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TOP STORY

BRIEFING: East African macroeconomic plans begin embedding carbon markets

East African carbon markets are being embedded in a bigger ‘green’ economic vision, not left as ad hoc projects, as per speeches at the East Africa Carbon Markets Forum in Kampala last week and emerging government laws, plans, and policies across the region.

EMEA

INTERVIEW: Uganda eyes $10 per carbon credit as it inches closer on agreements with buyer nations

The government of Uganda is advancing discussions on bilateral deals under Article 6.2 of the Paris Agreement, with potential buyers including Switzerland, Singapore, and the UAE, and is hoping to make a “good use of its negotiation powers”, its climate change commissioner told Carbon Pulse.

FEATURE: Polish energy companies lay out their own coal exit plan as government proposal faces delay

Amid further delays to the Polish government’s plans to wrestle coal assets away from energy companies, two of the country’s major energy producers have taken matters in their own hands, casting doubts over the success of Warsaw’s push.

EU nears carbon farming certification, talks continue ahead of 2026 adoption

The European Commission is advancing its carbon farming framework with a gradual approach, aiming to develop robust methodologies for agricultural carbon removals early next year, EU officials have said.

CCS costs in the Netherlands seen edging closer to €200/t

As CO2 infrastructure develops around industrial clusters in the North Sea, the overall cost of carbon capture and storage (CCS) in a country like the Netherlands is seen nearing the symbolic €200 per tonne of CO2 mark, experts say.

Oil major supports UK ETS extension for 12 years

An oil and gas major has thrown its weight behind the UK government’s plan for extending the country’s Emissions Trading Scheme (ETS) beyond 2030, saying it will maintain an incentive for investments in low-carbon technologies.

Cement, energy industries back EU-UK carbon markets linkage

The World Cement Association has backed linkage between the EU and UK Emissions Trading Schemes (ETS), adding to growing calls for the two sides to cooperate more closely on carbon pricing ahead of a crunch bilateral summit next week.

German engineering group trims CO2 offset use by 8.5% amid efficiency gains

A German engineering multinational offset 531,300 tonnes of CO2 in 2024 – down 49,600 tonnes or 8.5% from the previous year – as expanded clean energy use reduced its Scope 1 and 2 footprint, the company said in its latest sustainability report.

Kenya regulator approves US food giant’s purchase of pineapple-based biochar producer

The Competition Authority of Kenya (CAK) has granted unconditional approval for the Kenyan arm of US-headquartered food conglomerate to acquire a waste management company specialising in converting pineapple by-products into biochar.

Low-carbon bricks made from recycled waste earn UK certification for widespread commercial use

A Scottish cleantech firm has received certification from a key UK body to use its sustainable bricks made from recycled waste to be used in a wide range of commercial building projects.

Digital platform tracking environmental footprint launches new era for fashion industry in Europe

A sustainability venture launched a digital platform on Thursday to help clothing brands meet EU environmental regulations.

Euro Markets: EUAs jump by most in a month as US-China tariff agreement boosts market sentiment

European carbon prices jumped sharply on Monday, tracking global equities following reports of an interim reduction in tariffs by both China and the US, breaching technical resistance levels and rising to a seven-week high, while energy prices and UKAs also rose steeply in response to the news.

AMERICAS

US Congress committee proposes to slash billions for emissions reductions projects in federal budget

Billions of dollars in funding for emissions reductions are up for repeal in the US as a Congressional committee works to finalise federal spending levels for the next decade.

New York’s 2026 state budget omits NYCI provisions

New York Governor Kathy Hochul (D) signed the state’s fiscal year 2026 budget Friday, which lacked provisions related to a planned cap-and-invest programme, known as NYCI.

Large US city launches tender for carbon credit brokerage services

A large US city has launched a solicitation seeking a qualified carbon credit broker to support its emissions offset strategy, according to a request for qualification statements (RFQS) published on its procurement website.

RGGI Market: Benchmark RGAs exceed $22 despite looming uncertainties

Benchmark RGGI allowance (RGA) prices surpassed $22 for the first time in nearly a month even as uncertainties related to the programme update timeline and risks surrounding federal action clouded the overall outlook for the market.

Alberta pre-empts federal government, freezes industrial carbon price amidst tariff uncertainty

The provincial government announced Monday it would hold its industrial carbon price at the 2025 rate to keep Alberta businesses competitive, in response to uncertainty from US tariffs, and ahead of any plans from the new federal leadership.

INTERVIEW: Colombia shakes voluntary carbon market by codifying Indigenous right of ‘cultural objection’ to projects

Colombian carbon project developers were blindsided last week by a decree that granted ‘cultural objection’ as an extension of Indigenous sovereignty and ‘free, prior, and informed consent’ (FPIC) – but they should not have been, according to a Colombian environmental lawyer.

LATAM Roundup: Carbon and biodiversity credits advance amid investment gaps, controversies

Governments and private sector actors across Latin America and the Caribbean moved forward with new carbon market and biodiversity credit initiatives over the past week in the face of ongoing policy and financing challenges.

US steel company scrapping hydrogen plans as it reworks grant agreement with DOE

Roughly a year after the US DOE finalised a grant for a hydrogen-powered steel plant, the steel company announced last week that it has stripped the energy source from its plans during renegotiations with the agency.

US climate tech company signs RNG-based EA offtake agreement with global commodity trader

A US-based clean fuels and climate technology company has signed a 10-year offtake agreement for environmental attributes (EAs) from renewable natural gas (RNG) with a global energy and commodity trading group.

Low-carbon tech hones in on Quebec buzz, launches SAF project

Two low-carbon project developers are partnering on one of the first biomass-to-sustainable aviation fuel (SAF) facilities in North America.

ASIA PACIFIC

Green steel production will require more electricity than currently planned, submission says

The amount of renewable electricity required to produce green steel is being lowballed by Australia’s grid planner according to an international producer, as the government seeks views on how to design the electricity market in the coming years.

Co-benefits don’t matter for integrity, but possibly for investment, conference hears

As project developers search for a price premium and investment opportunities from the co-benefits associated with their projects, the head of the Australian Carbon Credit Unit (ACCU) market’s integrity body has cautioned that emissions reductions must be the number one priority.

Australian coal miner could suffer up to $492 mln in carbon costs by 2050, thinktank warns

An Anglo-Swiss coal miner could face hundreds of millions of dollars in carbon liability costs if it does not cut methane emissions from its Australian coal mines, analysis on Monday outlined.

South Korea, Vietnam eye REDD+ MoU this year

South Korea plans to ink a Memorandum of Understanding (MoU) with Vietnam this year to implement a UN-backed REDD+ project in the Southeast Asian country, as part of Seoul’s effort to secure millions of credits from the forest-based offset scheme.

CCUS at Chinese coal plants could be scaled for global decarbonisation push, lobby argues

China is providing a new business case and proof of concept for carbon capture, utilisation, and storage (CCUS) at coal-fired power stations, dropping the cost of capture by over 40% and demonstrating the tech’s scalability for emissions reductions, a paper from an Australian coal lobby group argued Monday.

INTERNATIONAL

Sweden, Kenya prepare for Article 6 agreement -sources

The Swedish and Kenyan governments are in late-stage talks for an Article 6.2 bilateral agreement, Carbon Pulse has learned from well-placed stakeholders convened in Kampala for the East Africa Carbon Markets Forum last week.

Global temperature extremes may reduce after net zero, but regional impacts vary -report

Achieving net zero CO2 emissions could lead to a global decrease in temperature extremes, but the extent of this reduction will vary significantly across regions, a new report has found.

VOLUNTARY

VCM Report: CORSIA carbon credit futures trade above $24, regulatory support continues to build

Supportive regulatory developments continued to point towards a brighter near-term future for the voluntary carbon market, as CORSIA Phase 1-eligible futures traded above $24 in one Asia-based exchange.

Blue carbon emissions reductions overstated due to flawed soil assumptions, study finds

Soil carbon losses from coastal blue carbon ecosystems vary widely depending on the type and severity of disturbance, challenging assumptions used to estimate greenhouse gas emissions from mangroves, saltmarshes, and seagrasses, according to a new study.

Carbon crediting for cookstoves “will get better with science” but is still “political” -developer

The controversial ‘fNRB’ parameter in cookstoves projects is improving over time, but lowering it – thereby slashing carbon credit issuances – remains a “political” flashpoint, according to a clean cooking developer speaking Friday at the East Africa Carbon Markets Forum in Kampala.

BIODIVERSITY (FREE TO READ)

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International agreement to ban chemicals sparks criticism

Countries agreed on Friday to eliminate a group of harmful industrial chemicals, under the Stockholm Convention on Persistent Organic Pollutants, but the decision to allow exemptions fuelled concerns among observers.

INTERVIEW: Mexican carbon pilot seeks to generate biodiversity credits

A reforestation initiative in Mexico with a seed bank is looking to generate voluntary biodiversity credits stacked with carbon units across 10,000 hectares, Carbon Pulse has learned.

