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TOP STORY
Germany planning billions for industrial decarbonisation including CO2 storage
Germany plans to allocate €3.3 billion for projects aimed at decarbonising industry, which includes storing CO2 underground at offshore locations, it announced Friday.
INTERNATIONAL
Papua New Guinea “seriously considering” COP29 boycott
Papua New Guinea is considering not sending a delegation to the COP29 climate talks in Azerbaijan later this year in protest of rich nations’ failure to provide sufficient climate finance to poorer countries, Prime Minister James Marape has said, according to local media.
CCUS market hindered by weak global economy, incentives needed -report
The current global economic situation is hindering the deployment of carbon capture utilisation and storage (CCUS), which currently represents less than 5% of its global capacity, according to a report calling for stronger incentives towards supporting the technology.
EMEA
Experts recommend how to “responsibly” integrate carbon removal in EU 2040 climate policy
Climate policy experts have shared their key recommendations on how to implement carbon removal (CDR) technologies within the EU’s 2040 climate target, based on findings from a four-year project funded by the European Commission.
Cameroon opens tender for support in development of national carbon market
Cameroon has opened a tender for support, via the UN Development Programme (UNDP), in establishing a national framework for carbon market and climate finance, with a focus on Article 6 engagement.
Euro Markets: EUAs slip 0.9% in quiet session as gas recovers 2%
European carbon prices eased on Monday on thin volume due to a UK public holiday, as participants were said to be easing some gas-linked risk premium out of the benchmark futures contract as concerns around transit supply via Ukraine to Europe fade and storage levels remain healthy, while energy markets turned their attention to possible escalations in the Middle East.
ASIA PACIFIC
Australia taps chief scientist to lead review on fossil methane measurement approaches
The Australian government has appointed the country’s chief scientist to lead an expert panel to advise on greenhouse gas measurement approaches that could potentially improve its fossil methane estimations, it announced Monday.
Japanese energy players sign agreement for negative carbon project with Indonesian counterpart
Two major Japanese companies and an Indonesian counterpart have agreed to a joint study on biomass energy carbon capture and storage (BECCS), hot on the heels of decarbonisation agreements signed between the governments of the two countries last week.
Korean startup to create carbon credits by electrifying Cambodian tuk-tuks
A Korean mobility startup has tapped into Cambodia’s emerging carbon market through a project that can electrify gas-guzzling tuk-tuks in the Southeast Asian country.
UN assesses Vanuatu REDD+ carbon baseline submission as ‘transparent’ and complete
A UN assessment of Vanuatu’s proposed forest reference level (FRL), which can affect the issuance volume of sovereign REDD+ carbon units, found the country’s reporting to be “transparent” and mostly in accordance with guidelines.
Non-profit seeks to trade int’l carbon credits from planting trees in Bhutan
A non-profit in Bhutan is exploring the opportunity of generating and trading international carbon credits from tree-planting projects in the Himalayan Kingdom, according to local media.
AU Market: ACCUs trade higher, but likely to remain subdued for now, report says
The price of Australian Carbon Credit Units (ACCUs) has inched upwards in recent weeks thanks to steady demand from Safeguard Mechanism entities, however one report expects prices to continue to remain rangebound in the short term.
AMERICAS
US hotel targets ‘carbon-positive’ status without use of offsets
A real estate developer claims it will open the first ‘carbon-positive’ hotel in the US, achieved through its tree-planting partnerships and use of efficient materials.
RGGI Market: RGAs reverse from record highs ahead of Q3 auction
RGGI allowance (RGA) prices on the secondary market peaked at a new all-time high early last week before dropping off on heightened volumes ahead of the upcoming Q3 auction.
LATAM Roundup: Turning point in battles over voluntary carbon market
Carbon Pulse rounds up developments in Latin American and Caribbean carbon markets for the week ending Aug. 25, which saw lurches toward full legalisation of the voluntary carbon market (VCM) in anti-VCM holdouts Ecuador and Bolivia, a strong early showing by LATAM biodiversity markets, and new sovereign issuances by Suriname.
VOLUNTARY
VCM Report: Liquidity dries up, old standardised voluntary carbon contracts trade at rock bottom
Liquidity dried up last week amid the height of the summer holiday season, and with the market still waiting for the next batch of Integrity Council for the Voluntary Carbon Market (ICVCM) methodology approvals for its Core Carbon Principles (CCP) high-integrity label.
Verra starts testing new Scope 3 programme with three voluntary carbon methodologies
Verra has begun the piloting of its Scope 3 Standard (S3S) programme, a new scheme that will certify value chain interventions and issues voluntary carbon units that companies can use as part of their value chain emissions accounting.
