November 2015 – This issue of the Review is published with the Paris climate summit at the door. Some elements of the current draft texts point to concrete possibilities of decision text on market mechanisms. These include the Sustainable Development Mechanism, which is to be built on the current CDM, that is a proposed element of the mitigation part of the new agreement. Other vital issues, be it the accounting rules or MRV provisions, remain vague.
This issue of the Carbon Mechanisms Review thus looks at the bigger picture – the role that markets can play and the prerequisites for meaningful use of market-based instruments. The authors comment on selected elements of the negotiations texts and weigh up the various options. The issue also features a comprehensive analysis of the role that markets play in INDCs and looks at the factors that make private sector involvement possible.
Another article analyses the situation in China, where emissions trading is being taken to the next level and a nation-wide ETS is taking form. Last not least, the Carbon Market Platform for Strategic Dialogue, initiated by the G7, is presented.