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Read more at The Business Times."/><meta data-rh="true" property="og:image" content="https://cassette.sphdigital.com.sg/image/businesstimes/c032b7cf30e32ac9e8b78a6d672a78872f97e07d6fb7d24b1a4b4ce16713caa3"/><meta data-rh="true" property="og:image:width" content="1200"/><meta data-rh="true" property="og:image:height" content="630"/><meta data-rh="true" property="og:image:alt" content="Peru’s Deputy Minister of Strategic Development of Natural Resources Raquel Soto (left) and Singapore’s Minister for Sustainability and the Environment Grace Fu at COP29. The progress with Peru is the second bilateral carbon credit collaboration that Singapore has made advances in at the summit."/><meta data-rh="true" property="fb:admins" content="100008016031098"/><meta data-rh="true" property="fb:pages" content="288031731262011"/><meta data-rh="true" property="fb:app_id" content="328386607332790"/><meta data-rh="true" property="twitter:card" content="summary_large_image"/><meta data-rh="true" property="twitter:site" content="@BusinessTimes"/><meta data-rh="true" property="twitter:title" content="COP29: Singapore close to inking carbon credit transfer deal with Peru "/><meta data-rh="true" property="twitter:url" content="https://www.businesstimes.com.sg/esg/cop29-singapore-close-inking-carbon-credit-transfer-deal-peru"/><meta data-rh="true" property="twitter:description" content="SINGAPORE and Peru’s cooperation on carbon credits has deepened, with the two countries close to finalising a transfer agreement that will allow the city-state to buy carbon credits from the South American nation. 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text-gray-850 md:px-6 md:text-10xl">COP29: Singapore close to inking carbon credit transfer deal with Peru </h1><p class="mb-6 mt-2 font-lucida text-xl tracking-[-0.075rem] text-gray-850 md:px-6 md:text-4xl md:leading-normal">Once finalised, Peru will join Papua New Guinea and Ghana in trading Article 6-aligned carbon credits with Singapore </p><div class="mb-6 md:px-6 min-h-[50px] text-gray-850 mt-4 space-y-4 md:flex md:flex-wrap md:space-y-0" data-testid="article-authors-list-component"><div class="flex flex-row items-start justify-start gap-2" data-testid="byline-component"><div class="flex flex-shrink-0 flex-row items-center justify-start"><img class="rounded-full" src="https://cassette.sphdigital.com.sg/image/businesstimes/ba1d64a8968e8ddad3d33ac2016dbe8491a300acd478c3a1db366374776ab158" alt="Janice Lim" width="50" height="50"/></div><div class="flex flex-col flex-wrap pl-2"><div class="flex flex-wrap gap-x-1.5"><h4 class="align-middle font-poppins font-semibold text-gray-850 word-break text-base" data-testid="byline-name-component"><a class="!text-gray-850 hover:underline" href="/authors/janice-lim" target="_blank">Janice Lim<!-- --> </a></h4></div><div class="font-public-sans text-xs font-normal leading-6 text-gray-650"><span data-testid="article-published-time">Published <!-- -->Thu, Nov 21, 2024 · 09:19 PM</span></div></div></div></div><div class="mb-3 flex items-center justify-between border-b border-t border-gray-250 py-3 md:mx-6 md:mb-6 md:py-4"><div data-testid="article-keyword-filter-first" class="w-full"><div data-testid="article-top-keyword" class="p-3 inline-block w-full bg-transparent !p-0 relative"><div class="group relative"><div class="flex items-center"><a class="line-clamp-1 place-self-center break-all text-center font-poppins text-base font-semibold capitalize !text-gray-850 border-r-0 px-0 md:px-3" href="/keywords/carbon-credits">Carbon credits</a><button data-size="md" type="button" aria-label="Follow tag" class="ml-auto flex 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justify-center"><img src="data:image/svg+xml,%3csvg%20xmlns=&#x27;http://www.w3.org/2000/svg&#x27;%20viewBox=&#x27;0%200%2016%2016&#x27;%20fill=&#x27;%232b2b2b&#x27;%3e%3cpath%20d=&#x27;M4.646%201.646a.5.5%200%200%201%20.708%200l6%206a.5.5%200%200%201%200%20.708l-6%206a.5.5%200%200%201-.708-.708L10.293%208%204.646%202.354a.5.5%200%200%201%200-.708z&#x27;/%3e%3c/svg%3e" width="18" height="18"/></div></button></div><div class="splide__track"><ul class="splide__list"><li class="splide__slide"><div class="relative h-full"><div class="mx-auto aspect-3x2 w-full max-w-[1400px] bg-gray-250"></div></div></li></ul></div></div><div class="splide"><div class="splide__track"><ul class="splide__list"><li class="splide__slide"><div><div class="py-2 px-3 font-poppins text-xs text-gray-850 md:px-8">Peru’s Deputy Minister of Strategic Development of Natural Resources Raquel Soto (left) and Singapore’s