Introduction
As Kenya steps up its participation in global carbon markets, the recently published Draft Climate Change (Carbon Registry) Regulations, 2025 mark a pivotal moment. Developed under the Climate Change Act, these regulations aim to create a National Carbon Registry to transparently and accountably track and manage carbon credits and Internationally Transferred Mitigation Outcomes (ITMOs).
Through the Law Society of Kenya, I had the opportunity to submit an analysis and recommendations on the draft. My goal was to highlight key opportunities while also pointing out a few “red flags” that we absolutely must address for this system to work effectively.
What the Draft Regulations Aim to Achieve
At its core, the regulations propose a secure electronic system to record, track, and manage all carbon project data. This covers everything from a project’s design and approvals to credit issuance, transfer, and ultimate use or retirement of carbon units. This registry system, which includes sector-specific registries for areas like forestry, energy, and waste management, is designed to ensure market integrity, public transparency, and alignment with international standards like those under the Paris Agreement.
The system will feature dual platforms:
- A restricted management portal for regulators and sector officers.
- A public portal for project visibility, market access, and general accountability.
Crucially, the draft also outlines strict Know Your Customer (KYC) procedures, robust data protection, cybersecurity measures, and interoperability with international registries. These are all vital components for building a trustworthy carbon market infrastructure in Kenya.
Uncovering a Critical Governance Gap
While the technical and administrative provisions are largely sound, I identified a significant concern with Regulation 9(a). This section gives individual sector Cabinet Secretaries the power to appoint Sector Registrars.
Why is this a big deal?
Because the success of our carbon registry hinges not just on excellent systems, but on the competence and expertise of the people managing them.
My recommendation was two-fold:
- Centralized Appointment: The power to appoint sector registrars should fall under the Cabinet Secretary responsible for climate change, rather than individual sector CSs. This approach ensures greater coherence, prevents fragmented appointments, and anchors all appointments within a unified climate governance framework.
- Prescribed Qualifications: Alternatively, or in addition, the law should explicitly define the minimum qualifications for registrars. This is particularly crucial for expertise in climate science, carbon markets, and environmental governance.
Without these safeguards, we risk opening the door to political appointments or tokenism in a technically sensitive area that demands merit-driven leadership. If Kenya is serious about building a credible carbon market—one that attracts investment, benefits communities, and safeguards our environment—then technical leadership and climate expertise must be non-negotiable.
Why This Matters for Kenya’s Future
Carbon markets are no longer a niche concept; they’re rapidly becoming a practical tool for climate action, job creation, and local development. However, without proper oversight, they can also be abused or poorly implemented. A well-run National Carbon Registry has the potential to empower communities, foster climate-smart innovation, and position Kenya as a leader in Africa’s carbon transition.
But for all this to happen, we have to get the governance right from the start.