BIODIVERSITY (FREE TO READ)
FEATURE: “The next big frontier”: High hopes for nature insurance to scale biodiversity markets
Biodiversity markets will have a hard time establishing and attracting financing on a large scale unless insurers step in for nature, experts have told Carbon Pulse.
Financial technology platform releases methodology for tokenised biodiversity credits
A financial technology platform has released a methodology for creating tokenised biodiversity credits, with details on how to ensure projects meet integrity standards and units are tradeable.
EU’s anti-deforestation law lucky chance for small farmers, nonprofit says
The EU regulation on deforestation-free products is providing small farmers with a unique opportunity to gain market access and be a privileged supplier, an environmental nonprofit has told Carbon Pulse.
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CONFERENCES
Carbon Forward Expo – October 8-10, London and Online: Our flagship conference returns to the stunning De Vere Grand Connaught Rooms in Covent Garden. As the agenda comes together for our ninth annual event, we want to make sure you don’t miss out on our 10% discount offer, which is available throughout August. We’re also offering free passes for offset buyers. Get in touch to find out if you’re eligible and how to apply. Register now!
Chile Carbon Forum – October 8-10, Santiago: The forum will bring together experts, business leaders, and government officials to discuss challenges and opportunities within the carbon market. It will cover topics such as carbon taxes, offsetting mechanisms, climate finance, carbon market regulations, international cooperation, nature-based solutions, and innovative emission reduction strategies. The agenda includes panel discussions, workshops, and keynote speeches that emphasize the importance of these topics in promoting a low-carbon economy and combating climate change. This forum is crucial for understanding and advancing collaborative approaches to sustainability. For more information, visit Chile Carbon Forum.
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Job listings this week
- *Freelancer (m/f/d) Carbon Project Development, Volkswagen ClimatePartner GmbH – Mexico
- Manager, Carbon Markets, FSD Africa – Hybrid
*Premium listings
See all listings or post a job
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BITE-SIZED UPDATES FROM AROUND THE WORLD
INTERNATIONAL
Big talk – ExxonMobil has said global oil demand will remain virtually unchanged by 2050 and warned that any move to curtail investment in fossil fuels would trigger a new energy price shock, the FT reports. In a forecast released on Monday, the US supermajor said oil demand would stay above 100mn barrels a day over the next 25 years — a forecast that assumes an energy transition will fail to curb the world’s thirst for fossil fuels. Exxon warned of a new global oil shock if companies failed to keep investing to match that demand, saying crude prices could quadruple as supply fell.
EMEA
Looking up – Optimism that Germany can achieve its national energy transition targets is moderately growing, a survey by consultancy EY has found. The share of respondents saying that the country will be able to source at least 80% of its electricity demand from renewables by 2030 had grown to 31% by July 2024, after it stood at 23% in Nov. 2023. In March 2023, the share was already 29%. Germany covered about 57% of its electricity consumption with renewables in the first six months of 2024. Consultancy EY said that while the figures represented a turnaround, skepticism regarding the energy transition targets remained high, as 69% still doubted that these will be met. However, optimism was growing also with respect to the government’s broader energy transition policies, as the share of respondents generally viewing it favourably grew from 38-46% since March. (Clean Energy Wire)
People power – Impacted communities, civil society organisations, and environmental activists in Uganda and Tanzania plan to hold actions to raise awareness about East African Crude Oil Pipeline (EACOP) project and demand that TotalEnergies drop EACOP and pay reparations for the damage it has caused. Activists are also calling on the Chinese government and its state-owned banks and insurance firms not to support the proposed development and will make additional demands of the Ugandan government to prioritise decentralised renewable energy developments instead. Protests are due to take place in Uganda on Aug. 26, and Tanzania on Aug. 29.
OG FANZ – Egypt’s Financial Regulatory Authority (FRA) has issued a decision to restructure its sustainable development arm, appointing Mahmoud Mohieldin chair of the advisory board of the Regional Centre for Sustainable Finance. Mohieldin is the UN Special Envoy for the 2030 Finance Agenda, Climate Champion for the Egyptian COP27 presidency, and Chair of the Advisory Council for the African Network of the Glasgow Financial Alliance for Net Zero (GFANZ). This decision continues the FRA’s efforts to integrate sustainable development goals into the non-banking financial sector, per a press release by the agency.
ASIA PACIFIC
New policy on the block – India’s cabinet over the weekend approved BioE3 policy (Biotechnology for Economy, Environment, and Employment) to support research and accelerate technology development by establishing biomanufacturing and Bio-AI hubs. The policy is expected to facilitate expansion of India’s skilled workforce and provide a surge in job creation. The policy will also support net zero commitment of the country. BioE3 policy will broadly focus on the high value bio-based chemicals, biopolymers and enzymes, smart proteins and functional foods, precision biotherapeutics, climate resilient agriculture, carbon capture and utilisation, and marine and space research.
