ASEAN’s Voluntary Carbon Market Development Plan 2026 – 2030 under ACMF

The carbon market is becoming a critical instrument for mobilizing climate finance and accelerating global greenhouse gas (GHG) emission reductions. In this context, the ACMF Action Plan 2026–2030, developed under the ASEAN Capital Markets Forum (ACMF), positions the Voluntary Carbon Market (VCM) as a strategic pillar supporting Southeast Asian nations in their transition toward sustainability and carbon neutrality. The document titled “ACMF VCM Development Plan and ASEAN VCM Guidelines”, completed in November 2025 by ACMF and the Economic Research Institute for ASEAN and East Asia (ERIA), provides a comprehensive overview of the role, current landscape, and strategic actions needed to develop VCM across the region.

Role of the Voluntary Carbon Market (VCM)

The VCM plays an essential role in easing emission reduction burdens for hard-to-abate sectors through two primary pathways:

Emission offsetting: Businesses can purchase and retire carbon credits to offset part of their emissions, allowing them to partially fulfill climate commitments and reduce direct mitigation pressures;

Boosting Carbon Project Development: The VCM generates revenue for carbon projects helping enterprises reinvest in clean technologies and strengthen their long-term mitigation capacity.

Current Landscape of ASEAN’s Voluntary Carbon Market

Despite strong potential, most ASEAN Member States (AMS) remain in the early stages of developing a VCM ecosystem. Based on national readiness assessments, ASEAN countries can be grouped into:

VCM Development Across ASEAN

Strengthening the stakeholder roles

To build a transparent, well-connected, and high-integrity VCM, ASEAN must reinforce critical capabilities:

• A robust and credible MRV system (measurement, reporting, verification)
• Effective implementation of FPIC (Free, Prior and Informed Consent)
• Fair benefit-sharing mechanisms with Indigenous Peoples and Local Communities
• Transparent carbon credit pricing
• A clear legal framework defining the use of credits with or without Corresponding Adjustments (CA)

Stakeholders - including subjects, crowd, key player, context setter - must have clearly defined roles, stronger capacity, and meaningful participation within an inclusive governance framework.

Strengthening regional linkages and harmonization

ACMF encourages ASEAN countries to adopt the Core Carbon Principles (CCP) established by the Integrity Council for the Voluntary Carbon Market (ICVCM). By aligning these principles with regional frameworks, ASEAN aims to ensure credit integrity, enhance market interoperability, and build a voluntary carbon market capable of competing at a global scale.

Implementing ASEAN’s VCM Guidance

The Guidelines outline four key components necessary for an effective and credible VCM:

• Legal and regulatory framework: Defines how carbon credits are generated, owned, traded, and supervised.
• Primary market development: Ensures issuance of high-quality credits with accessible, transparent information.
• Secondary market development: Improves liquidity by facilitating the trading of credits post-issuance.
• Use, Disclosure, and Retirement of Carbon Credits: Emphasizes the accountability of credit buyers in maintaining market integrity.

Conclusion

A harmonized regional voluntary carbon market will strengthen ASEAN’s collective climate resilience while unlocking significant opportunities for businesses - particularly in countries like Viet Nam - to expand carbon credit development and contribute more meaningfully to global emission-reduction efforts.

The detail reffered to ACMF Voluntary Carbon Market Development Plan and ASEAN Voluntary Carbon Market Guidance.

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