In the run up to COP 21 in Paris, few would have predicted a solid basis for market mechanisms in the new climate regime. The carbon markets provisions contained in Article 6 of the Paris Agreement provide a solid anchor for such mechanisms in the future effort to combat climate change. However, it remains to be seen exactly how these provisions will operate, relate to each other, and be accounted for in terms of the variety of Intended Nationally Determined Contributions (INDC). Furthermore, over the past few years a number of other initiatives have been launched to promote carbon markets – notably emissions trading schemes (ETS) – on a bottom-up basis, and to foster dialogue to complement the multilateral UNFCCC negotiations.
On behalf of the German Emissions Trading Authority (DEHSt) at the German Federal Environment Agency (UBA), adelphi together with Oeko-Institut and NewClimate Institute will analyse and interpret the dynamic developments in the field of global carbon markets and provide input on formulating and further developing the German position for UNFCCC negotiations as well as in other carbon market initiatives.
In addition to managing the overall coordination of the project, adelphi analysed historical and current negotiating positions on international market mechanisms and mapped various global market mechanism initiatives and their activities; including the World Bank, the European Union, the International Carbon Action Partnership (ICAP) and the International Partnership for Mitigation and MRV (IPMM). Moreover, adelphi conducted further research on specific initiatives through specific case studies, and organised four expert workshops.