ECO has been in the dark about the carbon market discussions yesterday. Is it foreshadowing what’s to come under 6.2? Looking at Saturday’s text, it sure seems like it.
If you think carbon markets are difficult to make sense of now, wait until the article 6.2 rules come into play. A review process that has no consequences, a confidentiality clause that has no limits, a step of actions that have no structure or order, and all of this within a framework which, let’s face it, allows countries to trade pretty much whatever they want (yes, even if it’s not measured in tCO2e!) and use it to meet their NDCs. What. A. Mess.
Parties, when you see the final 6.2 text today, and you get to decide whether to “take it or leave it”, here are some of the things that ECO would like you to look for before you “take it”:
- A definition of what a cooperative approach is – not to limit how Parties can cooperate (ECO loves cooperation) but rather to clarify what it is you’ve been talking about for the past 8 years!
- A clear set of guardrails to ensure that only sensitive information is deemed confidential. Confidentiality should be the exception, not the rule, and there can be no confidentiality without legitimate justification.
- A real review process that flags problems and ensures that those who don’t play by the rules don’t get to play at all
- A system that bolsters confidence and predictability (yes, ECO opened its “private sector vocabulary” dictionary for this one) by ensuring that authorised credits which have been sold and/or used cannot have their authorisation revoked, unless activities infringed on Human Rights or had other significant negative impacts. Buyers should not claim/use ITMOs that are no longer real, additional, and verified.
And lest you think all is okay in Article 6.4. The latest version of the text that ECO saw from Saturday does not give ECO confidence that the necessary guidance is being given to the Supervisory Body to address the massive loopholes in the recommendations on activities involving removals. This guidance must include more specific directions on reversals (including the Reversal Risk Assessment Tool), monitoring, grievance redress, and protection of human rights and the rights of Indigenous Peoples.
ALL these elements must be in place before activities are authorized, or it won’t be enough.