Successfully completed – Malaysia’s Ministry of Natural Resources and Environmental Sustainability (NRES) has concluded the feasibility study of the Forest Carbon Offset (FCO) programme which is a market-based instrument under the REDD+ Financial Framework, the Malaysia Forest Fund (MFF) announced Monday. The study outlined the need to develop a domestic crediting system that meets higher integrity levels and considers national circumstances, particularly pertaining to federal and state matters, MFF, which is responsible to operationalise the programme, said. The government agency is now looking to establish an FCO Technical Working Group (TWG) and has invited applications from experts and policymakers from the government, private sector, civil societies, non-governmental organisations, and academia. The working group will support the initial draft review and development of guidelines on FCO including framing its modalities and technical requirements.
Future plans – Thai biochar developer WongPhai has announced its expansion plans which include, among others, the removal of 36,000 tonnes of CO2e emissions by 2030. WongPhai began its operations in Jan. 2023, issued first credits in October and signed another offtake agreement in January this year. In the next four years, the carbon removal firm plans to scale its operations by launching 3-4 new sites, it said. The firm works with local bamboo marketplaces to stop the hazardous burning of bamboo offcuts, which is usually decomposed in a pile or is burned in open bonfires, creating pollution. WongPhai is also collaborating with Chulalongkorn University to study biochar’s impact and develop the most effective formulas.
Another Biochar project – Japanese food company Lotte has decided to work with three other industry peers to conduct a biochar project in Ghanan, as it aims to promote regenerative agriculture, it announced Monday. Cocoa pods, an unused by-product of cocoa farming, will be burned to produce biochar, which will then be applied to cocoa plantations to assess its soil improvement and decarbonisation effects. The use of biochar on farmland is being promoted by Japan’s agriculture ministry as a method of combating global warming.
We’re selected – Project developer Green Carbon has been selected as one of the companies that will be subsidised by Japan’s agriculture ministry to expand the supply of domestically issued J-Credits in the agricultural sector, the company announced Monday. Green Carbon said it will support the creation of credits, including project registration and credit certification, and develop new offset methodologies. As of January 2024, only 25 agricultural projects have been registered under the J-Credit programme due to the high project costs and the limited number of methodologies that can be adopted.
CCUS collab – India’s planning commission, the NITI Aayog is working to address the challenges of carbon capture, utilisation, and storage (CCUS) in collaboration with the US Department of Energy’s office of Carbon Management and US Department of Commerce’s Commercial Law Development Program. To this end, the Aayog has constituted four technical inter-ministerial committees on standards, storage, transportation, and utilisation of CO2. The committees are tasked with preparing a robust policy framework to address the challenges related to CCUS implementation in India, including technology readiness, high upfront capital costs, lack of infrastructure for CO2 transportation and storage, regulatory gaps, and public acceptance issues.
AMERICAS
Towards 2 bln – Natural Resources Canada and Nova Scotia’s Department of Natural Resources and Renewables will invest more than $40 mln to plant up to 21 mln trees by 2031 on private and public lands in the province, the duo announced last week. Federal funding comes from the 2 Billion Trees programme, which has budgeted up to C$3.2 bln ($2.3 bln) to plant 2 bln trees across Canada by 2031, and has also recently funded initiatives in the province of New Brunswick.
No Chinese EVs – Canada will impose a 100% tariff on Chinese-made EVs, matching measures taken by the US, Prime Minister Justin Trudeau announced Monday. Further, Canada will also impose a 25% tariff on Chinese steel and aluminum, both effective as of Oct. 1. Canadian think-tank Clean Energy Canada criticised the measure and said that it will result in fewer affordable EVs for Canadians, less competition, and more climate pollution. It said that Canada could have adopted a “reasonable tariff” such as that of the EU’s, which ranges from 9-36% on Chinese-made EVs.
BlackRock – Indiana Secretary of State Diego Morales (R) sent a cease and desist letter to BlackRock for alleged securities fraud, accusing the company of making “false and misleading statements” about their ESG funds and allocation focus, the Indiana Capital Chronicle reported Friday. The letter is nearly identical to one issued by the Mississippi Secretary of State Michael Watson in March. A BlackRock representative said the letter is a politically motivated attack that they claimed mischaracterised the asset management firm’s approach to investing. Separately, the firm released a report last Wednesday, which stated that it has reduced support for shareholder proposals on environmental and social issues for a third straight year, arguing that many of the efforts lacked merit and harmed long-term financial interests while doing little to improve companies.
