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The EU's Carbon Border Adjustment Mechanism (CBAM), effective October 2023, imposes carbon tariffs on imports to prevent carbon leakage and encourage global decarbonisation. The document argues that the CBAM will disproportionately harm African countries, particularly least-developed countries (LDCs), by reducing GDP and exports of key materials like aluminium, iron, and steel. It highlights concerns regarding the mechanism's equity, its potential conflict with WTO non-discrimination rules, and the EU's plan to use revenues for internal debt rather than supporting LDCs. The brief recommends that the AfCFTA negotiate for exemptions, a slower phase-in period, and the exclusion of indirect emissions, while urging the EU to increase climate finance and technology transfers to Africa.

The document provides a detailed update on the climate trajectories of China and the U.S., highlighting China's rapid expansion of non-fossil energy capacity and the U.S.'s implementation of the Inflation Reduction Act (IRA). It details specific national policies, such as China's '1+N' system and the U.S.'s EPA rules on power plants and vehicles, while analyzing the diplomatic dynamics following the Sunnylands Statement and the transition of key climate envoys.

The report argues that the EU is not on track to meet its 2030 and 2050 climate goals and must shift to an 'option-based' approach that integrates a broad range of low- and zero-carbon technologies. Key recommendations include scaling up carbon capture and storage (CCS), diversifying the energy mix with small modular reactors (SMRs), superhot rock geothermal, and fusion energy, and implementing a rigorous methane import standard. It emphasizes the need for a comprehensive green industrial strategy, a dedicated climate fund to replace the Recovery and Resilience Facility, and international cooperation to set global clean-tech standards.

The report argues that the UK is currently off track to meet its 2030 NDC and sixth carbon budget, necessitating a shift toward 'accountability and implementation'. It advocates for a systems-based approach that complements electrification with carbon capture and storage (CCS), low-carbon hydrogen, nuclear energy, and aggressive methane mitigation. Key recommendations include establishing a Methane Action Plan, creating a 'producer responsibility' policy for CO2 storage, and prioritising low-carbon hydrogen for 'no-regrets' industrial sectors like refining and ammonia production. The document also emphasises the need for international collaboration, particularly with the EU and emerging economies, to scale these technologies and maintain the UK's global climate leadership.

The report analyzes the U.S. Treasury's proposed regulations for the Section 45V Clean Hydrogen Production Tax Credit, specifically focusing on the 'incrementality' requirement. It argues that a proposed 'general carve-out'—exempting a percentage of existing clean energy from incrementality rules—would lead to significant 'dirty' hydrogen production and increase CO2 emissions by inducing fossil fuel power plants to run more often. The authors suggest that such a carve-out would also discourage investment in flexible electrolyzers and hydrogen storage. Instead, the report recommends targeted exemptions for curtailed power, retirement prevention, and binding emissions caps, provided they include rigorous guardrails to prevent emissions leakage and market manipulation.

CPI estimates that California requires an annual average of USD 62 billion from 2023 to 2035 to meet its climate goals, with zero-emission vehicles accounting for half of this need. While climate finance spending grew by 26% annually between 2019 and 2022, reaching USD 39 billion in 2022, a gap remains. The report notes that finance is distributed relatively evenly per capita by county and is not currently prioritized for areas with higher pollution metrics.

The author contends that current climate policies often fail because they do not address carbon inequalities or provide immediate economic relief, making them vulnerable to far-right populist rhetoric. The text proposes a 'post-growth' approach that prioritizes human well-being over profit and advocates for a 'militant' green-red alliance. A central practical solution highlighted is the use of energy communities—not-for-profit entities that allow citizens and municipalities to co-own renewable energy projects—to democratize energy production and reduce costs for vulnerable households. The author calls for the redirection of fossil fuel subsidies toward clean heating and the implementation of structural investments in deep renovations and electric mobility to prevent regressive social effects from policies like the expanded Emissions Trading System.

The International Institute for Sustainable Development (IISD) views Canada's new oil and gas emissions cap framework as a necessary foundation for a sector-specific cap-and-trade system, but warns that the proposed 2030 reduction target of 16-20% relative to 2005 levels is insufficient compared to the broader economy-wide goal of 40-45%. The IISD expresses concern over compliance flexibilities, such as carbon offsets and decarbonization fund payments, which it argues may undermine actual emissions reductions. To align with the 2022 Emissions Reduction Plan, the IISD recommends strengthening the 2030 target toward a 40% reduction and minimizing the use of offsets.

The author contends that current EU climate policies, such as the European Green Deal, are too reliant on market mechanisms and regulation, which can be regressive and disproportionately affect low-income households. By shifting to a 'needs-based approach' through universal basic services—such as public transport, childcare, and sustainable housing—governments can reduce carbon intensity and alleviate poverty. The text argues that this transition requires rejecting restrictive fiscal rules, taxing excessive wealth and luxury consumption, and increasing public investment to ensure a socially just and ecologically sustainable transition.

Indonesia requires approximately USD 285 billion in climate-aligned investment to meet its Enhanced NDC, but current funding is insufficient. The government budget covers 34% of this need, while the financial sector (public and private) contributes 15%. Between 2015 and 2021, public and private financial institutions provided roughly equal amounts of climate-aligned investment, totaling USD 41.7 billion. Private investment is notably low, with only 3% of total private investment being climate-aligned, and much of this concentrated in land use. In the power sector, 58% of the USD 35.6 billion invested went to renewables, with a significant drop in coal finance since 2016. Future investment trends are expected to be driven by government policy signals such as the Just Energy Transition Partnership (JETP) and the Energy Transition Mechanism (ETM).

