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Delay to climate talks deepens uncertainty over future of carbon markets
(Climate Home News, 5 Jun 2020) Projects to curb greenhouse emissions in developing countries are in limbo amid another delay for nations to design a new global carbon market.
Carbon markets allow countries and companies to buy credits to meet their climate goals by investing in carbon-cutting projects elsewhere.
But in recent years, countries have been unable to agree the rules for new international carbon trading system under the Paris Agreement. The postponement of the next UN climate summit, Cop26, to November 2021 because of coronavirus is dragging out the uncertainty for investors and project managers about the future of carbon credits.
“It’s a burning issue for us,” said Sandeep Roy Choudhury, the co-founder and director of VNV Advisory, an Indian social enterprise which develops climate-related projects in South and South-East Asian communities, supporting the work of more than 50 NGOs in the region.
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