SIMUNJAN: The Sarawak government is currently working closely with the World Bank in assessing the price of carbon credits.

Sarawak Premier Datuk Patinggi Tan Sri (Dr) Abang Abdul Rahman Zohari Tun Datuk Abang Openg said that although there is no fixed international protocol on the calculation of carbon credits, there is a baseline for carbon calculation and the principle of carbon trading which now depends on the London Protocol.

"Now we are working with the World Bank to assess the accounting principles for assessing carbon prices.

"Carbon in trees where the value is compared to the price of carbon stored in mangroves has a different price because mangrove storage is greater than trees," he explained.

He said this when met by reporters after officiating the Sarawak State Level International Forest Day 2024 at the Sabal Forest Reserve here on Saturday.

To note, the London Protocol outlines strict monitoring and security measures for the transnational export and storage of CO2 with this legal framework ensuring that contracting parties must comply with regulations and restrictions to ensure marine protection while working towards a global energy transition.

The Premier of Sarawak added that a protocol for setting carbon price values must be prepared and adopted based on the London Protocol.

Meanwhile, he has also informed Prime Minister Dato' Seri Anwar Ibrahim that a protocol should also be implemented for carbon trading in Malaysia.

"This is because carbon trading at the international level is between the governments of a country.

"I told the (Federal) ministers that we need to upgrade the law from the point of view of energy and carbon trading where we need cross-border protocols between countries," he said.

He further explained that the Malaysian Government needs a protocol as a start in carbon trading in addition to working with reliable sources such as the World Bank to avoid fraud in carbon trading. - UKASnews