BloombergNEF: Global Carbon Market Reaches USD800bn

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  • 02 Nov 2023
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BloombergNEF: Global Carbon Market Reaches USD800bn

The global carbon market is projected to exceed USD800bn this year, reflecting a 5% year-over-year growth, driven by rising allowance prices and market reforms. However, trade volumes have declined due to concerns related to the conflict in Ukraine. The carbon market consists of compliance and voluntary segments, with compliance markets driven by regulations, such as emissions trading systems (ETS), while voluntary markets involve non-mandatory carbon credit trading. China initiated the world's largest ETS in 2021, covering a significant portion of global carbon emissions from fossil fuels. The European Union remains the largest carbon market, although its dominance has decreased slightly.

Source: Carbonherald