Carbon markets
Overview
Carbon markets are developing as a crucial economic lever in the challenge of reversing the accumulation of greenhouse gases in the Earth’s atmosphere, while CO2 remains a key factor in a range of industrial sectors.
National governments are embracing carbon markets, with a proliferation of carbon pricing policies worldwide. The private sector is channelling finance into projects that generate carbon emissions reductions and removals to mitigate their hard-to-abate emissions.
And the United Nations is making progress in building a global marketplace for carbon emissions reductions that will facilitate nations’ attempts to meet their obligations under the Paris Agreement.
Industrial sectors remain a key source of CO2 emissions and consumption, with innovation looking towards sustainable methods of production and utilisation.
Argus is setting the stage for an extended period of growth, evolution and interconnection of carbon market participants and initiatives.
Latest carbon markets news
Browse the latest market moving news on carbon markets.
Climate finance critical for security: Cop 31 president
Climate finance critical for security: Cop 31 president
London, 4 September (Argus) — World leaders should put climate finance on par with defence spending as a strategic security priority, president-designate of the UN Cop 31 climate summit Murat Kurum said today. Kurum called on governments to commit greater resources "to clean energy, electrification, resilient cities and green industry." "Nato countries have embarked on a major transformation that will see defence-related investment rise to as much as 5pc of GDP," he said. "We expect to see ambition on a similar scale when it comes to climate security." Kurum, who is Turkey's environment minister, will oversee Cop 31 in November, in Antalya, Turkey. Finance is a key priority for Cop 31, the Turkish presidency said. "Our climate finance needs stand at between $7.5 trillion and $9 trillion. Yet the world currently invests only around $1.9 trillion", Kurum said. He described the disparity as a chasm. "We must all stop treating climate finance as a cost. We must recognise it for what it truly is: a strategic investment made today to avert far greater economic and social losses tomorrow," Kurum said. Several studies have found the cost of inaction on climate change substantially outweighs the alternative. Global climate finance was $2.01 trillion in 2024, and preliminary estimates indicate this rose to around $2.06 trillion in 2025, non-profit Climate Policy Initiative said in June . This includes global domestic and international climate finance, from public and private sources, and finance from household purchases of renewable technology. Climate finance, for global decarbonisation and adaptation to the effects of climate change, is often the central issue at Cop summits. UN climate body the UNFCCC works from a 1992 list of developed and developing countries, with the former expected to lead in mobilising climate finance for the latter. Many countries argue the designation is outdated, and UNFCCC-classified developing nations have in recent years publicised their own climate finance delivery. Almost 200 countries agreed in 2024 at Cop 29 on a goal that will see developed countries "take the lead" on providing at least $300 bn/yr in climate finance to developing nations by 2035. The Cop 31 presidency will launch an initiative that aims to speed finance deployment — dubbed Bridge — to help countries "turn their climate and development priorities into finance-ready portfolios of projects", it said. By Georgia Gratton Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Japan backs coal-led decarbonisation in SE Asia
Japan backs coal-led decarbonisation in SE Asia
Tokyo, 4 September (Argus) — Japan is keen to support "realistic" decarbonization efforts in Southeast Asia while continuing to use coal, delegates heard at the 35th Clean Coal Day International Symposium held in Tokyo on 3 September. Japan will accelerate working together with Southeast Asian countries to support the continued use of coal while reducing carbon emissions, including through ammonia co-firing projects in Malaysia, Takahiro Tajiri, director-general for international affairs at the Agency for Natural Resources and Energy under Japan's ministry of economy, trade and industry Meti, said in a speech at the symposium. Japan has achieved a 20pc of ammonia co-firing with coal during trial operations at the 1GW No.4 coal-fired unit at the Hekinan power plant and aims to raise the co-firing rate to 50pc in the future. Japan can leverage this technology to support Malaysia and other countries in the region, according to Tajiri. Maintaining coal use while reducing carbon emissions through co-firing with renewable fuels such as ammonia and biomass is a "realistic" pathway for many countries, including Japan and those in Southeast Asia, Tajiri said. Coal remains affordable and provides a stable source of energy supply, he added. Japan should help Southeast Asian countries balance energy security and decarbonization through coal-related technologies, including ammonia co-firing, Paul Baruya, director of strategy and sustainability at Future Coal Global Alliance, said at the symposium. Coal has proven to be an alternative fuel to natural gas in many Asian countries when the de facto closure of the strait of Hormuz caused a sudden and unexpected disruption to LNG supply , Yoshikazu Kobayashi, chief economist and director for research strategy and energy security at the Institute of Energy Economics, Japan (IEEJ), said in his speech. By Takeshi Maeda Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
