COP28 failed to deliver the expected progress on Article 6, which is meant to support the development of global carbon markets. Consequently, the voluntary carbon market is regrouping around the question of quality, which has been impacting issuances, retirements and price trends. Will the sector be able to regain momentum? Simultaneously, national carbon compliance programs are being developed in key countries of the Global South, even as more established carbon markets are being strengthened and projected across borders. Will these different trends and markets converge? Can COP29 deliver progress for carbon markets?
Voluntary carbon markets (VCM) will play a critical role in the path to net zero. However, challenges with transparency and integrity represent a major hurdle toward strong and functioning global voluntary carbon markets. Participants were looking to COP28 to provide guidance that would alleviate these lingering issues, but no progress was made at COP. What policy prescriptions and strategies would improve confidence and participation and make for stronger functioning carbon markets?
In this session, S&P Global experts will discuss the highlights and key takeaways of the week.