Farm payouts – As more frequent and severe drought conditions occur due to climate change, US government payouts to livestock producers will significantly increase, the US Department of Agriculture (USDA) said in an August report. The USDA’s Livestock Forage Disaster Program pays livestock producers impacted by drought, and federal spending on the programme will increase 45% by 2100 in a moderate emissions scenario, with upwards of more than 100% under high and accelerating emissions scenarios. The analysis used county-level programme payments and drought classifications from 2014-22 to model the relationship between drought severity and programme payments. It also assumed that livestock producers do not adapt to climate change and did not incorporate future changes in payment rates.
Post-Chevron – Texas Attorney General Ken Paxton (R) filed a brief last week that urged the Supreme Court justices to reject a petition from the US Nuclear Regulatory Commission (NRC), which seeks to restore its authorisation of an above-ground, privately-owned storage facility in Texas’ Permian Basin. The agency looks to overturn a decision by the Fifth US Circuit Court of Appeals, which scrapped the permit. Paxton said that the petition makes “little sense” in a post-Chevron world where judges no longer defer to the expertise of federal agencies such as the NRC.
Geothermal dollars – The US Department of Energy’s (DOE) Geothermal Technologies Office announced $31 mln for six projects to advance geothermal energy, in a press release Monday. Of the six selected projects, five projects improve wellbore construction for enhanced geothermal systems (EGS) and one demonstrates the use of reservoir thermal energy storage (RTES) for industrial processes. Recipients of the award include: Lawrence Berkeley National Laboratory, California; Los Alamos National Laboratory, New Mexico; Clemson University, South Carolina; Innovative Downhole Solutions, Texas; and Schlumberger Technology Corporation, Texas for EGS; along with Project Development Solutions, California for RTES. Both EGS and RTES projects leverage geothermal technology’s capacity to decarbonise the industrial sector, the DOE said in the statement, towards reaching a national target of 90 GW of clean electricity by 2050. Earlier this month, Colorado adopted a new set of regulations to facilitate geothermal development in the state.
Tribal funding – The US Environmental Protection Agency (EPA) announced Monday a Notice of Funding Opportunity (NOFO) of approximately $3.48 million for two, five-year cooperative agreements to one recipient to build capacity with Tribal governments on waste management, cleanup, pollution prevention, and emergency response programmes in Indian country. Activities to be funded include: hosting the annual Tribal Lands and Environment Forum; supporting the Tribal Waste and Response Steering Committee; providing in-person and/or virtual trainings, online resources, networking, and engagement opportunities for Tribal environmental staff; assisting the Tribal Superfund Working Group; facilitating inter-Tribal networking opportunities and providing research to Tribal participants to discuss policy issues and technical matters relating to sites contaminated with hazardous substances; and fostering the participation of Tribes in the Superfund process, building Tribes’ capacity to manage and respond to emergencies, and increasing engagement with Tribal partners on legacy hard-rock mining response actions. Eligible entities for the NOFO include federally recognised Tribes and inter-Tribal consortia, public and private non-profit universities, and colleges, and other public or private non-profit organisations, with applications accepted till Oct. 10, 2024. The EPA plans to host an informational webinar on Sep. 11 at 1500 Eastern on the NOFO.
VOLUNTARY
Big bucks – Tokyo-based climate finance firm Creatura has raised $2.4 mln in a Series A funding round that included DBJ Capital, and Mitsui Sumitomo Insurance Venture Capital. Founded in 2022, Creattura promotes carbon project development, provides carbon credits, and offers consulting services to help companies and other entities decarbonise their operations. Since its establishment, the cumulative amount of carbon credits and renewable energy certificates sold exceeds the equivalent of 800,000 tonnes of CO2. (Coverager)
Turkish first – Turkish energy exchange EPIAS and carbon credit standard VERRA have decided to collaborate to develop the world’s first exchange-based voluntary carbon credit trading. According to a statement made by EPIAS the project aims to trade carbon credits developed VERRA. The full announcement will be made at New York Climate Week in September. (Enerji Gunlugu)
SCIENCE & TECH
Plastic for paper – Google’s packaging for a number of its products is now 100% plastic-free, which it claims reduces its carbon footprint in transport, the company reported last week. The tech company’s Pixel, Fitbit, and Nest devices are now free of plastic and made with a new recyclable paper material, developed by Google in consultation with US company Veritiv and Chinese firm Shandong Kaili Speciality Paper Company.
AND FINALLY…
Coffee commute – Starbucks’ new CEO Brian Niccol won’t be relocating to Seattle for the job, but he will be flying in weekly from his home in California via corporate jet, CNN reported Friday. Niccol’s offer letter included a “small remote office” at his home in Newport Beach, California and a private aircraft for use to commute from home to Starbucks HQ, up to a maximum of $250,000 a year. Critics have said the perk is at odds with Starbucks’ sustainability efforts, as the company has a target to reduce its carbon, water, and waste footprints by half of 2020 levels by 2030.
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