Vietnam has achieved a significant milestone in its efforts to combat climate change, receiving a payment of over $51 million for verified emissions reductions, also known as carbon credits.
The payment is from the World Bank’s Forest Carbon Partnership Facility (FCPF). It is attributed to Vietnam’s successful initiatives in reducing deforestation and forest degradation (REDD) and enhancing carbon storage through reforestation and afforestation.
Rewarding Climate Action via Carbon Credits
Notably, Vietnam is the first country in the East Asia Pacific region to receive a results-based payment (RBP) from the FCPF.
Results-based payment is a dynamic strategy within the space of sustainable development. It is designed to incentivize climate action, foster the growth of carbon markets, and spur innovation.
Under this payment framework, investors provide financial compensation to an entity—be it a sovereign nation, a private enterprise, or a local community—to accomplish, document, and independently verify a set of performance objectives.
These objectives are typically linked to outcomes of climate change mitigation or adaptation efforts. They include activities such as cutting greenhouse gas emissions, deploying nature-based solutions, or responsibly managing natural resources.
The WB’s payment acknowledges Vietnam’s achievement in reducing 10.3 million tonnes of carbon emissions between February 2018, and December 2019. This marks the largest single payment for verified and high-integrity carbon credits made by the FCPF to date.
The benefits of the payment are extensive, reaching 70,055 forest owners and 1,356 neighboring communities. These benefits are allocated according to a robust benefit-sharing plan developed through a consultative, participatory, and transparent process.
Vietnam’s Emission Reductions Triumph Paves the Way to Net Zero
Vietnamese Minister of Agriculture and Rural Development, Le Minh Hoan, emphasized the significance of this achievement. He stated that:
“The success of this REDD programme brings Vietnam closer to delivering on our ambitious Nationally Determined Contributions under the Paris Agreement, while protecting areas of vital importance to biodiversity conservation.”
Furthermore, Vietnam has exceeded its emission reduction targets of 10.3 million stated in the Emission Reduction Payment Agreement. The Asian country achieved a total of 16.2 million tonnes of verified emission reductions. It can then sell the corresponding carbon credits to buyers via bilateral deals or carbon markets.
Vietnam can also decide to count the credits towards its Nationally Determined Contributions or retire them.
This success has prompted the World Bank to issue a call option notice to acquire an additional 1 million tonne emission reductions beyond the agreed contract volume.
Vietnam’s emission reduction program focuses on protecting its tropical forests, covering 3.1 million hectares of land. These forests are vital for biodiversity conservation, forming the backbone of internationally recognized conservation corridors and supporting various ethnic minority groups and forest-dependent communities.
In 2016, Vietnam’s net carbon sink capacity was 39 metric tonnes of CO2 equivalent (MtCO2e). The Southeast Asian nation pledged to achieve net zero emissions by 2050 during the COP26 World Leaders’ Summit in 2021.
The country’s National Climate Change Strategy underscores its determination to reach net zero, but dependent on international financial support. The strategy aims to:
- Reduce 70% of remaining emissions by 2030,
- Increase carbon absorption by 20%, and
- Achieve a total sink capacity of 95 MtCO2e.
On top of it all, maintaining 43% national forest coverage is crucial for reaching net zero emissions.
As per McKinsey & Company analysis, Vietnam can achieve 2050 net zero through a concerted decarbonization effort across all seven sectors. The country’s REDD+ program falls under LULUCF (land use, land-use change, and forestry) sector.
Through a multifaceted approach involving enhanced forest management practices, strategic investments in the forestry sector, and agricultural policy refinements, Vietnam’s program aims to expand both the coverage and quality of forested areas while engaging local communities.
Unlocking Climate Finance Potential
The Forest Carbon Partnership Facility is a global partnership aiming to reduce emissions from deforestation and forest degradation, conserve forest carbon stocks, and enhance forest carbon stocks in developing countries.
