Singapore and Zambia to team up on carbon credits

Move paves way for carbon trading in the future, to the benefit of both countries

- Shabana Begum

The south-central African nation of Zambia on Nov 19 became Singapore's newest partner in carbon credits, paving the way for future carbon trading that would help the island-state meet its climate targets while channeling finance to the landlocked African country.

A memorandum of understanding (MOU) was signed between Minister for Sustainability and the Environment Grace Fu and Zambia's Minister for Green Economy and Environment Mike Mposha at the Singapore Pavilion of the UN climate change summit COP29 in Baku, Azerbaijan.

"Through our collaboration, both countries will share expertise and knowledge, unlock opportunities and financing for greater mitigation efforts and accelerate our low-carbon transition," said Ms Fu.

With Zambia and Singapore, the ultimate aim of the agreement is for it to advance into a bilateral pact where cross-border carbon trading can occur in line with a segment of the Paris Agreement called Article 6.

In such a pact, known as an implementation agreement, Singapore can buy credits from carbon projects in Zambia to meet its climate change targets under the Paris Agreement.

Of the more than 20 countries Singapore is collaborating with on carbon markets, only two countries have advanced into implementation agreements with Singapore - Papua New Guinea and Ghana. The discussions with other countries, including Bhutan, Vietnam and Senegal, are either at the initial MOU stage or close to signing a pact.