Standards, Labelling and Certification

The document examines two types of standards used to mitigate climate change: product-based energy performance standards and labels, and standards based on processes and production methods (PPMs). It argues that while product standards are highly cost-effective and widely used to correct market failures, PPM-based measures are more controversial in trade law due to concerns over protectionism and impacts on developing countries. The authors advocate for international harmonization of testing and certification procedures and increased technical and financial assistance for Southern exporters to ensure climate goals do not create unfair trade barriers.

• Product energy performance standards and labels are highly effective tools for reducing energy use and GHG emissions, often providing negative overall costs from a life-cycle perspective. For example, the global phase-out of inefficient incandescent lighting is projected to save more GHG emissions than all current Clean Development Mechanism (CDM) projects through 2012.
• Energy performance standards and labels are the primary source of national notifications to the WTO under the Agreement on Technical Barriers to Trade (TBT Agreement). The authors argue that trade regimes should not view these as unnecessary non-tariff barriers because the value of the energy savings typically exceeds the compliance costs for industry.
• There is significant potential to facilitate trade by harmonizing international measurement, testing, certification, and accreditation procedures. While some products (like refrigerators) require climate-specific testing, others (like televisions) have no technical reason for national differences in test procedures.
• PPM-based standards are used to address the carbon footprint of production and prevent 'carbon leakage,' where carbon-intensive industries move to unregulated countries. These measures are often controversial because they are typically imposed by Northern importers on Southern exports and may be used as a form of disguised protectionism.
• WTO case law, specifically the U.S.–Shrimp/Turtle dispute, indicates that PPM-based measures are not prohibited per se but must meet specific conditions to be legal. These include being enacted in good faith, involving cooperative efforts with other members, and maintaining transparent and procedurally fair certification processes.
• Developing country exporters face significant obstacles in complying with climate-related standards due to a lack of comprehensive information and financial resources. The authors state that WTO notification practices have been unsatisfactory and that developed countries should provide technical and financial assistance as required by the WTO and UNFCCC.

APA

Waide, P., & Bernasconi-Osterwalder, N. (2008). Standards, Labelling and Certification. Center for International Environmental Law. https://www.ciel.org/wp-content/uploads/2015/03/cph_trade_climate_standards_Aug08.pdf

Chicago

Waide, Paul, and Nathalie Bernasconi-Osterwalder. Standards, Labelling and Certification. Center for International Environmental Law, 2008. https://www.ciel.org/wp-content/uploads/2015/03/cph_trade_climate_standards_Aug08.pdf.

Wikipedia

{{cite report |last1=Waide |first1=Paul |last2=Bernasconi-Osterwalder |first2=Nathalie |title=Standards, Labelling and Certification |publisher=Center for International Environmental Law |date=August 2008 |url=https://www.ciel.org/wp-content/uploads/2015/03/cph_trade_climate_standards_Aug08.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{waide2008standards, author = {Waide, Paul and Bernasconi-Osterwalder, Nathalie}, title = {{Standards, Labelling and Certification}}, institution = {Center for International Environmental Law}, year = {2008}, month = aug, url = {https://www.ciel.org/wp-content/uploads/2015/03/cph_trade_climate_standards_Aug08.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }