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TOP STORY
US pledges new 2035 emissions reduction NDC target
The White House released plans Thursday to reduce economy-wide emissions 61-66% by 2035 as part of its updated nationally determined contribution (NDC), in accordance with the Paris Agreement.
EMEA
EU ETS-financed Modernisation Fund doles out €2.7 bln to eight countries
The EU disbursed €2.7 billion from the EU ETS-financed Modernisation Fund for decarbonisation measures in eight member states, the European Commission announced, at the same time it approved billions of euros of state aid for clean energy projects.
FEATURE: Social acceptance of the Green Deal at a minimum endangers EU ETS2
The second chapter of the EU’s Emissions Trading System risks being delayed and watered down if governments leverage certain clauses aimed at protecting vulnerable people, as political clashes within the bloc continue to undermine the reputation and very existence of the European Green Deal.
Euro Markets: EUAs rise most in 10 weeks as gas prices surge, spec buying returns
European carbon jumped by the most in 10 weeks after breaking through key technical resistances, as speculative buyers returned and natural gas prices appeared to reassert their influence over the EU ETS amid speculation over whether and how the bloc will source additional supplies next year.
INTERVIEW: CO2 to e-methanol project aims to improve outlook for EU steel
An industrial project to decarbonise steel and produce e-methanol aims to improve the competitiveness of Europe’s steel industry and reduce its exposure to the EU ETS.
French utility signs offtake agreement for first full-scale CO2 battery in Sardinia
A French utility has signed an offtake agreement with the developer of a CO2 battery in Sardinia, Italy, which will provide long-duration energy storage to the Italian grid.
Dutch carbon removal company acquires direct air capture startup
An Amsterdam-based direct air capture (DAC) firm announced on Thursday the purchase of another Dutch company to integrate the latter’s filtration and sorbent technology into its systems.
UK to review energy regulator following string of supply failures
The UK government has launched a review of energy regulator Ofgem, seeking to bolster consumer protection and speed up infrastructure approval.
UK govt updates free carbon permit allocation list for 2025 with minimal drop from current year’s total
The UK government has published an updated list of free carbon permit handouts by installation for the period 2021-25, which will see levels in 2025 fall by less than 100,000 tonnes compared with 2024, though annual volumes in each year are lower than the previous totals published over the summer.
AMERICAS
Brazil Securities and Exchange Commission approves accounting guidelines for carbon units
Brazil’s Securities and Exchange Commission (CVM) on Monday approved new technical guidelines for valuing three kinds of domestic carbon units on balance sheets, setting the stage for a new era in accounting.
Chile adds two new standards to roster of offsets admissible under CO2 tax
Chile’s CO2 tax, which accepts select carbon units in lieu of payment on a tonne-for-tonne basis, has added two new standards and all their methodologies to its eligibility pool, potentially bringing in millions of tax-eligible credits to a supply-constrained market.
BRIEFING: Non-profits sue California ARB for approving LCFS amendments over environmental concerns
A group of non-profits this week sued California regulator ARB for its recent approval of amendments to the Low Carbon Fuel Standard (LCFS), alleging that the agency overlooked the regulation’s environmental harms.
US DOE awards $200 mln for carbon recycling in ethylene production
The DOE has awarded $200 million to an ethylene plant slated for the US Gulf Coast that is expected to demonstrate a carbon capture technology in an ethylene production process, the companies announced.
Montana Supreme Court rules in favour of youth climate activists
The Montana Supreme Court ruled in favour of 16 youth climate activists on Wednesday, closing the group’s lawsuit filed against the state for its failure to account for GHG emissions from fossil fuel projects.
WCI Markets: Battle into year-end drives CCA volatility, WCAs stagnate
A battle for year-end positions in a thinning market heading into Christmas holidays pushed around California Carbon Allowances (CCA) futures through option expiry earlier in the week, while traders mostly expect Washington Carbon Allowances (WCA) to stagnate until the start of 2025.
ASIA PACIFIC
Japan to ramp up renewables, give place to CDR in energy and climate strategy
Japan has released the draft version of its 7th Energy Basic Plan, proposing to ramp up the share of renewables in its energy mix while saying carbon dioxide removal (CDR) will be needed to offset emissions it can’t otherwise eliminate.
Japan, Philippines reject firewood cookstove methodology for JCM
The joint committee (JC) regulating the Japan-Philippines Joint Crediting Mechanism (JCM) has rejected two proposed methodologies amid concerns they might lead to over-crediting, including one for high-efficiency firewood cookstoves.
