Liberia launches carbon levy on transport in 2026

February 09, 2026

Beginning March 1, 2026, Liberia will implement a new carbon levy on air and maritime transport, requiring airlines and shipping companies operating to and from the country to contribute USD 25 per metric ton of CO₂ equivalent (tCO₂e). This policy marks the official rollout of Liberia’s Sovereign Carbon Initiative, unveiled in Monrovia on January 27, 2026.

The initiative is managed by the Carbon Markets Authority, created in October 2025 through a presidential decree. Modeled after international emissions trading systems, particularly the European framework, the program introduces a national compliance mechanism that obliges transport operators to monitor, disclose, and reduce their greenhouse gas emissions.

How the carbon contribution system works

Under the new regulation, the USD 25 per tCO₂e charge will apply to half of the emissions produced by every aircraft and vessel entering or leaving Liberian territory. The aviation and maritime industries are the primary focus, as they represent major sources of carbon output and key opportunities for climate mitigation.

This policy aligns with international climate agreements, including the Kyoto Protocol and the Paris Agreement, and is founded on a core principle: carbon emissions should be compensated within the country where economic activity takes place. This approach strengthens Liberia’s climate sovereignty and environmental governance.

Supporting climate resilience and sustainable development

Although Africa generates roughly 4% of global emissions, it receives less than 3% of worldwide climate financing. Liberia, home to some of West Africa’s most valuable forest ecosystems, faces growing environmental threats, including coastal erosion, flooding, rising temperatures, and unpredictable rainfall.

The Sovereign Carbon Initiative seeks to address these challenges by creating stable, domestic, and long-term funding sources for climate action.

All proceeds will be administered through the Liberia Carbon Investment Fund (LCIF) and invested in:

• Climate adaptation programs

• Ecosystem and forest restoration

• Renewable energy development

• Energy transition projects

• Decarbonization of ports and airports

Integration with African carbon markets

Liberia’s carbon policy is part of a broader strategy to strengthen regional climate finance systems across Africa. According to Jeanine Cooper, Presidential Envoy for Climate Action and head of the Carbon Markets Authority, the initiative is designed to channel carbon revenues toward urgent national priorities.

By adopting this framework, Liberia joins a small group of African leaders in sovereign carbon regulation, following the examples set by Djibouti in 2023 and Gabon in 2025. This momentum reflects President Joseph Nyumah Boakai’s commitment to fostering sustainable economic growth through innovative environmental policies.

Oversight is provided by the African Sovereign Carbon Registry Foundation, backed by the African Union, which works to standardize carbon market practices and enhance institutional credibility across the continent.

Ensuring transparency and international compliance

Liberia is establishing a National Carbon Emissions Registry that complies with global transparency and verification standards. The system aligns with requirements from the International Maritime Organization (IMO) and the International Civil Aviation Organization (ICAO).

Independent auditors will oversee reporting and certification procedures to guarantee accuracy and accountability. The African Union has reaffirmed its support for these sovereign climate mechanisms, emphasizing their role in strengthening Africa’s climate leadership.

Lessons from regional pioneers

Countries such as Djibouti and Gabon have already demonstrated that sovereign carbon systems can function effectively. By building reliable national registries, partnering with international experts, and attracting climate investment, they have successfully financed forest conservation, clean energy projects, and sustainable infrastructure.

Their success has generated increasing interest from donors, multilateral organizations, and private climate investors. As a result, African sovereign carbon initiatives are now viewed as an emerging global model for transparent, locally driven climate finance.