ARC Coalition: The Corporate Push to Restore Trust in Carbon Credits

What the ARC Coalition Is

The ARC Coalition is a multi‑sector alliance designed to strengthen the voluntary carbon market by encouraging companies to buy verified, high‑quality carbon credits rather than low‑credibility offsets.

It was launched during the GenZero Climate Summit 2026 in Singapore, an international gathering focused on accelerating climate solutions and financing mechanisms.

The initiative aims to:

• Increase corporate demand for credible carbon credits
• Direct financing into climate mitigation projects
• Establish clearer quality expectations for voluntary carbon credits

By pooling purchasing commitments from multiple companies, the coalition hopes to give project developers clearer signals about long‑term demand.

Companies and Organizations Involved

The ARC Coalition brings together companies from technology, energy, finance and environmental sectors.

Participants reported in launch coverage include:

• CATL
• Tencent
• Mitsubishi Corporation
• Osaka Gas
• Vale
• Rubicon Carbon

Supporting organizations include WWF Singapore, Enterprise Singapore, and advisory support from firms such as Bain & Company.

Reports note that the coalition includes a broader mix of corporations and financial institutions, though a complete member list has not been publicly detailed.

The Goal: 10 Million Carbon Credits by 2030

The coalition’s headline commitment is to mobilize corporate buyers to purchase at least 10 million tonnes of carbon credits by 2030.

This demand aggregation serves several purposes:

• Providing predictable buyers for climate projects
• Encouraging investment in projects that generate verified credits
• Stabilizing a voluntary market that has faced declining confidence

The initiative may also establish financing mechanisms to channel capital into early‑stage projects that generate carbon credits meeting strict integrity standards.

Why the Coalition Is Launching Now

The voluntary carbon market has faced significant scrutiny in recent years. Investigations and criticism around low‑quality offsets and greenwashing have reduced corporate demand and weakened prices in the market.

The ARC Coalition is intended as a confidence‑building mechanism: if major companies commit to buying verified credits, it can help rebuild trust and encourage investment in credible climate mitigation projects.

In effect, the coalition attempts to shift the market away from cheap offsets toward higher‑integrity credits backed by rigorous standards.

Supporting High‑Integrity Credits and Early‑Stage Projects

Another key objective is expanding the pipeline of credible carbon projects, particularly in Asia.

According to launch coverage, ARC plans to support:

• Financing facilities for early‑stage climate projects
• Carbon credits that meet robust integrity standards
• Long‑term purchase commitments that reduce project risk

Such support is crucial because many climate projects struggle with early development funding and uncertain demand for credits. By providing both financing and buyers, the coalition could accelerate project development.

How ARC Fits Singapore’s Carbon Market Strategy

The coalition also aligns with Singapore’s ambition to become a regional hub for carbon markets and climate finance.

Several national policies support this strategy:

• Singapore’s carbon tax rose to S$45 per tonne in 2026, with plans to increase to S$50–80 by 2030.
• Companies can use eligible international carbon credits to offset up to 5% of taxable emissions.
• The government has committed US$15 million to support development of Paris Agreement‑aligned carbon credit projects.

Together with ARC, these measures aim to strengthen both sides of the carbon market—supply (new projects) and demand (corporate buyers).

Why It Matters

If successful, the ARC Coalition could help stabilize the voluntary carbon market at a time when many companies are reconsidering their offset strategies.

By committing large buyers to 10 million tonnes of high‑integrity credits by 2030, the initiative aims to send a strong signal: credible carbon markets can still play a role in global decarbonization—provided the credits are trustworthy and tied to real climate impact.