Recommendations related to the role of carbon markets in the Paris Agreement

Carbon Market Watch argues that while few countries explicitly include international trading in their Intended Nationally Determined Contributions, carbon pricing is already used by jurisdictions representing 40% of the global economy. The organization warns that a lack of clear international rules could lead to non-harmonized standards and double counting. It recommends strict principles for carbon markets, including the avoidance of 'hot air' credits, the requirement for net atmospheric benefits, and the exclusion of REDD-plus from carbon markets.

• Although few Intended Nationally Determined Contributions (INDCs) explicitly mention international trading, carbon pricing mechanisms have been implemented by jurisdictions that account for 40% of the global economy.
• The draft treaty text from the Bonn negotiations introduces several carbon market elements, including principles to avoid double counting, a requirement that markets remain supplemental to domestic action, and proposals for a mechanism to support sustainable development and a REDD-plus mechanism.
• There is a significant risk that the absence of clear international rules would lead countries to operate carbon markets without necessary safeguards, international oversight, or harmonized standards to prevent double counting.
• Carbon Market Watch recommends a set of core principles for carbon markets, including the avoidance of 'hot air' credits, ensuring a net atmospheric benefit, placing a share of proceeds on all UNFCCC carbon markets, and the total exclusion of REDD-plus from carbon markets.

APA

Carbon Market Watch (2015). Recommendations related to the role of carbon markets in the Paris Agreement. https://carbonmarketwatch.org/publications/recommendations-related-to-the-role-of-carbon-markets-in-the-paris-agreement/

Chicago

Carbon Market Watch. Recommendations related to the role of carbon markets in the Paris Agreement. 2015. https://carbonmarketwatch.org/publications/recommendations-related-to-the-role-of-carbon-markets-in-the-paris-agreement/.

Wikipedia

{{cite press release |author=Carbon Market Watch |title=Recommendations related to the role of carbon markets in the Paris Agreement |date=20 November 2015 |url=https://carbonmarketwatch.org/publications/recommendations-related-to-the-role-of-carbon-markets-in-the-paris-agreement/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{carbonmarketwatch2015recommendations, author = {{Carbon Market Watch}}, title = {{Recommendations related to the role of carbon markets in the Paris Agreement}}, publisher = {Carbon Market Watch}, year = {2015}, month = nov, url = {https://carbonmarketwatch.org/publications/recommendations-related-to-the-role-of-carbon-markets-in-the-paris-agreement/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }