Cool Effect, a Bay Area-based nonprofit focused on advancing high-quality carbon projects worldwide, has announced the launch of The Cool Effect Catalyst. This $1 million award is designed to bridge the funding gap that often prevents promising climate initiatives from scaling to full impact.
The organization will allocate the funds to one or more projects that meet its rigorous Carbon Done Correctly standard – a benchmark requiring scientific validation, on-the-ground evaluation, and multiple phases of due diligence.
In return, Cool Effect will receive credits from the selected projects at a later stage.
Closing the Early-Stage Funding Gap
Despite proven potential, many carbon reduction and removal projects struggle to progress because they lack initial financing. By providing early-stage capital, Cool Effect aims to help projects move from design to implementation and ultimately deliver measurable, verifiable climate benefits.
“As we celebrate our 10-year anniversary, The Cool Effect Catalyst reflects our unwavering commitment to supporting the world’s highest quality carbon projects,” said Jodi Manning, CEO of Cool Effect. “This milestone is about more than looking back. It’s about empowering the future of climate action.”
Eligible applicants include verified carbon projects participating in the Voluntary Carbon Market through one of the CCP-approved crediting programs. Both nature-based and technology-based solutions will be considered, including reduction and removal credits.
Relevant: Cool Effect Expands Its Portfolio By Adding Project Juniper As Its First DAC Offering
Projects must be using a methodology published or updated since January 2022 and provide clear documentation, such as a project plan, research plan, or Project Design Document (PDD), with a timeline to credit issuance. Applicants must also outline how the Catalyst funds will be deployed.
Co-founder and Director Dee Lawrence emphasized that the award addresses one of the most persistent barriers in the carbon markets: “Too many scientifically sound projects never make it past the starting line due to lack of resources, and this award is designed to change that.”
Applications are open through July 1, 2026, with full eligibility details available here.
Read more: New Impact Report By Cool Effect Highlights Benefits From Carbon Finance
