Preventing and Handling Violations in the Carbon Market: The Laws of Selected Countries and Lessons for Vietnam

As an emerging market, the carbon market is increasingly exposed to risks arising from violations. As Vietnam develops, pilots, and progressively operationalises its domestic carbon market, the establishment of an effective legal framework for preventing, detecting, and handling violations is essential to safeguarding the market’s transparency, security, and environmental integrity. This article examines the principal forms of violations in carbon markets and assesses the current Vietnamese legal framework for their prevention and enforcement, while drawing on selected experiences from other jurisdictions and regions. On that basis, the article proposes measures to improve the legal framework on the register system, transaction monitoring, timely prevention measures, and sanctions for violations in Vietnam’s carbon market.