Carbon Market Development

Carbon market mechanisms are important vehicles for green growth and investment. LEAD helps countries develop carbon market platforms and systems through training and technical assistance. LEAD helps countries build their capacity to develop and participate in carbon markets through training and technical assistance in areas such as organization-level GHG inventories, voluntary GHG reporting registries, and support for emerging carbon markets. This enables businesses and other organizations to record their emission reductions and GHG transactions with accuracy, rigor and transparency, thus enhancing market confidence and credibility in the integrity of those actions as well as providing a signal to their industries, shareholders, and consumers of their intent to be part of the solution to address GHG mitigation.

Training and Technical Assistance

LEAD activities that support GHG market development may include:

  • Analysis of policies that support GHG market readiness.
  • Training and technical assistance for government organizations responsible for GHG registries; exchange operators; the financial sector; GHG inventory preparers and verifiers/certifiers; and corporations and other organizations.
  • Support for host country registries and trading platforms via demonstration and replication of carbon market registries, including development and adaptation of associated training, tools, and information.
  • Support for development or replication of GHG emissions trading, including specifications related to GHG emissions trading schemes and institutions to support trading (such as organized exchanges, auction houses, or brokerages).
  • GHG accounting for carbon market service providers, including: (a) certification training for GHG inventory preparers and verifiers/certifiers; (b) training on carbon offset project development cycle; (c) training for the financial sector on its potential role in facilitating market approaches and understanding and mitigating carbon-related risk; and (d) training and technical assistance for host country governments and relevant business organizations on market transparency such as market transparency indices.

LEAD may also provide technical assistance to support financial transparency in trading emission reductions and inform design of better domestic policies for GHG accounting.

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