- Examines the state of play for carbon markets today and the levers needed to unlock its potential
SINGAPORE, 2 December, 2023 – GenZero, a Temasek-owned investment platform company focused on accelerating decarbonisation globally, has launched its inaugural whitepaper to address common misconceptions around carbon markets and highlight key levers to unlock its potential and drive climate mitigation at scale.
Launched at the COP28 Singapore Pavilion, the whitepaper titled ‘Carbon Markets 2.0 – Addressing Pain Points, Scaling Impact’, comes at a critical inflection point for carbon markets.
After a rapid phase of growth in recent years, the carbon market has been buffeted by macroeconomic conditions and heightened scrutiny and is experiencing multiple headwinds. Questions around the integrity of the carbon markets, especially in terms of the quality of carbon credits and their legitimate use as part of corporate decarbonisation efforts have also emerged.
Frederick Teo, CEO, GenZero, said: “It is important for us to confront shortcomings in the carbon markets and adopt approaches to make them more robust and credible. This will require radical collaboration across different stakeholders to develop consensus around quality benchmarks and agree on the nature of claims corporates can make to catalyse private financing into climate solutions. This whitepaper synthesises the views of industry partners, along with GenZero’s experience, which we hope will support ongoing industry initiatives to develop meaningful solutions and scale the carbon markets in a credible and constructive manner.”
The whitepaper was developed with support from MSCI Carbon Markets and inputs from key industry stakeholders such as Calyx Global, Climate Impact X, Environmental Defense Fund, Gold Standard, International Emissions Trading Association (IETA) and Verra.
To read the Carbon Markets 2.0 whitepaper, please visit: https://genzero.co/carbon-markets-2-0/
GenZero is an investment platform company focused on accelerating decarbonisation globally. Founded by Temasek, we seek to deliver positive climate impact alongside long-term sustainable financial returns by investing in opportunities with the potential to be nurtured into impactful and scalable solutions.
Driven by a common purpose to decarbonise for future generations, we recognise the need for a holistic and integrated approach to achieve a net zero world. At GenZero, we adopt a flexible investment approach across three focus areas to drive climate impact: (i) nature-based solutions that help protect and restore our natural ecosystems while benefiting local communities and biodiversity; (ii) technology-based solutions that deliver deep decarbonisation impact; and (iii) carbon ecosystem enablers which refer to companies and solutions that support the development of an effective, efficient, and credible carbon ecosystem.
For more information on GenZero, visit https://genzero.co/.