The Ministry of Natural Resources and Climate Change says Malawi has lost millions of dollars in carbon trading and financing due to the absence of a regulated carbon market.
The remarks have been made following revelations that some organizations and individuals have been benefiting from Malawi’s carbon market by registering projects such as tree planting or distributing cook stoves, then selling the resulting carbon credits abroad.
Because Malawi previously lacked a regulated framework, much of the revenue went directly to these organizations without significant benefits reaching local communities this is according to the ministry.
Speaking at the launch of the Malawi Carbon Market Framework Dr Owen Chomanika, minister of Natural Resources and Climate change said this gap is what the new framework seeks to address, by ensuring transparency, accountability, and that communities directly gain from carbon financing.
Chomanika said Malawi will now use climate finance to spark green investment and drive sustainable development.
Meanwhile, Challa Getachew ,UNDP Deputy Resident Representative said carbon markets will create new opportunities that will stimulate private sector growth and advance Malawi’s socio-economic development.
