Fireside Chat with Michael Greenstone on Voluntary Carbon Markets


From the world’s first emissions trading system (ETS), which made its debut in 2005, to the recent Core Climate platform by Hong Kong Exchanges and Clearing Limited (HKEX), carbon markets have been seen as a tool to help mobilize resources to give companies and businesses the space to smooth the low-carbon transition for decades. Purchasing high-quality verified emissions reductions in the form of carbon credits has become another effective alternative for businesses, governments, and organizations to offset carbon emissions and reach their ambitious climate goals.

Leveraging Hong Kong’s position as an international financial center and its stable and mature regulatory system, the newly launched Core Climate will serve as an international carbon marketplace to facilitate effective and transparent trading of voluntary carbon credits and instruments. Within the first four weeks of the launch, more than 40 trades were successfully executed, representing around 400,000 tonnes of carbon credits.

During this fireside chat, Ken Chiu, Head of Carbon and ESG Products at HKEX, and Michael Greenstone, Milton Friedman Distinguished Service Professor in Economics at the University of Chicago, discussed what it would take to strengthen voluntary carbon markets so they can support climate action on a large scale.