Waste Management Carbon Credit Market Size - By Type (Voluntary, Compliance), Regional Outlook & Growth Forecast, 2024 – 2032

Waste Management Carbon Credit Market Size

Waste Management Carbon Credit Market was valued at USD 10.7 billion in 2023 and will grow at 13.8% CAGR from 2024 to 2032, driven by efforts to reduce greenhouse gas emissions and promote sustainable waste management practices. Increasing regulatory pressure towards waste management along with rising awareness & corporate responsibility towards carbon offsetting is expected to complement the market growth.
 

Governments worldwide are tightening regulations on waste management and carbon emissions, pushing industries to adopt cleaner technologies and processes. For instance, In May 2024, the U.S. government established a set of principles aimed at defining the role of "high-integrity" carbon credits in effectively reducing greenhouse gas emissions. These principles seek to channel substantial private capital towards combating climate change. This creates demand for carbon credits from waste management activities that reduce emissions.
 

Waste Management Carbon Credit Market Trends

Advances in waste management technologies such as anaerobic digestion, pyrolysis, and improved landfill management techniques are enhancing efficiency and reducing emissions. These innovations will qualify for carbon credits, encouraging further investment in R&D. The carbon credit market including waste management credits is growing globally as standardization efforts by organizations like the Verified Carbon Standard (VCS) and the Climate Action Reserve (CAR) provide credibility and transparency, attracting more participants, thereby spurring the market dynamics across the globe.
 

Waste Management Carbon Credit Market Analysis

The global market for waste management carbon credit will surpass USD 32 billion by 2032. Strict government policies and regulations targeting carbon emissions have catalyzed a burgeoning market for carbon credits, reshaping the landscape of environmental stewardship and economic incentives across the globe. As concerns over climate change intensify, governments and organizations seek effective strategies to mitigate greenhouse gas emissions, leading to the proliferation of carbon credits as a key tool for achieving emission reduction goals.
 

In addition, collaboration between waste management companies, technology providers, and financial institutions is increasing which in turn is propelling the industry growth. Partnerships will facilitate project financing, technology deployment, and aggregation of carbon credits, making projects more viable.
 

Based on type, the compliance carbon credit market will showcase 13% growth rate from 2024 to 2032. The integration of waste management into broader carbon pricing mechanisms, such as carbon taxes or cap-and-trade systems, incentivizes companies to monetize their emission reductions through carbon credits.
 

Europe waste management carbon credit market is anticipated to exceed over USD 26.2 billion by 2032. Strict government policies and regulations catalyze market expansion by imposing binding emission reduction targets on industries and utilities. For instance, the European Union Emissions Trading System (EU ETS) mandates that participating industries, including power generation and manufacturing, adhere to stringent emission caps. As a result, governments are enacting more ambitious emission reduction targets and implementing carbon pricing mechanisms to internalize the external costs of carbon pollution towards waste management.
 

The growing inclination toward biodiversity and conservation goals in the U.S. is emerging as a key factor driving the market expansion. As respective authorities confront the escalating threats of climate change and ecosystem degradation, the imperative to safeguard biodiversity and mitigate carbon emissions has gained unprecedented momentum. This collective awareness has catalyzed diverse stakeholders including governments, corporations, and individuals to seek innovative solutions to combat environmental degradation while fostering sustainable development.
 

Waste Management Carbon Credit Market Share

Veolia, Suez, The Carbon Trust, Waste Management, Inc. and CarbonClear are among the dominant players in the waste management carbon credit business. These companies enhance their reputation and marketability by demonstrating commitment to reducing carbon emissions through waste management practices.
 

Waste Management Carbon Credit Market Companies

Major key players operating across the waste management carbon credit industry are:

• 3Degrees
• ALLCOT
• Atmosfair
• CarbonClear
• Climate Impact Partners
• ClimeCo LLC.
• EcoAct
• Ecosecurities
• Green Mountain Energy Company
• PwC
• South Pole
• Sterling Planet Inc.
• Suez
• TerraPass
• The Carbon Collective Company
• The Carbon Trust
• Veolia
• Waste Management, Inc.
   

Waste Management Carbon Credit Industry News

• In May 2024, SUEZ and First Climate have entered a strategic partnership with Microsoft to deliver biochar carbon removals from Carbonity. This three-year agreement includes the delivery of 36,000 removal credits, sourced from the large-scale Carbonity project, a Canadian joint venture co-owned by SUEZ, Airex Energy, and Groupe Rémabec. The partners plan to commence operations at their Carbonity facility in Quebec by the end of 2024, with an initial annual production capacity of 10,000 tons of biochar.
   
• In May 2024, the Gold Standard’s Technical Advisory Committee introduced a new standard permitting the issuance of carbon credits for decentralized organic waste processing. This standard enables purchasers to directly support projects that divert waste from landfills, which in turn will assists the market expansion across the forecast period.
   

This waste management carbon credit market research report includes an in–depth coverage of the industry with estimates & forecast in terms of revenue in ‘USD Billion’ from 2021 to 2032, for the following segments:

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Market, By Type

• Voluntary
• Compliance

The above information has been provided for the following region:

• North America
• Europe
• Asia Pacific
• Middle East & Africa
• Latin America