The Climate Bonds Initiative evaluates Japan's GX Plan, noting that while it provides a solid foundation for transition finance, certain elements—specifically the reliance on ammonia co-firing and fossil gas—risk undermining its credibility. The report recommends prioritising mature renewable technologies, setting a clear phase-out date for unabated coal by 2035, and implementing a mandatory emissions trading system with a strong carbon price to ensure alignment with global 1.5°C goals.

The report argues that a carbon price exceeding US$ 20 per ton of CO2 captured would make forest restoration more profitable than cattle ranching across most of the Brazilian Amazon. This mechanism could capture 16 Gt CO2 through restoration and avoid 32 Gt CO2 from deforestation over 30 years, totaling 48 Gt CO2. The study uses a dynamic spatial model to show that such payments would generate US$ 320 billion in revenue, preventing the forest from reaching a tipping point and transforming the region from a net carbon emitter to a carbon sink.

The report identifies the oil and gas sector as the primary obstacle to Canada's 2030 climate targets due to rising emissions. It proposes four complementary policies: strict methane regulations, targeted public support for carbon capture and storage (CCS), an emissions cap for the sector, and a government-backed transition investment taxonomy. The author emphasizes that explicitly addressing regional equity is essential for the political durability and success of these climate policies.

The Canadian Climate Institute proposes a four-part policy framework to decarbonize Canada's oil and gas sector while addressing regional fairness. The sector is identified as Canada's largest and fastest-growing source of emissions, contributing 189 Mt of greenhouse gases in 2021 (28% of the national total). To balance climate targets with economic stability, the report recommends stringent methane regulations, targeted public support for carbon capture and storage (CCS), a sector-specific emissions cap, and a government-backed transition investment taxonomy. This approach aims to ensure that oil and gas-producing regions contribute their fair share of reductions while protecting the trade balance and mitigating the risk of stranded assets as global demand for fossil fuels declines.

The document argues that while harmonizing all border carbon adjustments (BCAs) is impossible due to diverse national carbon pricing methods, international cooperation is essential to manage the proliferation of these instruments. It highlights that a diversity of BCAs increases uncertainty and administrative burdens for traders in sectors like steel, aluminum, cement, and fertilizers, which are critical for the export revenues of many developing countries. The brief suggests that strategic international discussion is a necessary alternative to trade disputes within the World Trade Organization's dispute settlement system.

Carbon Market Watch argues that climate neutrality plans (CNPs) for high-emitting installations must be transparent, standardized, and subject to rigorous assessment criteria to prevent them from becoming a mere formality for receiving free emission allowances. The organization advocates for the mandatory use of a common electronic template to ensure comparability across Member States and calls for the public disclosure of these plans under the Aarhus Convention to ensure accountability for big polluters.

The document outlines several key EV-related policies. In California, the Advanced Clean Cars II (ACC II) regulation targets light- and medium-duty vehicle OEMs, while the Advanced Clean Trucks (ACT) rule requires OEMs of medium- and heavy-duty vehicles to sell ZEVs or NZEVs as an increasing percentage of sales from 2024 to 2035. The Advanced Clean Fleets (ACF) regulation mandates ZEV adoption for fleets with over 50 trucks, certain private companies, and public agencies. The Clean Miles Standard (CMS) requires ridehailing providers with over 5 million vehicle miles traveled (VMT) per year to reach zero emissions from passenger miles and 90 percent EV-powered VMT by 2030. The Low Carbon Fuel Standard (LCFS) uses a market-based mechanism to cap the carbon intensity of transportation fuels. At the federal level, the Inflation Reduction Act (IRA) of 2022 provides incentives for EV procurement and infrastructure. Additionally, proposed EPA regulations aim to reduce emissions for light-, medium-, and heavy-duty vehicles, with light-duty targets projecting an average of 82 grams/mile of CO2 by model year 2032.

The Climate Change (Amendment) Bill, 2023 aims to integrate carbon markets into Kenya's climate response to attract investment and achieve low-cost emissions reductions. However, Natural Justice warns that without robust legislation, these markets could allow developed nations to continue burning fossil fuels while negatively impacting the global south. The document identifies several critical flaws in the Bill, including the removal of specific requirements for civil society and marginalized community representatives on the National Climate Change Council, which may contravene the Constitution of Kenya 2010. It also highlights a lack of clear role distinctions between national and county governments and insufficient procedures for effective public participation. Regarding the forestry sector, the Bill suggests that afforestation and reforestation will be part of an emissions trading system, necessitating strict monitoring of emissions. Natural Justice urges the government to delay implementing carbon market mechanisms until all necessary regulations are adopted through a transparent public participation process.

The document outlines the necessity of a radical reduction in industrial emissions to meet the EU's 2050 climate neutrality goal, arguing that current production-based models must shift toward needs-based models that respect biophysical boundaries. It identifies critical gaps in the European Green Deal's progress on decoupling economic growth from resource use and proposes three primary levers for transition: mobilizing finance through regulatory environments, creating incentives for new business models, and utilizing targeted interventions for demonstration projects.

The document analyzes the relationship between trade and climate change in Latin America, highlighting the region's relatively low greenhouse gas emissions intensity but high vulnerability to climate hazards. It examines domestic climate commitments in Nationally Determined Contributions (NDCs)—such as electromobility, sustainable agriculture, and circular economy initiatives—and their trade implications. The paper also assesses external pressures from trading partners, specifically the EU's Carbon Border Adjustment Mechanism (CBAM) and deforestation regulations. It concludes by recommending strengthened international cooperation, technology transfer, and the expansion of 'Aid for Trade' to support a just transition to a low-carbon economy.