Good news for Kenya over carbon markets

A representative of Mukhtar Babayev, the 29^th Conference of Parties’ (COP29) president, declared at a recent conference on carbon markets that the presidency’s biggest goal later this year  is the operationalisation of the global legal framework that guides carbon trading.

Samir Bejanov, the deputy chief negotiator for the COP29 Presidency, said this while addressing delegates attending the first-ever Africa Multi-Stakeholder Conference on Carbon Markets in Addis Ababa, Ethiopia.

 This mechanism is enshrined in Article 6 of the Paris Agreement which gives countries the voluntary option to transfer carbon credits earned from the reduction of greenhouse gas emissions.

The United Nations Convention on Climate change defines carbon trading as a mechanism that enables payment of achieved emission reductions with tradable certificates issued after a regulatory authority has ascertained reduction achievement.

This means that countries are able to transfer carbon credits earned from the reduction of greenhouse gas emissions to help one or more countries meet their climate targets.

Kenya recently incorporated provisions of trading carbon in the updated Climate Change (Amendment) Act, 2023.

Bianca Gichangi, a carbon markets expert and former advisor at the Office of the Climate Envoy, Executive Office of the President of Kenya, said carbon markets are prioritised as a pivotal component of Kenya’s climate-positive growth and carbon credits are envisioned as the country’s next major export.

Bejanov noted that after listening to Africa and other countries in recent months, the COP29 Presidency has declared the finalisation of Article 6 of the Paris Agreement a priority during this year’s global climate meeting that will be held in Baku, Azerbaijan.

“Although plenty of work has been done on Article 6 for almost a decade, our inability to fully operationalise it has been truly disappointing. It does a great disservice to the Paris Agreement architecture,” he highlighted.  
Bejanov explained that the full operationalisation of Article 6 offers enormous potential to foster ambition in mitigation and adaptation, enhance capital markets, channel financial and technical resources, including those in Africa, and enable those who need carbon markets to implement their climate plans.

“Africa is a continent with the least emissions but the most affected by the adverse impacts of climate change. Africa’s needs and concerns have always been at the heart of the Presidency’s activities and efforts. One of our first high-level official visits has been to Africa in late February,” he said,

 “In his first letter to the parties a week ago, COP29 President Designate Minister Babayev laid out our vision, which is underpinned by two mutually reinforcing pillars - enhance ambition and enable action. Agreeing on a fair and ambitious New Collective Quantified Goal on climate finance is the centerpiece and a top priority for the Presidency. And we do not have the luxury of waiting any longer,” Bejanov told delegates.

During the recent Bonn climate sessions in Germany, negotiators maintained a positive and constructive mood. There is a clear determination to make progress on Article 6, which is why the current COP29 Presidency says it welcomes this spirit.

“Yet, mindful of existing differences and divergent views among parties on certain remaining issues, we need to continue our efforts with even much greater vigour and constructiveness in the coming months to successfully resolve this issue at COP29,” said Bejanov.

The COP presidency will be hosting a Heads of Delegation retreat in Azerbaijan to discuss Article 6 and other priorities for this year’s climate meeting.

 “We believe that good faith engagement and meaningful dialogue will make a successful outcome on Article 6 a reality. We know that we can rely on the constructive spirit and engagement of the African Group, which has been a strong voice in negotiation,” he said.

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