Policy Brief: Making Carbon Pricing Work for Southeast Asia’s Energy Transition
This policy brief draws on insights from the inaugural Sharing Perspectives to Advance Regional Knowledge on the Energy Transition in Southeast Asia (SPARK) Dialogue on carbon markets and pricing, convened by the Southeast Asia Energy Transition Partnership (ETP) in 2025. The policy brief maps the state of carbon pricing across key Southeast Asian economies, identifies common structural constraints, and sets out practical recommendations for governments and development partners.
Developed by Asia Clean Energy Partners, the policy brief highlights how well-designed carbon markets can help countries align climate targets with economic growth, mobilize private investment, and remain competitive under emerging global trade measures. At the same time, it underscores the importance of strong governance, credible monitoring systems, and coordinated institutional frameworks to build high-integrity, investment-ready markets across the region.
Grounded in real policy discussions and regional experience, the brief offers a practical roadmap for accelerating carbon market readiness and strengthening cooperation across Southeast Asia.
