Japan's GX-ETS, a pillar of the country's 'growth-oriented' carbon pricing framework, is set to enter its mandatory phase this week.

The World Trade Organization (WTO) has become a constructive forum on climate policy and border carbon adjustments (BCAs) despite a global downturn in climate and trade multilateralism, according to a policy expert and ex-WTO negotiator speaking to Carbon Pulse from the 14th Ministerial Conference (MC14) in Yaounde, Cameroon.

The Green Climate Fund (GCF) has approved $960.3 million for 18 projects supporting developing countries, it announced this week.

March headlines for the Middle East and North Africa (MENA) were dominated by US and Israeli airstrikes on Iran, followed by the Gulf country’s retaliatory closure of the Strait of Hormuz – impacting Asian emissions, European carbon markets, and global energy security.

Biomethanol move – Shanghai Electric, a Chinese energy equipment and clean fuel technology company, has completed a large-scale biomethanol bunkering operation for an international container vessel at Shanghai’s Yangshan Port, it was announced this week. The fuel was supplied to the CMA CGM OSMIUM, a methanol dual-fuel ship owned by France-based shipping group CMA CGM, with the operation coordinated by Shanghai International Port Group. The companies said the bunkering validates a fully integrated supply chain spanning biomethanol production, logistics, and port-side bunkering.

ICE Futures Europe will launch next month new futures and options contracts for the mandatory Phase 2 of UN aviation offsetting scheme CORSIA, it announced on Friday.

Increased demand for LNG from Asian buyers should squeeze European natural gas prices, boost coal in the EU power mix, and feed some support for EUAs over the spring and summer, according to analysts, though any fuel switching demand from electricity production would also likely come in the face of a tough conditions for industrials amid high energy costs.

Biochar is already technologically ready for large-scale carbon removal (CDR) deployment but remains constrained by limited demand and underdeveloped application markets, according to a global report released Friday.

The Philippines, one of the world’s 17 megadiverse countries, advanced its national blue carbon action plan this week, including ambitions to explore biodiversity credits.

Potential product - Guangzhou Futures Exchange is recruiting talent to conduct research on the applications of carbon futures worldwide, according to a recent notice. The research project should include a review of the role of carbon futures in mature markets like the EU and California, as well as policy proposals about how China can develop its own product. The exchange has openly expressed interest in creating the country's first carbon futures product, though progress remains unclear.

China's emission permit price moved in a narrow range over the past week in the absence of market-moving policy updates, while the country's national voluntary scheme saw the registration of the first blue carbon project since the programme's relaunch.

The Malaysian state of Sarawak is aiming to roll out its emissions trading scheme (ETS) in 2027, with the full regulatory and structural framework expected to be completed by the end of 2026, according to local media reports.

Empanelled - Noida-based developer and consulting firm Compliance Kart said it has been empanelled as an industry partner in the carbon credit programme for agriculture in the Indian state of Uttar Pradesh, which is aimed at scaling farmer participation in carbon markets. The initiative, developed with the government and IIT Roorkee, will begin with pilots and focus on deploying MRV systems and mobilising farmers. The programme seeks to generate carbon credits from sustainable farming practices, with allocation of 50% of proceeds upfront to farmers.

First issuance - Singapore-based Biochar developer Arukah Capital completed the first issuance of CO2 Removal Certificates (CORCs) in Cambodia, Puro.earth announced on LinkedIn, marking a national first for the registry. The project converts agricultural residues such as rice husk into carbon for storage. At least 50% of gross carbon revenue is shared with smallholder farmers, the company said.

Australia on Friday opened consultation on draft national guidelines to standardise how agricultural emissions, which account for roughly 18% of national emissions, are measured and reported.

Assurance - Amid rising fuel prices given the Middle East crisis, India said on Friday it cut duty on petrol and diesel by INR 10 ($0.11) per litre each for domestic use to cushion consumers. The government also imposed export duties of INR 21.5/l on diesel and INR 29.5/l on aviation turbine fuel to boost local supply. The move aims to shield consumers from rising fuel prices. The petroleum ministry yesterday said fuel and LPG supplies remained secure, dismissing reports of shortages as misinformation. Crude supply disruptions linked to the Strait of Hormuz have been offset by diversified imports, it added, with refineries running above full capacity. As for stocks, India currently holds around 60 days of fuel.

Blue carbon - Japan’s environment ministry on Friday opened applications for a subsidised programme to support large-scale demonstration of blue carbon projects. The scheme aims to accelerate deployment of emissions absorption measures and support their early social implementation. Applications will be accepted from Mar. 27 to Apr. 30, with the government covering part of project costs. Eligible projects in this round are limited to blue carbon initiatives, such as coastal and marine-based sequestration efforts. Japan is also interested in developing blue compliance credits in addition to its government-backed J-Blue scheme.

Textile manufacturers in South Asia are accelerating efforts to decarbonise under growing pressure from international buyers, though carbon credits are expected to play only a limited role as brands prioritise direct emissions cuts in their supply chains, according to experts.

Carbon markets, widely promoted as a scalable means of financing biodiversity conservation, are structurally ill-suited to deliver durable ecological outcomes and should be treated as a supplementary rather than central solution, according to a new analysis.

Ripples - Vietnamese airlines plan to cut domestic flights and consider fuel surcharges on international routes from early April as jet fuel prices surge following Middle East tensions, the Civil Aviation Authority said. Several domestic routes will be suspended, with 23 weekly flights affected, while carriers prioritise key trunk and connectivity routes. Fuel supply constraints have raised risks of shortages, prompting airlines to adjust operations.

India’s carbon dioxide emissions growth crawled to its slowest pace in more than two decades last year, driven by a drop in power-sector emissions, an analysis found.

Road to renewables - Australia's New South Wales state government is investing A$183.2 mln ($95 mln) to upgrade key regional roads to support the rollout of renewable energy, particularly enabling the safe transport of oversized wind and solar equipment, it announced. Funding will be split across three Renewable Energy Zones - Central-West Orana, South-West, and New England - targeting upgrades like highway improvements, bridge works, and new transport routes to handle heavy components. The programme aims to both accelerate the state’s clean energy transition and deliver lasting benefits for regional communities through safer roads, better infrastructure, and economic growth, the government said. It follows recommendations put forward by Infrastructure Australia.

New Zealand has denied claims it is in discussions with Paraguay to purchase Article 6 credits to meet its climate targets, and says it is rather supporting the country through capacity engagement programmes.

Carbon tax policies can effectively drive emissions reductions across supply chains, but may simultaneously erode profitability and weaken incentives for deeper decarbonisation in markets dominated by complementary products, according to new academic research.

Gas squeeze - Cyclone-related outages at major Australian LNG facilities have further tightened global supply, compounding disruptions already triggered by halted Qatari exports, according to a Bloomberg report. Operations at Chevron’s Gorgon and Wheatstone plants, Woodside’s North West Shelf, and Santos’ Varanus Island facility were curtailed as Tropical Cyclone Narelle hit Western Australia. The affected sites account for roughly 8% of global LNG supply, with most exports destined for Asian buyers already facing heightened shortages.