Minister for Sustainability and the Environment Grace Fu at COP29. The progress with Peru is the second bilateral carbon credit collaboration that Singapore has made advances in at the summit. PHOTO: COP29 SINGAPORE PAVILION</div></div></li></ul></div></div></div><div class="body-content tracking-tighter mb-6 mt-4 font-lucida text-lg font-medium leading-normal tracking-[-0.05625rem] text-gray-850 antialiased md:px-8 md:text-xl" data-testid="article-paragraphs-component"><div class="relative mb-4 md:mb-6"><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">SINGAPORE and Peru’s cooperation on carbon credits has deepened, with the two countries close to finalising a transfer agreement that will allow the city-state to buy carbon credits from the South American nation. </p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">The Ministry of Trade and Industry (MTI) on Thursday (Nov 21) said that both countries have substantively concluded negotiations on the deal, known as an implementation agreement, on the sidelines of COP29, the annual United Nations climate change conference currently taking place in Baku, Azerbaijan. </p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">Once the agreement is inked, Peru will join Papua New Guinea and Ghana – the only two countries that have completed their negotiations so far – in trading carbon credits aligned with Article 6 of the Paris Agreement with Singapore. </p><div class="my-8 md:my-12 w-screen bg-gray-125 transition-all duration-300 border-gray-175 min-h-0 border-y-0 bg-none py-0" style="max-width:0px;margin-left:calc(-1*(0px - 100%) / 2 );height:0"><div data-component="component-container" class="container px-3 sticky top-[120px]"><div class="relative mx-auto w-full md:w-10/12 md:px-8 lg:w-8/12"><div class="text-center text-center" data-testid="advertisement-element"><div id="dfp-ad-imu1" class="adunit-component"></div></div></div></div></div><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">This means that corporates here may soon have access to a larger pool of carbon credits which they can buy to offset 5 per cent of their taxable emissions.</p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">Besides Peru, Bhutan, Paraguay and Vietnam have also reached this advanced stage of negotiations. </p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">When signed, the implementation agreement between Peru and Singapore will set out a framework for the generation and international transfer of Article 6-compliant carbon credits. </p><div class="py-10 md:-mx-8"><div class="mb-6 border border-gray-175 p-6 md:p-8"><div class="" data-component="specific-newsletter"><h5 class="mb-6 border-b border-gray-850 py-2 !font-poppins text-base font-semibold uppercase tracking-5% md:text-lg">A NEWSLETTER FOR YOU</h5><div class="flex py-3 md:px-10 md:py-6"><img alt="Newsletter Img" class="hidden h-auto max-w-full self-start min-[321px]:block" width="75" height="75" src="/assets-web2/newsletter_esg-BltNROj8.png"/><div class="min-[321px]:pl-4 md:pl-6"><p class="mb-1 font-poppins text-4xs font-light uppercase tracking-[1px] text-gray-850">Friday, 12.30 pm</p><h5 role="name" class="!font-poppins text-xl font-medium text-gray-850">ESG Insights</h5><p role="description" class="mb-3 font-public-sans text-base font-light tracking-normal text-gray-850 md:text-lg ">An exclusive weekly report on the latest environmental, social and governance issues.</p><div class="relative hidden w-full md:block md:w-4/5 lg:w-7/10 xl:w-6/10"><div class="relative"><button data-size="md" type="button" class="!outline-none focus-within:outline-none focus:outline-none outline-0 focus-within:outline-0 focus:outline-0 flex cursor-pointer items-center justify-center whitespace-nowrap rounded-full border border-solid border-gray-175 text-center !font-poppins text-gray-850 transition-all duration-150 hover:border-gray-850 data-[size=lg]:h-[68px] data-[size=md]:h-[42px] data-[size=sm]:h-[36px] font-semibold text-xs tracking-[0.02em] w-full min-w-[155px] bg-transparent px-0 py-0 hover:bg-transparent md:max-w-[155px]" data-rac="" id="react-aria-:Rmabcoodcscu5:">Sign Up</button></div></div></div></div><div class="relative block w-full md:hidden"><div class="relative"><button data-size="md" type="button" class="!outline-none focus-within:outline-none focus:outline-none outline-0 focus-within:outline-0 focus:outline-0 flex cursor-pointer items-center justify-center whitespace-nowrap rounded-full border border-solid border-gray-175 text-center !font-poppins text-gray-850 transition-all duration-150 hover:border-gray-850 