A carbon exchange platform is launched for the Middle East and North Africa to create new trading opportunities in Saudi Arabia.
Saudi Arabia’s Public Investment Fund, in collaboration with the Saudi Tadawul Group (Saudi Stock Exchange), announced on September 2, plans to establish an exchange platform for carbon offsets and credits for the Middle East and North Africa region. This platform is part of the Kingdom’s efforts to contribute to the Paris Agreement’s goals of supporting action on climate change. No launch date has been set yet.
The carbon trading platform will be the main destination for companies and organizations seeking to reduce emissions. Current rules allow the international transfer of credits, thus allowing domestic and international carbon emitters to trade on this platform. There are two types of credits: (i) voluntary emissions reduction (VER) and. (ii) certified emissions reduction (CER).
Opportunities for U.S. Companies:
- Regulatory Entities: Experience with identifying regulatory and operational methods, business models and governance practices to support this platform in accordance with the Paris Agreement.
- Trading Organizations: Manage credit trades and subsequent profits through the platform. This platform works as a financial exchange market for all major players in different industries.
For more information on this emerging opportunity, please contact Sabah.Hersey@trade.gov based in Dhahran, Saudi Arabia