London Stock Exchange Launches its Voluntary Carbon Market Rules

10 October 2022 | After nearly a year since first announcing that it would be developing a new market solution to accelerate the availability of financing for projects that will support a just transition to a low-carbon economy, the London Stock Exchange today launched its public market framework. The Exchange’s goal is to stimulate the scaling of the global voluntary carbon market through capital at scale and transparency through disclosure.

According to the London Stock Exchange Voluntary Carbon Markets website, the “Voluntary Carbon Market will enable funds and operating companies to raise capital to be channelled into projects that contribute to reducing the amount of greenhouse gases in the atmosphere, both nature-based and technology led, and that are expected to generate carbon credits… [it] is designed to support corporates who seek to offset their residual or unavoidable emissions on their net-zero journey and provide exposure for investors to an asset class, with a long-term supply of carbon credits.”

What is the Voluntary Carbon Market designation?

The designation may be applied to qualifying Funds or Operating Companies that are admitted to the Main Market or AIM and are intent on investing into climate change mitigation projects that are expected to yield carbon credits.

How will London Stock Exchange’s Voluntary Carbon Market work?

Watch this explainer video