PUBLISHER: The Business Research Company | PRODUCT CODE: 1880720
PUBLISHER: The Business Research Company | PRODUCT CODE: 1880720
Carbon credits refer to tradable certificates or permit representing the right to emit one metric ton of carbon dioxide (CO2) or an equivalent amount of other greenhouse gases. These credits are generated through verified emission reduction or removal projects, such as renewable energy, reforestation, methane capture, or energy efficiency initiatives. Carbon credits are used when organizations, governments, or individuals aim to offset their carbon footprint, meet regulatory compliance, or voluntarily support climate mitigation efforts.
The carbon credit market consists of sales, by entities (organizations, sole traders, or partnerships), of carbon credit that are used either for regulatory compliance in emissions trading systems or for voluntary carbon offsetting. These credits are often purchased by corporations, governments, or financial institutions to neutralize greenhouse gas emissions, meet sustainability goals, or enhance corporate social responsibility profiles.
The global carbon credit market reached a value of nearly $526,317.43 million in 2024, having grown at a compound annual growth rate (CAGR) of 23.80% since 2019. The market is expected to grow from $526,317.43 million in 2024 to $1,440,987.20 million in 2029 at a rate of 22.32%. The market is then expected to grow at a CAGR of 21.05% from 2029 and reach $3,744,589.83 million in 2034.
Increasing Public Awareness Of Climate Change
During the historic period, the carbon credit market was driven by the increasing public awareness of climate change. Heightened media coverage, visible climate events, and global campaigns have elevated understanding of global warming, extreme weather, and environmental degradation, making climate change a central concern for individuals, businesses, and governments alike. As awareness grows, so does demand for mechanisms that allow emission reductions to be quantified, verified, and traded, such as carbon credits, which provide a tangible avenue for acting against climate change and support regulatory and voluntary climate commitments. For instance, in April 2022, according to the Ipsos Climate Change Report, a France-based market research and consulting firm, 83% of Australians say they are concerned about climate change and 70% believe Australia is already being affected by it, up significantly from 56% in 2011. Along with concern, a growing share of Australians feel personal responsibility: from 55% in 2017 to 67% in 2022 agreeing that it is their responsibility to help address climate change, and from 37% to 54% feeling they personally can make a difference. . Therefore, the increasing public awareness of climate change drove carbon credit market.
Advanced Analytics Tools for Enhanced Carbon Credit Procurement
Innovative programs are increasingly linking carbon credits to everyday actions such as commuting, creating new avenues for participation in carbon markets. This approach aims to encourage sustainable behavior while generating verifiable emissions reductions. For instance, in September 2025, Sylvera, a Uk-based data and ratings platform, launched a new tool designed to streamline and enhance carbon credit procurement for organizations. The tool provides buyers with advanced analytics, transparency scores, and risk assessments to help identify high-quality carbon credits and avoid low-integrity projects. By integrating real-time market data, project performance metrics, and AI-driven insights, it enables sustainability teams to make more informed purchasing decisions aligned with corporate net-zero goals. This launch strengthens Sylvera's commitment to improving trust and accountability in the voluntary carbon market by simplifying due diligence and optimizing portfolio management for carbon offset investments.
The global carbon credit market is highly fragmented, with a large number of small players operating in the market. The top 10 competitors in the market made up 0.08% of the total market in 2024.
Carbon Credit Global Market Opportunities And Strategies To 2034 from The Business Research Company provides the strategists; marketers and senior management with the critical information they need to assess the global carbon credit market as it emerges from the COVID-19 shut down.
Where is the largest and fastest-growing market for carbon credit? How does the market relate to the overall economy; demography and other similar markets? What forces will shape the market going forward? The carbon credit market global report from The Business Research Company answers all these questions and many more.
The report covers market characteristics; size and growth; segmentation; regional and country breakdowns; competitive landscape; market shares; trends and strategies for this market. It traces the market's history and forecasts market growth by geography. It places the market within the context of the wider carbon credit market; and compares it with other markets.