Japanese shipping firm signs five-year offtake deal for credits from US DACCS project
A Japanese shipping firm has agreed a five-year deal to buy credits from a Direct Air Capture with Carbon Storage (DACCS) project in the US, using petroleum company ENEOS as a middle man.
China’s forest carbon offset projects boost vegetation beyond boundaries, study finds
Forest carbon offset projects in China are improving vegetation not only within their boundaries but also in neighbouring areas, with limited evidence of carbon leakage, a new study has found.
Australia approves four more coal mine life extensions
Australia on Thursday approved life extensions for four more coal mines, to condemnation from environmental groups.
Australian landfill gas ACCU project developer forms JV to build new assets
A waste company has partnered with one of Australia’s biggest landfill gas carbon credit project developers to form a joint venture to develop assets in New South Wales.
New Zealand seeks views on how to encourage native afforestation on govt land
The New Zealand government is seeking expressions of interest to partner with the private sector to plant native trees on Crown-owned land, without adding extra forestry to the emissions trading scheme.
EKI Energy earns ‘stable’ ratings outlook amid carbon market challenges
A ratings agency has revised the outlook for India’s largest carbon credit developer EKI Energy to “stable” from “negative”, reflecting improving financials despite continued challenges in the global carbon credit market.
INTERNATIONAL
INTERVIEW: We feel the buzz in wake of COP29 Article 6 decision, says project developer
The CEO of a large carbon project developer has said that excitement is building across the voluntary carbon market after countries finalised the Article 6 rulebook at COP29 in Baku.
VOLUNTARY
Voluntary carbon market saw healthy volume across wide price range in November, says exchange
Healthy volumes of high-priced voluntary carbon credits changed hands in November, across a very wide range of traded values, according to an exchange platform.
Verra plans to lead future carbon methodology development in proposed updates
Verra wants to take greater control of carbon methodology development in a shift from third-party led work in the past, the standards body said Wednesday in proposed updates to its crediting programme processes.
Revised UN-backed clean cooking methodology sent to voluntary carbon standards
A revised draft of the UN-backed clean cooking methodology has been sent to voluntary carbon standards for review and approval, and includes several key changes based on recent stakeholder feedback.
INTERVIEW: As climate disclosure rules kick in, CDP shifts focus to making sure the data drives change
The arrival of sweeping EU disclosure requirements next month is prompting one of the chief drivers of voluntary corporate climate disclosures, CDP, to adapt its remit to a focus on reducing the burden of reporting, and making sure that the right data is collected and put into action.
BIODIVERSITY (FREE TO READ)
All our nature and biodiversity articles remain free to read (no subscription required). However, we now require that all readers have a Carbon Pulse login to access this content in full. To get a login, sign up for a free trial of our news. If you’ve already had a trial, then you already have a login.
Verra opens applications for Nature Framework expert panel
Crediting standard Verra has opened applications for a panel of biodiversity experts that will be tasked with reviewing projects under its Nature Framework, the company announced Thursday.
Brazilian state, national development bank launch $9.5 mln notice for Atlantic Forest restoration
A Brazilian state and the country’s national development bank announced Wednesday the launch of a public notice of up to R$60 million ($9.5 mln) to support about 30 local ecological restoration projects in the Atlantic Forest biome
South Korea to phase down subsidies for biomass due to environmental concerns
South Korea announced Wednesday it will phase down subsidies for private and state-owned biomass facilities following widespread criticism over their impact on climate as well as the industry’s role in fuelling deforestation.
Biodiversity Pulse: Thursday December 19, 2024
A twice-weekly summary of our biodiversity news plus bite-sized updates from around the world. All articles in this edition are free to read (no subscription required).
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ADVERTISING BROCHURE
Carbon Pulse has published its 2025 advertising brochure and media pack, featuring updated offerings and prices. With that, bookings are now open for advertising on our website and in our newsletters next year.
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EVENTS
Carbon Forward Middle East – Jan. 16-17, Abu Dhabi – Announcing Carbon Forward Middle East in Abu Dhabi, a great new event to explore carbon markets in the MENA region. We’ll be releasing more details about this conference soon. For now, put Jan. 16-17 in your calendar and email info@carbon-forward.com to express interest in attending, speaking, or sponsoring.
