# PCS VVS 004 Validation & Verification Standard\_v1.0

## Document Control

### Document identification

* **Document code:** PCS-VVS-004
* **Title:** Validation & Verification Standard
* **Scope:** Defines the assurance requirements for validation and verification of PCS projects, including roles/responsibilities, competence and independence expectations, scope definition, evidence standards, site visit expectations (where applicable), treatment of non-conformities, reporting requirements, and PCS Secretariat review interface.
* **Outcome:** Ensures all PCS registrations and issuances are backed by independent, consistent, and audit-ready assurance.

### Version history and change log

**Table DC-1. Revision history**

| Version | Date | Status | Summary of changes              | Prepared by | Approved by |
| ------- | ---- | ------ | ------------------------------- | ----------- | ----------- |
| v1.0    | TBD  | Draft  | Release for public consultation | PCS         | TBD         |

### Superseded versions

No superseded versions for v1.0.

### Governance note on versioning and archiving

Only the latest approved version of this Standard shall be used. Superseded versions shall be archived and retained for traceability and audit purposes, consistent with PCS governance rules.

## Chapter 1 - Introduction

#### 1.1 Purpose of the Standard

1. The Validation & Verification Standard (VVS) establishes the requirements, procedures, and responsibilities governing the assessment of PCS projects throughout the project cycle.
2. Validation ensures that the Project Proponent has accurately described the project activity, applied the relevant PCS methodology, identified and assessed potential risks, and developed monitoring arrangements consistent with PCS requirements.
3. Verification ensures that emission reductions and removals, sustainable development outcomes, and safeguard performance reported by the project are accurate, complete, and based on evidence that can be independently confirmed.
4. Together, validation and verification form the core assurance mechanism through which PCS upholds environmental integrity, credibility, and transparency across its carbon-crediting program.

#### 1.2 Role of Validation & Verification in PCS

5. Validation and verification are mandatory elements of all PCS projects. PCS relies on independent third-party Validation & Verification Bodies (VVBs) accredited under PCS rules to perform impartial assessments of project design and monitored performance.
6. These assessments support issuance decisions by the PCS Secretariat and ensure that all PCS carbon credits (PCCs) are backed by verifiable emission reductions or removals, and, where applicable, verified contributions to sustainable development.

#### 1.3 Optional Compatibility Elements

7. In addition to core PCS requirements, this Standard includes optional modules enabling projects to demonstrate compatibility with external integrity frameworks such as the Paris Agreement Article 6 guidance, ICVCM Core Carbon Principles, and CORSIA Eligibility Criteria. These modules are strictly optional and may be applied only where the Project Proponent seeks recognition under such frameworks. Their inclusion does not alter PCS core requirements.

#### 1.4 Relationship to Other PCS Standards and Procedures

8. This Standard shall be applied in conjunction with:

* PCS-STD-001: Avoidance of Double Counting
* PCS-STD-002: CORSIA Eligibility (optional)
* PCS-STD-003: Sustainability & SDG Integrity Standard
* PCS Methodology Requirements
* PCS Registry & Digital Infrastructure Protocol
* PCS VVB Accreditation Requirements

In the event of conflict between requirements, the standard that provides the highest degree of environmental integrity or safeguard protection shall prevail.

#### 1.5 Applicability

9. This Standard applies to:

* all mitigation activities seeking PCS crediting,
* all VVBs approved under PCS,
* all validation and verification activities undertaken under the PCS program,
* all revisions of project design or monitoring that trigger additional validation or verification requirements.

#### 1.6 Validation vs. Verification

10. Validation is a forward-looking assessment of the project’s design, eligibility, methodology application, baseline, safeguards, and SDG expectations. Verification is a backward-looking assessment of monitored data, ensuring reported results are complete, accurate, and based on traceable evidence. Both processes require professional judgment, conservativeness, impartiality, and adherence to PCS and ISO principles.

## Chapter 2 - Scope

#### 2.1 General Scope

11. This Standard defines the requirements, procedures, and conditions applicable to the validation and verification of all project activities registered under the Planetary Carbon Standard (PCS). It applies to all components of the PCS project cycle requiring independent assessment and governs the conduct of Validation & Verification Bodies (VVBs) approved under PCS rules.
12. The Standard ensures that all assessments conducted within the PCS program are performed consistently, transparently, and with a level of rigor sufficient to uphold the environmental and social integrity of PCS-issued carbon credits.

#### 2.2 Activities Covered by This Standard

13. The requirements established herein apply to the validation of project design documents prior to crediting, the verification of monitored emission reductions or removals, and the verification of sustainable development contributions and safeguard performance.
14. This Standard also applies to the assessment of project modifications submitted through post-registration change procedures, the renewal of crediting periods, and any other evaluation requiring independent assurance.
15. Validation and verification activities cover, at minimum:

* the project’s eligibility under PCS rules;
* the correct application of PCS methodologies;
* the establishment and justification of baselines;
* the monitoring, quantification, and reporting of emission reductions or removals;
* the assessment of sustainable development and safeguard requirements;
* the accuracy and completeness of monitoring data;
* the appropriateness of monitoring methodologies and data systems;
* the implementation of risk mitigation and corrective measures;
* the integrity of records and documentation submitted.

16. The scope of each validation or verification shall be defined in accordance with PCS methodology applicability conditions and the specific requirements of this Standard.

#### 2.3 Entities to Whom This Standard Applies

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### Project Proponents

Responsible for preparing documentation, monitoring data, and submissions required for validation and verification.
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### Validation & Verification Bodies (VVBs)

Responsible for conducting independent assessments and preparing Validation and Verification Reports.
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### The PCS Secretariat

Responsible for reviewing validation and verification outputs and issuing decisions on project registration, issuance, or corrective actions.
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### Host Parties

Where optional compatibility modules require Host Party involvement for Article 6 or national authorization processes.
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18. All entities acting under this Standard shall adhere to principles of transparency, accountability, impartiality, and competence.

#### 2.4 Geographic and Sectoral Scope

19. This Standard applies to all geographic regions and all sectors eligible under PCS, including renewable energy, energy efficiency, waste management, industrial processes, AFOLU, household energy, CCS, DACCS, and other mitigation activities.
20. Sector-specific requirements included in PCS methodologies shall be considered an integral extension of this Standard and shall be applied accordingly during validation and verification.

#### 2.5 Relationship to PCS Methodologies

21. PCS methodologies contain baseline requirements, monitoring guidelines, quantification tools, and sector-specific provisions that must be validated or verified in accordance with this Standard. Where a methodology includes methodological parameters, accounting rules, or data sources requiring validation or verification, these shall be assessed by the VVB as part of the scope of work.
22. This Standard does not replace methodology-specific requirements but supplements them by ensuring consistent application across all VVBs and all project categories.

#### 2.6 Exclusions

23. This Standard does not apply to:

* voluntary corporate disclosures outside PCS (e.g., sustainability reports or ESG reports);
* supply-chain emission disclosures;
* claims not linked to PCS carbon credits or PCS SDG Labels;
* corporate offsetting statements;
* Host Party accounting processes external to the PCS Registry; or
* verification of financial, economic, or profitability claims.

24. Where a project seeks compatibility with external systems, such as Article 6 or ICVCM, only the relevant optional modules contained in Chapter 10 shall apply, and such compatibility shall not substitute for core PCS validation and verification obligations.

#### 2.7 Limitations of VVB Assessment Responsibilities

25. Validation and verification activities do not constitute a guarantee of project performance, nor do they assign responsibility for project impacts to the VVB. Instead, the VVB provides a professional, independent opinion on whether the project complies with PCS requirements based on evidence presented.
26. Responsibility for accurate reporting, data quality, and SDG or safeguard performance rests solely with the Project Proponent.

#### 2.8 Temporal Scope

27. This Standard applies to all validations and verifications conducted under PCS version 2.0 and any subsequent revisions, as well as to ongoing projects transitioning into the PCS 2.0 framework.
28. Where PCS issues clarification notes or updates to methodologies, VVBs shall apply the version of this Standard and corresponding methodology in effect at the time of assessment unless otherwise directed by PCS governance procedures.

## Chapter 3 - Roles & Responsibilities

#### 3.1 General Provisions

29. This chapter establishes the roles, duties, and boundaries of responsibility for all parties involved in the validation and verification of PCS projects.
30. The purpose of this allocation is to ensure that responsibilities are understood, conflicts of interest are minimized, and assessments are carried out with the highest standards of independence, professionalism, and integrity.
31. Nothing in this Standard shall be interpreted as shifting accountability for project performance or monitoring accuracy away from the Project Proponent, nor as restricting the independence or impartiality required of Validation & Verification Bodies (VVBs).

#### 3.2 Responsibilities of the Project Proponent

32. The Project Proponent is responsible for ensuring that all information submitted to the VVB and the PCS Secretariat is complete, accurate, and prepared in accordance with PCS rules. The Proponent shall design and implement monitoring systems capable of generating evidence suitable for independent verification.
33. The Proponent must provide timely access to records, facilities, stakeholders, and personnel necessary for validation and verification assessments.
34. The Proponent shall:

* prepare the Project Design Document and all supporting information;
* implement monitoring systems and quality-management procedures;
* maintain complete records of all data and evidence;
* disclose changes affecting project operation, boundaries, or performance;
* cooperate fully with the VVB during site visits and evidence reviews;
* identify and disclose potential conflicts of interest affecting monitoring;
* report any material incidents or deviations relevant to validation or verification.

