The project team developed badges as a specific certificate for passing a course module.
The cited sentence comes from DESIGNING DIGITALLY, INC., a ful-service solutions provider for online enterprise learning. Badges are currently often found in discussions, and it is not clear, currently, which role they will play in the future.
In the USA badges for training are standard, while in Europe – especially in Adult Education – badges are not so common.
The project consortium planned badges as recognition mean for the training and implemented them into the course modules using the MOODLE badge module for delivery.
To give you an overview of the badges, here is a slide show of all module badges.