The US remains a "disruptor" in upcoming UN talks about cutting emissions from shipping, although the oil crisis has helped to sharpen the business case shifting to clean fuels, experts said on Wednesday.

Hotting up - Global emissions reached a record of 37.2 bln tonnes of CO2 in 2025 and, although the annual growth rate has flattened to 0.7%, there is 50% chance the remaining carbon budget for limiting global warming to 1.5C will be exhausted by 2029, according to an academic paper in Nature Reviews Earth & Environment.  Global CO2 emissions from fossil fuel combustion and industrial processes increased by 0.7% within 2025, the researchers found. However, large-scale deployment of clean electricity sources during the year avoided 10.3 bln tonnes of global CO2 emissions, so that power sector emissions declined by minus 0.9% relative to 2024. China and India entered an emission plateau owing to massive renewable expansion, but the US and EU saw emission rebound following policy reversals and clean energy stagnation.

Seeking feedback - The Joint Crediting Mechanism (JCM) Secretariat between Mongolia and Japan is seeking feedback on the sustainable development implementation plan for a proposed project. The project aims to cut emissions in Zavkhan province by installing a 5-MW solar PV and 3.6-MWh battery energy storage system. The call for public input is open until May 14.

Sri Lanka has no meaningful carbon market today, but has the potential to unlock millions of tonnes of compliance-grade credits if bureaucratic delays and financing gaps are resolved, according to a Colombo-based developer.

Budget breakdown - Climate and energy projects account for 3.3% of Japan's JPY 140 trillion ($881 bln) national budget for this fiscal year, according to a report released Wednesday by Climate Integrate. Energy efficiency accounts for the largest share (52%) of the FY2026 climate and energy budget, followed by fossil fuels (including hydrogen and CCUS) at 21%, cross-sectoral measures at 12%, and nuclear power and fusion energy at 10%. Allocation for energy efficiency has increased by about 50% over the past three years, mostly for the AI and semiconductor sectors. Renewable energy remains minimal at only 3% of the climate and energy budget, the report said.

The Australian government has invested around A$35 million ($25 mln) in feed additive technologies for the livestock industry to drive down emissions while creating carbon credits, it announced Wednesday.

Measuring biodiversity co-benefits in carbon markets could offer nature tech companies an opportunity to increase revenues, at a time when the sector is set to face headwinds due to funding challenges, according to experts.

Airlines preparing for compliance under the UN's international aviation offsetting scheme are running into a shortage of host country approvals needed to use carbon credits, even as project supply continues to grow.

Technology developers have launched a 12-month pilot of a methane removal system aboard a bulk carrier, marking what the companies say is the first deployment of the technology under normal commercial shipping conditions, with ambitions to generate Gold Standard-certified carbon credits from the mitigation.

Sea forest - South Korea's Kolon Industries has signed an MoU with the Korea Fisheries Resources Agency (FIRA) and the Environment Foundation for a "sea forest" project, which aims to restore coastal ecosystems and expand marine carbon sinks by transplanting marine plants. The materials supplier said the project will focus on transplanting eelgrass, a marine plant known for its carbon absorption capacity. FIRA has already planted some 44,500 eelgrass seedlings to create the sea forest in the country.

Inconsistent methodologies and uneven data for calculating national greenhouse gas inventories are emerging as a constraint for the development of international carbon markets, a UN technical expert warned.

The second compliance cycle of Australia’s Safeguard Mechanism has seen entities retire 13.4 mln emissions units surrendered, with covered emissions falling 2.3%, according to data published Wednesday.

Japan saw its GHG emissions fall to a record low in the fiscal year ending in March due to wider adoption of non-fossil fuel sources and slower manufacturing activities.

Debate - Lawmakers from South Korea's ruling Democratic Party (DP) are proposing more ambitious emissions reduction pathways (61%) for 2035, Energy Economic News reported. The parliament's climate committee is scheduled to begin "a full-scale review" of amendments to the country's carbon neutrality act, according to the report. Meanwhile, main opposition People Power Party is calling for flexible target setting to reduce the burden on corporates, such as linear reductions. The debate comes after the government last year approved a 2035 NDC target to cut GHG emissions by 53-61% from 2018 levels.

Gear up - South Korea's trade promotion agency KOTRA has published a guidebook aimed at helping domestic companies better cope with the impact of the EU CBAM, which enters into force this year. The document contains key aspects of the mechanism, such as the importer approval process, CBAM certificate pricing methods, and verification procedures. The government is also supporting small and medium-sized enterprises (SMEs) investing in carbon-reduction technology to meet tightening international regulations across the supply chain.

New estimates from a ratings agency evaluating 15 Brazilian REDD+ projects transitioning to Verra’s updated VM0048 methodology could see credit issuance fall by up to 90%, while increasing chances of being rated BBB and above.