Leveraging domestic offset projects for a climate-neutral world – Regulatory conditions and options

Nett, Katharina and Stephan Wolters 2017: Leveraging domestic offset projects for a climate-neutral world. Regulatory conditions and options. Berlin: German Emissions Trading Authority (DEHSt).

Voluntary domestic offset schemes offer great potential as instruments for advancing ambitious climate actiand supporting the transformation towards low-carbon economies. At the same time, their possible scope of action in countries with reduction targets is limited: Mitigation commitments from the Kyoto Protocol, the EETS and national or subnational compliance mechanisms enhance the risk of different forms of double counand demand guidance on additionality. Adding to these challenges, the regulatory framework will change by 2020.

This study carried out by adelphi on behalf of the German Emissions Trading Authority (DEHSt) at the German Environmental Agency (UBA) analyses the characteristics of initiatives in countries that generate carbon credits from domestic projects for being used mainly as voluntary offsets. It identifies respective challenges and opportunities and develops recommendations for improving regulatory conditions in order to advance the develoment of a domestic voluntary market and leverage its potential for a climate-neutral world.