Cambodia

Implementation period: 2025-2026 Funding amount: US$200,000 Window: Just-in-Time

Cambodia has identified carbon pricing and markets as key instruments for its climate policy framework, as reflected in its climate commitments, its Third Nationally Determined Contribution (NDC) in 2025, and its Long-Term Strategy for Carbon Neutrality, aiming to achieve net-zero emissions and carbon neutrality by 2050. Cambodia’s commitment to climate-smart development is further reinforced through the Cambodia Climate Change Strategic Plan 2014-2023, which includes the promotion of low-carbon development via carbon market mechanisms. While no dedicated national carbon pricing legislation currently exists, the government has taken concrete steps toward market readiness, including the 2024 release of an Operations Manual for implementing Article 6 of the Paris Agreement.  

Objectives & Activities:  

The PMI Program in Cambodia aims to support the country in exploring and preparing for carbon pricing implementation and access to international carbon markets by providing technical assistance on:

• Impact assessment and roadmap development: Assess Cambodia’s readiness for selected carbon pricing instruments and develop a high-level roadmap to support policy decision-making aligned with NDC and 2050 carbon neutrality goals.
• Barrier assessment for carbon market participation: Identify institutional, regulatory, and market barriers to participating in voluntary carbon markets and Article 6 mechanisms, including the potential for establishing a domestic crediting framework.
• Capacity building and stakeholder engagement: Deliver targeted training, workshops, and learning activities to strengthen institutional capacity and awareness among key public and private sector stakeholders.