data-[size=lg]:h-[68px] data-[size=md]:h-[42px] data-[size=sm]:h-[36px] font-semibold text-xs tracking-[0.02em] w-full min-w-[155px] bg-transparent px-0 py-0 hover:bg-transparent md:max-w-[155px]" data-rac="" id="react-aria-:Rnbcoodcscu5:">Sign Up</button></div></div></div></div></div><div class="w-screen bg-gray-125 transition-all duration-300 border-gray-175 min-h-0 border-y-0 bg-none py-0" style="max-width:0px;margin-left:calc(-1*(0px - 100%) / 2 );height:0"><div data-component="component-container" class="container px-3 sticky top-[120px]"><div class="relative mx-auto w-full md:w-10/12 md:px-8 lg:w-8/12"><div class="text-center text-center" data-testid="advertisement-element"><div id="dfp-ad-midarticlespecial" class="adunit-component my-8 md:my-12"></div></div></div></div></div><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">This means that these credits will come with corresponding adjustments, where the emissions being offset are counted only once by the country that bought the credits, while the country that produced them gives up the right to use the credits to meet its own national climate goals. </p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">This is to avoid the double-counting of underlying emissions reductions or removals when carbon credits are traded.</p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">MTI said that Singapore and Peru’s collaboration is aimed at unlocking additional mitigation activities and scaling impactful climate solutions that could advance both countries’ climate ambitions. </p><div class="mb-6 mt-8 border border-gray-175 p-6 md:-mx-8 md:mt-0 md:p-8" data-testid="article-read-more"><div><div class="mb-6 border-b border-gray-850 pb-2 !font-poppins text-base font-semibold leading-normal tracking-5% text-gray-850 md:text-lg">SEE ALSO</div><div data-testid="section-article-read-more"><div class="mb-6" data-testid="article-read-more-items"><div data-testid="basic-card" data-cueid="5359330" class="relative flex flex-wrap items-start gap-4"><div class="relative flex order-1 flex-shrink-0 w-[70px] lg:w-[90px]"><div class="flex items-center justify-center bg-gray-250 w-full"><div class="w-full" style="position:relative"><a rel="noopener" href="/esg/cop29-more-policy-alignment-needed-s-e-asia-unlock-potential-new-carbon-trading-rules" target="_blank"><picture><source media="(min-width: 992px)" srcSet="https://cassette.sphdigital.com.sg/image/businesstimes/d4569b1795d45695b7bfb60b75b9e1ccc213b10aeb87b7f8d07937c3bd6326c0?w=180&amp;h=120&amp;dpr=1&amp;f=webp 1x"/><source media="(min-width: 768px)" srcSet="https://cassette.sphdigital.com.sg/image/businesstimes/d4569b1795d45695b7bfb60b75b9e1ccc213b10aeb87b7f8d07937c3bd6326c0?w=140&amp;h=100&amp;dpr=1&amp;f=webp 1x"/><source srcSet="https://cassette.sphdigital.com.sg/image/businesstimes/d4569b1795d45695b7bfb60b75b9e1ccc213b10aeb87b7f8d07937c3bd6326c0?w=300&amp;h=200&amp;dpr=1&amp;f=webp 1x"/><img src="https://cassette.sphdigital.com.sg/image/businesstimes/d4569b1795d45695b7bfb60b75b9e1ccc213b10aeb87b7f8d07937c3bd6326c0?q=20&amp;w=3&amp;h=2&amp;f=webp" loading="lazy" alt="Observers see South-east Asia as a prime landscape for the new global carbon crediting regime to operate." class="w-full aspect-3x2"/></picture></a></div></div></div><div class="flex flex-grow flex-col w-full-120px lg:w-2/3 order-2 text-white"><h3 class="_title_d4ajx_12 !text-base my-0 leading-[1.3rem] tracking-normal !font-lct" data-testid="title_link_5359330"><a class="inherit word-break hover:underline !text-gray-850" rel="noopener" title="COP29: More policy alignment needed in S-E Asia to unlock potential from new carbon trading rules" href="/esg/cop29-more-policy-alignment-needed-s-e-asia-unlock-potential-new-carbon-trading-rules" target="_blank">COP29: More policy alignment needed in S-E Asia to unlock potential from new carbon trading rules</a></h3></div></div></div><div class="mb-6" data-testid="article-read-more-items"><div data-testid="basic-card" data-cueid="5371933" class="relative flex flex-wrap items-start gap-4"><div class="relative flex order-1 flex-shrink-0 w-[70px] lg:w-[90px]"><div class="flex items-center justify-center bg-gray-250 w-full"><div class="w-full" style="position:relative"><a rel="noopener" href="/esg/lula-urges-g20-leaders-move-faster-net-zero-climate-targets" target="_blank"><picture><source media="(min-width: 992px)" srcSet="https://cassette.sphdigital.com.sg/image/businesstimes/f9e41cd472c42856b1ecdcbae20c90cadf2811c5037b7d9cfa242cd6d8e832cc?w=180&amp;h=120&amp;dpr=1&amp;f=webp 1x"/><source media="(min-width: 