IEF-The Role of Carbon Markets in Transitions (March 2024)

The report published by the International Energy Forum (IEF) includes important findings on carbon markets during the transition process to a net-zero economy.


Dear Members,

The role of carbon markets during the transition to a net-zero economy;

- Digitalization and codification enable better carbon market data transparency

- Carbon Capture and Utilization (CCU), when incentivized by carbon market mechanisms, can reduce emissions footprints

- Carbon markets have significant potential to attract investment in Circular Carbon Economy (CCE) solutions

- Governments need to turn emerging carbon markets into a win-win scenario for both consumers and producers

- Voluntary Carbon Markets (VCM) represent a first step in addressing both national and international climate challenges

- Carbon market revenues serve as a complementary source of climate finance

- Unlocking the potential of emerging carbon markets will be a game changer in the fight against the climate crisis

- Emerging carbon markets offer a promising way to complement and potentially support cross-border carbon tax mechanisms

- Carbon market incentives can help scale CCE solutions and reduce clean hydrogen deployment costs

- A fragmented market structure increases barriers, leading to higher costs and reduced transparency.

You may access the original document here.