World bank will help developing countries
2022.12.07 04:11
World bank will help developing countries
Budrigannews.com – A global tracking system was launched on Wednesday by the World Bank and partners, including Singapore, to help developing nations raise much-needed climate finance more quickly and cheaply.
Carbon credits are sold to polluters as a means of helping them reach net-zero emissions to limit global warming. These credits are generated by activities like planting trees or removing carbon dioxide, which is bad for the climate.
Countries are establishing registers to keep track of new credits while governments argue over the regulations for trading so-called compliance credits.
Additionally, private initiatives offering credits for “voluntary” carbon markets have emerged, and a variety of registries, such as Verra and Gold Standard, are certifying and monitoring them.
The voluntary market of $2 billion has remained modest. Poor market transparency, a limited supply of credits, and questions about the quality of projects are among the concerns raised by critics.
The new data set – called the Environment Activity Information Trust (computer aided design Trust) – means to resolve these issues by examining all the venture and carbon credit information in one spot and making it free to people in general.
“The goal for us was to create this global, public data layer that allows people to get a better sense of what’s happening across the world, across different jurisdictions, across different programs,” a World Bank adviser told Reuters. “The goal for us was to create this global, public data layer.”
“We’re able to track it, avoid double-counting, and figure out what innovations are taking place,” and we hope to create a “race to the top” while simultaneously lowering market participants’ entry barriers.
To make it simpler for businesses and nations to share data, the CAD Trust, which was co-founded with the International Emissions Trading Association (IETA), will offer a platform that lists various existing carbon offset registries.
According to Sonam Tashi, chief planning office at the Ministry of Economic Affairs of Bhutan, who spoke with Reuters, the country would be able to save approximately $1 million in initial costs for accessing the market using the new CAD Trust portal in comparison to the costs associated with setting up its own systems.
“It really aids us in accelerating the entire learning process. It brings us up to speed with what carbon markets require,” he stated.
He stated that Bhutan is in talks with potential buyers who want specifics regarding the registration, verification, and monitoring of carbon credits from its forests.
Tashi stated, “This is where the World Bank facility will assist us.” The CAD Trust satisfies all buyers’ and host nation’s technical requirements.”
He stated that Bhutan would likely be able to begin selling credits in 2023 if it used the CAD Trust, one year earlier than if it did not use the facility.
