Norway Adds Pakistan to Its Growing Article 6 Carbon Credit Network

Pakistan has taken its first formal step into the Article 6 carbon market, signing a bilateral cooperation agreement with Norway under Article 6.2 of the Paris Agreement.

Norwegian and Pakistani business leaders in Pakistan discuss sustainable agriculture projects with wind turbines in the background, highlighting international climate collaboration. AI generated picture.

The memorandum of understanding (MoU), concluded in Islamabad, sets the stage for carbon credit development across several sectors of Pakistan's economy, including clean energy, agriculture, transport, and waste management, and opens the door to structured international investment.

'This is Pakistan's first bilateral agreement under Article 6.2 and an important step towards implementation. It creates a credible pathway for international cooperation and investment in Pakistan's climate priorities,' said Musadik Mali, Pakistan's Federal Minister for Climate Change and Environmental Coordination.

The agreement fits into a well-established pattern for Norway. The country has committed NOK 15 billion ($1.56 billion) to acquire up to 15 million carbon credits by 2030 and has pursued similar MoUs with Benin, Indonesia, Zambia, Jordan, and Senegal. Norway's Ambassador to Pakistan, Per Albert Ilsaas, confirmed these details at the signing ceremony.

Norway's Minister of Climate and Environment, Andreas Bjelland Eriksen, described the agreement as serving a dual function: 'The agreement with Pakistan allows us to work together on measures that reduce emissions in Pakistan, contributing to Norway's 2030 green target, should it not be fully achieved through environmental cooperation with the European Union. The agreement will also help trigger private investments and create green jobs in Pakistan.'

The timing is notable. Norway scrapped its standalone 2030 carbon neutrality goal last month, yet simultaneously reaffirmed its active participation in the Article 6 mechanism, underlining that the country's carbon credit procurement ambitions remain intact.

The Norway–Pakistan deal adds to a growing body of government-backed Article 6 agreements, reflecting broader institutional confidence in carbon credit markets as a tool for meeting national environmental targets.