35. The Proponent remains solely responsible for project operation and for the accuracy of information provided to the VVB and PCS Secretariat.

#### 3.3 Responsibilities of the Validation & Verification Body (VVB)

36. The VVB shall perform independent, impartial, and technically competent assessments of PCS projects. The VVB shall have no financial, operational, or managerial involvement in the project and shall not provide consulting services that could compromise independence.
37. The VVB’s responsibilities include:

* conducting validation of the project at registration or post-registration change;
* conducting verification of monitored results for emission reductions, removals, safeguard performance, and SDG contributions;
* evaluating evidence, data sources, and monitoring systems;
* applying conservativeness where uncertainty or data gaps exist;
* reporting all findings without omission or modification;
* identifying non-conformities and recommending corrective actions;
* preparing the Validation Report (PVR) or Verification Report (VR) in accordance with PCS requirements;
* maintaining internal procedures ensuring competence, impartiality, and quality assurance.

38. The VVB must refrain from any actions that could compromise the independence of its judgment or create a perception of conflict of interest.

#### 3.4 Responsibilities of the PCS Secretariat

39. The PCS Secretariat is responsible for managing the PCS program and ensuring that validation and verification activities meet PCS quality standards.
40. The Secretariat shall:

* evaluate Validation and Verification Reports for completeness and conformity;
* determine eligibility for project registration and credit issuance;
* ensure that VVBs operate within PCS rules;
* conduct periodic oversight and quality checks on VVB performance;
* issue clarifications or guidance where necessary;
* maintain the PCS Registry as the system of record for project documentation;
* initiate compliance reviews, suspensions, or enforcement actions where warranted.

41. The Secretariat does not replicate or replace the technical role of the VVB but ensures that assessments are consistent with PCS requirements.

#### 3.5 Responsibilities of Host Parties (Optional Compatibility Context Only)

42. Where a Project Proponent seeks optional compatibility under Article 6 or other international frameworks, Host Parties may be required to issue authorizations, provide datasets, or confirm national reporting consistency. In such cases, Host Party responsibilities relate only to their jurisdictional oversight and do not affect PCS core validation or verification obligations.
43. PCS does not impose Host Party responsibilities unless the Proponent voluntarily selects an optional compatibility module.

#### 3.6 Responsibilities of Stakeholders and Affected Communities

44. Stakeholders and affected communities do not bear obligations under this Standard but have the right to provide input during consultations, raise grievances, and request clarification through appropriate channels.
45. The VVB may engage stakeholders during validation or verification where necessary to corroborate claims or assess the implementation of safeguard measures.

#### 3.7 Independence and Impartiality Requirements

46. All entities performing validation or verification shall be independent from the Project Proponent and any parties with financial or operational interests in the project. The VVB shall establish internal mechanisms to prevent undue influence, ensure objectivity, and safeguard professional judgment.
47. The PCS Secretariat retains the authority to reject VVB appointments where independence is compromised.

#### 3.8 Competence Requirements

49. The VVB must demonstrate competence consistent with ISO 14065, ISO 14064-3, and PCS accreditation requirements. Competence includes sector-specific expertise, methodological knowledge, understanding of safeguard implications, familiarity with SDG assessment, and the ability to evaluate digital and blockchain-anchored monitoring systems.

#### 3.9 Limitation of Responsibilities

50. Validation or verification under PCS does not transfer responsibility for project performance, safeguard compliance, or monitoring accuracy to the VVB or the PCS Secretariat.
51. The Project Proponent remains fully accountable for:

* implementing the project as described;
* ensuring compliance with all laws and Host Party requirements;
* maintaining truthful and complete documentation;
* ensuring data integrity in all monitoring activities.

52. VVB opinions are professional judgments, not guarantees of performance.

## Chapter 4 - Validation Requirements

#### 4.1 General Provisions

53. Validation is a mandatory, independent assessment conducted prior to the commencement of crediting under the Planetary Carbon Standard. Its objective is to confirm that the project is designed in accordance with PCS requirements, that the selected methodology is appropriate and correctly applied, that baselines and monitoring approaches are justified and transparent, that safeguard and sustainable-development obligations have been appropriately addressed, and that the project is capable of generating verifiable results.
54. Validation represents a forward-looking evaluation based on the Project Design Document (PDD), supporting evidence, and the project’s operational design as presented at the time of assessment.
55. Validation does not guarantee performance nor does it constitute an endorsement of any financial, legal, or operational aspect of the project; it provides assurance only that the project design complies with PCS requirements at the time of evaluation.

#### 4.2 Validation Scope

56. The scope of validation shall include an assessment of all elements of the project design required under PCS, including but not limited to:

* eligibility under PCS program rules;
* correct and complete application of the applicable PCS methodology;
* determination and justification of the baseline scenario;
* definition and justification of project boundaries;
* demonstration of additionality, where relevant;
* quantification approach for expected emission reductions or removals;
* monitoring plan and associated data-collection systems;
* safeguard screening and risk classification;
* preliminary SDG contribution assessment;
* stakeholder consultation conducted prior to validation;
* legal, regulatory, and Host Party context relevant to project implementation;
* identification of assumptions and uncertainties that may affect verification.

57. Validation must confirm that the project documentation presents a clear, internally consistent, and technically credible representation of the project as it is intended to operate.

#### 4.3 Documentation Requirements for Validation

58. The Project Proponent shall submit a complete set of documentation as required under the PCS project cycle, including:

* the Project Design Document;
* all methodological tools and calculations;
* evidence supporting baseline determination;
* maps, diagrams, and boundary descriptions;
* the PCS Safeguards Form and any required Environmental and Social Management Plan;
* the SDG Impact Assessment Form;
* stakeholder consultation documentation;
* monitoring plan and data-management procedures;
* legal or regulatory approvals required for implementation;
* any additional evidence necessary to support claims made in the PDD.

59. Documentation must be sufficiently detailed to allow the Validation & Verification Body to perform a rigorous assessment without reliance on assumptions or undocumented information.

#### 4.4 Validation of Methodology Application

60. The VVB shall assess whether the project has correctly applied all elements of the applicable PCS methodology.
61. This includes a review of:

* methodological applicability conditions;
* baseline scenario selection;
* quantification procedures for emissions and removals;
* data sources and default factors;
* conservativeness in assumptions and parameters;
* leakage assessment, where relevant;
* uncertainty treatment consistent with PCS rules.

62. The VVB shall review all calculations and ensure that formulas, parameters, and methodological steps have been applied exactly as specified.
63. Deviations from methodology requirements may not be accepted unless explicitly allowed under PCS methodology provisions.

#### 4.5 Validation of Project Eligibility

64. The VVB shall confirm that the project meets all PCS eligibility criteria, including:

* project type eligibility under the relevant PCS methodology;
* compliance with applicable laws, permits, and regulatory conditions;
* consistency with land-use, environmental, or sectoral rules applicable in the Host Party;
* absence of conflicts arising from other certification or crediting programs unless disclosed and managed in accordance with PCS rules.

65. The VVB shall ensure that project ownership, control, and implementation arrangements are clearly described and that any claims of rights or authority to operate the project are supported by appropriate evidence.

#### 4.6 Baseline Validation

66. The VVB shall confirm that the baseline scenario has been identified and justified using credible, transparent, and verifiable information.
67. The assessment must ensure that:

* the baseline scenario represents conditions plausibly occurring in the absence of the project;
* baseline emissions or removals have been calculated using accepted data sources and methods;
* all assumptions are conservative and justified with evidence;
* the baseline is consistent with Host Party policies and PCS methodological requirements;
* the baseline is internally consistent and replicable during verification.

68. Where standardized or default baselines are required, the VVB shall validate that they have been correctly referenced and applied.

#### 4.7 Assessment of Monitoring Plan

69. The VVB shall assess whether the monitoring plan provides a sufficiently robust framework for collecting data required to quantify emission reductions or removals and, where applicable, SDG contributions.
70. The VVB shall confirm that:

* monitoring indicators are relevant, measurable, and attributable to project activity;
* monitoring frequency is appropriate to the project type;
* data-collection methods are reliable and consistent with methodology requirements;
* roles, responsibilities, and data flows are clearly defined;
* quality assurance and quality control (QA/QC) procedures are adequate;
* the monitoring approach allows independent verification.

71. If digital or automated monitoring systems are used (e.g., sensors, remote sensing, digital ledgers), the VVB shall review system descriptions for credibility and reliability.

#### 4.8 Validation of Safeguards and Sustainable Development

72. The VVB shall review the PCS Safeguards Form, stakeholder consultation records, and SDG assessment to ensure that:

* safeguard risks have been identified, classified, and addressed in accordance with PCS safeguards;
* mitigation measures are appropriate and feasible;
* stakeholder consultation was conducted adequately and inclusively;
* SDG contributions are justified with plausible pathways and baseline conditions.

