By KHRISNA RUSSELL

Tribune Chief Reporter

krussell@tribunemedia.net

PRIME Minister Philip “Brave” Davis said yesterday that the Climate Change and Carbon Market Initiatives Bill 2022 is his administration’s first step in securing carbon credit payments for The Bahamas.

Mr Davis said the country has 28 years to optimally benefit from the carbon market initiatives in the vibrant carbon credit marketplace that currently exists.

He said the sale of carbon credits could aid in further protecting the country’s seagrasses, mangroves, forests and coral reefs.

“One of the key outcomes of the discussions in Glasgow was agreement that significant financial support is needed for our country, and others, to mitigate and adapt to the effects of climate change,” the Cat Island, Rum Cay and San Salvador MP said yesterday. “And central to that agreement was the recognition that an important tool to support these efforts is engagement in carbon markets.

 “Carbon markets set a price for a unit of carbon dioxide which can then be traded between a buyer and seller. At COP26, after six years of negotiations, countries finally agreed on rules for international cooperation through carbon markets.

 “The new rules as outlined in Article 6 of the Paris Agreement, state that countries around the world could trade ‘units’ (carbon credits) with one another in order to access more cost-effective emissions reductions, or, in the case of The Bahamas, to sell excess emissions credits. The Bahamas has significant resources that, with conservation and restoration, can remove carbon from the earth’s atmosphere. The sale of carbon credits can aid the country in further protecting our seagrasses, mangroves, forests, and coral reefs.

 “This means that high carbon-emitting countries could buy credits from us, both compensating us for the role our country can play as a carbon sink and reducing the overall total amount of carbon being emitted. Carbon markets are an important bridge to a net-zero future.”

 The Bill, which was tabled in the House of Assembly yesterday, seeks to give effect to the Paris Agreement to aid in the global response to the threat of climate change and to create and implement initiatives to offset carbon emissions.

 Through this framework, government will be able to create incentives and implement initiatives to support the overall global target of greenhouse gas emissions reduction consistent with its nationally determined contributions; to ensure compliance by The Bahamas of its obligations under the Paris Agreement taking into consideration the common but differentiated responsibilities, respective capabilities and flexibility provisions acknowledged under the United Nations Framework Convention on Climate Change for small island developing states to address climate change; and to enable the establishment of a market in The Bahamas to trade in carbon credits.

 The Bill will also create shared ministerial responsibility between the prime minister/minister of finance and the minister responsible for the environment and natural resources; the appointment of a management company, and the appointment and functions of an advisory council, which will have responsibility for serving as a technical advisory body to a management company.