Seoul, September 3 (QNA) - The Global Carbon Council, the Ministry of Planning and Budget of the Republic of Korea (MPB) and the Korea Chamber of Commerce and Industry (KCCI) signed Thursday a Memorandum of Understanding (MoU) that will formalize a trilateral partnership between them.

The agreement was signed by Founding Chairman of Global Carbon Council Dr. Yousef bin Mohammed Alhorr, Vice Minister of MBP Yongbum CHO, and Chairman of KCCI Chey Tae-Won. Under the MoU, the ministry will assume overall coordination and policy guidance, and will support implementation through relevant institutional frameworks and budgets.

The three sides said in a statement that the partnership comes at an important stage in South Korea's carbon market development. MPB, as the lead ministry for Korea's voluntary carbon market, is advancing the proposed Voluntary Carbon Market Act, preparing for the launch of a voluntary carbon market within the Korea Exchange (KRX), targeted for the end of 2026, and working to expand the country's carbon credit demand and supply base.

The statement added that the cooperation will position the Global Carbon Council as the first international carbon standard recognized by a Korean government institution and establishes pathways for Digital Monitoring, Reporting and Verification (DMRV), registry interoperability and global market connectivity. Within Korea's emerging VCM framework, Global Carbon Council is also expected to serve as the sole global carbon standard participating in the initial market architecture, bringing international expertise across carbon standards, methodologies, validation and verification, registration, issuance, (DMRV), and registry infrastructure.

The statement also said that the MoU sets out a practical implementation agenda covering alignment with Article 6.2 of the Paris Agreement, ICAO's CORSIA and the ICVCM Core Carbon Principles, international standardization of methodologies, DMRV systems, capacity building, international market access and interoperable registry infrastructure.

It also highlighted that a key component will be the planned interoperability between South Korea's consolidated registry and Global Carbon Council's registry infrastructure, establishing a digital foundation that can support carbon project registration, issuance, tracking and market connectivity while creating a pathway toward engagement with the Korea Exchange. The MoU also provides consultation with relevant institutions, including KRX, as the detailed implementation framework is developed. While the Global Carbon Council will contribute expertise across the full carbon-crediting value chain, including methodologies, validation and verification, registration and issuance, together with eligibility mapping for CORSIA, ICVCM CCPs and Article 6.2. It will also support the design of DMRV and registry architecture, strengthen domestic certification capabilities, and contribute to the development of VVB and DMRV expertise in Korea. KCCI will provide the critical bridge between government policy and South Korea's private sector. KCCI will also promote regional carbon market cooperation through the Asia Alliance, providing an additional platform for international market connectivity. The MoU specifically envisages expanding domestic and international market participation through both the Korean VCM Alliance and the Asia Alliance. 

For specific implementation activities, including the development of certification and DMRV content required for operation of the Korean VCM, the parties may proceed through separate contractual arrangements defining the scope of work and associated funding, providing a mechanism for the cooperation to progress from institutional alignment to concrete implementation. 

Commenting on the signing, Dr. Alhorr said: "Korea has an opportunity to build a voluntary carbon market that combines strong national leadership with international integrity and digital readiness. Through this partnership, GCC will contribute its expertise in high-integrity standards, DMRV, methodologies and interoperable registry systems to help turn market ambition into credible, scalable and internationally connected implementation."

To translate the MoU into action, the parties intend to establish a trilateral Joint Working Group within 30 days of signing. The Working Group will develop a detailed implementation plan covering international alignment, potential mutual recognition of domestic certification schemes, DMRV and registry architecture, capacity building and engagement with relevant institutions and stakeholders, including the Korea Exchange. 

The signing will be followed by an industry seminar with Korean market participants, supporting stakeholder engagement and practical implementation of the cooperation. (QNA)