Will carbon pricing emerge in Africa as well?

African leaders are committed to international markets that display high environmental integrity, contribute to sustainable development and build on 
the achievements of the CDM1. African countries were keen supporters of markets in the Paris Agreement and have been a driving force behind many recent reforms to the CDM. While details are still evolving, many countries in Africa appear supportive of carbon pricing and interested in participating in international carbon markets.

There is no one-size-fits-all approach to carbon markets in Africa. But it is fair to ex- pect that most African countries in the near and medium terms will focus on supplying credits to the international market, driven by their emission profiles, industrialization levels and institutional capacities.

Article 6 of the Paris Agreement envisages both UNFCCC-wide market mechanisms and bottom-up, country-driven market systems. It will be important that Article 6 caters to the range of African development realities.

This article, co-authored by Sandra Greiner of Climate Focus and Andrew Howard, with contributions from El Hadji Mbaye Diagne and Giza Gaspar Martins, appears in the newly released IETA GHG Report 2016/17 which can be downloaded direct from the IETA website.