President William Ruto signed the Climate Change (Amendment) Bill of 2023 into law on 1st September 2023, thereby setting the stage for the regulation of carbon markets in Kenya. The President’s assent preceded the Africa Climate Summit, which is being held at KICC Nairobi, Kenya. It is anticipated that following the assent, Kenya will now set in motion the necessary action to bring the provisions relating to carbon trading into play. They include the setting up of a National Carbon Registry and the development of regulations, guidance notes and policy directions by the Ministry of Environment & Climate Change with respect to carbon markets and the trading of carbon credits.
This law positions Kenya, which has issued more than 20% of Carbon Credits issued in Africa at a prime position to harness resources from the carbon industry. We now expect a heightened appetite for carbon credits deals.