Last week, we saw hundreds of carbon market professionals gather in Barcelona for the 8th annual Carbon Expo. This is the carbon trading industry’s annual forum to take stock, listen to expert analysis, and assess the state of the market. While the overall message was predictably downbeat, it is clear that governments and the United Nations Framework Convention for Climate Change (UNFCCC) both have central roles in providing investor confidence and putting private finance to work in combating climate change and encouraging carbon trading strategies.
It is vitally important to the future of the carbon markets that the UNFCCC provides indications strong enough to get the markets moving again. This will of course be tough. While COP16 may have been viewed as a success, it was only a step in the right direction.
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