The United Nations has approved the first-ever issuance of carbon credits under the Paris Agreement’s new UN carbon market, marking a major turning point in how countries and companies can trade verified emission reductions to meet climate goals.
Historic first issuance under Article 6.4
UN Climate Change confirmed that the Article 6.4 Supervisory Body has approved the first credits generated through the Paris Agreement Crediting Mechanism, the centralized UN carbon market created by Article 6.4 of the treaty. The milestone shifts the Paris framework from rule‑making to real‑world operation, after years of negotiations on how to ensure high‑integrity carbon trading.
The inaugural issuance comes from a clean‑cooking project in Myanmar that distributes efficient cookstoves to households. By replacing traditional biomass stoves, the activity cuts greenhouse gas emissions, reduces harmful indoor air pollution and eases pressure on local forests, delivering both climate and community benefits.
Why this carbon credit issuance matters
Under the Paris Agreement Crediting Mechanism, projects must follow updated methodologies and conservative baselines designed to guarantee that every credit reflects a genuine tonne of emissions reduced. UN officials note that applying these stricter rules means the Myanmar project receives roughly 40 percent fewer credits than it would have under the older Clean Development Mechanism (CDM), but the reductions more closely match real‑world impact.
This first batch of credits is being closely watched by governments and investors as a signal of the quality and transparency of the new UN market. Strong private‑sector demand has been building for Paris‑aligned units that countries can use toward their nationally determined contributions (NDCs) or that companies can buy to support high‑integrity climate action.
For a deeper dive into how Article 6 is designed to work, readers can consult the Columbia University Center on Global Energy Policy’s explainer on operationalizing Article 6 of the Paris Agreement
From CDM to a Paris‑aligned market
The Paris Agreement Crediting Mechanism effectively succeeds the Kyoto Protocol’s CDM but with tougher environmental integrity safeguards and clearer accounting rules to avoid double counting. Project activities that previously received provisional issuance under the CDM, like the Myanmar clean‑cooking programme, can transition into the Article 6.4 system, provided they meet the updated methodological standards and data requirements.
Experts say this transition is critical for building a unified, credible carbon market architecture that can channel finance to developing countries while supporting higher global climate ambition. Article 6.2, which governs bilateral trades of “internationally transferred mitigation outcomes” between countries, is being supported by a new UN climate change mitigation registry designed to track, authorize and report cross‑border transfers.
Implications for countries and markets
The first issuance under Article 6.4 gives countries a practical template for registering future projects, from renewable energy and industrial decarbonization to nature‑based solutions and advanced carbon removals. It also sends a market signal that UN‑backed Paris‑aligned credits are now available, potentially unlocking billions in investment over the coming years for projects that can demonstrate robust monitoring, reporting and verification.
Analysts caution that the scale of impact will depend on how quickly additional methodologies are approved and how many host countries move projects into the new system. However, with COP30 outcomes in Brazil emphasizing just transitions and international cooperation, the operational launch of the UN carbon market is expected to play a growing role in how governments design climate strategies and how businesses structure their net‑zero plans.
Readers looking for ongoing data and country‑level updates on Article 6 activities can track the UNEP Copenhagen Climate Centre’s Article 6 Pipeline here
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