Norwegian sovereign fund to challenge mining companies over environmental concerns

Norway’s sovereign wealth fund announced on Sunday it will engage mining firms Rio Tinto and South32 to address environmental concerns linked to their operations in the Amazon rainforest, rather than divest in the companies.

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EVENTS

Carbon Removal Investment Summit – June 3, London – cCarbon is hosting this exclusive, one-day conference with the goal of accelerating carbon removals through a data and modelling-driven discussion. It will bring together a distinguished group of investors, capital providers, carbon removal buyers, leading developers, and other key stakeholders to unlock investment and create partnering opportunities. An invite-only investors’ conclave will take place during the summit to explore pathways for unlocking and chanelling capital into carbon removals. Attendees will have the opportunity to participate in high-impact sessions to discuss the business case for nature- and technology-based removals. cCarbon will unveil a data-driven benchmarking tool designed to assess carbon removal providers based on key factors like feasibility, scalability, and maturity. Register here

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ADVERTISE WITH US

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.

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BITE-SIZED UPDATES FROM AROUND THE WORLD

INTERNATIONAL

Upwards trend – The global green economy is currently worth a staggering $7.9 tln, according to the London Stock Exchange. The sector has experienced a compound annual growth rate of 15% over the past decade, making it second only to technology as the world’s fastest growing sector, the report found. Green industries defied continued market volatility to grow from $7.2 tln at the start of 2024 to $7.9 tln a year later.

EMEA

CBAM funds for Africa – The EU should recycle some CBAM revenue into a trade decarbonisation fund for Africa, Faten Aggad, head of the African Future Policies Hub, argued in African Business. This could provide grant funding for ‘soft’ infrastructure like systems for counting emissions, and concessional loans for hard infrastructure. It could also help to spread cleaner, more energy-efficient technologies and industrial processes. The EU has estimated that CBAM could generate around €1.5 bln for the EU budget from 2028, Agad noted. While the EU currently plans to keep that money in its own coffers, channelling some of it to an African fund would be a transparent and effective way of using the resources. Other countries looking at border carbon fees – like the UK, China, and Japan – should consider this too, she added.

Reversed course – Norway’s $1.8 tln sovereign wealth fund has chosen to revoke its exclusion on RWE, fund operator Norges Bank Investment Management has said, citing the achievement of several milestones with regards RWE’s coal phaseout. In 2020, Norway’s sovereign wealth fund had excluded the German utility, alongside Glencore, Anglo American, Sasol, and AGL Energy, for the use and production of coal under updated ethical guidelines. But in 2022, RWE advanced its coal phaseout by eight years and is preparing to end lignite-based electricity generation in 2030 under a deal reached with the government. (Reuters)

No letting up – The UK is at risk of weakening its climate leadership unless it reaffirms its commitment to a 2040 emissions reduction target of at least 90% and rejects the use of international offsets to weaken the target, wrote Climate Action Tracker. The non-profit also urges the bloc to set a strong 2035 target for at least a 78-80% emissions reduction, and to protect and boost climate finance in the next EU budget.

ASIA PACIFIC

Back in the saddle – Chris Bowen has been reappointed as Australia’s Minister for Climate Change and Energy and Josh Wilson will be his assistant minister, Prime Minister Anthony Albanese announced Monday, alongside the rest of their portfolio positions. The appointment follows Wilson clinching victory in his seat of Fremantle. Member for Jagajaga Kate Thwaites has been appointed to a new role as Special Envoy for Climate Change Adaptation and Resilience. In a post on LinkedIn, Bowen said the government would deliver an energy play for the future, and described its bid to host COP31 with the Pacific as a global opportunity to showcase Australia’s leadership in climate and ambition. The returned Labor government is on on track to hold 92 seats in the lower house.

Shift in power mix – Nuclear power overtook coal last year to become South Korea’s largest source of electricity for the first time, according to state news agency Yonhap. Power generated from nuclear plants accounted for 31.7% of the total, followed by gas and coal (each contributing 28.1%), government data showed. Renewable energy generation, supported by policy support and increased investment, last year rose 11.7% YoY and thereby accounted for 10.6% of the country’s total power generation. It was the first time that the proportion of renewables surpassed the double-digit mark in the country.

Petrol tax – Vietnam will impose a consumption tax on petrol as a way to meet environmental commitments, the English language Vietnam News reported. Finance Minister Nguyen Van Thang made the announcement at a National Assembly session focussing on consumption taxes. It is hoped the tax may drive the uptake of electric vehicles or public transport. Vietnam’s carbon market and emissions trading scheme enters its pilot phase from next month.

