Adds details of new endorsements
Brazil, China and the EU launched the Open Coalition on Compliance Carbon Markets, an initiative to standardise and integrate different national carbon markets, Brazilian president Luiz Inacio Lula da Silva said at a world leaders' summit on 7 November.
"Carbon markets can become important sources of public revenue, but they will only gain scale if countries move towards common parameters," Lula said. But "there are still pending tasks", he added. Those include defining better methodologies for accounting for climate finance, the creation of "equitable, collectively decided" environmental rules and increasing the size and efficiency of multilateral banks.
Brazil today announced eight new endorsements, from Armenia, the UK, Canada, Chile, France, Germany, Mexico and Zambia. The coalition remains open to new signatories, Brazil added.
"Carbon pricing has become a central tool to reduce greenhouse gas emissions with a strong business case for the economy and for the people," European Commission president Ursula von der Leyen said. "We want to work closely with Brazil and with many like-minded partners on putting a price on carbon. The key to success is to do it right and to do it together."
The coalition will work to implement ambition, effectiveness and fairness of compliance carbon markets as an "important policy tool for achieving nationally determined contributions… while ensuring environmental integrity and supporting a just transition", the European Commission said. It also creates a platform for countries to work together to develop and enhance compliance carbon markets and carbon pricing policies, it added.
There are 80 carbon pricing instruments in more than 50 countries, which cover around 30pc of global greenhouse gas emissions, according to the World Bank.
Brazil in October launched a secretariat to regulate the country's carbon market. The legislation creating a regulated carbon market in the country passed in December last year.
Von der Leyen encouraged other countries to also launch their own domestic compliance carbon markets and join the coalition.
The leaders' summit, held on 6-7 November in Belem, northern Brazil, takes place just ahead of the UN Cop 30 climate talks, which begin on 10 November, also in Belem.
