Market Updates
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© Copyright – Welhunt Materials Enterprise Co. Ltd.
Disclaimer/Terms conditions
Market Updates
© Copyright – Welhunt Materials Enterprise Co. Ltd. | Disclaimer/Terms conditions
© Copyright – Welhunt Materials Enterprise Co. Ltd.
Disclaimer/Terms conditions
EU Eases CORSIA Carbon Credit Rules Amid Supply Crunch
The European Commission will withdraw additional carbon-credit quality criteria proposed for CORSIA Phase 1, as eligible supply remains far below expected airline demand. IATA estimates demand at 170–236 million tonnes, compared with around 40 million tonnes of labeled or pending-authorisation supply. The proposed rules could have excluded HFLD projects, including substantial Guyana supply, and restricted improved cookstove credits. However, the stricter requirements are expected to return in Phase 2 from 2027, potentially creating separate markets for EEA and non-European airlines. The decision eases immediate compliance pressure and may broaden Phase 1 supply, but uncertainty could delay airline purchasing. Continued Phase 2 constraints may produce significant price premiums for credits meeting Europe’s requirements.
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#EU #CORSIA #Aviation #CarbonCredits #Policy #Phase1 #Phase2
Turkey Says Carbon Markets to Take ‘Rightful Place’ at COP31
Turkey plans to make greater use of carbon markets a key objective at COP31 in November, arguing that they remain underused within the climate finance system. The country has joined the Coalition to Grow Carbon Markets, led by governments including the UK, Kenya and Singapore, to strengthen corporate demand for high-integrity carbon credits. Environment Minister and COP31 President Murat Kurum said governments can provide regulatory direction and create conditions that enable demand. He estimated that supportive policies could help the voluntary carbon market generate more than $50 billion in additional debt-free annual finance by 2030 for emissions reductions, removals and nature protection in developing economies. The initiative comes as carbon credit retirements fell 28% in July, reaching their lowest year-to-date level since 2021.
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#Turkey #COP31 #CarbonMarkets #ClimateFinance #CoalitionToGrowCarbonMarkets #VoluntaryCarbonMarket
Hungary Scraps Controversial CO2 Quota Tax In Bid To Ease EU ETS Burden
Hungary’s Parliament has voted to abolish the CO₂ quota tax introduced in 2023, which imposed an additional levy on revenues from the sale of EU emissions allowances. The repeal is part of a broader package of tax and constitutional amendments linked to Hungary’s commitments for accessing EU funding and simplifying its domestic tax framework. Companies that previously paid the levy will be eligible for refunds. The government expects the change to improve economic competitiveness, while EU ETS participants are expected to benefit from lower compliance costs and greater operational predictability. The repeal leaves the EU ETS as Hungary’s principal carbon pricing mechanism.
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#Hungary #EUETS #EUA #CarbonPricing #CarbonTax #Regulation
Uzbekistan Fical Institute Proposes Carbon Tax for Industry from 2028
Uzbekistan’s Fiscal Analysis Institute has proposed preparing a carbon tax for major industrial enterprises in 2027, with implementation potentially beginning in 2028. The tax would initially target the largest emitters before possibly expanding to other companies. Policymakers are considering either actual carbon dioxide emissions or carbon-fuel consumption as the tax base, with rates potentially rising gradually in 2029–2030. The proposal aims to incorporate emission costs into production, encourage energy efficiency and reduce pollution. A domestic carbon-pricing mechanism could also help exporters reduce exposure to carbon-related charges in foreign markets. However, the initiative remains an analytical recommendation and is neither an adopted government decision nor a draft law.
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#Uzbekistan #CarbonTax #CarbonPricing #Industry #ClimatePolicy
ISO, GHG Protocol Unite To Create A Single Global Carbon Accounting Standard
ISO and GHG Protocol will combine their corporate greenhouse gas accounting frameworks into a single harmonized global standard. The initiative will integrate GHG Protocol guidance covering Scope 1, Scope 2, Scope 3 emissions and Actions and Market Instruments with ISO 14064-1. The organizations aim to simplify corporate emissions reporting, reduce duplicated work and improve consistency across markets and jurisdictions. A coordinated public consultation is planned for the second quarter of 2027, followed by the publication of a co-branded corporate standard. The unified framework could also enhance the quality and comparability of emissions data and improve interoperability among global sustainability disclosure regimes.
