Towards new flexibility for emission reductions in Europe: options for a project mechanism

The European Commission is currently finalizing a regulatory proposal on enhancing flexibility in the Effort Sharing on emissions reduction – possibly also through application of a “European Project Mechanism” (EPM). New policy analyses by adelphi and FutureCamp explore how such an EPM could look.

03/06/2016

With the European Commission signaling the release of a legislative package on the Effort Sharing Decision after 2020 in the coming weeks, attention turns to the mechanisms available to meet more ambitious goals in light of the Paris agreement. One potential new instrument could become an important building block for meeting emission-reduction targets in a cost-effective way: the “European Project Mechanism”.

Against this background, adelphi and FutureCamp have analysed and expanded on possible policy options to generate ideas and inform the current debate over the instrument’s design. adelphi’s contribution culminated in several recent reports. One report discusses the merits of an EPM, another draws on its potential design elements, whereas the third summarizes key takeaways from Green Investment Schemes.

The work by adelphi and FutureCamp has been financed through a grant by the German Federal Ministry for the Environment, Nature Conservation, Building and Nuclear Safety (BMUB). The research program of the project has included a stocktaking of experiences from instruments such as the Joint Implementation approach under the Kyoto Protocol and Green Investment Schemes. The results present a discussion of core criteria and design options for an EPM, inspired by the preparation of country profiles drawn from hands-on experience, literature review, and expert input from exchange formats, including interviews, roundtables, and workshops.

Please find the project description and all the publications here.