Wales adopts Paris Article 6.4 carbon credits from 5 Dec
“These regulations set out our legal commitments to reduce emissions and strengthen our carbon accounting framework,” said Huw Irranca‑Davies back in October. From Friday 5 December, the Carbon Accounting (Wales) (Amendment) Regulations 2025 take effect, replacing Kyoto‑era references with Paris Agreement Article 6.4 credits after Senedd approval on 2 December. The instrument was made on 3 December.
What’s changed is technical but important. Wales has updated the legal definition of a “carbon unit” so it now means credits issued under Article 6.4 of the Paris Agreement, rather than the old certified emission reductions under the Kyoto Protocol. The 2018 accounting rules are amended accordingly.
Crucially, ministers have reiterated that near‑term targets will be met through domestic cuts. The Climate Change Committee advised a 73% average reduction for Wales’ Carbon Budget 4 and, for Carbon Budget 3 (2026–2030), a credit limit of 0%-meaning no reliance on offsets in that period. Today’s change simply aligns the rulebook with modern UN standards should credits be needed in future.
Senedd members nodded the regulation through on 2 December. “A fairer, more prosperous future for Wales depends on the steps that we will take today,” Huw Irranca‑Davies told the chamber as the motion went forward.
For readers on our side of the border, the practical read‑across is clear. Many Northern manufacturers run plants in North Wales or sell into Welsh public contracts. Update group policies to recognise Paris Article 6.4 units, but plan on delivering cuts on site: Welsh policy remains to prioritise domestic action, and supply‑chain guidance already pushes buyers to track CO2e in contracts.
That domestic action is gathering pace in the Mersey–Dee cross‑border economy. The HyNet cluster-spanning North Wales and North West England-has been cleared to move into construction, with government and Eni backing and operations slated from 2028, supporting around 2,000 jobs. As part of HyNet, a new CO2 network is set to move captured emissions to storage offshore.
On the ground in Flintshire, Heidelberg Materials plans carbon capture at Padeswood cement works, aiming to abate up to 800,000 tonnes of CO2 a year and connect into HyNet’s transport and storage. It’s a reminder that the fastest route to compliance-for Welsh and Northern plants alike-is cutting emissions at source.
Wales’ emissions picture underlines the task. Greenhouse gases fell to an estimated 34.1MtCO2e in 2023-down 6% year‑on‑year and 38% from the base year-on a path to net zero by 2050. Cleaner industry and power are doing the heavy lifting; accurate accounting keeps the scoreboard honest.
What to do now if you operate across North Wales–North West: check whether any Welsh sites or contracts rely on the 2018 definitions and refresh internal guidance from 5 December; keep procurement teams aligned with Wales’ CO2e reporting note; and watch for final decisions on future carbon‑credit limits before CB4 starts. The regulation is technical, but it tidies the rules-and leaves the focus on delivery.