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Explainer: How the EU’s first carbon removal and carbon farming rules work

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The European Commission has issued the first Implementation Regulation under the CRCF framework, defining how carbon removal and carbon farming projects will be certified across the EU. (Photo: iStock)

Update: EU Commission adopts the first set of methodologies under the CRCF regulation

The EU Commission has officially adopted the first set of methodologies under the Carbon Removals and Carbon Farming (CRCF) Regulation on Feb. 3, moving the EU’s carbon removal framework from governance design to practical implementation.

With both the certification framework and governance rules now in place, projects using engineered carbon removal approaches—including direct air carbon capture and storage (DACCS), biogenic carbon capture and storage (BioCCS), and biochar—can begin applying for EU-level certification in the coming months.

The Commission is finalizing two additional delegated regulations on certification methodologies, with adoption expected in 2026.

One set will cover carbon farming activities, including agriculture and agroforestry, peatland rewetting, and afforestation. These methodologies are intended to support result-based payments for farmers and foresters, providing supplementary income while facilitating the transition toward more resilient and sustainable production systems.

A second set will address carbon storage in bio-based construction products. These rules are designed to help building owners demonstrate the carbon storage performance of their buildings and to incentivize the construction sector to adopt circular bioeconomy principles.

To catalyze both public and private finance and accelerate the voluntary market for CRCF credits, the Commission has also announced the establishment of an EU Buyers’ Club for permanent removals and carbon farming.

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