DODOMA: Tanzania is urging wider participation in carbon trading across multiple sectors, seeking to position itself within fast-growing global carbon markets as demand for emissions offsets rises.
Permanent Secretary in the Vice-President’s Office Richard Muyungi said opportunities extend beyond traditional forestry projects to areas such as clean cooking energy, waste management and urban sanitation.
Speaking at a meeting on the Tanzania Green Transformation Programme in Dodoma, Muyungi said limiting carbon trading to tree planting risks overlooking broader economic and environmental benefits.
“Carbon trading is not confined to tree planting. There are opportunities across sectors that can benefit communities and contribute to national development,” he said.
Global carbon markets expanding
Carbon markets, developed under frameworks linked to the United Nations Framework Convention on Climate Change and the Paris Agreement, allow governments and project developers to generate tradable credits by reducing or removing greenhouse gas emissions.
Demand for such credits has grown as companies and countries seek to meet climate targets, creating new revenue opportunities, particularly for developing economies with large natural resources and untapped mitigation potential.
Across Africa, countries are increasingly positioning themselves to benefit from carbon finance through nature-based solutions, renewable energy and cleaner technologies, although regulatory frameworks and verification standards remain evolving.
Broadening participation beyond forestry
Tanzania’s approach reflects a shift toward diversifying carbon projects beyond forests to include sectors with high emissions-reduction potential and direct social impact.
Deputy Permanent Secretary Baraka Luvanda said the green transformation programme is designed to deliver measurable outcomes, including ecosystem restoration, expansion of green cover and improved ecological services.
The initiative will be implemented across mainland Tanzania and Zanzibar, with authorities targeting the restoration of about five million hectares of degraded land, forests, wetlands and rangelands.
Efforts also include reducing reliance on firewood and charcoal — a major source of emissions and deforestation — while promoting circular economy models in waste management.
Priority conservation areas include Lake Natron, the Mara River Basin, the Malagarasi-Muyovosi Basin and the Kilombero Valley.
Director of Environment Kemilembe Mutasa said the programme will prioritise public awareness and stakeholder participation, particularly at the local government level, alongside strengthening monitoring and evaluation systems.
The expansion of participation in carbon markets is envisaged to provide Tanzania with new revenue streams while supporting climate mitigation and adaptation goals.
However, they note that success will depend on clear regulatory frameworks, transparent governance and credible verification systems — factors that remain critical across global carbon markets.
As competition for climate finance intensifies, Tanzania’s strategy reflects a broader effort by African economies to align environmental sustainability with economic development, leveraging global climate mechanisms to support domestic growth.