Currently, the platform is in the demo phase, demonstrating how emission trading can work via blockchain.

Documentation status

Description

The Blockchain Reallabor in Hürth, a flagship project of the Fraunhofer Institute for Applied Information Technology FIT led by Prof. Wolfgang Prinz (RWTH Aachen), has developed a CO2 platform as a demonstrator. The system shows how blockchain can increase traceability and tamper resistance in the CO2 certificate trade — a central problem in existing systems where double use of certificates or retroactive changes are possible.

The Blockchain Reallabor started in 2020 at the euronova CAMPUS in Hürth (NRW), funded by the NRW Ministry for Economy, Innovation, Digitalisation and Energy (MWIKE). Prof. Wolfgang Prinz, deputy institute director at Fraunhofer FIT and professor at RWTH Aachen, leads the Reallabor. The CO2 platform is one of several demonstrators alongside: digital product passports (Industry 4.0 model), Studio 6 SSI ecosystem for digital access control, and remote maintenance. Goal of the CO2 platform: blockchain enables immutable documentation of CO2 emission data and certificates. Manipulations — such as retroactive adjustments or double use of certificates — are structurally excluded. The Reallabor demonstrates the use case for companies and SMEs considering blockchain use for sustainability reporting and EU CSRD compliance.

Perspectives

B2B — organisations perspective

Companies that purchase carbon offsets or trade carbon certificates receive tamper-proof proof of validity and uniqueness of these certificates via a blockchain platform — important for CSRD reporting and protection against greenwashing.

B2C — consumers perspective

End consumers benefit indirectly through companies acting more climate-neutrally and can transparently track the sustainability efforts of their preferred brands.

Employees perspective

Sustainability teams can document CO2 emission data in an audit-proof manner on the blockchain and provide it immediately verifiable for external audits and regulators, without complex manual reconciliation processes.

Benefits

General

B2B — organisations

Employees

Challenges

General

B2B — organisations

Employees

Technology foundation

The platform uses a permissioned blockchain that grants access only to authorised participants, thereby providing high security and control. Smart contracts automatically monitor trading conditions and ensure transparent, tamper-proof transactions without intermediaries.

Implementation examples

CO2 trading platform demo

The platform addresses the growing need for companies to make their supply chains climate neutral while reducing costs. It offers an alternative to complex regulatory processes through market-based solutions.

The Blockchain Reallabor developed a demo platform that shows how CO2 certificate trading can work via blockchain.

The CO2 trading platform of the Blockchain Reallabor records the emissions values of all global partners and enables companies with negative or positive emissions to buy or sell CO2 certificates. The platform creates incentives for emissions reduction by offering cost advantages to low-emission companies. The system was developed as a demo to demonstrate the potential for transparent and automated emissions trading.

The solution makes emissions trading more transparent and cost-effective than traditional methods. It eliminates intermediaries and reduces administrative efforts in certificate management.

Tags

CO2 Trading, Emission Certificates, Smart Contracts, Climate Protection, Transparency

Sources

  1. CO2-Plattform - Blockchain Reallabor