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#ISO #GHGProtocol #ISO14064 #CarbonAccounting
UN carbon market expands to renewable power sector
The Article 6.4 Supervisory Body has adopted a methodology allowing eligible grid-connected renewable electricity projects to generate credits under the Paris Agreement Crediting Mechanism. Effective from 30 July 2026, A6.4-AMM-003 covers new hydropower, wind, solar and geothermal plants, subject to technology-specific restrictions and rigorous additionality tests. Projects must pass regulatory, lock-in, investment and common-practice analyses, meaning commercially viable or legally required renewable projects will not automatically qualify. The methodology excludes biomass, existing-plant retrofits and direct electricity supply to specified consumers. Solar projects cannot occupy officially classified agricultural or forest land, while eligible hydropower is generally limited to 15 MW and cannot involve new reservoirs. The Supervisory Body also updated the mechanism registry procedure but postponed approval of a household cooking efficiency methodology pending further work. The decision expands the mechanism beyond previously approved landfill-gas methane and nitric-acid nitrous-oxide methodologies while maintaining conservative safeguards.
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#PACM #A64ER #RenewableEnergy #UNFCCC #Additionality
India-EU FTA Includes Comprehensive Work Plan To Address Carbon Tax Concerns: Official
The India–EU Free Trade Agreement includes a dedicated CBAM annex and work plan addressing Indian exporters’ concerns over the EU’s carbon border mechanism. According to Indian Commerce Department official Darpan Jain, any future CBAM flexibility granted by the EU to another country would also be extended to India. The framework also covers challenges faced by SMEs, including calculating embedded emissions, meeting verification requirements and securing EU recognition of verifiers. It further establishes a channel for discussing how carbon prices paid under India’s developing domestic carbon-pricing system may be credited against CBAM liabilities. However, the agreement does not currently exempt Indian exports from CBAM or alter the mechanism’s implementation. Its immediate value lies in consultation, technical cooperation and a commitment to equivalent treatment if future flexibility is introduced. India’s government also plans district-level and electronic outreach to help businesses understand the FTA. Notably, EU CBAM initially covers six sectors, rather than only steel and aluminium.
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#India #EuropeanUnion #IndiaEUFTA #CBAM #CarbonPricing
How ESMA regulation can make carbon markets stronger
As carbon rating providers prepare to seek authorisation under the EU ESG Ratings Regulation, BeZero called on ESMA to establish clear boundaries between regulated ratings and other carbon-market services. The company said existing guidance provides greater clarity on permitted business models, engagement with rated entities, governance and organisational disclosures. However, BeZero argued that rating providers and their wider corporate groups should not also offer project design, data, digital MRV or verification services to developers or standards bodies whose work they rate. In its view, conducting both activities creates a structural conflict that cannot be adequately addressed through disclosure, staff separation or separately governed subsidiaries. BeZero urged ESMA to require regulated rating groups to remain functionally independent, arguing that such separation would strengthen the credibility, confidence and trustworthiness of carbon-market ratings.
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#ESMA #BeZeroCarbon #CarbonRatings
China to expand national carbon emission trading market
China plans to expand its national carbon emissions trading market to additional industries and greenhouse gases, eventually covering about 80 percent of the country’s carbon dioxide emissions. The expansion, included in the climate plan for 2026–2030, will bring chemicals, petrochemicals, civil aviation, papermaking and other sectors under quota management. In 2025, the market covered 3,378 key emitters and more than 65 percent of national carbon dioxide emissions. Cumulative quota trading has exceeded 926 million tons, worth 62.475 billion yuan, while first-half 2026 volume rose 37 percent year on year to 52.96 million tons. The plan also calls for total emissions controls in selected industries, paid quota allocation, tighter free-allocation benchmarks, stronger carbon-asset management and the orderly development of carbon finance and derivatives.
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#China #ChinaETS #NationalCarbonMarket #CarbonDerivatives
Australia to end Climate Active certification program
Australia’s government will end the Climate Active certification programme following a formal transition, with certification expected to cease on 30 June 2027. An eight-week consultation launched on 24 July is considering either full closure or closure while retaining voluntary standards and guidance. The government cited mandatory climate-related financial disclosures, new emissions targets, updated regulatory oversight and stronger expectations for direct emissions reductions. Climate Active currently certifies 423 brands and represents most voluntary ACCU demand. Voluntary ACCU cancellations fell to 488,979 in the first half of 2026, the lowest level since 2021. Participants have surrendered over 2.6 million ACCUs and 55.1 million carbon offsets since 2010.
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#Australia #ClimateActive #ACCUs #CarbonNeutrality #ClimateClaims