Carbon market news

UN carbon market forces cookstove projects to protect against forest loss (opens Climate Home News in a new tab)

Despite lobbying for an exemption, the UN regulator has for the first time made cookstove projects cover the risk that the trees they save are later destroyed

• Article 6

Industry and NGOs lobby to weaken UN carbon credit rules in “coordinated” push (opens Climate Home News in a new tab)

In copycat submissions and a private briefing to government officials, the groups have opposed a proposal to tighten safeguards for emissions offsets

• Policy and regulation

Most “zombie credits” locked out of new UN carbon market after China and India snub (opens Climate Home News in a new tab)

Fears of a flood of environmentally-dubious carbon credits have faded, with most old projects not able to transition to new UN market

• China
• India CCTS
• Article 6

UN’s first Paris Agreement carbon credits face human rights and climate concerns (opens Climate Home News in a new tab)

Civil society groups allege the cookstove project in Myanmar exaggerated its climate impact while maintaining ties with military junta

• Article 6

EU carbon tax risks penalising efficient producers over data gaps (opens Climate Home News in a new tab)

As importers face new costs under the Carbon Border Adjustment Mechanism, many are finding the biggest savings do not necessarily come from swapping to cleaner production

• CBAM and border measures
• Carbon tax

Will the EU finally make waste pay for its growing carbon footprint? (opens Climate Home News in a new tab)

A decision by Brussels to bring refuse incineration into the EU Emissions Trading System would restore a basic principle: the polluter pays

• EU ETS

EU carbon credits could supercharge world’s clean cooking push, France says (opens Climate Home News in a new tab)

The country’s top climate envoy says he discussed using cookstove carbon credits with TotalEnergies, which is working to expand the use of LPG cooking in Africa

UN’s new carbon market delivers first credits through Myanmar cookstove project (opens Climate Home News in a new tab)

A decade after Paris Agreement established the mechanism, its first set of credits has been approved - but concerns over legacy projects persist

“House of cards”: Verra used junk carbon credits to fix Shell’s offsetting scandal (opens Climate Home News in a new tab)

The registry used nearly one million bogus carbon credits to compensate for failed Shell-linked China rice offsets, raising concerns over its rules

• Voluntary market

Carbon market supporters risk cheating the nature they wish to protect (opens Climate Home News in a new tab)

Efforts to dilute Article 6 rules risk turning the new UN carbon market mechanism into a false climate solution that harms both nature and global climate action

• Article 6

EU’s new climate target lines up multibillion-dollar boost for carbon markets (opens Climate Home News in a new tab)

Analysts estimate the EU will buy at least 50 billion euros worth of carbon credits in the 2030s to help meet its emissions-cutting goals, giving a huge boost to the market in offsets

Zimbabwe forest carbon megaproject generated millions of junk credits (opens Climate Home News in a new tab)

Verra is seeking compensation for offsets issued "in excess" by the controversial Kariba REDD+ scheme. But the registry's track record in obtaining remedies raises concerns

• Voluntary market

Will pricing emissions from flying affect tourism? Not if it’s done right (opens Climate Home News in a new tab)

The aviation sector says a carbon price on all its emissions would harm tourism-reliant, climate-vulnerable economies. Distributing costs and revenues fairly can avoid this

• Aviation and shipping
• Prices and auctions

As governments bet on carbon trading, Japan’s early scheme spotlights pitfalls (opens Climate Home News in a new tab)

Analysis by Climate Home News of Japan’s current projects under Article 6.2 - from forest protection to energy-saving lights in Uniqlo stores - raises questions over the climate benefits of some of the offsets

• Asia-Pacific
• Article 6

EU Commission proposes allowing carbon offsets to help meet 2040 climate goal (opens Climate Home News in a new tab)

Campaigners accuse the European Commission of adding "loopholes" and "distractions" to the 90% emissions reduction target

• Voluntary market

World’s largest carbon projects unlikely to deliver emissions cuts despite reforms (opens Climate Home News in a new tab)

So far, carbon markets have not led to a promised decrease in planet-heating emissions - and efforts to tighten standards have yet to prove their worth

A credible UN carbon market needs rules that count – we’ve just set them (opens Climate Home News in a new tab)

The broad standards for a more ambitious market are now in place. But without a steady flow of investment, this progress will remain largely on paper

• Article 6
• Policy and regulation

Indigenous land disputes cloud Kenya’s carbon market ambitions (opens Climate Home News in a new tab)

Two of Kenya’s biggest carbon credit projects are mired in controversy, clouding the country's hopes of raising climate finance from the offset market

First carbon credit scheme for early coal plant closures unveiled (opens Climate Home News in a new tab)

Proponents hope carbon markets can offer new funding for costly transition from coal to renewables. But concerns have been raised over the risk of low-integrity credits

Carbon credit auditors suspended for failures in sham rice-farming offsets (opens Climate Home News in a new tab)

Verra has taken unprecedented action against four certification bodies that overlooked integrity problems with the projects. But the worthless credits still need to be compensated

• Voluntary market

Will Indonesia’s new carbon market be a climate solution or a game for big players? (opens Climate Home News in a new tab)

As palm oil and timber companies gear up to profit from carbon trading, the government must ensure transparency and a fair deal for Indigenous communities

• Asia-Pacific

Most cookstove carbon credits ruled out of quality scheme in integrity push (opens Climate Home News in a new tab)

The Integrity Council for the Voluntary Carbon Market has rejected widely used rulebooks for cleaner cooking, which will require projects to switch to more rigorous methods

• Voluntary market

Shell dodges paying compensation for sham carbon credits in China (opens Climate Home News in a new tab)

The energy giant exited the failed projects after Verra asked for redress, but a legal expert says Shell should be held responsible

• China
• Voluntary market

How Shell greenwashed gas with sham Chinese carbon credits (opens Climate Home News in a new tab)

Exclusive: Shell used rice-farming offsets for "carbon neutral" LNG campaign - but farmers and local authorities said no project activities took place

• China

Experts quit carbon market watchdog in row over quality label for forest credits (opens Climate Home News in a new tab)

Two ICVCM expert advisors have resigned from their positions over what they called a "problematic precedent" set with the REDD+ decision

• Voluntary market