Exploring Carbon Market Opportunities in Brunei Darussalam: The Case of Belait Peat Swamp Forest

Brunei Darussalam is advancing a strategic transition toward a net zero economy by positioning the Belait Peat Swamp Forest as a cornerstone of high-integrity, nature-based climate action. This joint publication by ERIA and Ministry of Primary Resources and Tourism (MPRT) examines the country’s efforts to establish a robust national forest inventory and credible forest carbon market framework grounded in international best practice. The report details Brunei’s shift toward advanced, locally calibrated Tier 2 and Tier 3 methodologies under the Intergovernmental Panel on Climate Change (IPCC) guidelines, aimed at closing critical data gaps in peat soils and above-ground biomass. Strengthening measurement, reporting, and verification (MRV) systems is essential to meeting the integrity requirements of the global voluntary carbon market and aligning with recognised standards such as the Verified Carbon Standard. By combining scientific rigour in carbon estimation, a phased and risk-managed market entry strategy, and a transparent governance framework, Brunei is laying the institutional foundations for high-quality carbon credits that command investor confidence. The report argues that, if implemented carefully, this approach can position Brunei as a regional leader in peatland-based climate finance – demonstrating how environmental stewardship, data integrity, and economic diversification can reinforce one another within ASEAN’s broader low-carbon transition.