Paris Agreement Article 6.2 & 6.4 Regular Update, JCM Philippines Forest Guideline Adoption, COP30
This article is an automatically translated version of the original Japanese article. Please refer to the Japanese version for the most accurate information.
Sustainacraft Inc. newsletter. This article is Section B (Trends in Major Overseas Regulations) of VCM Updates (Voluntary Carbon Market Updates). For inquiries, please contact us here.
This article will inform you about the trends in major carbon-related policies announced from October to November 2025, following the items below.
In addition to the monthly summary of trends related to Paris Agreement Article 6.2 and Article 6.4, we will explain the set of JCM Forest Guidelines adopted in the Philippines JCM, and discuss the key debate points for Article 6.4 as a COP30 flash report.
Introduction
Policy Trends
Paris Agreement Article 6.2 (Bilateral Cooperation)
Paris Agreement Article 6.4 (Paris Agreement Crediting Mechanism (PACM))
Non-State Actor Initiatives
National Carbon-Related Policies
Analysis Articles
JCM Forest Guidelines Adopted in the Philippines!
[COP30 Flash Report] Article 6.4: "Rigor" vs. Consideration for Nature-based Solutions in the Implementation Phase?
Keywords: Article 6, Bilateral Cooperation, PACM, JCM, Philippines, COP30
This article was written by Michelle Appiah (Business Development Manager) and Chisa Umemiya (Carbon Specialist).
1. Introduction
This month, COP30 is being held in Belém, Brazil. Due to this, activities surrounding Article 6 are active. Singapore and Peru have launched a call for mitigation projects in Peru under their bilateral agreement, targeting Gold Standard and Verra. Thailand and Indonesia are also collaborating with Verra and Gold Standard to prepare for verifying project compliance. In this way, intergovernmental initiatives and voluntary approaches are becoming more integrated.
There have also been several significant developments in JCM. In the JCM between Japan and Thailand, both countries for the first time approved and internationally transferred JCM Credits as ITMOs. Furthermore, a set of JCM Forest Guidelines was adopted in the JCM with the Philippines. The adoption of this set of guidelines, which emphasizes ARR (Afforestation, Reforestation and Revegetation), has expanded options for Japanese companies interested in nature-based projects, allowing them to consider afforestation-type JCM projects in addition to REDD+ projects in Cambodia and Laos, where forest guidelines are already established. In the analysis article, we will explain why ARR is currently being emphasized in the Philippines, as well as the types of afforestation activities aligned with the country's conditions and their implementation requirements.
In Article 6.4 as well, there has been progress, such as the Supervisory Body approving for the first time a Methodology for Methane (CH4) reduction from landfills. The treatment of nature-based projects, which remains unclear, is also attracting attention at COP30, and this article's analysis section will introduce the key points of the discussion. We believe the focus is on considering nature-based solutions to promote mitigation actions in the implementation phase, versus the strictness of internationally required standards for Credit quality.
2. Policy Trends
Article 6.2
Last month, against the backdrop of growing momentum towards COP30 in Belém, Brazil, efforts to realize Article 6.2 cooperation frameworks accelerated. Among countries with existing partnerships and a track record of participating in carbon markets, the following developments occurred:
Singapore and Peru launched a call for projects under the Bilateral Implementation Agreement signed in April 2025.
Project Developers can submit Gold Standard or Verra mitigation projects in Peru aimed at generating ITMOs (Internationally Transferred Mitigation Outcomes).
In this call, only two nature-based Methodologies are included, with Methane (CH4) reduction and circular economy sectors being prioritized.
Nevertheless, Peru is a major forest carbon supplier, with a forest area of 72 million hectares (53% of its land area, 9th largest globally), and there is a strong possibility for ARR (Afforestation, Reforestation and Revegetation) and REDD+ projects.
Under the Implementation Agreement with Switzerland signed in 2020, Ghana is launching a $200 million rooftop solar power program.
Given that most previous clean projects involved cookstoves or small-scale efficiency improvements, this project is expected to be one of the largest clean energy projects under Article 6.
In the Asia-Pacific region, several countries advanced efforts to improve Credit reliability and strengthen their response to Article 6.2.
Japan and Thailand, under the Joint Crediting Mechanism (JCM), approved Credits generated from the "Introduction of 5MW Floating Solar PV System in Industrial Water Reservoirs" project as ITMOs, making it the first international transfer.
Thailand and Indonesia formally collaborated with Verra and Gold Standard, establishing a system to receive support for verifying project compliance with internationally recognized standards.
Malaysia is considering methods for transitioning existing CDM (Clean Development Mechanism) projects to the new PACM (Paris Agreement Crediting Mechanism).
Even in countries with limited Carbon Market experience, the utilization of Article 6.2 is beginning to advance.
- Mauritania announced an Article 6.2-related NDC (Nationally Determined Contribution) seeking partnerships in areas such as renewable energy, energy efficiency, waste management, transport, agroforestry, and ecosystem restoration, in addition to its green hydrogen program. Given that approximately 96% of the country's Emission Reduction needs depend on international finance, Article 6.2 is strategically important.
- Kuwait hosted a regional dialogue to accelerate the readiness of West Asian countries for the Article 6.2 mechanism.
Article 6.4
Significant progress was made in PACM (Paris Agreement Crediting Mechanism) last month. The Article 6.4 Supervisory Body approved its first Credit Methodology targeting Methane (CH4) reduction from landfills. This introduced a phased Credit Issuance approach to ensure Additionality, and established rules for impact assessment and addressing unintended emissions.
The Supervisory Body also issued decisions regarding Permanence, Additionality, and the transition of CDM projects to PACM, offering some flexibility while deferring several complex issues. Meanwhile, uncertainty still surrounds nature-based projects. The development of key Methodologies required for early crediting is expected to take several years, meaning many Project Developers may consider other markets for the time being.
Non-State Actor Initiatives
IC-VCM: Six New Carbon Dioxide Removal Methodologies and Sustainable Agriculture Methodologies Approved
In early October, the Integrity Council for the Voluntary Carbon Market (IC-VCM) approved six new Carbon Dioxide Removal Methodologies under the Core Carbon Principles (CCP) to advance the VCM towards high-integrity Removal projects.
- Gold Standard – Carbon Sequestration Through Accelerated Carbonation of Concrete Aggregate (v1.0）
- Isometric – Biomass Geological Storage, Bio-oil Geological Storage (v1.0-1.1)
- Isometric – Subsurface Biomass Carbon Removal and Storage (v1.0)
- Isometric – Biogenic Carbon Capture and Storage (v1.1)
- Isometric – Direct Air Capture (v1.1)
Furthermore, sustainable agriculture Methodologies by major registries like Verra and CAR were also approved under the CCP, with additional conditions. The Methodologies in question are U.S. Soil Enrichment Protocol v1.1 and VM0042 Improved Agricultural Land Management v2.2. Additional conditions for the former include a 40-year Permanence commitment and no rotational grazing or intensive grazing. For the latter, the Soil Organic Carbon (SOC) measurement method must be one of the permitted methods, with the exception of digital soil mapping (DSM), which, though an allowed method, remains unevaluated under this decision.
For more details on VM0042 Improved Agricultural Land Management v2.2, please refer to this month's Methodology update newsletter below.
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