73. Where safeguard risks are classified as moderate or substantial, the VVB shall review the Environmental and Social Management Plan to confirm its adequacy.

#### 4.9 Validation Site Visit

74. The VVB shall conduct a site visit unless PCS rules explicitly allow a desktop-only validation. The purpose of the site visit is to:

* confirm project location, boundaries, and operational conditions;
* verify key elements of project design;
* interview stakeholders, where relevant;
* evaluate physical infrastructure or preparatory works;
* assess environmental or social conditions pertinent to safeguard risks.

75. In justified circumstances such as remote project locations or significant safety concerns, the VVB may apply alternative approaches (e.g., remote assessments) following PCS approval.

#### 4.10 Validation Findings and Non-Conformities

76. The VVB shall assess compliance with PCS requirements and document all findings. Findings shall be classified as:

* **Material Non-Conformities** – deviations that must be resolved before validation can be completed;
* **Minor Non-Conformities** – deviations that do not materially affect compliance but must be addressed before the first verification;
* **Observations** – issues that do not constitute non-conformance but warrant attention.

77. The VVB shall not issue a positive validation conclusion unless all material non-conformities are satisfactorily resolved.

#### 4.11 Validation Report

78. The VVB shall prepare a Validation Report (PVR) that includes:

* description of validation scope and methodology;
* detailed assessment of project design;
* evaluation of methodology application;
* explanation of baseline assessment;
* review of safeguards and SDG contributions;
* summary of site visit findings;
* list of non-conformities and their resolutions;
* validation conclusion and professional opinion.

79. The Validation Report shall be submitted to the PCS Secretariat for review and archived in the PCS Registry.

#### 4.12 PCS Secretariat Review of Validation

80. The PCS Secretariat shall review the Validation Report to ensure compliance with PCS rules. The Secretariat may request clarifications, additional evidence, or corrective actions. Validation approval is granted only after the Secretariat confirms that all PCS requirements have been met.

#### 4.13 Validity of Validation

81. Validation remains valid for the duration of the initial crediting period unless:

* the project design undergoes significant changes;
* methodological changes mandate revalidation;
* safeguard conditions materially deteriorate;
* the PCS Secretariat issues a directive requiring revalidation.

## Chapter 5 - Verification Requirements

#### 5.1 General Provisions

82. Verification is the independent, evidence-based assessment of monitored results reported by a Project Proponent for a defined monitoring period.
83. The objective of verification is to establish whether emission reductions or removals, safeguard performance, and—where applicable—sustainable development contributions have been monitored, calculated, and reported in accordance with PCS requirements.
84. Verification is retrospective in nature and relies upon verifiable data generated during project operation. The Verification & Verification Body (VVB) shall issue a professional opinion on the accuracy, completeness, and reliability of reported outcomes based on the monitoring plan approved at validation and the evidence provided by the Project Proponent.
85. Verification does not certify the future performance of a project nor does it guarantee the continuation of project conditions beyond the monitoring period assessed.

#### 5.2 Scope of Verification

86. The verification shall assess all elements required under the applicable PCS methodology and this Standard, including:

* monitored emission reductions or removals;
* activity data, parameters, and calculations;
* monitoring methods, sampling procedures, and QA/QC measures;
* deviations from validated project design or monitoring approaches;
* operational or contextual changes affecting project performance;
* implementation of safeguard measures and reporting of associated risks;
* monitoring and reporting of sustainable development indicators (where applicable);
* records and evidence supporting all monitored values;
* the integrity, transparency, and completeness of the Monitoring Report.

87. The VVB may expand the verification scope where circumstances warrant additional scrutiny, particularly when inconsistencies or uncertainties are identified.

#### 5.3 Monitoring Report Review

88. The VVB shall perform a detailed review of the Monitoring Report prepared by the Project Proponent. The review shall assess:

* completeness and internal consistency of the report;
* correct application of approved monitoring methods;
* consistency with the validated monitoring plan;
* recalculation of emission reductions or removals, where necessary;
* whether the monitoring period is clearly defined and supported by evidence;
* whether all required parameters have been monitored and substantiated.

89. The VVB shall ensure that the Monitoring Report accurately reflects project conditions during the monitoring period and that no material omissions or inconsistencies exist.

#### 5.4 Assessment of Data Quality

90. The VVB shall evaluate the quality of monitoring data based on the following principles:

* **Accuracy:** data correctly represent measured conditions;
* **Completeness:** all required data are collected and reported;
* **Consistency:** data follow procedures defined in the monitoring plan;
* **Traceability:** data can be linked to original sources;
* **Plausibility:** data align with expected values for the project type;
* **Conservativeness:** uncertainties and assumptions are handled conservatively.

91. Where data are incomplete or of insufficient quality, the VVB shall require corrective measures, apply appropriate adjustments, or classify the issue as a non-conformity.

#### 5.5 Verification of Baseline Conditions During the Monitoring Period

92. The VVB shall confirm that the baseline scenario remains valid for the monitoring period under review. This includes an assessment of:

* changes in national policies, regulations, or market conditions;
* significant shifts in technology use affecting baseline assumptions;
* developments that materially alter baseline emissions or removals;
* any methodological revisions requiring baseline recalculation.

93. The VVB shall document whether the baseline remains applicable or whether adjustments are required under PCS rules or methodology provisions.

#### 5.6 Verification of Safeguard Performance

94. Verification shall include an assessment of safeguard performance in accordance with the PCS Safeguards Framework. The VVB shall:

* review evidence demonstrating the implementation of safeguard measures;
* evaluate whether previously identified risks were adequately managed;
* determine whether new environmental or social risks have emerged;
* assess whether grievance mechanisms have been implemented effectively;
* confirm compliance with applicable legal and regulatory safeguards.

95. Material failures to implement safeguard requirements shall be classified as material non-conformities and may result in suspension of issuance.

#### 5.7 Verification of Sustainable Development Contributions (Where Applicable)

96. Where a project claims sustainable development contributions or seeks a PCS SDG Label, the VVB shall assess:

* whether SDG indicators were monitored in accordance with the approved monitoring plan;
* whether data supporting SDG contributions are substantiated and verifiable;
* whether baseline conditions remain valid;
* whether reported SDG outcomes reflect actual project performance;
* whether negative sustainability impacts occurred and how they were addressed.

97. The VVB shall issue a conclusion regarding the verification of SDG contributions and the project’s eligibility for assigned or upgraded PCS SDG Label tiers.

#### 5.8 Site Visit Requirements

98. The VVB shall conduct a site visit for each verification unless:

* PCS rules explicitly allow remote verification due to geographic, political, or safety constraints; or
* the VVB, with Secretariat approval, determines that a site visit would not materially enhance assurance for the monitoring period under assessment.

99. A site visit shall include:

* inspection of project facilities;
* interviews with operators, staff, community representatives, or stakeholders;
* examination of monitoring equipment and systems;
* review of activity data and operational conditions;
* assessment of environmental or social conditions relevant to safeguards.

100. Remote-verification tools, such as satellite data, video inspections, or digital monitoring systems, may supplement site visits where appropriate.

#### 5.9 Sampling Requirements

101. The VVB shall apply sampling approaches consistent with the PCS methodology and ISO 14064-3. Sampling plans shall be:

* risk-based,
* justified,
* documented, and
* proportionate to the complexity and scale of monitored data.

102. Where sampling is used, the VVB shall assess the representativeness and reliability of sampling design, instruments, and data-collection procedures.

#### 5.10 Assessment of Deviations

103. The VVB shall assess any deviations from:

* the validated monitoring plan;
* methodology requirements;
* equipment specifications;
* project boundaries;
* activity conditions defined during validation.

104. The VVB shall classify deviations as acceptable deviations, minor non-conformities, or material non-conformities. Material deviations shall be resolved prior to issuance.

#### 5.11 Professional Judgment and Conservativeness

105. Where uncertainties arise, the VVB shall apply professional judgment consistent with PCS conservativeness principles, ensuring that emission reductions or SDG contributions are not overstated.
106. The VVB shall not rely on undocumented assumptions or extrapolations unless consistent with methodology provisions and supported by evidence.

#### 5.12 Determination of Verification Findings

107. Verification findings shall be classified into:

* **Verified** – results are supported by evidence and consistent with PCS requirements;
* **Verified with reservations** – minor issues exist but do not materially affect results;
* **Not verified** – results are unsupported, incomplete, or materially inconsistent.

108. The VVB may recommend corrective actions to address identified issues.

#### 5.13 Verification Report

109. The VVB shall prepare a Verification Report (VR) containing:

* a description of verification scope, objectives, and methodologies;
* the monitoring period assessed;
* a summary of project performance;
* assessment of emission reductions or removals;
* assessment of safeguard performance;
* assessment of SDG contributions (where applicable);
* all findings, including non-conformities and observations;
* a professional verification conclusion.

110. The VR shall be submitted to the PCS Secretariat for review and shall be published in the PCS Registry.

#### 5.14 Secretariat Review of Verification

111. The PCS Secretariat shall review the Verification Report to determine whether the verification has been carried out in accordance with PCS requirements. The Secretariat may request clarifications or additional evidence from the VVB or the Project Proponent. Issuance shall not proceed until the Secretariat is satisfied with verification completeness and accuracy.

