Prospects for creating a BRICS carbon trading market

Abstract

The world is now developing in trading carbon offsets, which allow to fulfil climate obligations not only for companies (under carbon taxation), but also for states to achieve climate goals under the UN Framework Convention on Climate Change. The article is considered the BRICS`s countries approaches to the emission of carbon offsets, including barriers that is affected cross-border trade - different approaches to the validation of climate projects and verification of carbon offsets. The authors propose options for harmonising the rules of issuing and trading carbon offsets in the BRICS carbon market, including mechanisms for mutual recognition of carbon offsets, which will help attract investors to the carbon market and more effectively achieve national emission reduction targets.