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Premium job listings
- *Assistant Director, Carbon Markets, Asia Society Policy Institute (ASPI) – Washington DC/at Asia Society Centers in US, India, Korea, Japan, Australia, France, or Switzerland
- *Senior Program Officer, Carbon Markets, Asia Society Policy Institute (ASPI) – Washington DC/at Asia Society Centers in US, India, Korea, Japan, Australia, France, or Switzerland
*New listings
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BITE-SIZED UPDATES FROM AROUND THE WORLD
INTERNATIONAL
COP31 consensus – Australia has secured the “public and private” support of 23 out of 29 voters in its group of countries to host COP31 in 2026, Climate Change and Energy Minister told Renew Economy Thursday. However, he said consensus has yet to be reached, with the country’s main competitor for the bid, Turkiye, still vying to host. Bowen reiterated that there was no agreed date or ballot process to vote on the host of the COP, given that it was consensus-based. Bowen said he had held five meetings with his Turkish counterpart to reach a deal, and that he treated the Turkish bid “with great respect”, but noted there had not been a Southern Hemisphere COP since 2007.
OECD’s coal drops – The number of new coal plants under development in the 38 OECD countries has reached record lows since the Paris Agreement was reached in 2015 – to five today, from 142 nine years ago, Carbon Brief reported based on Global Energy Monitor data. Those five projects – in Alaska, Pennsylvania, Turkiye, Japan, and Australia – could be the coal-fired power stations built in the OECD, putting the region on track to meet UN Secretary General Antonio Guterres’ 2019 call for no new coal, it said. Out of the 13 OECD countries with coal plant proposals in 2015, all but Turkiye have since pledged to stop building new plants. The five remaining projects would have a combined capacity of 3 GW, and four of them include CCS plans. However, none of the five have secured the necessary permits for construction, meaning that it would likely take several years to begin.
Solidarity levy leaders – The Global Solidarity Levies Task Force has appointed new faces to its leadership, bringing decades of expertise in fiscal policy, tax governance, and climate and development finance, it announced on Thursday. Ismail Momoniat joins as co-lead, after working as acting director-general of South Africa’s National Treasury. Friederike Roder will be director of the secretariat, after working as a vice president at Global Citizen. Momoniat will be co-lead alongside Laurence Tubiana, CEO of the European Climate Foundation and one of the architects of the Paris Agreement. The task force, launched a year ago and chaired by Barbados, France, and Kenya, is designing solidarity levies based on the polluter pays principle, to generate money for climate and development finance.
Partners – Saudi Arabia’s National Center for Vegetation Cover Development and Combating Desertification (NCVC) and the International Carbon Registry (ICR) signed a Memorandum of Understanding (MoU) during COP16 in Riyadh, the organisations announced Thursday, calling it a significant step towards advancing global climate solutions through nature-based solutions (NBS). Aligned with Saudi Arabia’s Vision 2030 and the Saudi Green Initiative, the partnership aims to address desertification, enhance biodiversity, and develop a programme to cut GHGs using NBS, for example afforestation, mangrove restoration, biochar production, and algae cultivation. The collaboration focuses on carbon sequestration, biodiversity conservation, economic opportunities for local communities. Based in Riyadh, the NCVC is a governmental organisation dedicated to the sustainable management and development of Saudi Arabia’s vegetation resources. It oversees the protection and rehabilitation of forests, rangelands, and national parks, aiming to combat desertification and enhance biodiversity.
EMEA
Closer ties – Romania’s Ministry of Environment has published for public debate a draft decision aimed at transposing key EU ETS directives into national legislation. This will update the country’s participation in the EU ETS and align its national objectives with EU targets such as a 55% reduction in GHG emissions by 2030 compared to 1990 levels and achieving net zero by 2050. Key highlights are for energy and industry modernisation: to gradually phase out free allowances for high-emission sectors and targeted mechanisms for high-efficiency co-generation and carbon capture and storage (CCS) projects. An expansion of the EU ETS scope: inclusion of maritime sector and alignment with aviation offsetting scheme CORSIA. And using financial mechanisms: Auction revenues to fund low-carbon projects, energy efficiency improvements, and innovative technologies, and enhanced access to innovation and modernisation funds. By transposing these directives, Romania looks to benefit from EU funding, modernise its industries, and support clean energy.
AMERICAS
US carbon fee? – A federal US bill that proposes a fee on the carbon content of fossil fuels was referred to two additional subcommittees on Tuesday after sitting idle in legislature for over a year. The Energy Innovation and Carbon Dividend Act (HR 5744), sponsored by Salud Carbajal (D-CA), suggests a fee of $15/tonne CO2e in 2023 that increases by $10 each year. It was referred to the Social Security and Trade subcommittees on Tuesday, as per the Ways and Means committee. It is among a suite of US carbon border adjustment mechanism (CBAM) proposals being considered by both Democrat and Republican lawmakers.
