The Riyadh-headquartered Regional Voluntary Carbon Market Company (RVCMC) last week auctioned more than 2.2 million tonnes of carbon credits in Nairobi, Kenya. It represents the largest-ever voluntary carbon credit auction, following the 1.4 million tonnes auctioned by RVCMC in October 2022. 

A total of 16 Saudi regional and international entities participated in the auction, with Aramco, Saudi Electricity Company (SEC) and ENOWA (a subsidiary of NEOM) buying the largest number of credits. The auction clearing price was SR23.50 ($6.26) per tonne. 

The collection of CORSIA [Carbon Offsetting and Reduction Scheme for International Aviation]-eligible and Verra-registered credits includes 18 projects covering both CO₂ avoidance and removal, ranging from improved clean cookstoves to renewable energy projects. Three-quarters of the credits came from countries across the Middle East, North Africa and sub-Saharan Africa, including Burundi, Egypt, Kenya, Morocco, Rwanda, South Africa and Uganda.

The RVCMC was established in October last year by the Public Investment Fund (PIF) and Saudi Tadawul Group Holding Company (Saudi Tadawul Group), with the PIF holding an 80% stake and Tadawul Group a 20% stake, respectively, in the company. 

“We need to use every tool at our disposal to tackle the devastating impacts climate change is already having," Riham ElGizy, CEO of RVCMC, said in a press statement. "This auction demonstrates the role voluntary carbon markets can play in driving funding where it is most needed, to deliver climate action and improve livelihoods across the Global South.

“Our aim is to be one of the largest voluntary carbon markets in the world by 2030, one that enables compensation of hundreds of millions of tonnes of carbon emissions per year and contributes to global net-zero goals. Our achievements to date, in such a brief period, demonstrate commitment to long-term success, and ability to deliver on our ambitions.”