GHG Protocol Partnership Proposal — Technology-Enhanced Carbon Integrity

Executive Summary

The GHG Protocol, as the de facto global standard for greenhouse gas (GHG) accounting, plays a pivotal role in shaping corporate and national climate strategies through its established frameworks, including the Corporate Standard, Scope 3 Standard, and Product Standard. With the ongoing development of the Land Sector and Removals Guidance, the need for robust, technology-enhanced measurement, reporting, and verification (MRV) solutions has never been more urgent.

DaedArch Corporation proposes a strategic partnership to integrate its sensor-based MRV platform into the GHG Protocol's existing frameworks. This partnership aims to enhance carbon credit integrity by providing real-time, ground-truth sensor data that ensures transparency and accuracy in carbon accounting. By leveraging DaedArch's capabilities, the GHG Protocol can strengthen its foundational role for organizations such as CDP and SBTi, while also aligning with the demands of national reporting frameworks.

Value Proposition

Enhanced Carbon Credit Integrity

DaedArch's sensor-based MRV platform offers continuous monitoring of carbon sequestration and emissions, which aligns with the GHG Protocol's emphasis on accurate and transparent reporting. By integrating real-time data collection and automated reporting processes, DaedArch can significantly reduce the risk of discrepancies in carbon credit transactions and enhance overall market confidence.

Support for Scope 3 and Product Standards

The GHG Protocol's Scope 3 Standard and Product Standard require comprehensive data collection across the entire value chain. DaedArch's technology can facilitate the collection of high-fidelity data from various sources, thereby enabling organizations to meet their reporting obligations more effectively. This integration will support the GHG Protocol's goal of providing a comprehensive accounting framework that captures the full scope of emissions.

Alignment with Land Sector and Removals Guidance

The ongoing development of the Land Sector and Removals Guidance necessitates robust MRV systems to validate carbon sequestration projects. DaedArch's platform is uniquely positioned to support this initiative by offering precise measurements of carbon stocks and flows, thus ensuring that the GHG Protocol can uphold its standards for integrity and transparency in the land sector.

Strengthening Global Reporting Frameworks

As the GHG Protocol serves as the foundation for various national reporting frameworks, DaedArch's technology can enhance the credibility and reliability of these systems. By providing a standardized approach to MRV, DaedArch can assist countries in meeting their climate commitments under international agreements, thereby reinforcing the GHG Protocol's role as a global leader in GHG accounting.

Partnership Model

Collaborative Framework

The partnership shall be structured as a collaborative framework wherein both DaedArch and the GHG Protocol shall contribute resources, expertise, and technology to achieve common goals. The partnership will focus on:

• Joint Development: Collaboratively developing guidelines for integrating sensor-based MRV into existing GHG Protocol standards.
• Capacity Building: Conducting workshops and training sessions for stakeholders on the use of sensor technology in carbon accounting.
• Pilot Projects: Implementing pilot programs that demonstrate the efficacy of DaedArch's platform in real-world scenarios.

Governance Structure

A steering committee shall be established to oversee the partnership's activities. This committee will include representatives from both DaedArch and the GHG Protocol, ensuring that both parties have equal input in decision-making processes. The committee shall meet quarterly to review progress, address challenges, and adapt strategies as necessary.

Pilot Program

Objectives

The pilot program shall aim to demonstrate the effectiveness of DaedArch's sensor-based MRV platform in enhancing carbon credit integrity and supporting the GHG Protocol's standards. Specific objectives include:

1. Validation of Data Accuracy: Assessing the accuracy of sensor data compared to traditional MRV methods.
2. User Experience: Evaluating the ease of use and accessibility of the platform for various stakeholders.
3. Integration Feasibility: Testing the integration of sensor data into existing GHG Protocol reporting frameworks.

Implementation Steps

1. Site Selection: Identify suitable pilot sites for the deployment of DaedArch's technology, focusing on diverse ecosystems and carbon projects.
2. Data Collection: Deploy sensors to collect data on emissions and carbon sequestration over a defined period.
3. Analysis and Reporting: Analyze the collected data and produce reports that compare sensor-based findings with traditional methods.
4. Stakeholder Engagement: Involve stakeholders throughout the pilot program to gather feedback and ensure alignment with GHG Protocol standards.

Expected Outcomes

The pilot program is anticipated to yield the following outcomes:

• A comprehensive assessment of the accuracy and reliability of sensor-based data.
• Recommendations for integrating sensor technology into the GHG Protocol's standards.
• Increased stakeholder awareness and acceptance of innovative MRV solutions.

Timeline

The proposed timeline for the partnership and pilot program is as follows:

| Phase | Duration | Key Activities | |---------------------------|----------------|----------------------------------------------------| | Partnership Agreement | Month 1 | Finalize partnership terms and governance structure | | Pilot Program Planning | Month 2-3 | Site selection, stakeholder engagement | | Pilot Program Deployment | Month 4-6 | Sensor installation and data collection | | Data Analysis and Reporting | Month 7-8 | Evaluate data accuracy and produce reports | | Review and Recommendations | Month 9 | Present findings to the GHG Protocol | | Integration Planning | Month 10-12 | Develop guidelines for integrating sensor data |

Commercial Terms

Financial Contributions

Both parties shall contribute resources to fund the pilot program. DaedArch will provide its technology and expertise, while the GHG Protocol shall allocate funds for project management and stakeholder engagement activities. Specific financial contributions shall be outlined in the formal partnership agreement.

Revenue Sharing

Any revenue generated from the commercialization of the integrated MRV solutions shall be shared based on mutually agreed terms. This may include licensing fees for the use of DaedArch's technology within GHG Protocol frameworks.

Intellectual Property

Intellectual property rights arising from the partnership shall be jointly owned unless otherwise agreed. Both parties shall have the right to use the developed materials for their respective initiatives, provided that proper attribution is given.

Reporting and Accountability

Regular reporting mechanisms shall be established to ensure transparency and accountability throughout the partnership. Both parties shall commit to sharing progress updates, financial reports, and outcomes of the pilot program.

Conclusion

The proposed partnership between DaedArch Corporation and the GHG Protocol represents a significant opportunity to enhance carbon credit integrity and advance global climate objectives. By integrating sensor-based MRV technology into the GHG Protocol's established frameworks, both organizations can strengthen their roles as leaders in GHG accounting and contribute meaningfully to the fight against climate change.

We look forward to discussing this proposal further and exploring the potential for collaboration in advancing the integrity of carbon markets.

---

This proposal outlines a comprehensive framework for a partnership that aligns with the GHG Protocol's strategic priorities and leverages DaedArch's innovative technology to enhance carbon accounting practices globally.