#### 5.15 Frequency of Verification

112. Verification shall occur at least once per monitoring period and no less than once annually unless specified otherwise in the applicable PCS methodology. Additional verification may be required where material incidents occur or where project conditions deviate significantly from validated assumptions.

## Chapter 6 - Materiality, Evidence, And Sampling

#### 6.1 General Provisions

113. Materiality, evidence integrity, and sampling represent fundamental assurance principles underpinning all validation and verification activities under PCS.
114. This chapter establishes the criteria by which the Verification & Verification Body (VVB) evaluates the significance of errors or omissions, determines the acceptability of evidence, and applies sampling techniques to assess data quality. These provisions ensure that reported results are free from material misstatements and that any uncertainties are addressed through conservative and defensible approaches.

#### 6.2 Materiality

**6.2.1 Definition of Materiality**

115. A misstatement, omission, inaccuracy, or deviation is considered **material** if it could influence the verification conclusion or the quantity of emission reductions, removals, safeguard outcomes, or SDG contributions being claimed. Materiality is assessed in both quantitative and qualitative terms.
116. A quantitative discrepancy is material if it has the potential to alter the verified emission reductions or removals by **an amount significant enough to affect issuance decisions**.
117. A qualitative issue is material if it undermines:

* the reliability of monitoring systems;
* compliance with safeguards;
* the credibility of SDG claims;
* or the integrity of evidence supporting the Monitoring Report.

118. Materiality thresholds may vary depending on project type, methodology requirements, and parameter uncertainty.

**6.2.2 Application of Materiality**

119. During verification, the VVB shall:

* identify all discrepancies affecting reported values;
* assess the magnitude and significance of each discrepancy;
* determine whether discrepancies accumulate to exceed materiality thresholds;
* require corrective actions for all material misstatements;
* apply conservative adjustments where uncertainties cannot be resolved;
* refrain from issuing a “verified” conclusion until all material issues are addressed.

120. Materiality shall not be used to justify deliberate omissions, poor monitoring practices, or lack of documentation.

#### 6.3 Evidence Requirements

**6.3.1 Principles of Acceptable Evidence**

121. Evidence submitted by the Project Proponent shall be:

* **traceable**, such that its origin and processing can be identified;
* **complete**, covering all parameters required for monitoring;
* **accurate**, free from errors that would alter verification conclusions;
* **independent or corroborated**, where possible;
* **timely**, reflecting the conditions of the monitoring period;
* **transparent**, allowing replication of calculations and assessments.

122. The VVB shall reject evidence that is unverifiable, inconsistent, or contradictory without reasonable explanation.

**6.3.2 Types of Evidence**

123. The VVB shall classify evidence into the following categories:

* **Direct Primary Evidence** — Measurements or observations collected from monitoring systems, sensors, meters, instruments, or field surveys. This is the highest tier of evidence and must be prioritized where the methodology requires primary data.
* **Operational Records** — Project-generated logs, fuel records, maintenance reports, equipment usage logs, or digital data systems. These must be consistent, complete, and supported by quality-control procedures.
* **Third-Party or Independent Evidence** — Reports, scientific studies, laboratory tests, or analyses prepared independently of the Project Proponent. These may be used to support assumptions or contextual data.
* **Governmental or Official Data** — National statistics, regulatory datasets, or Host Party reports. Such data must be relevant to the monitoring period and geographical context.
* **Secondary or Derived Evidence** — Modelled estimates, proxy values, or derived calculations. These may only be used when primary data are not feasible and the methodology explicitly allows their use.

**6.3.3 Evidence Triangulation**

124. Where possible, the VVB shall seek corroboration of data using multiple sources. Triangulation strengthens the reliability of verification conclusions and shall be applied particularly in cases involving:

* SDG indicators derived from household surveys;
* activity data with irregular or inconsistent records;
* environmental parameters subject to variability;
* proxy measurements or partial datasets.

#### 6.4 Handling Data Gaps and Uncertainty

**6.4.1 Data Gaps**

125. If monitoring data are missing, incomplete, or inconsistent, the VVB shall:

* require the Project Proponent to provide replacement or supplementary data;
* apply conservative assumptions if gaps cannot be resolved;
* treat repeated or systemic data gaps as a non-conformity.

**6.4.2 Uncertainty Requirements**

126. Uncertainty shall be assessed and addressed in accordance with PCS methodologies and ISO 14064-3 principles. The VVB shall ensure that:

* uncertainty analyses are complete and correctly applied;
* any uncertainty affecting emissions or removals is conservatively reflected;
* uncertainty is not used to mask poor monitoring or inadequate documentation.

#### 6.5 Sampling Requirements

**6.5.1 General Approach**

127. Sampling may be used by the VVB to evaluate:

* activity data;
* SDG indicators (e.g., household surveys);
* safeguard performance;
* operational records;
* sub-populations within project boundaries.

128. Sampling shall be **risk-based**, **justified**, and **documented**.

**6.5.2 Sampling Plan Requirements**

129. A sampling plan must include:

* the rationale for sampling;
* the selected sampling method (random, stratified, systematic);
* sample size and justification;
* selection procedures;
* data-validation checks;
* treatment of non-response, missing data, or outliers;
* statistical confidence and error levels where required.

**6.5.3 Representativeness**

130. Sampling shall reflect the diversity of:

* technologies,
* households,
* operational conditions,
* geographical distribution,
* or user groups

within the project boundary.

131. Unrepresentative sampling invalidates verification conclusions.

**6.5.4 Statistical Confidence Requirements**

132. Where methodologies require statistical confidence (e.g., certain household energy or AFOLU methodologies), the VVB shall verify that:

* confidence intervals and error margins are calculated correctly;
* required confidence levels (e.g., 90%, 95%) are met;
* sampling deviations are justified and documented.

133. Where confidence levels are not met, the VVB shall apply conservative adjustments or classify the issue as a non-conformity.

#### 6.6 Use of Digital Monitoring Systems in Verification

134. Where digital tools are used (IoT, sensors, remote sensing, blockchain-logged datasets), the VVB shall evaluate:

* system calibration and maintenance records;
* data transmission integrity;
* controls ensuring prevention of tampering;
* consistency between digital outputs and physical observations;
* metadata integrity, including timestamps and geolocation where relevant.

135. Digital evidence shall be treated as primary data provided the system demonstrates reliability and traceability.

#### 6.7 Verification Adjustments

136. The VVB may apply adjustments under the following circumstances:

* data gaps that cannot be resolved;
* uncertainty beyond acceptable thresholds;
* inconsistent or implausible monitoring results;
* discrepancies between multiple data sources;
* measurement or instrumentation failures.

137. Adjustments must be conservative, documented, and supported by the rationale used to derive them.

#### 6.8 Documentation Requirements

138. The VVB shall document:

* all evidence reviewed;
* any sampling procedures used;
* all calculations and recalculations;
* all judgments applied and their justification;
* any uncertainty adjustments or data corrections;
* all materiality determinations.

These must be included or referenced in the Verification Report.

## Chapter 7 - Reporting Requirements

#### 7.1 General Provisions

139. This chapter defines the minimum reporting requirements for Validation Reports (PVRs) and Verification Reports (VRs) prepared under the Planetary Carbon Standard.
140. These reports form the basis for registration and issuance decisions by the PCS Secretariat and must therefore present a complete, unbiased, and transparent account of the assessment conducted by the Validation & Verification Body (VVB).
141. All reports shall be written in clear, formal language and contain sufficient detail to enable the PCS Secretariat, Host Parties (where applicable), and external stakeholders to understand the basis for the VVB’s conclusions.
142. Reports shall be submitted in formats prescribed by PCS and archived in the PCS Registry. The VVB is responsible for ensuring that all findings—including non-conformities, uncertainties, deviations, and opinions issued—are accurately documented and supported by evidence.

#### 7.2 Structure of the Validation Report (PVR)

143. The PVR shall include all information necessary to demonstrate that validation was conducted in accordance with PCS requirements. The report shall not omit or obscure any relevant finding, and all judgments rendered shall be supported by clear rationales.

**7.2.1 Required Components of the PVR**

144. The PVR shall include the sections listed below. Additional subsections may be included at the discretion of the VVB.

* Executive Summary — A concise summary of the validation scope, methodology, and overall conclusion.
* Project Description and Context — A description of the project activity, location, boundaries, technology, and operational conditions.
* Applicable PCS Methodology — Identification of the methodology used and confirmation that applicability conditions are met.
* Assessment of Methodology Application — A detailed assessment of baseline determination, quantification methods, parameters used, assumptions, and conservativeness.
* Assessment of Eligibility and Legal Compliance — Evaluation of Host Party requirements, permits, approvals, and legal obligations relevant to the project.
* Assessment of the Monitoring Plan — Review of procedures, indicators, QA/QC mechanisms, sampling plans, and data-management systems.
* Safeguard and SDG Assessment — Review of the PCS Safeguards Form, stakeholders consulted, risk classification, ESMP (if required), and SDG assessment.
* Site Visit Findings — Summary of observations, interviews, on-site inspections, and verification of project conditions.
* Non-Conformities and Observations — Classification and description of material non-conformities, minor non-conformities, and observations.
* Validation Conclusion — A formal statement of the VVB’s validation opinion.
* Annexes — Supporting documents, checklists, evidence summaries, and relevant data.