768px)" srcSet="https://cassette.sphdigital.com.sg/image/businesstimes/f9e41cd472c42856b1ecdcbae20c90cadf2811c5037b7d9cfa242cd6d8e832cc?w=140&amp;h=100&amp;dpr=1&amp;f=webp 1x"/><source srcSet="https://cassette.sphdigital.com.sg/image/businesstimes/f9e41cd472c42856b1ecdcbae20c90cadf2811c5037b7d9cfa242cd6d8e832cc?w=300&amp;h=200&amp;dpr=1&amp;f=webp 1x"/><img src="https://cassette.sphdigital.com.sg/image/businesstimes/f9e41cd472c42856b1ecdcbae20c90cadf2811c5037b7d9cfa242cd6d8e832cc?q=20&amp;w=3&amp;h=2&amp;f=webp" loading="lazy" alt="Opening the last session of the G20 summit in Rio de Janeiro, President Luiz Inacio Lula da Silva suggested countries bring forward their targets to reach climate neutrality by 2040 or 2045, instead of 2050 as Brazil and many others have pledged." class="w-full aspect-3x2"/></picture></a></div></div></div><div class="flex flex-grow flex-col w-full-120px lg:w-2/3 order-2 text-white"><h3 class="_title_d4ajx_12 !text-base my-0 leading-[1.3rem] tracking-normal !font-lct" data-testid="title_link_5371933"><a class="inherit word-break hover:underline !text-gray-850" rel="noopener" title="Lula urges G20 leaders to move faster on net zero climate targets" href="/esg/lula-urges-g20-leaders-move-faster-net-zero-climate-targets" target="_blank">Lula urges G20 leaders to move faster on net zero climate targets</a></h3></div></div></div><div class="mb-6" data-testid="article-read-more-items"><div data-testid="basic-card" data-cueid="5370280" class="relative flex flex-wrap items-start gap-4"><div class="relative flex order-1 flex-shrink-0 w-[70px] lg:w-[90px]"><div class="flex items-center justify-center bg-gray-250 w-full"><div class="w-full" style="position:relative"><a rel="noopener" href="/companies-markets/us34-billion-asset-manager-plans-hire-singapore-climate-finance" target="_blank"><picture><source media="(min-width: 992px)" srcSet="https://cassette.sphdigital.com.sg/image/businesstimes/563cc54b8aa24a5b143ee02f6d510c58e6c2c7854b6eb7a33affd9408f63c011?w=180&amp;h=120&amp;dpr=1&amp;f=webp 1x"/><source media="(min-width: 768px)" 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100%) / 2 );height:0"><div data-component="component-container" class="container px-3 sticky top-[120px]"><div class="mx-auto w-full md:w-10/12 md:px-8 lg:w-8/12"><div class="text-center text-center" data-testid="advertisement-element"><div id="dfp-ad-imu2" class="adunit-component"></div></div></div></div></div><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">Projects developed under the agreement will prioritise sustainable development and co-benefits to the Peruvian communities and economy, it added. </p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">As rules surrounding the global trading of carbon credits – covered under Article 6.4 of the Paris Agreement – were adopted only on the first day of the COP29 talks, Singapore has been working with individual countries on bilateral carbon credit trading agreements over the last few years.</p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">The progress with Peru is the second bilateral carbon credit collaboration that Singapore has made advances in at COP29.</p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">The first was on Tuesday, when the city-state signed a memorandum of understanding with Zambia. It will pave the way for both countries to eventually settle on an implementation agreement. </p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">Singapore’s Minister for Sustainability and the Environment Grace Fu on Thursday said she was looking forward to the private sector utilising the agreement with Peru – once it is signed – to bring about concrete environmental outcomes.</p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">Peru’s Deputy Minister of Strategic Development of Natural Resources Raquel Soto said that finalising the agreement with Singapore would bring significant benefits for the South American country. </p><p class="mb-4 md:mb-6 leading-8 -tracking-5%" data-story-element="paragraph" data-testid="paragraph-component">“Through this agreement, we can access international carbon markets to channel investments into high-quality mitigation projects that support our environmental and economic goals,” she added. </p></div><div class="mb-6 border-t border-gray-175"><section class="mx-auto my-4 w-full" data-testid="article-purchase-link-component"><section class="mx-auto flex w-full flex-wrap items-center justify-between gap-4 lg:gap-0 lg:px-3" data-testid="article-purchase-link-version-2-component"><p class="mb-0 font-public-sans text-xs tracking-normal">Copyright The Business Times. 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