Priority change and driving factors in the voluntary carbon offset market
Voluntary carbon offset markets play an important role in climate change mitigation by deploying technologies in order of lowest abatement cost. The objective of this study is to identify the key drivers of changes in the volume of carbon credits issued in voluntary registry offset markets from 2006...
| Main Authors: | , , , , , , |
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| Format: | Article |
| Language: | English |
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Elsevier
2024-06-01
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| Series: | Cleaner Environmental Systems |
| Subjects: | |
| Online Access: | http://www.sciencedirect.com/science/article/pii/S2666789424000023 |
| _version_ | 1797199808729972736 |
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| author | Hidemichi Fujii Jeremy Webb Sagadevan Mundree David Rowlings Peter Grace Clevo Wilson Shunsuke Managi |
| author_facet | Hidemichi Fujii Jeremy Webb Sagadevan Mundree David Rowlings Peter Grace Clevo Wilson Shunsuke Managi |
| author_sort | Hidemichi Fujii |
| collection | DOAJ |
| description | Voluntary carbon offset markets play an important role in climate change mitigation by deploying technologies in order of lowest abatement cost. The objective of this study is to identify the key drivers of changes in the volume of carbon credits issued in voluntary registry offset markets from 2006 to 2020 using a decomposition analysis framework. The results show that the volume of issued carbon credits related to forestry and land use increased from 2006 to 2015 due to priority increases and scale expansions in REDD+ projects. In addition, the reasons for the priority changes in carbon credits issued varied according to the scale of carbon offset programs in each region. The comparison of scale effect and carbon offset program priority is a useful tool for understanding changes in carbon credits issued according to project technology and region. The very rapid increase in forestry carbon credits issued does however pose important policy implications given it has been accompanied by widespread indications of poor governance and questionable outcomes in terms of CO2 reduction. In light of the IPCC's reliance on carbon credits the need for thoroughgoing policy reform is underlined. |
| first_indexed | 2024-04-24T07:21:39Z |
| format | Article |
| id | doaj.art-05569e6a54c24de883a2bbe55c8b2869 |
| institution | Directory Open Access Journal |
| issn | 2666-7894 |
| language | English |
| last_indexed | 2024-04-24T07:21:39Z |
| publishDate | 2024-06-01 |
| publisher | Elsevier |
| record_format | Article |
| series | Cleaner Environmental Systems |
| spelling | doaj.art-05569e6a54c24de883a2bbe55c8b28692024-04-21T04:14:34ZengElsevierCleaner Environmental Systems2666-78942024-06-0113100164Priority change and driving factors in the voluntary carbon offset marketHidemichi Fujii0Jeremy Webb1Sagadevan Mundree2David Rowlings3Peter Grace4Clevo Wilson5Shunsuke Managi6Faculty of Economics, Kyushu University, Japan.744 Motooka, Nishi-ku, Fukuoka, 819-0395, Japan; Corresponding author.Faculty of Business and Law, Queensland University of Technology, AustraliaFaculty of Science, Centre for Agriculture and Bioeconomy, Queensland University of Technology, AustraliaFaculty of Science, Centre for Agriculture and Bioeconomy, Queensland University of Technology, AustraliaFaculty of Science, Centre for Agriculture and Bioeconomy, Queensland University of Technology, AustraliaFaculty of Business and Law, Queensland University of Technology, AustraliaUrban Institute & School of Engineering, Kyushu University, JapanVoluntary carbon offset markets play an important role in climate change mitigation by deploying technologies in order of lowest abatement cost. The objective of this study is to identify the key drivers of changes in the volume of carbon credits issued in voluntary registry offset markets from 2006 to 2020 using a decomposition analysis framework. The results show that the volume of issued carbon credits related to forestry and land use increased from 2006 to 2015 due to priority increases and scale expansions in REDD+ projects. In addition, the reasons for the priority changes in carbon credits issued varied according to the scale of carbon offset programs in each region. The comparison of scale effect and carbon offset program priority is a useful tool for understanding changes in carbon credits issued according to project technology and region. The very rapid increase in forestry carbon credits issued does however pose important policy implications given it has been accompanied by widespread indications of poor governance and questionable outcomes in terms of CO2 reduction. In light of the IPCC's reliance on carbon credits the need for thoroughgoing policy reform is underlined.http://www.sciencedirect.com/science/article/pii/S2666789424000023Voluntary registry offset marketCarbon creditDecomposition analysis |
| spellingShingle | Hidemichi Fujii Jeremy Webb Sagadevan Mundree David Rowlings Peter Grace Clevo Wilson Shunsuke Managi Priority change and driving factors in the voluntary carbon offset market Cleaner Environmental Systems Voluntary registry offset market Carbon credit Decomposition analysis |
| title | Priority change and driving factors in the voluntary carbon offset market |
| title_full | Priority change and driving factors in the voluntary carbon offset market |
| title_fullStr | Priority change and driving factors in the voluntary carbon offset market |
| title_full_unstemmed | Priority change and driving factors in the voluntary carbon offset market |
| title_short | Priority change and driving factors in the voluntary carbon offset market |
| title_sort | priority change and driving factors in the voluntary carbon offset market |
| topic | Voluntary registry offset market Carbon credit Decomposition analysis |
| url | http://www.sciencedirect.com/science/article/pii/S2666789424000023 |
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