Low-Carbon Label in Urban Planning: Promoting Local Governments’ Renaturation Projects

The Low-Carbon Label: Beyond Agriculture and Forestry

When it was created in 2019 by the Ministry of Ecological Transition, the Low Carbon Label (LBC) was primarily associated with agricultural and forestry projects: hedge replanting, changes in farming practices, and agroforestry. But the program has evolved significantly since then.

Today, several approved methods are directly applicable to urban renaturation and de-impermeabilization projects—paving the way for carbon offsetting for a type of project that had previously been overlooked in this context.

What exactly is the Low Carbon Label?

The LBC is a voluntary French funding mechanism for reducing or sequestering greenhouse gas emissions. A project developer implements actions that reduce GHG emissions or increase carbon sequestration; these actions are quantified using a method approved by the ministry, and the tons of CO₂ equivalent avoided or sequestered generate carbon credits that can be purchased by voluntary funders. The average price of an LBC carbon credit ranges from €25 to €45 per ton of CO₂ equivalent in 2024.

Methods applicable to urban projects

The "Low-Carbon Cities and Regions" Approach

Launched in 2022, this certified method specifically covers urban renaturation projects: removing impervious surfaces, planting trees in urban areas, and greening impervious surfaces. It quantifies carbon sequestration by planted vegetation, emission reductions resulting from reduced air conditioning needs, and albedo effects.

The "Urban Forestry" Method

This method applies to tree-planting projects in urban and suburban areas. It is particularly well-suited to “canopy plan” projects led by local governments.

Why are local governments interested in LBC?

A new funding model

Obtaining the Low-Carbon Label for a restoration project opens the door to additional private funding. For a local government, this means that a restoration project can be co-financed by the private sector, thereby reducing the financial burden on public funds.

Highlighted in ESG reports

The LBC provides a standardized metric (t CO₂ eq) that can be included in environmental assessments, PCAET reports, and public communications.

A credibility booster

An official ministerial designation lends credibility to the project and the community behind it. It is a strong selling point in calls for proposals, grant applications, and communications with the public.

Steps to Obtain the Low-Carbon Label

1. Check project eligibility: The project must follow an approved methodology. Most urban restoration projects covering a minimum area of 0.5 hectares are eligible.
2. Conduct the initial assessment: A detailed baseline assessment of the current situation is required (land use, existing carbon stocks, impervious surface area).
3. Implement the project and document it: the actions taken (unpaved areas, species planted, vegetated areas) must be carefully documented.
4. Have the project verified by an independent auditor: an accredited verification body checks the project’s compliance and validates the calculations.
5. Issuing and trading carbon credits: Once validated, the credits are recorded in an official registry and can be sold to financing companies.

What kind of amounts can we expect?

• Planting a tree in an urban area: 0.25 tons of CO₂ sequestered over 25 years
• Removing impervious surfaces and creating green spaces on one hectare: 10 to 30 tons of CO₂ over 20 years
• Oasis Course Program (50 courses, 500 m² each): 100 to 300 tons of CO₂ over 20 years

The essential prerequisite: a reliable measurement

The Low Carbon Label is based on rigorous quantification. Without precise data on the project’s baseline conditions and its progress, it is impossible to issue credits that meet the label’s requirements. This is why environmental assessment tools using remote sensing have become essential prerequisites for any Low Carbon Label initiative.

Netcarbon provides the environmental assessments you need to launch a Low Carbon Label initiative for your restoration projects. Find out how during a free demo.