Certified Adaptation Benefits (CABs) are the ABM’s way of turning verified resilience results into finance. A CAB confirms that a registered adaptation activity has delivered quantified or equivalently defined adaptation benefits, using an approved ABM methodology and an independent verification process.

When you buy CABs, you are not buying a tradable commodity. You are financing real, verified adaptation outcomes and receiving a reporting-ready package of information that helps demonstrate your contribution to climate adaptation and resilience.

What a CAB represents

A CAB is issued in the ABM Registry after an ABM activity is monitored and successfully verified. Each CAB:

• Represents certified adaptation benefits (outputs and/or outcomes) delivered by a specific ABM activity.
• Has a unique code number (CAB Code) linked to a package of verified information on progress toward resilience, co-benefits and adaptation finance.
• Can be used only once, supporting transparency and helping avoid double counting.
• Is designed for reporting and accountability (for example under the Paris Agreement transparency framework, the Sustainable Development Goals and other sustainability reporting schemes).

 

Important note: CABs are not carbon credits. Any mitigation co-benefits from an ABM activity are not transferred internationally and remain with the host country.

Who can buy CABs

CABs can be purchased by a wide range of entities that want credible, verified adaptation results and a transparent way to finance them, including:

• Governments and public institutions seeking a credible way to support and report adaptation finance.
• Climate funds, development partners and other donors financing adaptation and resilience.
• Companies and investors with CSR, ESG or climate adaptation commitments that require robust evidence and storytelling.
• Foundations and non-profit organizations supporting locally relevant resilience outcomes.

 

How to buy CABs

CAB purchasing is typically structured through a purchase or off-take agreement with ABM activity participants. Agreements are commonly based on payment upon delivery of CABs and may include pre-payments, as agreed. A simplified process looks like this:

1. Identify an ABM activity to support (registered or in the process of registration) and review its activity documentation and methodology.
2. Agree commercial terms with the ABM activity participants, including the payment schedule (pay on delivery and any pre-payment) and the intended use of the CAB information package for reporting.
3. After the activity is implemented, the adaptation benefits are monitored and independently verified.
4. Upon approval, CABs are issued in the ABM Registry with unique CAB Codes and the associated information packages are made available for the CAB owner.
5. Use the CAB information package for your reporting and communications, consistent with the ‘use only once’ principle.

What you receive as a CAB purchaser

A CAB purchase is designed to give you both impact and evidence. Depending on the agreement, you can expect:

• CAB Codes for the purchased CABs and the corresponding package of verified information.
• Access to publicly available project documentation that supports credibility (for example the approved methodology, the activity description and verification-related information).
• Reporting-ready evidence of adaptation action, co-benefits and adaptation finance contributions.

 

Integrity you can trust

ABM is built to provide credible results-based finance for adaptation. Key integrity elements include:

• Approved methodologies that define baselines, indicators and monitoring approaches for adaptation benefits.
• Independent validation and verification by expert teams, with public reporting.
• Host country involvement and approval to ensure alignment with national adaptation priorities and correct recognition in reporting.
• Stakeholder consultations at key stages to strengthen transparency and accountability.
• Social and environmental safeguards and an ABM grievance and redress mechanism for concerns related to decisions and activity impacts.

 

Ready to buy CABs?

To discuss CAB purchase opportunities, including pay-on-delivery and pre-payment options, contact the ABM Secretariat: abmechanism@afdb.org

FAQ

Q: Are CABs carbon credits?

A: No. CABs certify adaptation benefits (resilience outputs and outcomes). Any mitigation co-benefits from an ABM activity are not transferred internationally and remain with the host country.

 

Q: Can CABs be traded like market instruments?

A: CABs are designed as a non-market instrument. They are issued in the ABM Registry with unique CAB Codes and are meant to be used once for transparency and reporting, rather than traded for speculative gain.

 

Q: When do purchasers pay for CABs?

A: CAB purchases are commonly structured as payment upon delivery of verified CABs. Agreements may also include pre-payments, depending on what is needed to make the activity financially feasible.

 

Q: What can purchasers do with a CAB?

A: CABs provide a verified information package that can support reporting on adaptation action, co-benefits and adaptation finance (for example under the Paris Agreement, the SDGs or ESG reporting).

 

Q: How is the price of CABs determined?

A: CAB prices are agreed between the purchaser and the ABM activity participants, typically reflecting the incremental costs and finance gap that must be covered to deliver the verified adaptation benefits.