Pakistan and Norway on Wednesday signed a landmark carbon market agreement under the Paris Agreement to engage with international carbon trading and climate finance mechanisms.
The agreement establishes a framework allowing Pakistan to generate carbon credits through emission-reduction projects and transfer them internationally. The deal is expected to attract foreign investment, expand climate financing opportunities and accelerate low-carbon development initiatives.
This arrangement enables both countries to cooperate through internationally transferred mitigation outcomes, commonly known as carbon credits.
Under the partnership, Pakistan will develop carbon-credit projects across sectors including renewable energy, climate-smart agriculture, transport and waste management. Emission reductions generated through these initiatives can be traded internationally.
The country has already approved national carbon trading policy guidelines and is now moving toward establishing monitoring systems, reporting frameworks and bilateral implementation mechanisms.
The framework is expected to encourage project developers, private investors and international partners to initiate large-scale climate projects in Pakistan.
Norway views the agreement as an opportunity to purchase internationally transferred mitigation outcomes beyond its national climate commitments.
Yes yes . The country that imposed high charges for solar users is crying about climate tech. Lol
Pakistan has the potential to earn carbon credits on number of GHGs emission interventions. However, the challenge is to prepare projects and get them through the approval process to final stage. There were number of projects like Mangla and Tarbela raising and Metro projects in public sector. Similarly, there could be number of projects in private sector including solar and wind energy projects.