Carbon Market for Climate Projects in Russia: An Overview of Nature-Based and Technological Carbon Offsets

Abstract

Climate projects can become one of the key tools for decarbonization in Russia. They have powerful potential in terms of solving the problems of reducing emissions and increasing the absorption of greenhouse gases, as well as monetization potential for businesses. Despite the geopolitical crisis and sanctions imposed on Russia, certain opportunities for implementing climate projects have remained accessible. This study aims to provide a comprehensive analysis of the current status, including the regulations and approved methodologies, prospects, and challenges for climate projects in the carbon market in Russia. It also offers an overview of international carbon market mechanisms and analyses the advantages and disadvantages of the nature-based and technological solutions of climate projects for carbon sequestration. This, in turn, can facilitate the realization of future strategies for realizing the bigger potential of Russian climate projects in the domestic and international carbon markets. This research also provides up-to-date data on the current situation of the carbon market in Russia.