Direct Air Capture Finally Gets a Seat at the Table

ACR's updated CCS methodology unlocks carbon credits for direct air capture, BECCS, and biomass projects across the US and Canada

11 May 2026

Carbon markets just got a new rulebook. ACR, one of North America's most respected carbon registries, published version 2.0 of its carbon capture and storage methodology on May 5, 2026, expanding which projects can earn voluntary carbon credits. Direct air capture, bioenergy with carbon capture and storage, and biomass carbon removal systems are now all eligible. So are CO₂ storage sites in deep saline formations and depleted oil and gas reservoirs, qualifying for the first time under a framework that previously covered only industrial point-source emissions.

Projects operating across the US and Canada can now tap voluntary market revenue through a more inclusive set of rules. To qualify, operators must submit independent monitoring, reporting, and verification plans demonstrating permanent CO₂ containment, in line with US EPA Class VI underground injection standards. Enhanced oil recovery projects remain eligible too, though they now face expanded lifecycle accounting requirements spanning production, transport, refining, and end use.

At stake is a yawning gap between where CCS stands and where it needs to go. "CCS offers a practical, high-integrity way to reduce greenhouse gas emissions from hard-to-decarbonize sectors such as cement and steel," said Mary Jane Coombs, ACR's director of industrial programs. She noted that all credible 1.5-degree Paris Agreement pathways include CCS, given how slowly sectors like power generation and heavy industry can transition. Global capture capacity sits at roughly 40 million tonnes annually today and needs to reach more than 5,600 million tonnes per year by 2050. Staggering, by any measure.

For Canadian operators, the timing is sharp. Ottawa extended its CCUS Investment Tax Credit to cover enhanced oil recovery in April 2026, creating a stacked revenue model that pairs federal incentives with voluntary market income. Projects approaching final investment decisions now have a stronger financial case than they did six months ago.

Skepticism lingers, particularly around EOR provisions. Analysts point to the challenge of confirming long-term CO₂ containment while production continues at the same site. ACR's expanded accounting requirements address part of that concern. Whether field verification standards can hold across decades, though, will ultimately determine what the market thinks these credits are worth.