Climate Change Center

Carbon Market Trends Brief (1st Week of December)

Pohang City has become the first local government in Korea to join the Network of Focal Geographies (NFG) under the Global Green Growth Institute (GGGI), officially entering the sphere of city-level international climate cooperation. This development is significant as it provides a foundation for local governments to directly collaborate with international organizations and advance mitigation and adaptation projects.

Meanwhile, a new International Coalition for Sharing Carbon Pricing Systems has been launched with participation from multiple countries, establishing a cooperation platform for sharing operational experience on emissions trading systems (ETS), carbon taxes, and other carbon pricing mechanisms. These two developments indicate a growing trend toward expanding collaboration across cities, national governments, and international organizations, and toward aligning carbon market rules and policy practices.

Pohang City Joins GGGI NFG…Expanding Local Government Partnerships in International Climate Action
Pohang City becomes Korea’s first local government to join GGGI’s Network of Focal Geographies (NFG). The NFG is an international network that promotes city-centered collaboration on climate change response, green urban transitions, and mitigation/adaptation projects, supporting policy exchange and joint project development among cities.

Through this membership, Pohang City secures an institutional foundation to expand international cooperation across various areas, including climate adaptation, renewable energy development, and green infrastructure. GGGI will provide policy advisory support, capacity building, and climate finance linkages, thereby facilitating the development of city-based mitigation projects.

International Coalition for Sharing Carbon Pricing Systems Launched…Building a Platform for Exchange of National Carbon Pricing Experiences

An international coalition for sharing carbon pricing systems has been formally launched with participation from multiple countries. The coalition serves as a platform for exchanging operational experience with national emissions trading systems (ETS), carbon taxes, and broader mitigation policies, allowing countries to share accumulated knowledge, data, and policy outcomes across the design and implementation stages.

Its objective is to enhance compatibility, transparency, and efficiency among national carbon market systems, ultimately promoting international alignment of carbon pricing mechanisms.
This initiative is regarded as a new form of climate governance aimed at reducing policy gaps between countries and strengthening the cooperative foundation for global mitigation efforts.

Key Implications
• Multi-level carbon market governance deepens as city–national–international cooperation expands
The cases of Pohang City and the new coalition illustrate how climate policy is evolving from a state-centric structure toward one that actively includes local governments and international institutions.

• International alignment and standardization of carbon pricing systems are accelerating
The coalition lays the foundation for standardizing ETS and carbon tax operations by enabling systematic exchange of national experiences.

• Opportunities for local government–led international mitigation projects increase
By joining the NFG, Pohang City secures a structure through which climate adaptation and mitigation projects can be developed into international programs, with potential expansion to other local governments.

• Korea requires a dual-track strategy linking city-level projects and national carbon pricing policies
Korea must advance policy alignment with coalition member states while simultaneously expanding city-based cooperation and climate finance access to effectively respond to evolving global norms.

Related Articles & References

1) Carbon Market Trends Brief (3st Week of November)Pohang becomes the first local government in Korea to join GGGI’s Network of Focal Geographies (NFG), entering the global climate cooperation network.

2) Launch of the International Coalition for Carbon System Sharing: a new multilateral platform for countries to exchange operational experience in carbon pricing and mitigation systems.