Launched in 2008, the FCPF has worked with 47 developing countries across Africa, Asia and Latin America, and the Caribbean. It has contributions and commitments totaling $1.3 billion from 17 donors.
The FCPF plays a pivotal role in supporting REDD+ efforts through its two distinct yet complementary funds.
- The FCPF Readiness Fund, operational from 2008 to 2022, has been instrumental in assisting developing countries in their preparations to engage in a comprehensive system of positive incentives for REDD+. Over its operational period, the Readiness Fund has disbursed a total of $472 million to support these critical readiness activities.
- In parallel, the FCPF Carbon Fund serves as a mechanism for piloting results-based payments to countries that have demonstrated tangible emission reductions in their forest and broader land-use sectors. With a current funding envelope of $900 million, this Fund incentivizes emission reductions and promotes sustainable forest management practices.
Together, these funds under the FCPF framework provide a comprehensive and flexible platform for supporting REDD+ initiatives across the globe. The FCPF is advancing the goals of REDD+ while fostering sustainable development and environmental stewardship in forested regions worldwide.
Vietnam’s success underscores the transformative potential of rewarding climate action, offering a blueprint for sustainable development and environmental stewardship.
The post World Bank Pays Vietnam Over $51 Million in Carbon Credits appeared first on Carbon Credits.
The uranium price has continued its upward trajectory this week, climbing to 85.67 USD. This represents a solid 2.19% gain over the last seven days and extends the year-to-date performance to a 5.09% increase. After a period of consolidation, the market is witnessing renewed momentum driven by the converging forces of a widening supply deficit and escalating energy demands from the technology sector.
Uranium Price
Market Drivers for the Uranium Price
The primary catalyst behind the recent movement is the intensifying focus on nuclear energy as a critical solution for powering artificial intelligence (AI) infrastructure. As data centers expand globally, tech giants are increasingly seeking reliable, carbon-free baseload power, prompting a reassessment of long-term demand. Recent reports indicate that major utilities are accelerating their contracting cycles to secure fuel inventory, anticipating a squeeze as new reactors come online in Asia and dormant facilities restart in Japan.
On the supply side, geopolitical friction continues to tighten the market. Persistent restrictions on Russian nuclear fuel imports have forced Western utilities to pivot toward alternative suppliers, creating bottlenecks in conversion and enrichment services. Additionally, recent activity from physical funds—most notably a reported purchase of 100,000 pounds of yellowcake by Sprott—has removed spot inventory, adding immediate upward pressure to the uranium price.
Technical Outlook
Technically, uranium has firmly established support above the psychological $80 level. The breakout above $85 signals bullish sentiment, with analysts eyeing the $90 mark as the next key resistance zone. The 30-day movement of 8.27% suggests that buyers are stepping in aggressively on dips, reinforcing a strong uptrend. If the price can sustain a close above $86, it may open the door for a retest of the cyclical highs seen in previous years. However, investors should remain attentive to upcoming production reports from major miners like Kazatomprom and Cameco, which could introduce short-term volatility.
The post Uranium Price Today: AI Power Demand and Supply Deficits Fuel Rally appeared first on Carbon Credits.
The Lithium Price surged to a fresh two-year high today, closing at 170,999.81 CNY per tonne. This marks a significant 7.55% gain over the last seven days and extends a powerful year-to-date rally of 44.38%. After a prolonged period of consolidation, the battery metal has broken critical resistance levels, driven by a convergence of aggressive policy shifts in China and renewed supply constraints.
Lithium Price
Market Drivers for the Lithium Price Rally
The primary catalyst for this week’s 7.55% move is the sudden tightening of supply in China’s Jiangxi province. Authorities have canceled 27 mining permits in the hub as part of an environmental "anti-involution" campaign, effectively removing significant feedstock from the market. This supply shock coincided with Beijing’s announcement that export tax rebates for battery products will be cut from 9% to 6% starting in April. This policy shift has triggered a massive "front-running" effect, with manufacturers rushing to secure raw materials and export finished goods before the deadline.
