Civil society organisations are calling on the UN body overseeing the Paris Agreement Crediting Mechanism (PACM) to halt the scheme’s initial batch of approved carbon credits, pointing to purported human rights issues and excessive crediting linked to the Myanmar cookstove initiative that produced them.
EU Climate Policy and Market Updates
Addressing wider European climate developments, an advocacy group reported Tuesday that the bloc continues to lag behind its 2030 emissions goal, even though first-half 2026 CO2 emissions dropped by 2%. Meanwhile, the European Commission has determined that the threshold of the EU’s Carbon Border Adjustment Mechanism (CBAM) complies with legal limits and continues to capture most of the emissions contained within imports of regulated items. Data from a recent study reveals that the Innovation Fund, financed by the EU ETS, has disbursed only €332 million—representing 2.7%—out of the €11.6 billion pledged across 208 ongoing grant contracts.
Global Carbon Projects and Regional Developments
Beyond Europe, a social forestry initiative in Indonesia has emerged as the nation’s pioneer to resume carbon trading following a pause, securing authorization to issue 238,281 carbon credits, according to the forestry ministry this week. At the same time, Indonesia is drifting further from trajectories designed to restrict global warming to 1.5C, and its strategy of exporting carbon credits internationally may diminish motivation for local emissions reductions. Shifting to the Americas, an analysis released on Wednesday indicated that a planned highway connecting Brazil and Peru through the Amazon might trigger up to 133,800 hectares of extra deforestation over a 20-year span, jeopardizing Acre’s jurisdictional REDD+ objectives.