Generation drops, imports increase – Market administrator RGGI Inc. released Thursday the 2021 electricity monitoring report for the US Northeast and Mid-Atlantic power sector ETS. According to the report, from 2019-21, the then-nine states of RGGI registered a 42.8 mln MWh or 11.1% decrease in annual average electric load compared to the average for 2006-08. Additionally, annual average electric generation for all sources in the region during this period decreased 53.2 MWh or 16.1% compared to the same timeframe, while net imports increased 19.6 mln MWh or 35%. Meanwhile, in the 11-state RGGI scheme (with New Jersey rejoining in 2020 and Virginia joining at the start of 2021), annual average electric load for 2021 decreased by 38.8 mln MWh or 6.7% compared to the baseline average for 2006-08. Additionally, annual average electric generation for all sources in this region decreased by 36.9 mln MW or 8% during the same timeframe, while annual average net imports increased by 7.5 mln MWh or 6.4%.
Power partners – California-based nuclear technology company Oklo and Nevada-based AI, cloud, and data centre services provider Switch have a 12-GW non-binding Master Power Agreement, the pair announced Thursday. The agreement establishes a framework for collaboration, with the expectation that individual binding agreements will be finalised as project milestones are reached. Under the agreement, Oklo will develop, construct, and operate powerhouses to provide power to Switch across the US through a series of power purchase agreements. Oklo said the cooperation will help accelerate its early powerhouse deployments and also help position the company to scale in response to a growing demand pipeline. In September, US-based Constellation Energy announced plans to restart Three Mile Island nuclear power plant, which had been closed in 2019, under a 20-year deal with Microsoft to supply carbon-free energy to its data centres.
H2 hubs – The US DOE intends to prepare Environmental Impact Statements (EIS) for providing financial assistance to three hydrogen hub projects: the California Hydrogen Hub (ARCHES) in California, the Pacific Northwest Regional Hydrogen Hub (PNWH2 Association) in Washington, Oregon, and Montana; and the Appalachian Hydrogen Hub (ARCH2) in Ohio, Pennsylvania, and West Virginia. DOE issued these notices to inform the public about the proposed action, announce plans to conduct public scoping meetings, invite public participation in the scoping process, and solicit public comments for consideration in establishing the scope of the EIS, including the range of reasonable alternatives and the potential environmental impacts to be analysed.
Maine biochar – Local biochar producer Clean Maine Carbon (CMC) issued its first biochar carbon removal credits (CORCs) via the Puro.earth registry in partnership with carbon financier Flowcarbon. Based in Greenville, Maine, CMC transforms locally sourced, low-value woody biomass into biochar, which could be used to improve soil health, enhance water retention, and reduce the need for chemical fertilisers, the companies said in a joint press statement on Thursday. The press release did not contain details of the number of CORCs issued or what they were valued at, but Puro.earth’s registry showed an issuance on Oct. 31 of 114.3 CORCs. CMC said it planned to expand its biochar production capabilities exploring potential partnerships with stakeholders including local agricultural and innovators and organisations.
See you in two years – Youth climate activists in Canada have won the right to a trial in their lawsuit, La Rose vs His Majesty the King, set for Oct. 26, 2026 to take place in Vancouver federal court. A total of 14 youth from seven provinces and one territory argued that the Canadian government was worsening global warming and infringing on their rights to a safe climate, as protected by the Canadian Charter of Rights and Freedoms.
All about that baseline – Canada released early estimates of its 2023 GHG emissions on Thursday, showing a YoY drop to 694 MtCO2e between 2022-23. Emissions are now at their lowest in 27 years, excluding pandemic years, said Canada’s environment ministry. Other notable findings include the decline in the emissions intensity of Canada’s economy by 34% between 2005-23 and a 58% decline in electricity emissions driven by the phase-out of coal-fired electricity generation since 2005. As of the latest published data dating to 2022, Canada remains the only G7 country whose emissions have risen since 1990.
ASIA PACIFIC
Eyes open – The Australian government has amended legislation to make the Australian Carbon Credit Unit Scheme more transparent. The amendments, which the government consulted on in September, requires the Clean Energy Regulator (CER) to publish additional ACCU project data on its website. This would include improved descriptions or details of project activities and all methods, among other details. The amendment is designed to address issues raised in the Chubb review, which called for greater transparency in the country’s carbon market. The amendments give the CER a transitional period of six months to publish this data.
That’s classified – South Korea has established a special industrial classification system for the country’s carbon, capture, utilisation, and storage industry (CCUS), the Elect Times reports. The system divides CCUS into eight major categories, including capture, transportation, storage, and utilisation, in accordance the the CO2 treatment process. It is then divided into three hierarchical structures – 22 medium categories and 57 small categories. The classification system was developed by the Ministry of Trade, Industry, and Energy, the Ministry of Science and ICT, and Statistics Korea, as a way to foster the CCUS industry.