Waste gas solution – Australian low-carbon cement and coatings junior Zeotech told the bourse Monday the methane control programme it shares with waste processor Cleanaway at Griffith University has achieved its objective of developing an effective zeolite-based biofilter that absorbs and eliminates methane emissions. Cleanaway is a significant producer of waste gas. The next step will be deployment to actual landfills. Simulations showed decreased methane emissions of 90% relative to the controls.

One after another – Japanese project developer Stellar Green has partnered with regional lender North Pacific Bank to create environmental values by utilising Hokkaido’s natural resources, the companies announced Monday. Hokkaido has one of the largest forest areas in Japan, abundant marine resources, and a livestock industry hub, Stellar Green said, without specifying a business target. Meanwhile, ByWill recently signed a customer introduction contract with Sorachi Shinkin Bank to expand its carbon offset business, targeting small and medium-sized enterprises in the Sorachi region of Hokkaido. ByWill aims to help all 47 prefectures in Japan achieve carbon neutrality.

Covered – Japan’s Sumitomo Mitsui Trust Panasonic Finance has launched a new offer under which its customers can add carbon credits when leasing facilities and equipment from the company. The arrangement means businesses can use leased products without having to worry about climate impacts, because the arrangement includes the sufficient number of offsets, SMTPF said on Friday.

Extending support – The Executive Board of the IMF has completed the first review under the Extended Fund Facility (EFF) arrangement with Pakistan, allowing an immediate disbursement of about $1 bln. The board has also approved Pakistan’s request for an arrangement under the Resilience and Sustainability Facility (RSF) which, with access of around $1.4 bln, will support its efforts in building economic resilience to climate vulnerabilities and natural disasters. Pakistan’s agreement with IMF was reached earlier this year, when the South Asian nation agreed to introduce a carbon levy from July on all hydrocarbons, as IMF’s condition for the fund disbursement.

Making progress – Switzerland-based EcoSecurities has signed a contract with the World Bank to carry out the assessment of Lao PDR’s emissions reduction programme and explore options for emissions reduction results-based programmes, the offset developer said in a LinkedIn post Monday. Over the next eight months, it will assess the drivers of deforestation and forest degradation, evaluate environmental and socio-economic impacts of the current programmes, and analyse the effectiveness of benefit-sharing and payments as incentives for forest protection. The World Bank has committed some $42 mln under the Forest Carbon Partnership Facility to buy carbon credits from 2020-25. Meanwhile, Laos issued a draft decree on its nascent Article 6-linked carbon market in April, after starting work on it late last year.

Deceleration – Japanese oil refiner Eneos Holdings plans to boost investment in LNG and sustainable aviation fuel (SAF) while slowing down efforts in cleaner options such as hydrogen, CEO Tomohide Miyata told a press briefing Monday. Through Mar. 2028, Eneos will invest 1.56 trillion yen ($10.7 bln), including 740 bln yen in strategic spending focused on low-carbon and decarbonised energy, such as renewables and carbon capture. It plans to reinforce and expand its LNG business due to forecasted rise in demand out to 2040. Miyata said the “full-scale bifurcation of the energy transition, previously expected around 2030, may be delayed” and that Eneos is is no rush to supply hydrogen and ammonia. Affordable energy such as oil has become more important among rising energy security worries, he added. (Reuters)

AMERICAS

Power plant pollution – The US EPA’s plan to revoke power plant rules from the previous Biden administration could increase carbon pollution by making it easier to build natural gas facilities and maintain coal operations, E&E reported. Analysts said removing EPA regulations for existing coal and new gas power plants would not completely halt the green energy transition, but would provide a lifeline to the coal industry and boost the role of natural gas in the energy mix – particularly as electricity demand skyrockets due to the rise of AI.

Get ’em – Hawaii lawmakers have passed a resolution calling on insurance companies to seek subrogation claims against big oil and gas companies to lower costs on locals. Passed in April, Senate Resolution 178 (SR 178) encourages insurers to pursue claims against polluters, who, the resolution alleges, “knowingly engaged in misleading and deceptive practices regarding the connection between their products and climate change”. Last week, Hawaii launched a lawsuit against big polluters, joining a number of states, cities and counties seeking financial compensation from fossil fuel producers across the US.  

EVs eased – New York Assemblymember John McDonald (D) plans to introduce a measure to delay implementation of the state’s clean car sales regulations by two years, E&E news reported. McDonald cited concerns about consumer costs and the potential loss of the $7,500 federal EV tax credit as reasons for the delay. McDonald said that while the transition to EVs should continue, it may need to proceed at a slower pace to remain accessible. The regulations, modelled after California’s clean car rules, are already facing political challenges at the federal level.

