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Carbon units as an instrument of climate policy: methodology, international experience and pilot implementation within the framework of the Sakhalin experiment

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  • A. V. Balabanova

Abstract

This article provides a comprehensive analysis of the formation and functioning of the carbon unit (CU) market as a key tool for decarbonizing the economy. Major international practices (EU, China, Kazakhstan) are investigated, including pricing mechanisms, sectoral coverage and regulatory features. The methodology for calculating forest absorbency, which is a critical element for countries with extensive forests, is discussed in detail. The central place in the work is occupied by the analysis of the Sakhalin Experiment, the first regional project in Russia to introduce a system for regulating greenhouse gas emissions. The regulatory framework, methodological approaches to accounting for emissions, the results of the pilot project and the prospects for scaling are analyzed. Particular attention is paid to the relationship of the regional experiment with the obligations of the Russian Federation under the Paris Agreement.It is concluded that the Sakhalin experiment serves as an important testing ground for testing the national carbon regulation system, identifying systemic challenges and preparing scaling throughout the Russian Federation in the context of fulfilling obligations under the second nationally determined contribution (ONUV–2).Â

Suggested Citation

  • A. V. Balabanova, 2025. "Carbon units as an instrument of climate policy: methodology, international experience and pilot implementation within the framework of the Sakhalin experiment," Scientific notes of the Russian academy of entrepreneurship, JSC “Publishing Agency “Science and Educationâ€, vol. 24(4).
  • Handle: RePEc:cvt:journl:y:2025:id:1181
    DOI: 10.24182/2073-6258-2025-24-4-16-25
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