RIYADH, SAUDI ARABIA – The Clean Development Mechanism Designated National Authority (CDMDNA) announced on Monday the operation of Saudi Arabia’s domestic market mechanism, Greenhouse Gas Crediting and Offsetting Mechanism (GCOM), at MENA Climate Week 2023 here.
This step reflects the Kingdom’s role in addressing climate challenges and enabling institutions to tackle their emissions.
It’s also part of the Kingdom’s efforts to reduce the impact of climate change, according to the directions of Crown Prince and Prime Minister Mohammed bin Salman, thereby realizing the environmental sustainability objectives of Saudi Vision 2030.
The announcement on GCOM is an implementation of the domestic market mechanism announced by Prince Abdulaziz bin Salman, Minister of Energy, in November 2022 at the Saudi Green Initiative held during COP27 in Sharm el-Sheikh, Egypt.
GCOM will be accessible to all entities within the Kingdom, offering an incentive for emission reduction and removal to reach the Net-Zero target by 2060.
Abdullah AlSarhan, Secretary General of the Designated National General, said, “We are proud to advance the Kingdom’s climate ambitions through the launch of the Greenhouse Gas Crediting and Offsetting Mechanism.“
He said, “GCOM will enable entities across the Kingdom to meet their goals to reduce and remove emissions, ensuring collective action in our journey towards a sustainable and low-emission future.”
GCOM’s approach is both comprehensive and inclusive, allowing entities within the Kingdom to benefit from its domestic market mechanism for emissions management.
In line with the United Nations Framework Convention for Climate Change (UNFCCC), GCOM will support achieving the Saudi Nationally Determined Contributions (NDCs), unlocking financial opportunities among national entities striving to meet their climate objectives.