Africa Carbon Markets Initiative (ACMI): Roadmap Report
Africa Carbon Markets Initiative (ACMI)
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Abstract: Voluntary carbon markets are growing fast and becoming a crucial decarbonisation tool. The need for global efforts to curb greenhouse gas emissions is increasing in order to meet goals set by the Paris Agreement. Voluntary carbon markets (VCMs) are starting to play an important role complementing direct decarbonisation efforts. Global companies are increasingly including carbon credits that reflect avoidance of CO2 equivalent (CO2e) emissions or removal of CO2e from the atmosphere in their efforts to reach net zero, while activity is accelerating to create a robust and credible market to generate and trade these credits. Globally, VCMs grew at a compound annual rate of over 30 percent from 2016 to 2021ยน (based on carbon credit retirements). Africa has huge potential to use VCMs to access climate funding and drive broader development. This creates an opportunity for Africa to develop carbon projects that could channel international investment to address environmental challenges. Furthermore, Africa could leverage carbon markets to drive development priorities such as expanding energy access, improving health through clean cooking, and creating jobs.