GCC, South Korea partner on carbon market
GCC, South Korea partner on carbon market
Mumbai, 4 September (Argus) — The Global Carbon Council (GCC) has signed a memorandum of understanding (MoU) with South Korea's planning and budget ministry (MPB) and the Korea Chamber of Commerce and Industry (KCCI) to support the development of the country's voluntary carbon market (VCM). The agreement, signed in Seoul on 3 September, will focus on developing digital monitoring, reporting and verification (DMRV) systems, registry interoperability and international market connectivity. South Korea's VCM is scheduled to launch on the Korea Exchange (KRX) by the end of 2026. The parties will also work to align South Korea's VCM framework with Article 6.2 of the Paris Agreement, the Carbon Offsetting and Reduction Scheme for International Aviation (Corsia) and the Integrity Council for the Voluntary Carbon Market's (ICVCM) Core Carbon Principles (CCP). A key element of the co-operation is the planned interoperability between South Korea's consolidated carbon registry and GCC's registry infrastructure, which would support carbon project registration, credit issuance, tracking and potential integration with KRX, GCC said. GCC will provide technical expertise across the carbon crediting value chain, including methodologies, validation and verification, registration and issuance processes, as well as eligibility mapping for Corsia and Article 6 mechanisms and the ICVCM's CCP label. The standard will also support the development of domestic certification capacity and DMRV expertise in South Korea. The parties plan to establish a joint working group within 30 days to develop a detailed implementation roadmap covering registry architecture, international alignment, capacity building and engagement with stakeholders, including KRX. By Shribalaji Shenbagaraj Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
India eyes mandatory storage for new solar, wind plants
India eyes mandatory storage for new solar, wind plants
Mumbai, 4 September (Argus) — India's power sector regulator, the Central Electricity Authority (CEA), has proposed mandatory co-located energy storage for new ground-mounted solar and onshore wind projects, alongside grid-forming requirements for renewable power plants. Projects commissioned after 1 July 2027 would need co-located energy storage systems (ESS) with a minimum two-hour duration and capacity equivalent to at least 10pc of installed plant capacity, according to the draft CEA regulations released on 3 September. The storage-duration requirement would increase to four hours for ground-mounted solar and onshore wind projects commissioned after 1 July 2029 and up to 30 June 2031, while the capacity requirement would remain at 10pc of installed capacity. A 100MW solar or wind project would therefore need at least 10MW of storage, with a minimum energy capacity of 20MWh under the first phase and 40MWh under the four-hour requirement. The proposal comes as India's battery storage deployment accelerates. The country added 2,668.54MW of battery energy storage system (Bess) power capacity, equivalent to 7,785.6MWh of energy storage capacity, during 2026, according to government data. Around 47GW of Bess is also being considered for integration by 2031-32. India's solar and wind capacity has continued to expand rapidly. Solar capacity stood at 164.59GW and wind at 58.14GW as of 31 July, accounting for around 74pc of the country's 300.51GW of non-fossil installed capacity, data from the ministry of new and renewable energy (MNRE) show. Ground-mounted solar accounted for 122.57GW of the total solar capacity, while India added 14.33GW of solar and 2.04GW of wind capacity over April-July, the first four months of the 2026-27 fiscal year. Solar generation rose by 47pc year on year to 80.87TWh during April-July 2026, while wind generation increased by 5.3pc to 52.07TWh, according to CEA data. The draft also proposes that renewable power plants commissioned after 1 July 2027 have at least 15pc of inverters with grid-forming control. All power conversion systems (PCS) of Bess would also need grid-forming control. The requirements would comply with technical requirements specified in its grid-connectivity regulations, CEA said. It would also be able to change the required percentage of grid-forming capability or ESS capacity from time to time. The CEA has invited comments on the draft until 4 October 2026. By Keertiman Upadhyay Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
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