VOLUNTARY
Phantom of the (project) opera(tor) – Shell has marketed over 20 LNG shipments as “carbon neutral” since 2022, using carbon credits to offset emissions. However, an investigation by Climate Home and Dialogue Earth reveals that Shell’s scheme relied partly on “phantom” carbon credits from Chinese rice farming projects that failed to deliver promised emission reductions. The credits stemmed from projects claiming to cut methane emissions by improving irrigation techniques in rice paddies across China’s Anhui province. But evidence shows these activities were either not implemented or exaggerated, according to the investigation’s authors. Local authorities denied involvement, and farmers interviewed were unaware of any carbon credit schemes. In some areas, infrastructure reportedly essential for the projects was only built years later. Registry operator Verra revoked these projects and sanctioned developers after uncovering serious flaws, including unreliable audits and false claims. Shell retired over a million of these credits during Verra’s review, with half used to support its carbon neutral LNG marketing. Critics argue this exposes systemic issues in the carbon market, such as conflicts of interest in project auditing. Experts also accuse Shell of greenwashing and stress the need to curb fossil fuel production rather than relying on questionable offsets.
Scientific network – Climeworks has launched a scientific advisory network to bolster its expertise in carbon removal solutions, the DAC company announced on Thursday. The network includes eight experts specialising in areas such as biochar, afforestation, enhanced rock weathering, and carbon capture and storage. Its role is to provide guidance on evaluating carbon removal approaches while ensuring transparency and maintaining objectivity, with final supplier partnership decisions remaining with Climeworks. This initiative supports the company’s aim to scale high-quality carbon removal technologies and advance global climate action, Climeworks said on its website. The experts include afforestation expert Thomas Crowther, professor at ETH Zurich and founder of Crowtherlab, Saran Sohi, senior lecturer in soil science and biochar at the University of Edinburgh, and Gideon Henderson, professor of earth sciences at University of Oxford.
Call for experts – Gold Standard is seeking experienced professionals to join its roster of experts panel for technical reviews of GS4GG projects. The standards body is calling for “individuals who can uphold the highest standards of quality assurance in carbon emission reduction and sustainable development projects”. The Gold Standard for the Global Goals (“GS4GG”) is a standard that certifies the positive effects of sustainable development goals (SDGs) in results-based finance. It covers a range of advantages including water, renewable energy, health, and gender equality. The certificate allows developers to quantify the value of their project’s impacts in monetary terms and provides project funders with the highest level of confidence that the intended results have been achieved.
Korean CCS – Korea is developing a classification system for carbon capture and storage (CCS) to better develop the industry, Korean newspaper Electimes reported Thursday. The government divided the CCUS industry into eight major categories, including capture, transportation, storage, and utilisation, in accordance with the CO2 treatment process, and organised it into three hierarchical structures: 22 medium categories and 57 small categories. South Korea has agreements with multiple nations for them to take its CO2 given its own lack of storage.
Survey says – Sylvera and CDR.fyi have launched a survey to better understand plans for CDR demand and supply between now and 2050, and would love to hear from stakeholders. The survey includes questions for suppliers, developers, and buyers about the pipeline of projects and buying intentions for 2025 and beyond. Based on the results, the duo hope to gain a clearer understanding of how supply and demand could look for CDR in the carbon markets for the years to come, and what it means for organisations’ net-zero goals. Click here to take part – it takes around 5-10 minutes to complete. Survey will remain open until Jan. 10, and respondents will get exclusive access to a report with the findings.
AND FINALLY…
Nanocluster nugget – An international team of scientists from Tohoku University, Tokyo University of Science, and the University of Adelaide has developed a novel technique to enhance the sustainability and selectivity of electrochemical CO₂ reduction reactions (CO₂RR) using copper nanoclusters (Cu NCs). Their research, published in Small, demonstrates the potential of copper in sustainable chemistry by fine-tuning atomic-level surface structures. The team engineered two structurally identical Cu NCs by modifying their surface thiolate ligands (PET: 2-phenylethanethiolate and CHT: cyclohexanethiolate), enabling controlled CO₂ conversion. Despite their similar structures, the NCs exhibited distinct stability and product selectivity, highlighting the importance of intercluster interactions for catalytic performance. This breakthrough addresses challenges in achieving precise product control and efficiency on an industrial scale, offering the potential to boost how CU NCs reduce carbon emissions, the researchers said. They emphasised that this advancement is a major step toward designing stable, selective, and efficient CO₂ reduction technologies, further showcasing the role of copper in combating carbon emissions. (AZoNano)
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