The JSE is increasingly rolling out the use of tagging systems to mark credits as eligible for carbon tax compliance and other standards. Speaking at a panel discussion during African Energy Week 2025, JSE Head of Commodities Anelisa Matutu said this tagging system enables buyers to quickly identify the meaning and eligibility status of each credit, enhancing decision-making and improving interoperability across local and global markets.
However, liquidity remains weak with most buyers still drawn from international markets, Matutu said. “We are trying to build liquidity and not ringfence it to the South African context.”
Verra’s Heather McEwan highlighted transparency as a critical barrier to carbon market growth, noting that, while credit auctions have become more open, tracking the flow and pricing of credits remains limited. She added that registries are now becoming more connected to support Article 6 and UN Sustainable Development Goal labelling – tools that were unavailable only five years ago.
Nick Rowley, Director of Green Asset Exchange, pointed to the absence of formal asset classification for carbon credits as the biggest problem stalling government regulation and broader financial market integration. “Carbon credits have not been classified as an asset yet,” he said, adding that this intangible status complicates issues around money laundering and creates regulatory uncertainty.
“Financing also remains a bottleneck,” Matutu said. “Partnerships with development banks and new instruments are needed to help smaller projects become bankable as traditional financiers seek proven ventures.”
