The breakup of the partnership behind one of the world’s biggest carbon projects in Zimbabwe raises new doubts about the carbon market’s ability to backstop failures.
The integrity of one of the largest single sources of credits in the $2 billion carbon market faces serious doubt following the collapse of the partnership behind Kariba, a mega-project in Zimbabwe backed by the world’s top seller of carbon offsets.
South Pole, the company that sold most of the credits tied to the forest-protection project, said on Friday that it terminated its contract with Carbon Green Investments, which owns and develops the site. Dozens of corporate giants, including Volkswagen AG, Nestle SA, L’Oreal SA, Gucci and McKinsey, have purchased credits from Kariba representing millions of tons of…