**Table 7-A — Summary of PVR Required Contents**

| Section                | Purpose                                        | Mandatory?                     |
| ---------------------- | ---------------------------------------------- | ------------------------------ |
| Executive Summary      | High-level description of validation           | Yes                            |
| Project Description    | Define scope, boundaries, technology           | Yes                            |
| Methodology Assessment | Confirm correct methodology application        | Yes                            |
| Baseline Assessment    | Verify baseline justification and calculations | Yes                            |
| Monitoring Plan Review | Ensure monitoring design adequacy              | Yes                            |
| Safeguard & SDG Review | Validate risks, ESMP, SDGs                     | Yes                            |
| Site Visit Summary     | Confirm field conditions                       | Yes (unless site visit waived) |
| Non-Conformities       | Identify and classify findings                 | Yes                            |
| Validation Opinion     | Independent conclusion                         | Yes                            |
| Evidence Annex         | Supporting proofs                              | Yes                            |

#### 7.3 Structure of the Verification Report (VR)

146. The Verification Report (VR) is the formal assessment of monitored results and shall reflect the VVB’s independent determination as to whether emission reductions, removals, safeguards, and SDG contributions have been accurately measured and reported.

**7.3.1 Required Components of the VR**

* Executive Summary — Overview of scope, monitoring period, and verification outcome.
* Verification Scope and Objectives — Description of the boundaries, reporting period, and aspects assessed.
* Review of Monitoring Plan Implementation — Assessment of the actual monitoring practices during the period.
* Assessment of Activity Data and Calculations — Verification of all monitored parameters, equations, data sources, and emission-reduction calculations.
* Assessment of Deviations — Review of any deviations from validated project design or approved monitoring approaches.
* Assessment of Safeguard Performance — Evaluation of risk mitigation, stakeholder engagement, grievances, and safeguard updates.
* Assessment of SDG Contributions (Where Applicable) — Verification of SDG indicator performance and evidence supporting claimed outcomes.
* Site Visit Findings — Observations and corroborating evidence derived from on-site assessments.
* Non-Conformities and Corrective Actions — List of all material and minor non-conformities, corrective actions taken, and any outstanding issues.
* Verification Conclusion — Formal verification opinion, including verified quantities and verified SDG contributions where applicable.
* Annexes — Evidence logs, sampling descriptions, data tables, recalculation spreadsheets, stakeholder interviews, and site visit records.

**Table 7-B — Summary of VR Required Contents**

| Section                    | Purpose                                 | Mandatory?          |
| -------------------------- | --------------------------------------- | ------------------- |
| Executive Summary          | High-level outcome summary              | Yes                 |
| Verification Scope         | Define monitoring period and objectives | Yes                 |
| Monitoring Assessment      | Confirm adherence to monitoring plan    | Yes                 |
| Data & Calculations Review | Ensure accuracy of ER/REM calculations  | Yes                 |
| Deviations Assessment      | Identify and classify deviations        | Yes                 |
| Safeguard Verification     | Confirm safeguard implementation        | Yes                 |
| SDG Verification           | Verify SDG performance (if applicable)  | Conditional         |
| Site Visit Summary         | Document field verification             | Yes (unless waived) |
| Non-Conformities           | Document compliance issues              | Yes                 |
| Verification Opinion       | Official verification conclusion        | Yes                 |
| Evidence Annex             | Supporting materials                    | Yes                 |

#### 7.4 Reporting of Emission Reductions or Removals

147. The VR must clearly present the verified quantity of emission reductions or removals with supporting:

* calculations,
* data sources,
* uncertainty adjustments,
* error-handling procedures, and
* conservative corrections (where applied).

148. PCS requires that verified quantities be stated with appropriate units, timeframes, and disaggregation where methodologies require parameter-level transparency.
149. A concise Results Table shall be included.

**Table 7-C — Example Format for Verified Results**

| Parameter               | Unit  | Value | Evidence Source                 | Notes             |
| ----------------------- | ----- | ----- | ------------------------------- | ----------------- |
| Baseline Emissions      | tCO₂e | XXXX  | Baseline dataset / calculations | —                 |
| Project Emissions       | tCO₂e | XXXX  | Monitoring records              | —                 |
| Leakage                 | tCO₂e | XXXX  | Leakage assessment              | If applicable     |
| Net Reductions/Removals | tCO₂e | XXXX  | Calculated by VVB               | Verified quantity |

PCS requires this table (or equivalent) in every VR.

#### 7.5 Reporting of Safeguard Findings

150. The VR shall:

* summarize safeguard performance,
* identify any new risks,
* evaluate grievance mechanisms, and
* confirm implementation of mitigation plans.

151. Safeguard-related findings must be transparently recorded, even when no issues are discovered.
152. A safeguard summary table may be included when multiple categories are evaluated.

#### 7.6 Reporting of Sustainable Development Contributions

153. Where SDG contributions are claimed or a PCS SDG Label is applicable, the VR must include:

* a summary of each SDG indicator monitored,
* baseline vs. monitored values,
* data sources used,
* sampling or survey methods,
* assessment of attribution,
* assessment of negative impacts, and
* VVB opinion on whether SDG contributions are verified.

#### 7.7 Reporting of Non-Conformities

154. The PVR and VR must classify all findings using the following categories:

* Material Non-Conformity — A deviation that materially affects the integrity of emission or SDG reporting.
* Minor Non-Conformity — A deviation that must be addressed by the next verification cycle.
* Observation — A non-critical note that does not constitute non-compliance.

155. The report shall provide:

* description of the issue,
* evidence reviewed,
* corrective actions taken or required,
* classification of severity,
* timeline for resolution.

A table summarizing all findings is mandatory.

#### 7.8 Reporting of Professional Judgment and Assumptions

156. The VVB must disclose cases where professional judgment, conservative adjustments, or estimation procedures were applied. These must be reasoned, transparent, and clearly explained.

#### 7.9 Confidential Information

157. Where the Project Proponent submits confidential information, the VVB must:

* document receipt of such materials,
* confirm whether the confidentiality request is valid under PCS rules, and
* ensure that any confidential content does not interfere with the transparency of the final report.

#### 7.10 Submission and Publication

158. All PVRs and VRs shall be:

* submitted to the PCS Secretariat,
* subject to completeness checks,
* approved (or returned) by PCS, and
* published in the PCS Registry in accordance with transparency rules.

159. Only after Secretariat acceptance may issuance proceed.

## Chapter 8 - VVB Requirements & Accreditation

#### 8.1 General Provisions

160. This chapter defines the requirements applicable to Validation & Verification Bodies (VVBs) operating under the Planetary Carbon Standard (PCS). VVBs are responsible for conducting independent, impartial, and technically robust validation and verification assessments.
161. Accreditation, approval, and oversight of VVBs ensure that PCS maintains a high degree of integrity, credibility, and consistency across all assurance activities.
162. A VVB may perform validation or verification under PCS only if it has been formally approved in accordance with the requirements set out in this chapter and any supplementary procedural documents issued by the PCS Secretariat.

#### 8.2 Eligibility Requirements for VVBs

163. A VVB may be accredited under PCS only if it demonstrates compliance with the following minimum requirements:

* Accreditation under ISO 14065, or an equivalent internationally recognized accreditation standard for greenhouse-gas validation and verification bodies.
* Technical competence in the methodologies and sectoral scopes for which the VVB seeks approval under PCS.
* Independence and impartiality, free from conflicts of interest.
* Documented quality management systems consistent with ISO 17029 and comparable assurance frameworks.
* Adequate personnel qualifications, including demonstrated experience in GHG accounting, sustainability assessment, and safeguards evaluation.
* Operational capacity to conduct site visits, remote assessments, and digital evidence reviews as required under PCS rules.

164. The PCS Secretariat may request additional documentation or conduct assessments to confirm eligibility.

#### 8.3 Sectoral Scopes

165. The PCS Secretariat shall maintain a list of sectoral scopes under which VVBs may be accredited. These may include, but are not limited to:

* Renewable energy and energy efficiency
* Industrial processes
* Waste management
* AFOLU and nature-based solutions
* CCS, BECCS, DACCS
* Household and distributed technologies
* Urban and transport systems

166. A VVB shall only perform validation or verification for project types within its approved scopes.

#### 8.4 Demonstration of Competence

167. A VVB shall demonstrate competence for each sectoral scope by providing evidence of:

* staff expertise with relevant technical qualifications;
* professional experience with similar project types;
* experience applying relevant monitoring and quantification methodologies;
* familiarity with safeguard and sustainability issues relevant to the sector;
* knowledge of applicable Host Party regulations and operational contexts;
* capability to assess digital, automated, or blockchain-anchored monitoring systems.

