Fuel or feedstock switching projects are an emissions-reduction project type within the energy & industry segment of the carbon market. They are designed to switch from a more carbon-intensive fuel or feedstock to a less carbon-intensive alternative. The carbon benefit comes from lower combustion or process emissions relative to the baseline fuel or feedstock. Common project configurations include Coal-to-lower-carbon fuel switch; lower-carbon process feedstocks; clinker substitution or related material changes where eligible.

The climate benefit can look straightforward on paper, but lifecycle boundaries often determine whether the substitution is genuinely lower carbon. These credits are typically valued as decarbonization pathways rather than storage claims, so the core questions are whether the baseline is still credible and whether the project is driving emissions lower than business as usual. For buyers and program designers, the most important diligence questions are: Does the substitute truly lower lifecycle emissions over the relevant boundary? Are policy-driven changes excluded where required?