Zimbabwe moves to regulate

Nqobile Bhebhe, Zimpapers Business Hub

Zimbabwe is taking decisive steps to stem significant revenue losses from unregulated carbon credit trading by establishing a national registry aligned with international standards, Environment, Climate and Wildlife Minister Dr Evelyn Ndlovu has announced.

For years, the country has forfeited tens of millions of US dollars through opaque carbon market transactions, largely due to the absence of a formal monitoring framework.

Carbon credits — tradable permits that allow the holder to emit a specified quantity of greenhouse gases, with each credit representing one tonne of carbon dioxide — have become a cornerstone of climate-positive investment.

Governments, corporations and organisations buy and sell these credits to offset emissions, fuelling a global market that incentivises sustainable initiatives such as forest conservation, renewable energy and energy efficiency.

Speaking at the Carbon Markets Indaba for Rural Local Authorities held in Bulawayo on Thursday, Dr Ndlovu explained that under Article 6 of the Paris Agreement, countries are legally obliged to authorise the transfer of carbon credits to other nations for use in meeting climate change targets. This process, she emphasised, requires transparency, accountability and formal authorisation.

Zimbabwe has now launched the Zimbabwe Carbon Markets Digital Application Platform, the Zimbabwe Carbon Registry, and the Zimbabwe Carbon Markets Authority. The latter serves as the country’s Designated National Authority for carbon trading, liaising directly with the United Nations Framework Convention on Climate Change (UNFCCC) Secretariat.

“Previous transactions of carbon credits have not been recorded by the Government because there was no mechanism to do so. It is estimated that the Government, local authorities and communities have, over the years, lost tens of millions of United States Dollars as a result of the absence of requisite regulations and the registry to monitor carbon market activities,” said Dr Ndlovu.

These regulatory gaps enabled private entities to conduct deals without oversight, depriving local councils and communities of vital income.

In May 2025, President Mnangagwa officially launched the Zimbabwe Carbon Registry, the designated platform for carbon project submissions under Statutory Instrument 48 of 2025. The registry facilitates the recording of all transactions, allowing the Government to track market activity, prevent illicit trading, and ensure equitable benefit-sharing.

“The country is required to legally authorise the transfer of carbon credits to another country for use in meeting that country’s climate change commitments or other mitigation purposes.

This requires the appropriate legal instrument. Thus, in May 2025, my ministry gazetted Statutory Instrument 48 of 2025, referred to as the Carbon Trading (General) Regulations of 2025 and is currently working towards the promulgation of the

Climate Change Management Bill, draft of which has already been approved by Cabinet,” said Dr Ndlovu.
Dr Ndlovu noted that these reforms are closely aligned with Zimbabwe’s Nationally Determined Contribution submitted to the UNFCCC. She urged local authorities to exercise caution and diligence before granting approval to carbon projects.
“To the local authorities, countless project developers will visit your offices seeking approval for their projects.

Before providing approval, the respective Local Authority is encouraged to undertake due diligence and assess the proposed project vis-à-vis your respective local development masterplan, the needs of future generations and other competing environmental, social and economic needs,” said the minister.

In keeping with the principles of devolution, the Zimbabwe Carbon Markets Authority will not approve any project on public land or involving public resources without a formal letter of support from the relevant council.

“Kindly seek clarity from my Technical Officials and the two Government Consultants here present in order to create a common understanding on the subject matter,” said Dr Ndlovu.

Addressing delegates, Dr Ndlovu emphasised that climate action is no longer a matter of advocacy but a binding obligation to future generations.

“We have made significant strides in our climate policies, but actualising these commitments requires all of us to play ball.

To all the rural local authorities, I challenge you to step up and align your practices with global and national climate goals.
“Whether it’s through afforestation and reforestation programmes, climate-smart agriculture, waste management, investment in energy and water use efficiency, or adoption of renewable energy technologies, your commitment can drive change.”

She noted that some African countries are already taking the lead in carbon trading, and Zimbabwe must not be left behind.

The finalisation of market rules at the UN Climate Change Conference (COP26) in 2021 revived prospects for viable investments in international carbon trading.

Zimbabwe, Dr Ndlovu said, has vast potential to supply the global carbon credit market, with benefits including low-carbon development, infrastructure upgrades, and enhanced climate resilience.

“The country is already host to forest and energy efficiency projects that have been participating in the voluntary carbon market from as far back as 2011 and these activities had been largely unregulated as this was not required in the previous carbon market regime,” she said.

The Bulawayo indaba aimed to equip local authorities with knowledge to integrate climate change into planning and budgeting, unpack the national carbon market policy framework, and clarify their role in operationalising the system.

By empowering councils, the Government hopes rural communities will tap into carbon trading as a sustainable revenue stream while contributing meaningfully to the global fight against climate change.