With the annual traded value of Australian carbon credits passing $1 billion for the first time, this report examines how Australia’s carbon market is evolving. It highlights that both carbon and nature markets need to be seen as significant tools, not solutions, to decarbonisation and biodiversity challenges. They must complement and enhance other regulatory and public funding initiatives.

The provides an analysis on the state of the carbon market and its contribution to net zero targets, as well as the importance of action to reduce emissions by large emitters and of ongoing reforms to carbon credit integrity. It contains insights from a range of experts, including decarbonisation researchers, nature specialists, corporate lawyers, carbon market participants, financial market specialists, technology specialists, and decarbonisation advisors.

Report sections

• The role of banks in supporting compliance under the Safeguard Mechanism.
• Re-shaping the Australian carbon market – key supply, demand & price drivers for 2025.
• Asia Pacific opportunities for emissions trading following operationalisation of the Article 6 Rulebook.
• State of the Indigenous Carbon Industry.
• Unlocking carbon dioxide removal in Australia: Challenges and opportunities.
• Scaling action for Nature Positive.
• The data revolution in carbon markets: Unlocking transparency, accountability, and growth.
• Carbon markets and credible corporate claims.