Pakistan's first carbon market policy introduced

The federal government has introduced the country’s first carbon market policy, describing it as a significant step towards Green Pakistan, ARY News reported.

The policy, which aims to foster investments in the energy, agriculture and forestry sectors, was launched during COP-29 in Baku, with the goal of achieving climate targets and promoting green investment.

The efforts of the Special Investment Facilitation Council (SIFC) led to the establishment of the transparent carbon market framework in line with global standards, a statement issued here read.

“Through these carbon markets, businesses will be encouraged to adopt eco-friendly technologies and reduce greenhouse gas emissions. Global investors and organisations have been invited to collaborate in Pakistan’s carbon market.”

Earlier, Prime Minister Shehbaz Sharif called on the global community to honour its financial pledges to deal with the issue of climate change.

Addressing Climate Action Summit COP-29 in Baku, he regretted that the financial commitments made at previous summits have yet to be fulfilled.

The premier said that climate finance must be grant based and not add to the debt burden of vulnerable developing countries. Shehbaz Sharif stressed that without climate justice, there can be no real resilience.

Highlighting the devastation caused by the 2022 floods in Pakistan, Prime Minister Shehabz Sharif pointed out that Pakistan is one of the countries that contributes less than half a percent of global emissions, yet it remains vulnerable to the impacts of climate change.

Shehbaz Sharif said Pakistan is a resilient, hardworking and responsible nation, and that it is fully committed to be part of global climate solutions.

He said his government has taken concrete actions to deliver on its commitment of producing sixty per cent of all energy from clean sources and shifting of thirty percent of its vehicles to EVs by the end of this decade.