Our Story

In 1998, Stefano Merlin and Divaldo Rezende, director of CantorCO2e Brazil, co-founded a non-governmental organization called Instituto Ecologica (IE) in the state of Tocantins, Brazil. IE's mission is to study climate change and develop sustainable solutions with the active participation of local communities. Based on the work at IE, which is today one of the most well-recognized NGOs on the subject of climate change, Stefano and Divaldo developed the Social Carbon Methodology. At the core of this metholodgy is the belief that the environment provides a better livelihood to people in the surrounding communities if it is protected and intact, not degraded or decimated.

Gradually, they began to apply this concept to the Brazilian ceramic industry, working with companies close to IE's research centers in Tocantins. They convinced the owners of these small companies to stop using timber from the Caatinga, Cerrado and Amazon Rainforest biomes as fuel in the production of their ceramic products and use renewable biomass instead.

In order to support the technological investments necessary for the kilns to use renewable biomass, carbon finance via the global environmental commodities market was introduced. The concept of connecting small and medium industry in northern Brazil to the global carbon was extraordinarily innovative. In 2007, the first carbon credits generated by these projects were delivered to the market. Using the revenues from the sale of these credits, the entrepreneurs were able to finance the technology which allowed them to generate the credits and invest in socioeconomic goals outlined in the framework that the SOCIALCARBON® Standard provides.

The projects were so successful that in 2008, Stefano founded Sustainable Carbon (formerly the Social Carbon Company) as a joint-venture with CantorCO2e Brazil. With over 33 projects validated and 16 more expected projects to come online this year, Sustainable Carbon is bringing emission reductions, demonstrable socioeconomic benefits and sustainability solutions to companies throughout South America.