Skyrocketing SAF – US production of sustainable aviation fuel (SAF) approximately doubled in the three months between Dec. 2024 and Feb. 2025, according to the US Energy Information Administration (EIA). In an analysis published last week, the EIA attributed this skyrocketing growth to the US EPA’s Renewable Fuel Standard (RFS), federal tax credits, and state programmes incentivizing SAF use. At the beginning of 2024, SAF production capacity was at around 2,000 barrels per day with just two plants capable of producing SAF in operation – World Energy’s plant in California and Montana Renewables’ plant in Montana. That capacity reached 25,000 b/d by late 2024 as two additional projects came online, then increased to 33,000 b/d in 2025 as two smaller projects began production. The EIA said it forecasts SAF to double again between 2024 and 2025, then increase 20% in 2026.

Clean energy crossroads – During the recently concluded Washington, DC Climate Week, clean energy experts raised concerns that Congressional budget reconciliation efforts and recent policy uncertainties are undermining US clean energy development. Speakers, including Rep. Don Beyer (D), and leaders from groups such as clean energy think tank Advanced Energy United warned that unclear futures for tax credits and tariffs are discouraging investment in US projects. Experts also stated that without policy certainty, US companies might fall behind global competitors, particularly in clean energy sectors such as solar manufacturing. (Smart Cities Dive)

Rebrand and reboot – Non-profit BC Centre for Innovation and Clean Energy (CICE) announced it has rebranded as NorthX Climate Tech to reflect an expanded focus on advancing climate technology development and commercialisation across Canada. NorthX Climate Tech will concentrate on “climate hard tech,” including next-generation batteries, clean fuels, CDR, and large-scale electrification. The organisation also introduced a revised investment model that includes repayable, non-dilutive funding, and plans to increase follow-on investments to support scaling companies. The rebrand marks a shift toward national and international activities while maintaining its base in British Columbia.

California-Panama collab – California and Panama announced Monday the signing of a MoU to cooperate towards reducing GHG emissions and addressing climate change. Under the MoU, the pair agreed to establish a flexible framework for deepening their existing collaboration on their respective carbon programmes and carbon pricing instruments. In doing so, they aim to: continue the sharing of information, experiences, knowledge, and best practices on the implementation of respective strategies, policies, and programmes in various carbon pricing and carbon inventory practices; foster research, development, deployment, and exchange of various clean technologies; and promote the environmental integrity of carbon pricing instruments to reduce GHG emissions worldwide. Specific areas of cooperation include: MRV; carbon sequestration through NbS; standards to quantify carbon sequestration and reduced and avoided emissions of GHGs, particularly the California Tropical Standard; and GHG reductions from industrial sources. Specific activities envisioned to support the goal of the MoU included workshops, technical trainings, and staff exchanges.

VOLUNTARY

Back open for business – The Integrity Council for the Voluntary Carbon Market (ICVCM) has re-opened for programmes to apply for assessment against its Core Carbon Principles (CCPs). Applicants are encouraged to review the FAQ, assessment framework, and summary for decision makers documents. The CCP programme is intended to ensure alignment with the highest global standards for transparency, governance, and environmental integrity in the voluntary carbon market.

SHIPPING

Zero-emission shipping – The American Bureau of Shipping (ABS) has issued an approval in principle (AIP) to Netherlands-based SBM Offshore for its design of a near zero floating production, storage, and offloading vessel. The NearZero FPSO concept uses low-carbon technologies that altogether create a “near zero” Scope 3 carbon emissions profile, achieving up to 80% reduction in GHG emissions. Technologies featured include all-electric topsides, carbon capture, and closed flare, which both reduce CO2 emissions and also cut power demand. The concept’s development is a step towards SBM’s path to achieving net zero by 2050. (upstream)

AND FINALLY…

Sunlit solution – Cornell University researchers have claimed they developed a new sunlight-powered chemical process to capture and release CO2, aiming to reduce the costs and emissions associated with current carbon capture methods. In a study published last week in Chem, the team demonstrated a system that mimics plant mechanisms, using light to activate a stable molecule for carbon capture and release without relying on amines, which are energy-intensive to produce and degrade quickly. According to the study, the process successfully isolated CO2 from real-world flue gas samples at Cornell’s on-campus power plant, and did not require additional cooling between steps. Researchers said the method could be adapted into panel-like systems for large-scale deployment and may eventually target direct air capture.

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