Our approach

The Foundation Future of the Carbon Market aims to support innovative carbon market mechanisms in developing countries. The Foundation is particularly concerned to access untapped emission reduction potentials by carbon market mechanisms. In addition it aims to facilitate a broader participation of developing countries in emissions trading by supporting those countries through start-up finance and consulting on the development of a low carbon economy. The Foundation therefore works on the basic assumption that, in the current development phase of the carbon market, programmatic approaches are strategically important for both the existing and the future mechanisms of international climate finance. The Foundation seeks to fund measures that support the dissemination of the programmatic project approach.
The Foundation seeks to collaborate with other donors providing finance for programmatic mitigation projects to leverage funding activities and strengthen advisory capacity for the host country. Collaboration could take the form of an endowment contribution to the Foundation or direct financing for a project.

The Foundation’s intention in funding individual programmatic mitigation projects is to reach additional emission reduction opportunities via the market, acquire knowledge and experience that might be valuable for future carbon market mechanisms, and enhance the ability of host countries to develop more far-reaching climate policies.
The Foundation also aims to illustrate how the finance sources of the host country, the carbon market and the direct support services of the developed nations can work together within the climate finance framework. In this context, it is also important to consider in which areas which finance sources are more appropriate than others.