UN approves first carbon credits under Paris Agreement market mechanism

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illuminem summarises for you the essential news of the day. Read the full piece on Al Jazeera or enjoy below:

🗞️ Driving the news: The UN has approved the first carbon credits under the Paris Agreement Crediting Mechanism (PACM)
• The inaugural project distributes efficient cookstoves in Myanmar, reducing emissions and deforestation
• Credits generated will count toward the climate targets of both Myanmar and South Korea

🔭 The context: The Paris Agreement allows cross-border carbon trading under Article 6
• New rules agreed at COP29 aim to tighten oversight after years of criticism over greenwashing
• The UN says emissions reductions under the new system are calculated 40% more conservatively than under previous mechanisms

🌍 Why it matters for the planet: Over 2 billion people still rely on polluting cooking fuels, driving deforestation and indoor air pollution
• Cleaner cookstoves cut greenhouse gases, reduce forest loss and improve public health
• If credible, the PACM could channel climate finance into high-impact projects, but weak standards risk undermining global emissions goals

⏭️ What’s next: The credibility of the new carbon market will hinge on transparency, verification and whether future projects avoid past offset loopholes

💬 One quote: “Our focus is on building confidence in this market from the outset.” — Jacqui Ruesga, PACM supervisory body

📈 One stat: The UN says credited emissions reductions are 40% lower than under the previous carbon market scheme

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