Seoul: The Global Carbon Council, the Ministry of Planning and Budget of the Republic of Korea (MPB), and the Korea Chamber of Commerce and Industry (KCCI) have formalized a significant partnership to advance South Korea's voluntary carbon market through a newly signed Memorandum of Understanding (MoU).
According to Qatar News Agency, this agreement was endorsed by Dr. Yousef bin Mohammed Alhorr, Founding Chairman of Global Carbon Council; Yongbum CHO, Vice Minister of MPB; and Chey Tae-Won, Chairman of KCCI. The MoU outlines that the MPB will lead in coordination and policy guidance, supporting the implementation with relevant institutional frameworks and budgets.
The partnership is poised to play a crucial role as South Korea progresses in its carbon market development. As the leading ministry, MPB is working on the proposed Voluntary Carbon Market Act and preparing for the voluntary carbon market's launch within the Korea Exchange (KRX) by the end of 2026. This initiative aims to broaden the country's carbon credit demand and supply base.
The collaboration will recognize the Global Carbon Council as the first international carbon standard endorsed by a Korean government entity, paving the way for Digital Monitoring, Reporting and Verification (DMRV), registry interoperability, and global market connectivity. The Global Carbon Council is set to be the sole global carbon standard in South Korea's initial market framework, offering its expertise in carbon standards, methodologies, and registry infrastructure.
The MoU establishes an agenda for practical implementation, aligning with Article 6.2 of the Paris Agreement, ICAO's CORSIA, and the ICVCM Core Carbon Principles. It emphasizes international standardization of methodologies, DMRV systems, capacity building, and market access, alongside interoperable registry infrastructure.
A significant aspect of the agreement is the planned interoperability between South Korea's consolidated registry and the Global Carbon Council's registry infrastructure. This digital foundation will support carbon project registration, issuance, and tracking, facilitating market connectivity and engagement with the Korea Exchange. The MoU also outlines consultations with institutions like KRX as the detailed implementation framework is devised.
The Global Carbon Council will offer expertise across the carbon-crediting value chain, including methodologies, validation and verification, and registry design, while strengthening domestic certification capabilities in Korea. KCCI will bridge government policy with the private sector and promote regional carbon market cooperation through the Asia Alliance, enhancing international market connectivity.
For specific implementation tasks, such as developing certification and DMRV content for the Korean VCM, separate contractual arrangements may be established to define the work scope and funding, transitioning from institutional alignment to tangible implementation.
Dr. Alhorr commented on the signing, stating that Korea has the potential to develop a voluntary carbon market that combines national leadership with international standards and digital readiness. The Global Carbon Council will contribute its expertise to ensure credible, scalable, and connected market implementation.
To operationalize the MoU, a trilateral Joint Working Group is expected to be formed within 30 days of the signing. This group will create a detailed implementation plan focusing on international alignment, domestic certification recognition, DMRV architecture, capacity building, and stakeholder engagement, including the Korea Exchange.
An industry seminar with Korean market participants will follow the signing, fostering stakeholder engagement and practical cooperation implementation.