The type of engine installed on an LNG carrier is becoming the defining factor in its future competitiveness under tightening maritime emissions rules, with older vessel classes facing mounting carbon compliance costs that could accelerate their exit from the market, according to new analysis.

Global wildfire activity in 2025 produced the second-lowest burned area and third-lowest CO2 emissions since satellite records began in 2002, but a growing concentration of destructive fires in populated and carbon-rich regions continued to generate severe human and economic impacts, according to a review published this week.

CORSIA prices failed to rebound last week, with price assessments for eligible units down by more than 12% week-on-week and benchmark ICE futures dipping below $10/tonne amid higher jet fuel prices, even as market executives expressed hope for resurgence in demand once the Middle East conflict ends.

European carbon allowance prices dropped back below an important psychological level on Monday amid a welter of profit taking after the market had risen to a nearly 16-week high on Friday, as daily auction volumes rose and are expected to increase further next month, while fading hopes for a quick ceasefire agreement in the Strait of Hormuz also added to bearish pressure.

European Commission officials have detailed a seven-step process for carbon registries to obtain recognition under the EU’s Carbon Removals and Carbon Farming (CRCF) regulation, saying the procedure will typically take about six months.

The conservative European People’s Party (EPP), the Parliament's largest group, is divided over whether to restrict, delete, or broaden a tool that would allow the European Commission to temporarily suspend the EU's Carbon Border Adjustment Mechanism (CBAM).

Vietnam’s environment ministry has launched a blue carbon partnership to help mobilise finance for the sustainable management of coastal and marine ecosystems, in collaboration with the UN and UK government. 

At a standstill - GHG emissions in Norway subject to quotas from industry and aviation decreased by 0.03 mln tonnes of CO2e. in 2025, equating to a decrease of about 0.1% compared to the previous year, according to the Norwegian Environment Agency. Total emissions were 21.7 Mt of CO2e. last year, with land-based industry emissions having decreased slightly (by 0.2%), while offshore emissions increased somewhat (by 0.6%). Despite offshore emissions increasing, emissions from gas terminals dropped by 10% largely due to the closure of Hammerfest LNG. There were less emissions from short and medium-haul flights, while emissions from international flights increased by 18% from 2024 to 2025, from 379,000 to 446,000 tonnes of CO2. For ship operators reporting emissions for 2025, those reported so far total around 5.8 Mt CO2e. While estimates for fuel operators covered by ETS2 show that 2025 emissions will be around 9.9 Mt CO2.

Runway ready – Russia’s application for accreditation under CORSIA has entered the final stage of review by ICAO, with a decision expected in August, according to the country’s economic development minister. Interfax reported last week that Maxim Reshetnikov said Russia’s application had successfully passed all previous assessment stages and described it as “fairly strong”, adding that any negative outcome could result in a request for revisions rather than outright rejection. Accreditation could provide a boost to Russia’s voluntary carbon market by allowing airlines to use domestically issued carbon credits for future CORSIA compliance, observers said.

Denmark deal – Danish financial institution Nykredit has entered a four-year partnership with carbon removals platform Klimate to purchase CDR credits and support the development of carbon capture and storage technologies in Denmark, it was announced last week. The agreement will help Nykredit to advance its target to cut emissions from operations by 85% by 2030, the partners said. As part of the deal, Klimate has facilitated an investment in CDR credits generated by Danish biogas company Bigadan, which captures and permanently stores biogenic CO2. The companies added that this collaboration will support the development and scaling of high-integrity CDR solutions in Denmark.

The developer of the world’s largest direct air capture (DAC) facility has received backing to develop a new plant in North America alongside a mix of other carbon removal (CDR) projects.

