Current Status of Article 6 of the Paris Agreement: Internationally Transferred Mitigation Outcomes (ITMOs)

This briefing by the International Institute for Sustainable Development (IISD) examines the status of Article 6 of the Paris Agreement and the role of Internationally Transferred Mitigation Outcomes (ITMOs). It details the two primary cooperation avenues (Article 6.2 and 6.4), the challenges of establishing a rulebook—including debates over additionality and double counting—and provides examples of pilot projects and national strategies, particularly focusing on Canada's preparations.

• Internationally transferred mitigation outcomes (ITMOs) are a new set of market provisions or greenhouse gas (GHG) mitigation outcomes defined under Article 6 of the Paris Agreement, intended to replace Kyoto-era mechanisms like the Clean Development Mechanism (CDM) and Joint Implementation (JI).
• Article 6 provides two distinct pathways for international cooperation: Article 6.2 allows for a decentralized cooperative approach to trading ITMOs, while Article 6.4 establishes a mechanism governed by the United Nations Framework Convention on Climate Change (UNFCCC).
• As of December 2019, a formal rulebook for Article 6 had not been established, with unresolved issues including the earmarking of proceeds for an Adaptation Fund, the inclusion of REDD+ activities, the transition of Kyoto Protocol credits, and methods to avoid double counting through corresponding adjustments.
• Potential Article 6 projects are categorized into four types: initiatives specifically intended for Article 6 (e.g., NEFCO-Peru pilot and Swedish Energy Agency studies in Nigeria, Colombia, Chile, and Kenya); pre-existing CDM/JI initiatives (e.g., EU-ETS, Swiss ETS, and Japan's Joint Crediting Mechanism); readiness initiatives for carbon pricing (e.g., World Bank Transformative Carbon Asset Facility); and markets outside the UNFCCC (e.g., CORSIA).
• Canada has developed several strategies to use ITMOs to meet its Nationally Determined Contribution (NDC), including a CAD 7 million program (2017–2021) to help Chile reduce methane emissions in the waste sector, and exploring the export of liquefied natural gas (LNG) to Asian markets to replace coal-fired power.
• Canadian provincial efforts to align with Article 6 include Saskatchewan's interest in transferring carbon capture and storage (CCS) technology and Alberta's consideration of forestry and agricultural offsets.
• Modelling suggests that Article 6 could reduce the cost of implementing NDCs by 2030 by half—approximately USD 250 billion per year—and potentially remove 50 per cent more emissions if those savings are reinvested in mitigation.

APA

Roth, J., Echeverría, D., & Gass, P. (2019). Current Status of Article 6 of the Paris Agreement: Internationally Transferred Mitigation Outcomes (ITMOs). International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/status-article-6-paris-agreement.pdf

Chicago

Roth, Joachim, Daniella Echeverría, and Philip Gass. Current Status of Article 6 of the Paris Agreement: Internationally Transferred Mitigation Outcomes (ITMOs). International Institute for Sustainable Development, 2019. https://www.iisd.org/system/files/publications/status-article-6-paris-agreement.pdf.

Wikipedia

{{cite report |last1=Roth |first1=Joachim |last2=Echeverría |first2=Daniella |last3=Gass |first3=Philip |title=Current Status of Article 6 of the Paris Agreement: Internationally Transferred Mitigation Outcomes (ITMOs) |publisher=International Institute for Sustainable Development |date=December 2019 |url=https://www.iisd.org/system/files/publications/status-article-6-paris-agreement.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{roth2019current, author = {Roth, Joachim and Echeverría, Daniella and Gass, Philip}, title = {{Current Status of Article 6 of the Paris Agreement: Internationally Transferred Mitigation Outcomes (ITMOs)}}, institution = {International Institute for Sustainable Development}, year = {2019}, month = dec, url = {https://www.iisd.org/system/files/publications/status-article-6-paris-agreement.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }