The Johannesburg Stock Exchange (JSE) has traded its first carbon credits on its Voluntary Carbon Market for local taxpayers wanting to offset South Africa’s Carbon Tax.
Africa Business Communities reports the market traded 10 000 credits for US$8.25 a credit, which equals about 80% of South Africa’s carbon tax rate of ZAR190 or US$10.30 for each ton of CO2.
The JSE Ventures Voluntary Carbon Market was launched in 2023 and is powered by market infrastructure provider Xpansiv.
‘These transactions reaffirm the JSE’s commitment to providing products in the sustainability sector that not only support investment into projects producing carbon credits but also introducing a wider buyer network to the sellers of the credits,’ says Valdene Reddy, director of capital markets at the JSE.
The Carbon Market has also launched trading of international renewable energy certificates, which enable companies to offset Scope Two emissions from energy supplied by third parties.
JSE Ventures is actively onboarding participants to the platform, offering capacity building and introductions to project developers and financiers in a bid to expand the supply of environmental credits from the region.
