ISCC Certification: Origin, Process, and Global Impact

Origin and Development

The International Sustainability & Carbon Certification (ISCC) was established to support companies worldwide in achieving sustainability goals. ISCC is based on European guidelines for sustainable energy and production, such as RED II, but is applicable to companies globally. ISCC helps companies create transparency and accountability in sectors such as energy, agriculture, and the circular economy. By collaborating with companies, NGOs, and governments, ISCC enables companies to comply with internationally recognized sustainability standards and reduce their ecological footprint.

The Certification Process

The ISCC certification process assesses the entire supply chain, from raw material to final product. Companies must meet strict criteria in areas of sustainability, traceability, and environmental management. The audit process varies by certification scheme and can differ in rigor depending on the markets in which the company operates. However, each scheme requires a detailed audit to ensure that sustainability standards are consistently met and that companies strengthen their commitment to sustainability.

International Recognition

ISCC certifications are recognized worldwide, allowing companies to demonstrate their commitment to sustainability, regardless of their location. For companies entering the European market or operating in markets with strict sustainability requirements, ISCC provides a solid framework that meets these demands. With ISCC certification, companies can demonstrate transparency and ecological responsibility, which is valuable in international trade relations and consumer transparency.

Why Do Companies Choose ISCC?

Urgent Need for Sustainability in Industry

With the increasing pressure on natural resources and the growing environmental burden, sustainability has become essential for many companies. ISCC offers a strong framework that enables companies to achieve their sustainability goals and make responsible choices throughout their production chain.

Meeting Consumer Expectations

With the growing consumer demand for responsible products, ISCC helps companies communicate transparently about their ecological efforts. This increases customer trust and helps companies position themselves as leaders in environmentally friendly production.

Risk Management and Reputation

Through ISCC certification, companies can minimize their environmental impact and manage reputational risks. The certification provides assurance that companies comply with strict sustainability standards, protecting their reputation in markets where ecological responsibility is required.

Access to Carbon Credits and Premium Fees

ISCC-certified companies gain access to carbon credits, helping them offset net CO₂ emissions and achieve sustainability goals. Companies can receive credits for reduced or offset CO₂ emissions, providing them both a financial benefit and an environmentally friendly positioning. Additionally, ISCC-certified companies can charge higher prices (premium fees) for certified sustainable products in certain markets. This generates additional revenue and offers a competitive advantage in markets where consumers and companies are willing to pay for sustainability and ecological responsibility.

The Different ISCC Certifications: What Are They and What Do They Serve?

ISCC EU

• Purpose: Certification for the sustainability and traceability of biomass and biofuels, required for the EU market.
• Regulation: Based on the European Renewable Energy Directive II (RED II), with strict requirements for greenhouse gas reduction, sustainable land use, and biodiversity protection.
• Benefits: Guarantees compliance with European standards, provides transparency, and supports companies seeking access to the European market.

ISCC Plus

• Purpose: Flexible certification for bio-based, recycled, and non-biobased materials, aimed at markets outside the EU.
• Regulation: No strict EU compliance required, but offers companies worldwide an option to demonstrate sustainability without binding EU compliance.
• Benefits: Ideal for sectors such as chemicals and packaging, where companies want to showcase their sustainability goals without EU regulations.

ISCC CORSIA

• Purpose: Specific CO₂ reduction certification for the aviation industry, in line with ICAO's CORSIA requirements.
• Regulation: Required for airlines to measure, reduce, and offset CO₂ emissions.
• Benefits: Essential for airlines that want to manage their CO₂ emissions and comply with international emission standards.

ISCC CFC (Carbon Footprint Certification)

• Purpose: Focused on quantifying and reducing the total carbon footprint of companies.
• Regulation: Flexibly applicable, suitable for companies worldwide that want to report and reduce their CO₂ emissions, including carbon capture and utilization (CCU) and carbon capture and storage (CCS).
• Benefits: Supports transparent CO₂ reporting and eco-efficiency, which is valuable for environmentally conscious customers and stakeholders.

ISCC Certifications and Add-Ons: Customization for Different Sustainability Goals

ISCC offers various certification options with flexible add-ons, allowing companies to tailor their certification to specific sustainability goals. These add-ons help companies ensure their ecological impact and better align with sector and market requirements. Below is an overview of the main add-ons and their application for each certification scheme:

• GHG Emission Savings
  • Mandatory for: ISCC EU, ISCC CORSIA, and ISCC CFC.
  • Purpose: For reporting CO₂ emissions and complying with international and EU reduction requirements.
• Environmental Management and Biodiversity
  • Optional for: All schemes.
  • Purpose: Additional protection for biodiversity and support for environmental management practices.
• Classified Chemicals Management
  • Optional for: All schemes.
  • Purpose: Responsible use and management of chemicals, relevant for production in agriculture and industry.
• Non-GMO
  • Optional for: All schemes.
  • Purpose: To demonstrate that products are GMO-free, which can provide a competitive advantage in certain markets.
• Consumables in Circular Economy
  • Optional for: Specifically developed for ISCC Plus.
  • Purpose: Encourages reuse and sustainable production within the circular economy.
• Waste and Residues
  • Optional for: All schemes.
  • Purpose: Guidelines for the responsible use of waste and residue streams as raw materials.
• Biogenic CO₂ Add-On
  • Optional for: All schemes.
  • Purpose: Ability to report biogenic CO₂ emissions, which can help in obtaining extra credits and tax benefits.