A "rulebook" for the technical and operational aspects of Article 6 of the Paris Agreement is expected to be finalized at COP 29 in Baku this November. This article allows countries to engage in projects to reduce greenhouse gas emissions and sell carbon credits to other states. These rules can affect a variety of areas, including clean cooking projects.<\/p>\n
The Paris Agreement, adopted by 196 countries at the UN Climate Change Conference in 2015, represents an international agreement in the fight against climate change. Article 6 of the agreement creates carbon markets that allow countries to trade carbon credits generated by reducing greenhouse gas emissions. This mechanism supports international cooperation with the aim of achieving nationally set emission reduction targets, thereby also providing financial assistance to developing countries.<\/p>\n
The mechanics of carbon trading<\/strong><\/p>\n Under Article 6, countries can implement projects to reduce emissions, such as afforestation or switching to renewable energy sources, and sell carbon credits to other states. This mechanism not only finances the host country's climate initiatives, but also enables the host country to meet its climate goals.<\/p>\n In general, a company implementing a government-sanctioned emissions reduction project in one country can sell credits associated with those reductions to another country. This means that investing in afforestation or switching to renewable energy sources can generate excess carbon credits that the host country can sell to a receiving country that needs them to meet its climate goals.<\/p>\n Framework and challenges<\/strong><\/p>\n A practical framework for the implementation of Article 6 was adopted at COP 26 in Glasgow in 2021, but the detailed "rulebook" is still not finalised. The technical and operational aspects of these rules should be agreed upon at COP 29 in Baku this November.<\/p>\n For Article 6 to be effective, three key challenges need to be addressed: (1) preventing double counting of emission reductions, (2) ensuring that emission reductions are verifiable and certifiable, and (3) establishing a single certification body for carbon market standards.<\/p>\n <\/p>\n Key terms used in Article 6<\/p>\n \u2013 Nationally Determined Contributions (NDC): A national climate action plan that each country prepares and updates every five years.<\/p>\n \u2013 Mitigation results: Reduction of greenhouse gas emissions measured in tonnes of carbon dioxide equivalent (t CO2-eq).<\/p>\n \u2013 Internationally Transferable Mitigation Results (ITMO): Mitigation results approved for international trading.<\/p>\n \u2013 Emission reductions under Article 6.4: Carbon credits with specific conditions for trading under the mechanism of the Article<\/p>\n Article 6 sets out the mechanical framework for different forms of carbon credit trading:<\/p>\n \u2013 Article 6.2: Allows bilateral ITMO trading between countries.<\/p>\n \u2013 Article 6.4: Establishes a multilateral international carbon credit mechanism.<\/p>\n \u2013 Article 6.8: Supports non-market approaches to climate change mitigation.<\/p>\n Voluntary carbon markets<\/p>\n Voluntary markets do not involve direct government oversight. They are governed by private and independent standards where companies buy carbon credits from the production of clean projects in order to improve their reputation or gain financial benefits.<\/p>\n Impact of Article 6 on clean cooking projects<\/p>\n Clean cooking projects that reduce emissions from traditional cooking methods in developing countries can also generate carbon credits. These credits are currently traded on voluntary markets.<\/p>\n If the national regulations implementing Article 6 require the inclusion of these credits in the national NDC targets, these projects will have to be approved as ITMOs. Carbon credits from privately developed projects can be considered mitigation contributions and thus will not need to adjust national targets.<\/p>\n The gold standard has already introduced new requirements for tracking credits approved for ITMOs, which may affect the trading of clean cooking projects as countries develop their regulations for Article 6. (Co2AI)<\/p>","protected":false},"excerpt":{"rendered":" A "rulebook" for the technical and operational aspects of Article 6 of the Paris Agreement is expected to be finalized at COP 29 in Baku this November.<\/p>","protected":false},"author":7,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1,26],"tags":[],"class_list":["post-28580","post","type-post","status-publish","format-standard","hentry","category-znizovanie_co2_cdr_ccs_ccu_dac","category-uhlikove-kredity"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/posts\/28580","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/comments?post=28580"}],"version-history":[{"count":0,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/posts\/28580\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/media?parent=28580"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/categories?post=28580"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/tags?post=28580"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}