The government plans to allow brokerages to trade carbon emissions permits starting in the first half of next year, in a move to make it more accessible and convenient for businesses.
The ministry will sign a memorandum of understanding with KRX, the Greenhouse Gas Inventory and Research Center, and Koscom Corp., an IT service firm for securities institutions, on Wednesday to establish a stable trading system for carbon permits.
The National Assembly passed a related law revision in January, providing the legal basis for the change.
Under the new system, companies will be able to trade carbon permits through securities firms, similar to stock trading. Currently, market participants must trade directly through the Korea Exchange, which has been designated as the emission trading exchange since 2014.
"The role of the carbon trading market is crucial in inducing investments in greenhouse gas reduction," said Lee Young-seok, director general of climate change policy at the ministry.
"We will successfully introduce brokerage trading and implement measures to revitalize the carbon trading market."
