What is dMRV and how does it relate to Carbon Accounting?
dMRV is Digital Measurement, Reporting and Verification
Put simply, it is a way of capturing Measurement, Reporting and Verification (MRV) data — digitally.
Many Carbon Schemes still rely on paper based reporting, data is collected and calculations are done manually using a prescribed formula, these results are then later verified manually through several audits as required by the methodology.
Excel sheets and PDF’s still rule in this regard.
How does dMRV improve upon current MRV Methods?
dMRV brings automation and allows for some better validation and verification to be added to the process. This might be in the form of computer executed calculations on manually entered data, it might even be a fully automated process where data is collected directly from devices and this data is then automatically verified through the use of other digital data.
Results are often immediately available and provide a greater degree of transparency than MRV counterparts.
An example of this might be something like the verification of re-forestation data using LiDAR and satellite or drone imagery over time:
There is a shortage of Auditors and Inspectors to verify projects — dMRV increases efficiency
Typically, audits on nature based projects are conducted very sporadically — and often with many years passing between each one. It is often not financially feasible for the project or the auditors to conduct checks more frequently
During this time, any errors or miscalculations (or even outright fraud), might go unnoticed, causing an mis-claim of offset capacity from a particular project. By running validation and verification constantly, these errors can be surfaced earlier, or in the case of automated collection of data from IoT devices, avoided entirely.
With a shortage of Environmental Auditors and Inspectors we must look at ways to increase the efficiency of the existing talent pool, we can do this with dMRV by reducing the workload of these Auditors and Inspectors
With manual MRV recording each auditor or inspector might only be able to verify 150 projects each year due to chasing down the data they need and having to collate it all.
With dMRV and the kind of audit level reports being created automatically by companies such as TYMLEZ, auditors can verify many more projects as all information is provided to them upfront.
We have spoken to auditors who say that this would reduce their time (and therefore costs) by around 75%.
Industry adoption of dMRV is hampered by the learning curve and the limited set of tooling available to enable it
Every business would like more efficient and accurate data reporting, however the process of setting this up is limited by expertise and adoption of dMRV by industry.
Many simply do not have the capability or funding to set up data ingestion pipelines or implement the IoT or measurement devices that are required to enable this level of reporting.
Increasingly, service providers such as TYMLEZ need to play a role in ensuring that these businesses can be on-boarded quickly and simply.
The TYMLEZ dMRV Solution
The TYMLEZ dMRV solution works to enable the input of any form of Digital data to the MRV for a carbon project. There are a number of steps that are involved in a high quality dMRV solution:
1. Integration
TYMLEZ have integrated with several popular measurement devices such as common behind the meter technology, Inverters and BESS systems, PLC’s and SCADA systems, we have also integrated pattern approved formats such as NEM12 and NEM13 format to enable energy retailer uptake to be fast-tracked.
The data doesn’t have to be from an energy meter either, the TYMLEZ platform is agnostic of what data it receives, it could be from a handheld device meant to measure soil composition, LIDAR data as explained above, or even something that reads tracing chemicals in fuels.
2. Validation
This data is first run through a validation layer, this where business rules are set up to ensure that it is a valid reading before it is encoded onto the blockchain.
Invalid readings are held back for human verification, or to await correction of the item that caused it fail validation (for example, an expired calibration certificate has not been updated in the system).
3. Enrichment / Verification
By enabling the ability for external data to be brought into the system to help build the MRV, additional data can be used to enrich the information from the items we are integrating with, this data might support the original data, it might call an external service to provide a validation figure to support the original claim — the possibilities are endless.
4. Tokenisation to enable Traceability
Importantly all of this information is directly encoded in every tokenised representation that is created by our system, as this a blockchain solution, metadata can be attached to the item (1MTCO2e, 1 Ton of Green H2, 1 Ton of Green Pig Rion, 1MW/h of energy etc) that allows for the full traceability of how that unit was created, even if it is sent elsewhere across the network to someone who doesn’t have TYMLEZ systems.
This gives immediate access for an auditor or inspector to see exactly what evidence there is for that claim at any point along its supply chain, whether it is being audited when it is created, sold or retired, the data is always there.
Example:
Additionally, by including all of the information that is needed to prove claims against a methodology, auditors (and indeed, anyone if it is made public), can quickly view, validate and then rubber stamp without having to go hunting for information.
What else does dMRV enable?
There are huge advances underway in the dMRV space that make up for the deficiencies of the government driven schemes (for example ACCU’s in Australia). dMRV will create the ability for live pricing of carbon assets in a way that has never been seen before.
Currently, government schemes such as ACCU’s see the issuance of a large number of carbon credits at the start or end of a reporting period, often with a 90 day SLA.
A lot can happen in terms of the carbon price during this 15 month period and while shorter periods are often available, it is a huge burden of paperwork to ensure you can claim frequently. dMRV can solve this by allowing easy access to the reporting data needed for these claims.
dMRV also enables access to some novel marketplaces. TYMLEZ recently announced partnerships with Tolam Earth and XBourse, this will enable TYMLEZ generated dMRV carbon credits to be traded on the Tolam Earth marketplace and the XBourse marketplace as they are created, giving instant liquidity to Carbon Credits that are backed by very clear and transparent methodologies, with all of the information for that project encoded into the Carbon Credit itself.
This would enable carbon reduction projects to immediately take advantage of increased liquidity in the carbon markets giving a better return for projects and increased visibility for companies needing to offset around the quality of the carbon credits they are using.
Get started on your dMRV journey today
The TYMLEZ dMRV solution is ready to go now for your business, we have actively implemented it in several high profile projects, interacting directly with industrial processes using the technology that you already have on site.
Unlike other digital MRV solutions, the TYMLEZ dMRV solution doesn’t limit you to a single reading, you can send multiple readings (and we encourage this to add context to the main carbon readings you are calculating).
We are experts in the integration of IIoT devices and protocols such as MQTT, PLC’s, SCADA. Our integration is very low touch, apart from a short discovery session to understand the data your devices are producing (for example, which registers and data items relate to Carbon producing or Carbon abating assets), we can build an integration that allows you to increase the speed at which you can generate carbon offsets at a much reduced cost and with more accuracy than is currently available.
About TYMLEZ
TYMLEZ is a sustainability focused enterprise-grade solutions provider that deploys leading software applications which leverage blockchain technology. The Company is focused on supporting clean energy and sustainability initiatives, along with other opportunities to develop products that rely on secure, trackable, and traceable data transfer.
About the Author
Dan leads the technology strategy, architecture and development at TYMLEZ as Chief Technology Officer.
A start-up veteran of over 20 years, with a specialty of building high performance development teams and leading them to successfully deliver solutions for some of the largest names in Australia and the UK.
