Electric powerhouses - Vietnamese EV company VinFast opened up a production facility in Indonesia this week, strengthening the green economic transformation and cooperation between the two ASEAN economies, Indonesia's Coordinating Ministry for Economic Affairs, said in a statement. VinFast has invested IDR 3.8 trillion ($228 mln) in the facility which has an installed capacity of 50,000 units per year. The ministry said VinFast's second phase of development would boost production capacity to 350,000 units per year, including the development of an e-scooter factory. Indonesia and Vietnam have a combined GDP of nearly $2 trillion as of 2024, and are consistently increasing bilateral trade, the ministry said.

Forest friends – Two of New Zealand’s largest forestry management companies have merged, they announced last week. The merger of PF Olsen and Forest360 creates the largest independent forest manager in Australasia, they said, with around 480,000 ha and 1,000 clients. Sydney-based private equity firm Adamantem Capital is joining as an investment partner, alongside existing PF Olsen shareholder, the Bay of Plenty Regional Council’s investment arm Quayside Holdings. The merger is expected to be complete by Feb. 2026.

An exposure draft for Australia’s integrated farm land management (IFLM) method could be released as soon as this week, after the government handed over a draft to the market’s integrity body Friday.

New Zealand’s parliament has passed amendments to the country’s climate change law under urgency, codifying two previously-announced policy changes and officially ending the country’s bipartisanship on climate change.

Revisions to the EU’s Carbon Border Adjustment Mechanism (CBAM) will impose significantly higher carbon costs on importers across steel, aluminium, cement, and fertilisers, according to new research from a US investment bank.

The usual December retirement rush has yet to appear amid another lacklustre week as prices drifted lower, despite the EU confirming it will allow international carbon credits for its 2040 goal.

A voluntary carbon rating agency has reported losses of £18 million in its latest annual financial statement, while also doubling revenue, due to continued investment in technology, infrastructure, and new markets.

Once promoted as a breakthrough for mobilising large-scale climate finance in coal-dependent economies, the Just Energy Transition Partnership (JETP) schemes are now under scrutiny amid shifting donor politics, existing financing gaps, and evidence that implementation is falling behind the pace required to keep national transition plans on track.

Companies in major emerging economies are beginning to adapt their strategies in response to border carbon policies, with early movers seeking to turn compliance into a competitive advantage as the EU’s Carbon Border Adjustment Mechanism (CBAM) enters its definitive phase in 2026.

A developer affected by Verra's investigation into Chinese forestry projects has shared its grievances, calling for a more "evidence-based" approach from the voluntary carbon standard.

Pakistan-UK Green Compact - Pakistan and the UK have signed a £35 mln Green Compact aimed at strengthening cooperation on climate action. The agreement focuses on mobilising climate finance, expanding solar and wind energy, advancing nature-based solutions such as mangrove restoration, supporting young climate entrepreneurs, and improving adaptation and disaster resilience for vulnerable communities.

ADB financing - The Asian Development Bank has approved two financing packages totalling $540 mln for Pakistan, channeling funds towards state-owned enterprise reform and climate resilience in Sindh province. The support includes a $140 mln concessional loan for the Sindh Coastal Resilience Sector Project to protect vulnerable coastal districts through upgraded drainage, flood protection systems, and forest restoration. The coastal project, co-financed by the Green Climate Fund, aims to benefit more than 500,000 people, safeguard farmland, and restore forests, with at least 25% of resources allocated to women-led initiatives.

Sabah funding - The state government of Sabah in Malaysia has allocated MYR195.5 mln ($41.6 mln) in its 2026 budget to bolster environmental protection and sustainability efforts across air, water, biodiversity, and social programmes, the Daily Express reported. Of that, around MYR144 mln will go to the Sabah Forestry Department to preserve natural resources and implement climate mitigation and adaptation strategies, including work under the Sabah Climate Change and Carbon Governance Enactment 2025 and the exploration of carbon markets. The funds are also assigned for environmental protection projects, wildlife protection activities, community benefit-sharing from carbon credits, and biotechnology development to support industrial, medical, and agricultural sectors.

Submissions to the Australian savanna fire management (SFM) method, currently before the integrity body, has highlighted differing views on the way issuance from historical sequestration should be treated.

Australian carbon prices are expected to tighten in the post-2030 period as a result of the permanent arrangement for carbon abatement contract (CAC) holders, according to an analysis shared with Carbon Pulse.

A London-based nature tech company has launched natural capital fund focusing on investing in carbon and biodiversity projects in Western Australia, it announced.

Battery boost - Australia's Cheaper Home Batteries programme has been extended to run until 2030, with total funding rising to A$7.2 bln ($4.7 bln) compared to the initial A$2.3 bln, the the federal government announced. The programme is now expected to deliver 40 GWh of additional storage capacity, equating to around 2 mln household batteries installed. It comes as the scheme, which provides a 30% discount to household battery purchases, has been touted by the government as a runaway success, seeing some 3.5 GWh of battery storage over the last six months. However, experts have flagged flaws in the scheme, saying it has incentivised unnecessarily large batteries being installed. Canberra has tweaked the scheme as a result, with support to be staggered in line with the size of the battery, moderating per kWh for medium and large batteries.

Institutions providing or arranging capital for maritime shipping, representing nearly three-quarters of global shipping finance, have reported increasing alignment between the GHG intensities of the vessels in their portfolios and International Maritime Organization (IMO) net zero targets.