168. Competence must be supported by resumes, training records, project experience logs, or equivalent documentation.

#### 8.5 Impartiality and Conflict-of-Interest Requirements

169. The VVB shall maintain organizational independence from all Project Proponents for whom it conducts validation or verification. The following activities are prohibited:

* project development services,
* methodology design for compensated clients,
* consultancy affecting monitoring systems,
* financial interests in the project or Proponent,
* involvement in equipment sales or technology deployment.

170. The VVB must have internal procedures to identify, prevent, and manage both actual and perceived conflicts of interest.
171. A VVB shall disclose to the PCS Secretariat any potential conflict before initiating an assignment. The Secretariat may reject an assignment where independence or impartiality is deemed compromised.

#### 8.6 Personnel Requirements

172. Personnel conducting validation or verification shall possess:

* qualifications consistent with ISO 14066 or equivalent standards;
* relevant academic or professional credentials;
* documented sector-specific experience;
* training on PCS rules, methodologies, safeguards, and SDG assessment;
* familiarity with applicable Host Party laws;
* capability to perform on-site and remote assessments.

173. A VVB shall assign team leaders with demonstrated experience in leading GHG assurance engagements.

#### 8.7 Quality Management Systems

174. The VVB shall maintain quality management systems that ensure:

* consistent application of procedures;
* documentation and archiving of evidence;
* review and approval of deliverables;
* competence management of staff;
* risk-management procedures;
* oversight of subcontractors (if used).

175. All quality procedures shall be documented in an internal Quality Manual subject to review by the PCS Secretariat.

#### 8.8 Use of Subcontractors

176. Subcontractors may be used to provide technical support only if:

* they do not perform key assurance functions;
* their involvement does not impair independence;
* they are qualified by the VVB;
* their work is overseen and reviewed by accredited VVB staff.

177. VVBs remain fully responsible for the quality and integrity of any subcontracted work.

#### 8.9 Application for PCS Approval

178. To obtain PCS approval, the VVB shall submit:

* application form issued by PCS,
* accreditation certificates and scope statements,
* Quality Manual and procedural documentation,
* resumes and competence records of personnel,
* relevant assurance experience,
* conflict-of-interest policy,
* confirmation of impartiality safeguards.

179. The PCS Secretariat may conduct interviews, audits, or desk reviews prior to approval.

#### 8.10 Oversight and Performance Monitoring

180. PCS shall monitor the performance of VVBs through:

* review of Validation and Verification Reports;
* spot checks of working papers;
* annual performance assessments;
* feedback from Project Proponents and stakeholders;
* targeted reviews triggered by irregularities;
* audits conducted directly by PCS or by appointed experts.

181. The PCS Secretariat may impose conditions, request retraining, or require re-submission of reports.

#### 8.11 Corrective Actions for VVBs

182. Where deficiencies or non-compliance are identified, the PCS Secretariat may require the VVB to:

* implement corrective actions,
* update competence records,
* modify internal procedures,
* undergo retraining,
* revise deliverables already submitted.

183. Correspondence relating to corrective actions shall be archived in the PCS Registry for transparency.

#### 8.12 Suspension or Revocation of VVB Approval

184. Approval may be suspended or revoked if:

* impartiality is compromised,
* systemic deficiencies are identified,
* repeated non-conformities occur,
* inaccurate or misleading Verification or Validation Reports are issued,
* audits indicate a failure to comply with PCS or ISO requirements,
* the VVB loses ISO accreditation.

185. Suspension or revocation may be immediate where ongoing work risks undermining PCS integrity.

#### 8.13 Reinstatement of Approval

186. A VVB may apply for reinstatement after demonstrating resolution of all deficiencies, successful implementation of corrective actions, and full compliance with PCS requirements. PCS may require additional audits prior to reinstatement.

#### 8.14 Transparency and Disclosure

187. A list of approved VVBs and their sectoral scopes shall be published in the PCS Registry. PCS shall disclose:

* approval status,
* scope of accreditation,
* suspension or revocation decisions,
* reinstatement of any VVB.

188. Commercially sensitive information submitted by VVBs shall be handled in accordance with PCS confidentiality rules.

## Chapter 9 - Non-Conformities And Corrective Actions

#### 9.1 General Provisions

189. Non-conformities represent deviations from the requirements of PCS standards, methodologies, guidance documents, monitoring rules, or validation and verification procedures. The purpose of this chapter is to establish a clear and consistent framework for identifying, classifying, addressing, and resolving such deviations.
190. Corrective actions ensure that non-conformities do not compromise the integrity of emission reductions, removals, safeguard obligations, or sustainable development contributions.
191. This chapter applies to Project Proponents, Validation & Verification Bodies (VVBs), and the PCS Secretariat.

#### 9.2 Identification of Non-Conformities

192. Non-conformities may be identified at any stage of validation or verification through:

* review of project documentation;
* site visits or remote assessments;
* stakeholder feedback or grievances;
* discrepancies in data or evidence;
* inconsistencies between baseline and monitoring conditions;
* failures to implement safeguards or monitoring plans;
* material errors in calculations or reporting;
* incomplete or inaccurate Monitoring Reports;
* procedural deviations by the VVB.

193. All non-conformities must be documented transparently in the PVR or VR, including the evidence supporting the finding.

#### 9.3 Classification of Non-Conformities

194. All non-conformities shall be classified according to their severity and potential impact. The following categories must be applied by the VVB and the PCS Secretariat:

**Table 9-A — Classification of Non-Conformities**

| Category                | Definition                                                                                                                                                                        | Implications                                                |
| ----------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ----------------------------------------------------------- |
| Material Non-Conformity | A deviation that materially affects emission reductions/removals, safeguard performance, SDG contributions, monitoring integrity, or any requirement essential to PCS compliance. | Must be resolved before validation or issuance can proceed. |
| Minor Non-Conformity    | A deviation that does not materially affect reported results but requires correction prior to the next verification cycle.                                                        | Issuance may proceed, but correction is mandatory.          |
| Observation             | A potential risk, inconsistency, or weakness that does not constitute non-compliance.                                                                                             | No immediate action required, but must be monitored.        |

#### 9.4 Requirements for Corrective Action Plans

195. Where the VVB identifies one or more non-conformities, the Project Proponent shall prepare a Corrective Action Plan (CAP) that:

* describes the nature and cause of the non-conformity;
* specifies corrective measures;
* identifies responsible personnel;
* provides a timeline for implementation;
* includes evidence demonstrating completion of corrective actions;
* outlines measures to prevent recurrence.

196. Corrective actions must be submitted to the VVB for review, and the VVB must confirm whether measures are adequate and complete.
197. Material non-conformities shall require immediate corrective actions consistent with this Standard.

#### 9.5 Deadlines for Corrective Actions

198. Deadlines shall be assigned in accordance with the classification of non-conformity:

* Material Non-Conformities: must be resolved before validation or issuance can proceed.
* Minor Non-Conformities: must be resolved before the subsequent verification.
* Observations: addressed at the discretion of the Project Proponent but monitored by the VVB.

199. The PCS Secretariat may prescribe shorter deadlines where risks to environmental or social integrity are identified.

#### 9.6 Role of the VVB in Confirming Corrective Actions

100. The VVB shall:

* review corrective actions submitted;
* request additional evidence if necessary;
* confirm whether the non-conformity has been resolved;
* document all findings in an addendum or subsequent report;
* classify any unresolved material non-conformity that persists despite corrective actions.

101. If the VVB determines that corrective actions are insufficient, the non-conformity shall remain open until satisfactorily addressed.

#### 9.7 PCS Secretariat Oversight

102. The PCS Secretariat shall:

* review the VVB’s treatment of non-conformities;
* may request further evidence, clarification, or independent assessment;
* confirm that all material non-conformities are resolved prior to issuance;
* determine whether non-conformities warrant enforcement actions under PCS rules.

103. The Secretariat may reject VVB conclusions where procedural deficiencies or substantive errors are identified.

#### 9.8 Treatment of Non-Conformities Affecting Issuance

104. Issuance of PCS carbon credits shall not proceed where:

* one or more material non-conformities remain unresolved;
* project monitoring systems are deemed unreliable;
* safeguard failures constitute material risk;
* SDG claims remain unverified where the project seeks SDG Labels.

105. The PCS Secretariat may defer, suspend, or deny issuance until all conditions are satisfied.

#### 9.9 Non-Conformities Identified Post-Issuance

106. If a non-conformity is identified after credits have been issued:

* the Secretariat may initiate a review;
* the VVB may be instructed to undertake a supplementary assessment;
* the Project Proponent must provide necessary documentation;
* if issuance was based on material misstatement, PCS may suspend the project or apply corrective actions.

108. PCS does not automatically revoke credits issued prior to the discovery of non-conformance, but it may issue public notices or corrective instructions where transparency is required.

#### 9.10 Escalation of Repeated Non-Conformities

109. Repeated or systemic non-conformities may indicate deficiencies in project monitoring systems or VVB performance. PCS may:

* require enhanced monitoring;
* impose additional verification cycles;
* conduct targeted audits;
* suspend project eligibility;
* suspend or revoke the VVB’s approval.

110. Escalation decisions shall be based on professional judgment and documented evidence.

#### 9.11 Recording and Publication of Non-Conformities

111. All material non-conformities must be recorded in the:

* Validation Report (PVR),
* Verification Report (VR), and
* PCS Registry public project file.

