In 2024, we saw the hottest year on record, placing immense stress on global ecosystems. Delayed negotiations for a global plastic treaty, a scaled-back climate finance agreement at COP16, and increased reliance on and consumption of fossil fuels defined a challenging year. Despite these setbacks, 2024 also highlighted resilience in the climate space through policy advancements, innovation, and collective action.
Here’s a look at the global developments set to shape the climate landscape in 2025.
1. Trump returns to The White House
Fossil fuel production has risen under all previous US administrations. While Trump’s climate denial raises concerns, its impact may be tempered.
Trump is currently implementing a spending freeze on Biden’s Inflation Reduction Act (IRA), which is designed to fund clean energy, but this is receiving kickbacks from some Republican states that benefit economically from clean energy incentives.
Key takeaway: Financial and social realities make climate action unavoidable, even for businesses and states under the new administration.
2. Nature and biodiversity take centre stage
Nature and biodiversity are now integral to climate strategies. Highlights include:
• A $400M pledge to the Global Biodiversity Framework Fund to protect 30% of Earth’s land and seas by 2030.
• The Task Force on Nature-Related Financial Disclosures (TNFD) has grown from 320 to nearly 600 adopters in one year.
• Australia’s Nature Repair Act and biodiversity credit markets are moving forward.
Key takeaway: Nature repair is vital for a thriving planet. The focus must now shift to delivering measurable progress in 2025.
3. Climate-related disclosures gain momentum
Mandatory climate-related reporting standards promoting transparency and accountability are strengthening globally:
• Australia: New reporting standards (aligned with the TCFD) began in January 2025, requiring businesses to disclose emissions, risks, and climate adaptation strategies.
• Financial sector leadership: Banks, insurers, and investors increasingly demand climate risk disclosures, with non-compliance risking loss of investment or lending.
Key takeaway: Transparency is key. Mandatory reporting highlights risks and encourages businesses to act.
4. Carbon markets drive global goals
The COP16 Rulebook for Article 6 established frameworks for international carbon markets, enabling emissions trading and funding for decarbonisation and adaptation:
• International cooperation: Countries can now trade emissions reductions, reducing costs and fostering cooperation.
• Private sector participation: Businesses are leveraging voluntary carbon markets as part of their net-zero strategies.
In February 2025, countries will submit updated Nationally Determined Contributions under the Paris Agreement, outlining decarbonisation goals for the next decade.
Key takeaway: Carbon markets, both voluntary and involuntary, are recognised as critical tools for funding and scaling global climate solutions.
5. AI supports climate action
AI is a resource-intensive technology with environmental costs, but it also offers powerful tools for climate action. According to the World Economic Forum, AI is helping to:
• Map over 1 million hectares of deforestation.
• Predict extreme weather to aid preparation and adaptation.
• Improve system efficiency to reduce waste.
• Accelerate innovation cycles, particularly in prototyping essential technology.
Key takeaway: AI has the capacity to provide detailed datasets that can help inform more effective climate mitigation strategies.
A vision for the future
If your organisation is committed to improving the health of the Australian landscape, partnering with Carbon Positive Australia offers the opportunity to create measurable, high-quality biodiversity outcomes. Together, we can drive biodiversity restoration, strengthen landscape resilience against nature-related risks, and contribute to a healthier future for our planet. You might like to read more about the imminent Nature Repair Market here.
Get involved in nature repair now
Set to launch in 2025, the Nature Repair Market is a world-first initiative. In the meantime, your business can start supporting biodiversity restoration today. Whether exploring biodiversity projects or contributing to restoration efforts across Australia, we’re here to help.
Are you ready to reduce your climate risk and become nature-positive?
Our native tree-planting projects enable communities, individuals, and businesses to contribute meaningfully to climate action.