JSE Ventures launches carbon market
The JSE Ventures on November 9 launched a new Voluntary Carbon Market, in partnership with global environmental markets infrastructure provider Xpansiv.
This initiative is aimed at allowing local participants to buy or sell carbon credits and renewable energy certificates that are held in either local or global registries.
The JSE Ventures Voluntary Carbon Market is aimed at accelerating the creation of carbon offset projects and at helping to meet the demand for credits by emitters seeking to offset their emissions towards net-zero commitments.
The platform aims to provide a transparent ecosystem that will promote the growth of the market and provide access to local and foreign participants.
The market provides access to a global platform to buy or sell carbon credits and renewable energy certificates; allows request for price, auctions and spot trading; has simplified processes and speed of transaction; enables improved price discovery; and the aggregation of credits from multiple players creates a centralised point for trading and improved liquidity.
For international stakeholders, it is said to improve flow across borders and industries through a global or regional platform.
The market is targeted at private and public companies looking to buy carbon credits to offset carbon emissions, as well as project developers looking to sell carbon credits to gain returns from carbon reduction and avoidance projects.
During a panel discussion focusing on the new market, speakers averred that, with carbon taxes, and South Africa being the largest emitter on the continent and a major one globally, there are economic drivers for this market.
Moreover, Africa is endowed with potential carbon credits that could be a huge supplier for carbon offsets globally, and this could become a real economic driver for the region, especially in the long term with 2030 and 2050 commitments.
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