Adding fuel to the fire, industry giant CATL reportedly placed a massive $17.2 billion order for cathode materials earlier this week. This demand signal has forced downstream players to cover spot positions aggressively, exacerbating the squeeze created by the Jiangxi permit cancellations.
Technical Outlook
Technically, the Lithium Price has staged a decisive breakout above the psychological 170,000 CNY level. The 30-day movement of 71.86% suggests the market is in a steep markup phase, fueled by short covering and panic buying. Momentum indicators are currently in overbought territory, but the fundamental supply deficits suggest support remains strong at the 155,000 CNY breakout zone. If the rally sustains, the next key resistance target lies near 200,000 CNY, a level not seen since the market began its correction two years ago.
The post Lithium Price Today: China’s Supply Crackdown and Tax Overhaul Fuel 7% Rally appeared first on Carbon Credits.
The Lithium price continued its explosive start to 2026, surging to 170,999.81 CNY per tonne on Friday. The battery metal has posted a remarkable 7.55% gain over the last seven days alone, extending a massive 71.86% rally over the past month. Year-to-date, lithium prices are up 44.38%, marking a definitive reversal from the surpluses that plagued the market in previous years.
Lithium Price
Market Drivers
Two primary factors are fueling the current rally: a surge in utility-scale energy storage demand and sudden supply constraints in China’s mining hubs.
- Energy Storage Demand Spike: While EV sales remain steady, the demand for lithium iron phosphate (LFP) batteries in energy storage systems (ESS) has outperformed expectations. Analysts forecast a 55% growth in ESS installations for 2026, driven by Beijing’s mandate to double EV charging capacity and grid storage infrastructure by 2027.
- Jiangxi Supply Crunch: On the supply side, Chinese authorities recently canceled 27 mining permits in the lithium hub of Jiangxi as part of an environmental crackdown. This follows the suspension of operations at CATL’s Jianxiawo mine, effectively removing significant monthly tonnage from the market just as downstream battery makers rush to restock ahead of reduced export rebates.
Technical Outlook
Technically, the Lithium price has decisively broken through the psychological resistance level of 150,000 CNY. The steep vertical ascent suggests intense buying pressure, likely exacerbated by short covering from traders who were positioned for a surplus. With the price now firmly establishing support above 160,000 CNY, market participants are eyeing the 200,000 CNY level as the next major target. However, the Relative Strength Index (RSI) indicates the metal is in overbought territory, suggesting potential volatility in the short term as the market digests these rapid gains.
The post Lithium Price Today: Energy Storage Boom and Supply Cuts Ignite 71% Rally appeared first on Carbon Credits.
Uranium Price Today: AI Power Demand and Supply Deficits Fuel Rally
Lithium Price Today: China’s Supply Crackdown and Tax Overhaul Fuel 7% Rally
Lithium Price Today: Energy Storage Boom and Supply Cuts Ignite 71% Rally
-
Climate Change5 months ago
Guest post: Why China is still building new coal – and when it might stop
-
Greenhouse Gases5 months ago
Guest post: Why China is still building new coal – and when it might stop
-
Greenhouse Gases2 years ago嘉宾来稿：满足中国增长的用电需求 光伏加储能“比新建煤电更实惠”
-
Climate Change2 years ago
Spanish-language misinformation on renewable energy spreads online, report shows
-
Climate Change2 years ago
Bill Discounting Climate Change in Florida’s Energy Policy Awaits DeSantis’ Approval
-
Climate Change Videos2 years ago
The toxic gas flares fuelling Nigeria’s climate change – BBC News
-
Climate Change2 years ago嘉宾来稿：满足中国增长的用电需求 光伏加储能“比新建煤电更实惠”
-
Carbon Footprint2 years agoUS SEC’s Climate Disclosure Rules Spur Renewed Interest in Carbon Credits