Kathmandu: National Carbon Pricing Policy is being developed to advance Nepal towards a low-carbon economy. Together with the Ministry of Agriculture, Forests and Environment, UNDP convened over 60 representatives from the government, development partners, multilateral organizations, the private sector, and academia to review the Draft National Carbon Pricing Policy and its implementation roadmap.
The discussions examined a phased approach to carbon pricing—beginning with a carbon tax, followed by Emissions Trading System (ETS), and ultimately a hybrid mechanism. Aligned with Nepal’s NDC 3.0, NAP, Green Growth Strategy, fiscal decentralization, and just transition priorities, the policy aims to strengthen climate finance, support emissions reduction, and enhance Nepal’s readiness for carbon markets.
