The new carbon credits initiative will target the oil and shipping industries and will make use of blockchain technologies.
Dubai-based firm, Hamad Bin Khalifa Department of Projects (HBK DOP), is part of a new initiative that will launch an online carbon credit exchange program targeting Africa, carbon exchange transactions will be collated using blockchain technology. HBK DOP is joined in the initiative by the Nexum Foundation and The Climate Group Africa, based in Kenya.
The Climate Group Africa Limited develops and trades climate-related projects in Africa and South America. Nexum Foundation is a non-profit organization, established in Singapore.
Carbon credit programs for the shipping and oil industries
The initiative, Carbon Exchange Africa, aims to create carbon credit programs for the shipping and oil industries. “Shipping is considered a major polluter – that might not be a fair characterization considering that it facilitates more than 80% of the global trade,” said Panagiotis Georgolios, Nexum Foundation’s founder. “Irrespectively, the shipping industry will need carbon credits. This initiative allows the Foundation a strategic position in the carbon credit industry and supports our mission to promote the tokenization process of assets and services with tangible economic fundamentals and valuable offerings in the maritime world. We are also very happy that this effort will also support the local communities in Africa and allow them to receive real economic benefits.”
Carbon credits exchange
The companies will jointly develop an online carbon credits exchange system that will act as the ‘exclusive market conduit’ for carbon credits awarded to The Climate Group Africa through its activities. Their aim is through this new platform to ‘facilitate and promote the tokenization process of the carbon credit industry’.
HBK DOP was created in order to launch sustainability-themed projects in the region and beyond. HBK DOP will focus on infrastructure projects linked to projects in energy and agriculture as well as financial services. The renewables sector is of ‘particular interest’. “Ensuring climate action is truly effective and remains a top priority. Climate protection and innovation are among the fundamental building blocks for making our future sustainable. Supporting the carbon future science-based approach with our joint partners, delivering vital element, traceability and transparency, and hence the need for business and governments in working together towards building a sustainable society,” said Anwar Hussein, HBKDOP’s Group CEO.