Climate 411

COP 25: Carbon markets in the spotlight

By / Published: December 3, 2019

Staff and volunteers welcomed at COP 25 in Madrid.
UNclimatechange via Flickr

International cooperation on carbon markets, covered in Article 6 of the Paris Agreement, is at the top of the agenda for the COP 25 climate talks in Madrid this week. Since leaving the Article 6 section of the Paris Agreement without agreement at COP 24, negotiators have continued to work over the past year to garner support for a deal, before countries shift focus to preparing their critical next round of NDC pledges, due next year.

They will do this against a backdrop of political disruption, but continued determination to finalize the Paris Agreement’s operating instructions, known in the UN as the “rulebook”.

Civil unrest in Chile led that country’s president to take the unprecedented step of canceling the climate conference only five weeks before its scheduled start. Spain quickly stepped in the next day to offer to organize the negotiations, known as COP 25, in Madrid. The United States earlier this month officially began the process to withdraw from the Paris Agreement. All this is happening while the increasing impacts of climate change are being felt around the world; fires have ravaged Australia and California, while historic flooding is drowning Venice and dangerous pollution is choking Indian cities. And a new World Meteorological Organization report confirms that the atmospheric concentration of three key greenhouse gases – methane, CO2, and nitrous oxide – continues to rise.

Although the ultimate success of the Paris Agreement will be judged many years from now, how the rules on international carbon markets are decided in Madrid could make or break the ambition of the Paris Agreement.

That’s because international carbon market cooperation underpinned by strong accounting and transparency rules can help drive emissions down significantly: research shows that well-designed carbon markets could nearly double the ambition of current national climate pledges, at no extra cost.

However, weak rules for carbon trading between countries could fundamentally undermine the Paris Agreement. By allowing countries and the private sector to “count” carbon credits that don’t represent real emissions reductions, a bad set of rules on Article 6 could negate the climate ambition of current climate pledges.

What is a good Article 6 agreement?

Read More »

Posted in Carbon Markets, COP 25, Paris Agreement, United Nations / Comments are closed

Carbon markets: Can countries fill in the missing chapter of the Paris rulebook in Bonn?

By / Published: June 17, 2019
https://www.flickr.com/photos/unfccc/48078728413/in/album-72157709079202332/

Bonn Climate Change Conference opening plenary. UNclimatechange

Negotiators are meeting in Bonn, Germany this week and next on the back of the successful negotiations in Katowice, Poland where the Paris climate agreement “rulebook” was mostly agreed, on time. A feat nearly unprecedented in the often glacial UN climate talks provides hope that countries can continue to work together in light of the urgency to address climate change.

The one exception to the success in Katowice was international cooperation through carbon markets. Despite taking the session into overtime, negotiators could not agree on a key chapter of that rulebook – the text meant to catalyze international cooperation on carbon markets under Article 6.

Among other things, Article 6 guidance will spell out how countries can “count” the results of international emissions reduction trading toward their Paris greenhouse gas reduction pledges (known as nationally determined contributions, or NDCs). Article 6 has three main components framing international cooperation under the Paris Agreement. Article 6.2 provides for the accounting framework, Article 6.4 establishes a new UNFCCC mechanism and Article 6.8 provides a framework for non-market approaches.

As one of the last items that need to be addressed after COP24, carbon markets will be a central focus of the negotiations in 2019 and Article 6 will benefit from additional political focus on the road to agreement at COP25 in Santiago de Chile in December.

Here we answer key questions about carbon markets and the UN climate talks.  Read More »

Posted in Carbon Markets, International, Paris Agreement, United Nations / Comments are closed

COP 24: Transparency, ambition and carbon markets on the Paris rulebook agenda in Katowice

By / Published: December 3, 2018

See EDF’s COP 24 materials and meet our Katowice team at edf.org/cop24.

COP 24 Opening Plenary in Katowice, Poland. Flickr/ UNclimatechange

As the world’s leading climate scientists made clear in a recent special report, we are in the race of our lives against climate change, and we need to move faster. The Paris Agreement’s rapid entry into force in 2016 broke records, but records are also being broken outside of the UN that emphasize the urgency of action: record wildfires, record temperatures, record storms, record levels of carbon in the atmosphere.

So the stakes are high in Katowice, Poland, as countries meet to finalize the operating manual for the landmark Paris Agreement on climate change. In 2016, countries set themselves a deadline of this year to complete their task. Once agreed, the Paris “rulebook” will guide them in their efforts to implement the Agreement, including how countries will measure, report and hold each other accountable to their Paris commitments.

Two interrelated issues will be particularly important for the rulebook discussions in Katowice.

First is how to operationalize the Paris Agreement’s transparency system; transparency is vital to strengthening ambition and to the success of the agreement itself.

Second is how that transparency system should link to a new framework for international carbon market cooperation designed to spur the deeper emissions cuts that climate science demands. Read More »

Posted in Carbon Markets, Paris Agreement, United Nations / Comments are closed

7 reasons avoiding double counting of emissions reductions helps countries, and the environment

By / Published: September 26, 2018

Photo credit: iStock

Meeting the Paris Agreement’s ambitious goal – to hold “the increase in the global average temperature to well below 2 °C above pre-industrial levels and to pursue efforts to limit the temperature increase to 1.5 °C above pre-industrial level” – will necessitate dramatic reductions in total emissions of greenhouse gases.