The right rewards - The European Commission is reportedly looking to make investments in domestic industries a requirement under its proposals to reform the EU ETS, according to German business daily Handelsblatt. The reform would see companies already invested in decarbonisation being rewarded and those yet to do so to receive adequate protection, said EU climate commissioner Wopke Hoekstra. “This means flexibility, but it is subject to conditions and requires investment to be made here in Europe,” he added. The Commission is set to present its ETS proposals on July 15. Key points of debate so far include extending the system by several years to give industry more time to decarbonise, and altering the planned phaseout of free allowances.

Carbon credit registry and certification body Isometric has certified Version 2.1 of its standard, introducing a more streamlined validation process designed to accelerate the issuance of carbon removal credits.

Sweden’s Environmental Protection Agency has called for the EU Emissions Trading System (EU ETS) to maintain a strong and predictable carbon reduction pathway after 2030, warning that excessive flexibility could weaken incentives for industry to invest in the green transition.

A French carbon standard last week opened a public consultation on a new module that would allow carbon credits to be issued from the use of bio-oil as a lower-carbon substitute for fossil-based asphalt binder.

Shield the ETS - Weakening the EU ETS would not solve Europe's competitiveness problem on the global stage, according to former Arsenal player and French international footballer Mathieu Flamini, who is now the CEO of GF Biochemicals. The France-based company turns agricultural waste into bio-based chemicals used in everyday items like cosmetics and paint. In an interview with Politico, Flamini said the EU should double its efforts to move away from fossil fuels and that destroying the bloc's environmental policies would be a mistake. “The reality is, if we believe we’re going to remove the carbon tax in Europe and suddenly we’re gonna be competitive with China or other [regions], we’re lying to ourselves,” Flamini said.

Car incentives – Two-thirds of EU member states fail to provide adequate tax incentives for companies to switch from fossil-fuel to electric vehicles, risking prolonged oil dependency, according to Transport & Environment analysis released on May 31. In 18 of 27 member states, the tax gap between EVs and fossil-fuel cars does not offset the €10,650 EV price premium recorded in 2025, T&E found. Company cars represent 59% of new car registrations and 78% of oil imports consumed by new vehicles. Belgium and France have successfully reformed their systems, with corporate EV registrations reaching 54.2% and 41.3% respectively, while Germany, Spain, Italy and Poland have yet to implement adequate reforms, T&E said.

The Global Environment Facility (GEF) trust fund has approved $144.3 million for 16 climate and nature-positive projects around the world that are expected to mobilise more than $828 mln in co-financing.

A nature intelligence startup is working with Angolan land stewards to develop large-scale agroforestry initiatives in the country, using its technology to screen potential projects and reduce the risk of early-stage investment, just as the government begins building its carbon market framework.

Renewables acquisition - The UK's Drax Group has agreed to buy Bluefield Solar Income Fund (BSIF) in a deal valuing the renewable energy-focussed investment company at about £561 mln. The deal will allow Drax to expand its renewables portfolio as it grapples with rising challenges in the energy sector and aims to hit govt targets on clean energy. Renewables have risen in popularity on the back of higher energy prices driven by the ongoing blockade in the Strait of Hormuz. Shares in ​Drax, which intends to fund the cash element of the deal ‌through £1.1 ⁠bln in bridge financing, were up 0.8% by 0730 UK time after falling 1.8% initially. (Reuters)

A UAE law on corporate GHG reporting, planning, and management entered its compliance phase on May 30, but businesses are still largely unprepared, according to the chief executive of a Dubai-based sustainability consultancy speaking with Carbon Pulse.

For now, technology-driven activities dominate Latin America’s Article 6.2 Letters of Authorisation (LoAs), in a departure from the REDD-heavy profile of the local voluntary market (VCM) – but jurisdictional REDD+ (J-REDD+) is poised to flood both systems, Carbon Pulse has reported.

The EU’s Carbon Border Adjustment Mechanism (CBAM) could drive a significant expansion of carbon pricing beyond Europe, with countries including Canada, Japan, South Korea, and Taiwan likely to introduce their own schemes to avoid paying the bloc’s import fee, according to a new study led by the Potsdam Institute for Climate Impact Research (PIK).