Carbon Value Analysis Tool (CVAT)
From Open Energy Information
| Name: | Carbon Value Analysis Tool (CVAT) |
|---|---|
| Agency/Company /Organization: |
World Resources Institute |
| Sector: | Energy, Land
|
| Topics: | Co-benefits assessment, Finance, GHG inventory |
| Resource Type: | Software/modeling tools |
| User Interface: | Spreadsheet |
| Website: | www.wri.org/publication/carbon-value-analysis-tool
|
| Cost: | Free
|
 | |
| References: | CVAT[1]
|
he Carbon Value Analysis Tool (CVAT) is a screening tool to help companies integrate the value of carbon dioxide emissions reductions into energy-related investment decisions. The tool has two main purposes:
To test the sensitivity of a project’s internal rate of return (IRR) to “carbon value” (the value of GHG emissions reductions). CVAT integrates this value into traditional financial analysis by ascribing a market price, either actual or projected, to carbon emissions reductions.To facilitate the development of emissions reduction strategies by developing a Marginal Abatement Cost Curve (MACC) across a portfolio of projects. CVAT ranks projects so managers can prioritize them according to their implicit cost per tonne of carbon emission reduction.
"The Carbon Value Analysis Tool (CVAT) is a screening tool to help companies integrate the value of carbon dioxide emissions reductions into energy-related investment decisions."