Pakistan, Germany Strengthen Cooperation to Advance Carbon Market Development

Pakistan and Germany have reaffirmed their commitment to strengthening carbon market development through enhanced cooperation. A high-level bilateral meeting was held at the Ministry of Climate Change and Environmental Coordination (MoCC&EC), focusing on regulatory frameworks, policy integrity, and climate financing.

Presided over by Secretary (In charge) MoCC&EC, Aisha Humaera, the meeting highlighted the critical role of international collaboration in achieving Pakistan’s Nationally Determined Contributions (NDCs) under the Paris Agreement. Humaera expressed optimism about Germany’s technical expertise and capacity-building support, emphasizing that Pakistan aims to conduct its first carbon market transaction and sign bilateral agreements under Article 6 this year.

Germany has been supporting Pakistan through the Supporting Preparedness for Article 6 Cooperation (SPAR6C) program, led by the German Federal Ministry for Economic Affairs and Climate Action (BMWK). Implemented by the Global Green Growth Institute (GGGI) in collaboration with the UNEP Copenhagen Climate Centre and GFA Consulting Group, SPAR6C has been instrumental in establishing carbon market guidelines and institutional frameworks.

German Ambassador Alfred Grannas reaffirmed Germany’s commitment to assisting Pakistan in developing a high-integrity carbon market, stating, “Through the SPAR6C program, we are refining regulatory frameworks and advancing technical expertise.”

Key stakeholders, including representatives from BMWK, GGGI, and UNEP-CCC, discussed potential carbon market projects such as the Lakhodair Landfill Project in Punjab. Thomas Forth, Senior Expert at BMWK, emphasized that the SPAR6C program provides a foundation for attracting investments and scaling up carbon finance in Pakistan.

The German delegation’s visit includes strategic discussions with Pakistani federal and provincial institutions to promote interprovincial coordination and explore carbon market opportunities under Article 6.