Market-based approaches that follow well-established “rules of the road” for emissions accounting and transparency have a powerful role to play in helping countries to meet their near-term commitments as efficiently as possible, and in encouraging and even accelerating the broad and ambitious long-term climate action that the Paris Agreement demands.

By affirming a role for market-based approaches in Article 6, the Agreement recognizes the realities on the ground, where emission-trading systems are already at work in over 50 jurisdictions home to nearly 2 billion people. More than half of the world’s countries have so far expressed an interest in using carbon markets to meet their pledges, including for achievement of conditional targets, in their NDCs (“nationally determined contributions”) under the Paris Agreement.

But if the Paris Agreement goals are to be met, the risk of “double counting” emissions reductions must be avoided.

That is why the Paris Agreement rulebook to be finalized this December in Poland at COP 24 should clearly and unambiguously state that any country that voluntarily chooses to transfer some of its emissions reductions must transparently “add back” a corresponding amount of emissions to its own emissions account. This is known as a “corresponding adjustment,” and it should apply to all transfers: whether the transferred reductions occur inside or outside the country’s NDC; and whether the reductions are being transferred to another country or to the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).

A corresponding adjustment has clear environmental benefits for both participating countries and our shared climate. Here are 7 of them:

Read More »

Posted in Aviation, Carbon Markets, Paris Agreement, United Nations / Comments are closed

Once is enough: how climate negotiators can protect the environmental integrity of the Paris Agreement by avoiding double counting

By / Published: September 4, 2018

Climate ambition is often thought of in terms of the stringency of emission reduction commitments, expressed by countries under the landmark Paris Agreement as Nationally Determined Contributions (NDCs). While the NDCs that have been pledged by countries are important, they are only the first step.

To truly assess progress in reducing global climate pollution, it is necessary to look behind country pledges to understand exactly how their emissions are counted and reported. We need consistent accounting rules and transparent reporting to ensure the world is on track.

The details of accounting and transparency may sometimes sound boring and technical. But the content of these rules is as important as countries’ headline climate targets, since the headline numbers are only as good as our ability to ensure countries are clearly reducing emissions and counting those reductions accurately.

Fortunately, these same accounting and transparency rules – if done right – can also help unlock the potential of carbon markets to drive investment and innovation up, and pollution down. Read More »

Posted in Aviation, Carbon Markets, United Nations / Comments are closed

Young professionals tackle Solar Radiation Management research governance

By / Published: November 20, 2014

This post was written by EDF’s Alex Hanafi and Cassandra Brunette.

What do 45 young environmental leaders from around the world have to say about the governance of emerging climate engineering technologies?

The Solar Radiation Management Governance Initiative (SRMGI) and EDF teamed up with the University of California, Berkeley to ask that question at a recent workshop.

It’s a question that has important implications for the future governance of solar geoengineering research. Also known as “solar radiation management” (or “SRM”), emerging solar geoengineering technologies are designed to cool the Earth by blocking or reflecting some of the sun’s energy back into space.

These techniques could — in theory — stop global warming quickly and relatively cheaply. However, they have potentially serious and uncertain environmental, political, and social implications. At present, few international governance mechanisms exist to ensure that SRM research would be transparent, safe, and internationally acceptable.

Our workshop was part of the Beahrs Environmental Leadership Program (ELP) at Berkeley. Participants explored the science, ethics, and governance of SRM research through a series of interactive discussions and participatory exercises.

This year’s 45 participants hailed from 33 different countries, with the overwhelming majority from developing nations. Participants were encouraged to brainstorm and share ideas about the potential role of their home countries in research governance.

Attendees expressed a wide range of opinions on SRM:

  • Some suggested SRM could provide a technological solution to some of the temperature-related impacts of climate change.
  • Others maintained that the root causes of anthropogenic climate change should be addressed before exploring SRM any further.
  • The majority of participants called for SRM research transparency, and inclusivity in global discussions about possible governance structures for SRM research.

The diversity of participants, all convened in one location, made an ideal fit with SRMGI’s mission to develop informed international dialogue on SRM research governance. SRMGI’s goal is to bring currently underrepresented voices, particularly from developing nations, into an informed conversation about how to responsibly manage SRM research.

SRM’s potentially cheap deployment and quick effect on global temperatures could lead to the rapid and unilateral development of SRM programs, potentially provoking international tension and mistrust. Multi-stakeholder dialogue and international cooperation is critical to ensure that research into SRM is governed responsibly and transparently.

While SRMGI has hosted workshops in the United Kingdom, China, India, Pakistan, and Africa, this was SRMGI’s first event in the United States.

Stay tuned for more — SRMGI is preparing a report that will provide more details on the workshop’s agenda, interactive activities, and outcomes.

In the meantime, read more about SRMGI’s work here.

Posted in Geoengineering, Science / Comments are closed