Transparency International Pakistan (TI Pakistan), in collaboration with the Office of the Speaker of the Khyber Pakhtunkhwa Assembly, on Thursday held a high-level parliamentary consultation to discuss legal and institutional reforms aimed at strengthening carbon markets governance in Pakistan.
During the consultation, TI Pakistan presented its Legislative Roadmap for Strengthening Carbon Markets Governance, outlining reforms required to establish a transparent, accountable and credible carbon market framework aligned with international standards.
Executive Director Kashif Ali briefed lawmakers on the proposed roadmap, identifying four key priorities: enactment of a comprehensive Carbon Markets Framework Act, clear legal provisions governing the ownership and transfer of carbon credits and Internationally Transferred Mitigation Outcomes (ITMOs), establishment of a national Monitoring, Reporting and Verification (MRV) system and emissions baseline in line with Article 6 of the Paris Agreement, and mandatory benefit-sharing, community safeguards, Free, Prior and Informed Consent (FPIC), and grievance redress mechanisms for carbon market projects.
The consultation was chaired by Asif Khan Mehsud, Convener of the SDGs Taskforce, who stressed that a robust legislative framework is essential for ensuring carbon markets contribute to Pakistan’s climate commitments and sustainable development goals.
Additional Secretary for Development, Climate Change, Forestry, Environment and Wildlife Khyber Pakhtunkhwa Ahmad Kamal highlighted the province’s vast forest resources, calling for stronger institutional capacity, technical expertise and investment to unlock its carbon market potential.
Chairperson of the Provincial Assembly’s Standing Committee on Energy and Power Daud Shah Afridi said Khyber Pakhtunkhwa could leverage the success of its afforestation initiatives to attract climate finance while ensuring transparency, accountability and sustainable development.
The consultation was attended by parliamentarians from across the political spectrum, officials from government departments, and governance experts.
Climate and Nature Finance Expert Hamza Rafay Butt and Syed Bulent Sohail, Managing Partner of Sohail & Partners, presented technical recommendations, highlighting the province’s comparative advantages in carbon markets while identifying governance and regulatory gaps requiring legislative attention.
Addressing the gathering, Justice (Retd.) Zia Perwez, Chairman of Transparency International Pakistan, underscored the need for sustained parliamentary leadership to ensure carbon markets are governed with transparency, accountability and integrity. He said a strong legal framework would help Pakistan attract quality climate finance while protecting public interest and maximizing benefits for local communities.
