The Clean Development Mechanism (CDM) should not be ditched in favour of new, untested mechanisms. New Market Mechanisms (NMMs) should use the governance structure of the CDM, but should go further in standardising baseline and monitoring methodologies. The Framework for Various Approaches (FVA) is unlikely to generate benefits that could not be harnessed by NMMs or the CDM. A sufficient demand for credits requires strengthening of Annex B country commitments and “graduation” of advanced developing countries to take up emission targets under the 2015 agreement. The stronger the commitments, the less the market mechanisms would have to contribute to global reductions. Targeted climate finance for underlying funding of CDM projects and Programmes of Activities(PoAs)is needed.
Publication Date:
March, 2014
Publication:
