Italy picks Tanzania for carbon trading investment
ITALY has expressed interest in investing in Tanzania’s carbon market and environmental conservation initiatives, citing the country’s favourable investment climate and well-established carbon trading framework.
The interest emerged during talks between the Permanent Secretary in the Vice-President’s Office, Dr Richard Muyungi, and Italy’s Director for International Relations for European Countries at the Ministry of Environment and Energy Security, Ms Ambra Migliorisi, on the sidelines of the 64th Sessions of the Subsidiary Bodies under the United Nations Framework Convention on Climate Change (UNFCCC) in Bonn, Germany.
Ms Migliorisi was accompanied by the Deputy Chief Executive Officer of Sustainable Energy for All (SEforALL), Mr Stefano Marguccio.
The discussions focused on strengthening cooperation between Tanzania and Italy in carbon trading and environmental conservation.
Italy’s Ministry of Environment and Energy Security expressed interest in investing through projects under Article 6.2 of the Paris Agreement, which provides a framework for international cooperation in carbon trading.
Among 14 African countries under consideration, Tanzania was selected as a priority destination due to its established carbon trading policies, regulations and operational frameworks, as well as its conducive investment environment.
Under the proposed partnership, Italy plans to launch pilot projects with support from SEforALL. The organisation has already engaged a consultant to undertake a feasibility study that will guide implementation of the initiative.
Dr Muyungi welcomed Italy’s interest, describing it as a sign of the strong and longstanding relations between the two countries.
He said climate resilience and environmental conservation feature prominently under the third pillar of Tanzania’s Development Vision 2050, which identifies carbon trading as one of the strategic sectors expected to boost national revenue.
According to Dr Muyungi, the country aims to generate two billion US dollars from carbon trading and Blue Economy activities under Vision 2050.
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“Achieving this target will require stronger partnerships with international investors and continued collaboration with development partners,” he said.
He identified energy, waste management, transport, industry, agriculture and the Blue Economy as priority sectors for carbon market investments, noting that they remain key focus areas for both the United Republic of Tanzania and the Revolutionary Government of Zanzibar.
Dr Muyungi called for the immediate commencement of preparations for a Memorandum of Understanding (MoU) and a broader cooperation framework to facilitate the proposed investment.
He also urged Italy to initiate formal engagement through the Ministry of Foreign Affairs and East African Cooperation to expedite the process.
The climate conference, running from June 8 to 18, has brought together experts and policymakers from member states to discuss and harmonise positions on issues affecting developing countries, including those in Africa.
Tanzania is represented at the meeting by experts from government ministries, public institutions, the private sector, civil society organisations, youth groups and children’s representatives.
