Carbon Project Development in Papua New Guinea: A Guide for Landowners and Investors

Papua New Guinea is home to one of the largest remaining tropical rainforests on the planet. These forests store enormous amounts of carbon, support extraordinary biodiversity and sustain the livelihoods of millions of people. Carbon projects offer a way to earn income from keeping those forests standing, but success depends on working with an experienced carbon project developer in Papua New Guinea who understands the country’s unique land and legal systems.

Why PNG is important for forest carbon

Much of PNG’s forest faces pressure from commercial logging, conversion to agriculture and plantations, and infrastructure expansion. Projects that prevent deforestation (REDD+) or change logging practices to protect carbon stocks (Improved Forest Management, or IFM) can generate verified carbon credits while protecting the forest.

Customary land and landowner consent

Most land in PNG is held under customary tenure by clans and landowner groups. This means a carbon project cannot move forward without the genuine agreement of the people who own the land. A credible developer will:

  • Map clan boundaries and landowner groups carefully
  • Run awareness programs so communities understand what carbon credits are, how long the project runs and what obligations apply
  • Obtain free, prior and informed consent (FPIC) and document it properly
  • Agree a transparent benefit-sharing arrangement

Skipping or rushing these steps is the single biggest cause of disputes in PNG carbon projects.

The regulatory landscape

PNG’s Climate Change and Development Authority (CCDA) oversees climate policy and carbon market activity in the country, and the framework governing carbon projects has changed significantly in recent years. Project owners should expect national approval and registration requirements alongside international standards such as Verra’s VCS. A good developer tracks these changes closely and builds compliance into the project plan from day one.

What types of projects work in PNG?

  • REDD+: Avoiding planned or unplanned deforestation
  • Improved Forest Management: Converting logged forest to protected forest, or reducing the impact of logging
  • Afforestation and reforestation: Restoring degraded land
  • Sustainable agriculture and renewable energy: Smaller-scale projects with strong community benefits

Benefits beyond carbon

Well-designed PNG projects can fund schools, health services, clean water, ranger programs and local employment, while protecting biodiversity and cultural sites. Many buyers pay a premium for credits with strong, verified co-benefits.

Partnering with Asia Pacific Carbon

Asia Pacific Carbon has deep experience developing forest carbon projects in Papua New Guinea, from landowner awareness programs through to registration and credit sales. Contact us to discuss a potential project.