Verra Compliance Mapping — DaedArch Platform Alignment

Scope

This compliance mapping document outlines the alignment of the DaedArch platform with the Verified Carbon Standard (VCS) requirements as established by Verra. This document serves to provide a detailed analysis of how the capabilities of the DaedArch platform meet or do not meet the VCS standards, focusing on the critical aspects of Measurement, Reporting, and Verification (MRV) as well as third-party verification processes. The document includes a requirements matrix, compliance status, gap analysis, and a remediation plan.

Requirements Matrix

The following table outlines the key requirements set forth by the Verified Carbon Standard and how they map to the functionalities of the DaedArch platform.

| Requirement ID | Requirement Description | DaedArch Capability | Compliance Status | Comments | |----------------|-----------------------------------------------------------------------------------------|---------------------|-------------------|---------------------------------------------------------------------------------------------------| | VCS-001 | The MRV system shall capture ground-truth environmental data using IoT sensors. | Yes | Compliant | The platform utilizes IoT sensors to gather real-time environmental data. | | VCS-002 | The system shall process data through certified algorithms to ensure accuracy. | Yes | Compliant | Algorithms are certified and adhere to the accuracy standards set forth by Verra. | | VCS-003 | The reports generated must be verification-ready and include full chain-of-custody. | Yes | Compliant | Reports generated include detailed audit trails demonstrating chain-of-custody. | | VCS-004 | The platform must support both technology-based and nature-based solutions. | Yes | Compliant | The platform accommodates various project types, including both technology and nature-based projects. | | VCS-005 | Third-party verification must be facilitated within the reporting framework. | Yes | Compliant | The platform includes features to support third-party access for verification processes. | | VCS-006 | Data formats must comply with the specified Verra data standards (JSON, XML, CSV). | Partially | Non-Compliant | Current data output is primarily in JSON format; additional formats are under development. | | VCS-007 | The system shall maintain an audit log of all data entries and modifications. | Yes | Compliant | Comprehensive audit logs are maintained for all transactions and data modifications. | | VCS-008 | The platform must ensure data security and integrity throughout the lifecycle. | Yes | Compliant | Data security measures are implemented, including encryption and access controls. | | VCS-009 | User access controls must be defined and managed to ensure only authorized personnel can modify data. | Yes | Compliant | Role-based access controls are in place to manage user permissions effectively. |

Compliance Status

The DaedArch platform demonstrates a high level of compliance with the Verified Carbon Standard requirements, as evidenced by the capabilities outlined in the requirements matrix. The platform is fully compliant with eight out of nine requirements, with one requirement (VCS-006) identified as partially compliant. The following summarizes the compliance status:

• Compliant: 8
• Partially Compliant: 1
• Non-Compliant: 0

Gap Analysis

The gap analysis identifies the specific areas where the DaedArch platform does not fully meet the VCS requirements, particularly in relation to data formats.

Identified Gap

• Data Format Compliance (VCS-006): The platform currently outputs data primarily in JSON format. While JSON is widely accepted, the VCS requires compatibility with additional formats such as XML and CSV. This limitation may hinder interoperability with other systems and processes within the carbon market ecosystem.

Impact of the Gap

The inability to provide multiple data formats may result in:

• Difficulties in integration with other reporting systems that expect XML or CSV.
• Potential delays in verification processes due to format incompatibility.
• Reduced user satisfaction among stakeholders requiring data in specific formats.

Remediation Plan

To address the identified gap in compliance with VCS-006, the following remediation actions shall be undertaken:

Action Items

1. Development of Additional Data Format Outputs:

• Objective: Enable the DaedArch platform to output data in XML and CSV formats in addition to JSON.
• Timeline: 6 months from the date of this document.
• Responsible Party: DaedArch Development Team.

1. Testing and Validation:

• Objective: Conduct comprehensive testing to ensure that the newly implemented data formats meet the VCS requirements and maintain data integrity.
• Timeline: 2 months following the completion of development.
• Responsible Party: Quality Assurance Team.

1. Stakeholder Communication:

• Objective: Inform all relevant stakeholders of the upcoming changes to data format capabilities and provide training resources.
• Timeline: 1 month prior to the rollout of the new features.
• Responsible Party: DaedArch Communications Team.

1. Update Compliance Documentation:

• Objective: Revise this compliance mapping document to reflect the updated capabilities and compliance status.
• Timeline: Within 1 month of successful implementation of new features.
• Responsible Party: Compliance Officer.

1. Periodic Review:

• Objective: Establish a schedule for periodic review of compliance with VCS standards to ensure ongoing alignment.
• Timeline: Bi-annual reviews.
• Responsible Party: Compliance Officer.

Conclusion

The DaedArch platform exhibits a robust alignment with the Verified Carbon Standard requirements, fulfilling the majority of compliance obligations. The identified gap regarding data format outputs presents an opportunity for enhancement that will further solidify the platform's position within the carbon market ecosystem. The outlined remediation plan provides a clear pathway to achieve full compliance and support the integrity of high-quality carbon markets as advocated by Verra.

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This document shall serve as a living document, subject to updates as the DaedArch platform evolves and as Verra updates its standards and requirements. All stakeholders are encouraged to provide feedback to ensure that the compliance mapping remains relevant and accurate.