112. Minor non-conformities and observations may be published at the discretion of the PCS Secretariat to support transparency.
113. Non-conformities affecting safeguards or SDG performance shall always be disclosed publicly.

#### 9.12 Non-Conformities Attributable to the VVB

114. If non-conformities arise due to procedural or substantive failures by the VVB, the PCS Secretariat may:

* require the VVB to undertake corrective training;
* require revision of the PVR or VR;
* conduct a formal review of the VVB;
* impose conditions on the VVB’s approval;
* suspend or revoke VVB accreditation.

115. Errors by the VVB do not relieve the Project Proponent of responsibility for compliance.

#### 9.13 Closure of Non-Conformities

116. A non-conformity is considered closed when:

* corrective actions have been implemented;
* evidence has been reviewed and accepted by the VVB;
* the Secretariat has approved, where applicable.

117. Closure shall be documented in writing and included in the PCS Registry project file.

#### 9.14 Preventive Measures

118. The Project Proponent and VVB shall implement preventive measures based on observations or lessons learned to reduce future risks of non-conformity. PCS may issue clarifications or updated guidance where systemic issues are identified.

## Chapter 10 - Optional Compatibility Modules

#### 10.1 General Provisions

119. This chapter establishes optional modules that projects may voluntarily apply when seeking compatibility with external international frameworks. These modules do not modify the core PCS validation or verification requirements and do not introduce additional obligations unless explicitly selected by the Project Proponent.
120. The Validation & Verification Body (VVB) shall apply these modules only where the Project Proponent has declared their intent to pursue compatibility and has provided all supporting documentation required under the respective module.
121. Optional compatibility does not imply certification, approval, or endorsement by the external system. PCS neither replaces nor replicates external review requirements; it only provides structured alignment where appropriate.

#### 10.2 Article 6 Compatibility Module (Optional)

**10.2.1 Purpose and Scope**

122. This module applies only where a Project Proponent seeks to align its monitoring, reporting, or verification with the information requirements generally associated with Article 6 of the Paris Agreement (e.g., authorization processes, corresponding adjustment reporting).
123. PCS does not issue authorizations, perform national accounting, or participate in Host Party registry actions.
124. This module enables the VVB to verify supporting evidence prepared by the Project Proponent solely for the purposes of Article 6 compatibility, if requested.

**10.2.2 Additional Documentation Requirements**

125. Where the Article 6 module is selected, the Project Proponent shall provide:

* documentation demonstrating Host Party engagement (if applicable);
* any applicable Host Party guidance provided to the Proponent;
* monitoring or reporting elements that intersect with Host Party expectations, such as activity data or mitigation outcomes;
* any technical documents required by the Host Party to support authorization, if applicable.

**10.2.3 VVB Responsibilities Under This Module**

126. The VVB shall:

* confirm whether the additional documentation is complete and internally consistent;
* assess whether monitoring and reporting adhere to the applicable PCS methodology;
* verify only those elements explicitly requested within the module’s scope;
* avoid interpreting or validating Host Party authorization decisions.

**10.2.4 Deliverable Under This Module**

127. The VVB shall prepare an **Article 6 Compatibility Annex** to the Validation or Verification Report, confirming:

* the scope of assessment requested;
* evidence reviewed;
* professional observations regarding completeness and consistency;
* any limitations or exclusions.

128. The Annex does not constitute a Host Party authorization or an Article 6 approval.

#### 10.3 ICVCM Integrity Module (Optional)

**10.3.1 Purpose and Scope**

129. This module enables the Project Proponent to demonstrate compatibility with high-level integrity expectations associated with the Integrity Council for the Voluntary Carbon Market (ICVCM), if desired.
130. This module does not replicate ICVCM assessment processes and does not certify credits as CCP-aligned or CCP-approved.
131. It allows the VVB to confirm that PCS documentation contains information relevant to ICVCM criteria.

**10.3.2 Additional Documentation Requirements**

141. If the module is selected, the Project Proponent shall provide:

* evidence supporting claims of environmental integrity;
* documentation demonstrating project ownership clarity;
* additional safeguard and grievance details (if any);
* sector-specific risks addressed in a manner relevant to ICVCM expectations.

**10.3.3 VVB Responsibilities**

142. The VVB shall:

* review completeness and consistency of the documentation submitted for ICVCM-related considerations;
* confirm alignment of core PCS validation and verification processes with relevant ICVCM principles;
* note any issues arising that may affect compatibility;
* refrain from issuing any statement regarding ICVCM approval or compliance.

**10.3.4 Deliverable Under This Module**

143. The VVB shall prepare an **ICVCM Compatibility Annex** that:

* describes the scope of review;
* identifies any evidence supporting alignment with ICVCM principles;
* outlines limitations or areas requiring further review.

144. The Annex is informational and does not constitute a certification.

#### 10.4 CORSIA Alignment Module (Optional)

**10.4.1 Purpose and Scope**

145. This module enables the Project Proponent to request verification of elements relevant to potential alignment with aviation-sector expectations (e.g., additionality demonstration, baseline integrity, monitoring quality).
146. This module is optional and does not constitute approval for aviation use under existing or future aviation frameworks.

**10.4.2 Additional Documentation Requirements**

147. Where selected, the Project Proponent shall submit:

* baseline and quantification information relevant to aviation-sector expectations;
* additionality evidence, where applicable;
* monitoring and QA/QC details consistent with PCS rules;
* any Host Party guidance or sector-specific information the Proponent seeks to include.

148. PCS does not validate or verify external sector eligibility determinations.

**10.4.3 VVB Responsibilities**

149. The VVB shall:

* determine whether PCS monitoring and calculation steps were adhered to;
* review additional evidence prepared by the Proponent;
* prepare a technical observation regarding alignment with the requested elements;
* avoid issuing any statement implying sector certification or eligibility.

**10.4.4 Deliverable Under This Module**

150. The VVB shall prepare a **CORSIA Alignment Annex** summarizing:

* the scope of the assessment;
* evidence reviewed;
* limitations;
* professional observations on completeness.

151. This Annex is informational only.

#### 10.5 Limitations Applicable to All Compatibility Modules

152. Regardless of the module selected, the VVB shall:

* avoid statements implying approval by external systems;
* restrict its assessment to PCS rules and voluntarily provided supplementary evidence;
* document limitations and exclusions clearly;
* confirm that core PCS validation and verification procedures remain unchanged.

153. Compatibility modules do not alter the quantity of verified emission reductions, SDG contributions, or safeguard assessments.

#### 10.6 Publication of Compatibility Annexes

154. Compatibility Annexes prepared under this chapter shall be:

* submitted to the PCS Secretariat;
* published in the PCS Registry;
* clearly labeled as “Optional Compatibility Annex – Informational Only”;
* accompanied by a disclaimer stating that PCS does not certify compliance with external systems.

## Chapter 11 - Transparency & Record Keeping

#### 11.1 General Provisions

155. Transparency and robust record keeping are essential to maintaining the integrity and credibility of the Planetary Carbon Standard (PCS). This chapter establishes the requirements for maintaining, safeguarding, and disclosing information relevant to validation and verification activities.
156. The requirements ensure that all project documentation, monitoring data, validation records, and verification assessments can be independently authenticated and reviewed.
157. The PCS Registry, supported by blockchain-based audit trails, serves as the authoritative repository for validation and verification information.

#### 11.2 Record Keeping by the Project Proponent

158. The Project Proponent shall maintain complete and accurate records sufficient to support validation, verification, and issuance decisions. Records shall be preserved for the entire crediting period and for not less than seven years following the final issuance or project de-registration.
159. Records must include, at minimum:

* the final validated Project Design Document;
* all Monitoring Reports, including raw activity data and calculations;
* site visit logs, operational records, maintenance records, and system performance data;
* calibration certificates and evidence of equipment integrity;
* stakeholder consultation records;
* safeguard and SDG monitoring data;
* evidence supporting baseline conditions and methodological assumptions;
* communications with the PCS Secretariat and VVB;
* any documents submitted for optional compatibility modules.

160. Records may be stored electronically or physically, provided that the integrity and traceability of information is preserved.

#### 11.3 Protection, Integrity, and Availability of Records

161. The Project Proponent shall implement internal controls to ensure:

* protection against unauthorized modification or loss;
* secure storage, including backups of digital records;
* integrity of metadata such as timestamps and geolocation, where applicable;
* replicability of all reported calculations;
* full accessibility for the VVB and PCS Secretariat upon request.

162. Any loss, corruption, or compromise of records must be communicated to the PCS Secretariat within 30 days, accompanied by a corrective action plan.

#### 11.4 Record Keeping by Validation & Verification Bodies

163. The VVB shall maintain complete working papers and documentation supporting its validation or verification conclusions. Records shall include:

* checklists, internal review documents, and evaluation notes;
* evidence reviewed, including copies or secure references;
* sampling plans and sampling results;
* recalculations performed by the VVB;
* site visit notes, stakeholder interviews, and observational evidence;
* classification and treatment of non-conformities;
* internal quality review documentation;
* professional judgments exercised and associated rationales.

