Ministerial Agreement No. MAATE-2023-053. Technical standard for Ecuador's Greenhouse Gas Emissions Compensation Scheme

Rooted on constitutional provisions on sustainability, living well philosophy (Buen Vivir - Sumak Kawsay), this agreement establishes the regulatory framework for Ecuador’s National Greenhouse Gas Emissions Compensation Scheme, designed to facilitate voluntary initiatives that reduce or remove GHG emissions through mitigation projects. It applies to public, private, community, or mixed-sector initiatives developed within Ecuador, allowing national and international stakeholders to offset their carbon footprints by supporting certified projects. The scheme supports the broader goals of Ecuador's climate commitments, including the Nationally Determined Contributions (NDCs) under the Paris Agreement.The compensation scheme includes mechanisms for creating and trading Carbon Equivalent Units (Unidades de Carbono Equivalente - UCEs), representing verified emission reductions or removals equivalent to one ton of CO₂. Proponents must first reduce their emissions before compensating for any residuals via approved initiatives, such as forest conservation, renewable energy projects, or sustainable agricultural practices. The scheme ensures environmental and social safeguards, equitable benefit distribution, and alignment with national climate strategies, such as the REDD+ Action Plan and the National Climate Change Strategy.The Ministry of Environment, Water, and Ecological Transition (MAATE) oversees implementation through its Climate Change and Natural Heritage Subsecretariats, supported by accredited certification and verification bodies. It maintains a comprehensive registry for monitoring and tracking initiatives, UCEs, and compliance with program requirements. The system encourages transparency, additionality, and real, measurable outcomes that align with sustainable development goals while fostering multistakeholder collaboration across public and private sectors, Indigenous communities, and civil society.