164. VVB records shall be retained for a minimum of seven years following issuance of the Validation or Verification Report, or longer where required by national accreditation bodies.

#### 11.5 PCS Secretariat Transparency Requirements

165. The PCS Secretariat shall ensure that relevant validation and verification information is made publicly available through the PCS Registry.
166. The following documents shall be publicly disclosed:

* Validation Reports (PVRs);
* Verification Reports (VRs);
* monitoring period summaries;
* safeguard and SDG performance summaries;
* non-conformities of material significance;
* compatibility module annexes, where used.

167. Confidential commercial information may be redacted only where consistent with PCS confidentiality rules and does not materially affect transparency or the interpretation of results.

#### 11.6 PCS Registry as the System of Record

168. The PCS Registry serves as the authoritative system of record for all validation and verification activities. The Registry shall maintain:

* a publicly accessible project page for each registered project;
* current and historical PVRs and VRs;
* tracking of project status, issuance, and retirements;
* immutable hashes of critical documents stored via etherium blockchain technology;
* references to any optional compatibility annexes.

169. The blockchain integration of the PCS Registry ensures immutability of disclosure records and enables independent verification of document authenticity.

#### 11.7 Disclosure of Non-Conformities

170. Material non-conformities identified during validation or verification shall be disclosed publicly through the PCS Registry, including:

* the nature of the non-conformity;
* corrective actions taken;
* whether corrective actions were verified;
* the effect, if any, on issuance decisions.

171. Minor non-conformities and observations may be published at the Secretariat’s discretion. Observations are generally not disclosed unless they highlight systemic risks.

#### 11.8 Confidentiality Provisions

172. PCS recognizes that some information submitted by Project Proponents or VVBs may be commercially sensitive. Confidential information may be withheld from public disclosure only where justified.
173. The following shall never be considered confidential:

* monitoring results affecting emission reductions or removals;
* safeguard and SDG findings;
* PVRs and VRs;
* non-conformities that may affect environmental or social integrity;
* compatibility module annexes.

174. PCS shall evaluate confidentiality requests based on materiality, public interest, and relevance to integrity.

#### 11.9 Data Transparency Requirements for Verification

175. The VVB shall ensure that all data supporting verification conclusions are:

* clearly referenced,
* traceable to original sources,
* available for Secretariat review, and
* organized to permit replication.

176. Where digital monitoring systems are used, the VVB shall confirm that:

* metadata are intact;
* data pipelines are secure;
* timestamps and device identifiers are preserved;
* blockchain-stored references match reported datasets.

#### 11.10 Public Access to Verification Results

177. The PCS Registry ensures public access to verification results by:

* publishing project-level summaries;
* providing downloadable PVRs and VRs;
* summarizing safeguard and SDG outcomes;
* disclosing issuance decisions and justifications.

178. PCS may provide machine-readable datasets to enable transparency, academic research, and public accountability without compromising confidentiality provisions.

#### 11.11 Responsibilities for Updates and Corrections

179. If errors are discovered in published validation or verification documents:

* the Project Proponent shall notify the VVB and Secretariat;
* the VVB shall assess whether corrections are warranted;
* the Secretariat may require amended reports or clarifications;
* corrected information shall be published in the PCS Registry with proper versioning.

180. Corrections affecting previously issued units may trigger additional review under PCS enforcement procedures.

#### 11.12 Summary of Documentation Requirements

181. A consolidated summary table is provided below for clarity.

**Table 11-A — Summary of Documentation Responsibilities**

| Entity            | Documents Required                                                                                               | Retention Period           |
| ----------------- | ---------------------------------------------------------------------------------------------------------------- | -------------------------- |
| Project Proponent | PDD, Monitoring Reports, raw data, safeguard & SDG evidence, correspondence, ESMP, calibration & QA/QC records   | Crediting period + 7 years |
| VVB               | Working papers, sampling plans, recalculations, site visit notes, evidence logs, internal reviews, PVR/VR drafts | ≥ 7 years                  |
| PCS Secretariat   | Final PVRs, VRs, registry disclosures, compatibility annexes, enforcement notes                                  | Permanent (Registry)       |

## Chapter 12 - Definitions

182. For the purposes of this Standard, the following terms shall apply. Where a definition in this chapter conflicts with a definition contained in the PCS Program Definitions (once issued), the PCS Program Definitions shall prevail.

* Accreditation — Formal recognition by a national or international accreditation body that a Validation & Verification Body (VVB) meets competency, impartiality, and quality-management requirements consistent with ISO 14065 or equivalent standards.
* Additionality — A demonstration that the project’s emission reductions or removals would not have occurred in the absence of the registered mitigation activity. Additionality tests are defined within PCS methodologies.
* Baseline Scenario — A reference scenario representing the conditions expected to occur in the absence of the project activity. Baseline scenarios must be established in accordance with PCS methodologies and justified with evidence.
* Calibration Record — Documentation demonstrating that instruments, sensors, or monitoring equipment have been calibrated in accordance with manufacturer specifications or recognized standards.
* Corrective Action Plan (CAP) — A formal plan prepared by the Project Proponent outlining actions to resolve identified non-conformities, including timelines, responsible parties, and supporting evidence.
* Digital Monitoring System — Any automated or semi-automated data-collection system (e.g., sensors, IoT devices, remote sensing platforms, blockchain anchors) used to generate monitoring evidence for PCS verification.
* Emission Reductions / Removals (ERs) — Quantified decreases in greenhouse gas emissions or increases in removals resulting from project activities, calculated in accordance with the applicable PCS methodology.
* Evidence — Any data, documentation, or information presented in support of validation or verification findings. Evidence must be traceable, reliable, accurate, and sufficient to support independent assessment.
* Host Party — The country or jurisdiction in which the mitigation activity takes place. Host Parties may provide regulatory approvals but do not assume responsibilities under PCS unless the Project Proponent requests optional compatibility under Chapter 10.
* Material Misstatement / Material Non-Conformity — An error, omission, or deviation that could influence the validation or verification conclusion, undermine the integrity of emission reductions/removals, or materially affect safeguard or SDG performance.
* Methodology — A PCS-approved document that sets out rules and procedures for determining baseline conditions, quantifying emission reductions/removals, monitoring relevant parameters, and addressing methodological uncertainty.
* Monitoring Plan — A structured plan describing parameters to be measured, data sources, methodologies, QA/QC procedures, roles, and responsibilities for monitoring emission reductions/removals and, where applicable, SDG contributions.
* Monitoring Report — A report prepared by the Project Proponent detailing monitoring results for a defined period, including all data, calculations, safeguard updates, SDG indicators, and required supporting evidence.
* Non-Conformity — A deviation from the requirements of PCS standards, methodologies, or validation/verification rules. Non-conformities are classified as material non-conformities, minor non-conformities, or observations.
* Observation — A finding that does not constitute non-compliance but identifies a potential issue or improvement area warranting attention to prevent future non-conformities.
* PCS Registry — The digital platform that records project registration, monitoring, verification, issuance, and SDG performance information. The PCS Registry includes a blockchain-based mechanism for document integrity.
* Project Boundary — The spatial and operational limits of the mitigation activity, as defined in the PCS methodology and Project Design Document.
* Project Design Document (PDD) — The document submitted for validation containing a detailed description of the mitigation activity, baseline scenario, monitoring plan, safeguards, SDG contributions, and evidence required for validation.
* Sampling Plan — A documented plan describing the sampling approach used by the Project Proponent or VVB, including methods, sample size, selection criteria, representativeness, and treatment of missing or anomalous data.
* Stakeholder Consultation — A structured process prior to validation through which affected communities, stakeholders, and interested parties provide input on project design, safeguards, and anticipated impacts.
* Site Visit — An on-site assessment conducted by the VVB to verify physical conditions, operational status, monitoring systems, safeguard implementation, and stakeholder engagement. Remote methods may be used where permitted.
* Sustainable Development Contribution (SDG Contribution) — A measurable, attributable, and verifiable improvement associated with one or more Sustainable Development Goals, monitored in accordance with PCS-STD-003.
* Uncertainty — The degree to which measured, modelled, or calculated values may deviate from true values, as defined by PCS methodology and ISO principles. Uncertainty must be addressed using conservative approaches.
* Validation — A forward-looking assessment conducted prior to crediting to confirm that the project complies with PCS requirements, the applicable methodology, and the validated monitoring plan.
* Validation & Verification Body (VVB) — An independent organization approved by PCS to conduct validation and verification in accordance with this Standard, ISO 14065, and internal PCS accreditation requirements.
* Validation Report (PVR) — An official report issued by a VVB documenting the validation assessment, findings, non-conformities, corrective actions, and final validation conclusion.
* Verification — A retrospective assessment of monitored results to confirm their accuracy, completeness, and conformity with the validated monitoring plan and PCS requirements.
* Verification Report (VR) — The report issued by the VVB documenting verification findings, verified emission reductions or removals, safeguard updates, SDG performance, non-conformities, and the verification conclusion.
* Working Papers — Documentation retained by the VVB to substantiate validation or verification conclusions, including evidence logs, calculations, sampling plans, interviews, notes, and internal reviews.
