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This guide provides considerations for host countries engaging in carbon markets under Article 6 of the Paris Agreement, emphasizing the need to balance the export of internationally transferred mitigation outcomes (ITMOs) with the achievement of current and future Nationally Determined Contributions (NDCs).

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  • Under the Paris Agreement, all countries have emission reduction targets (NDCs) that must reflect their highest possible ambition and be updated every five years. Consequently, selling and transferring emission reductions to other countries makes it more difficult for host countries to meet their own current and future NDCs, necessitating a careful assessment to ensure that exporting ITMOs does not undermine these goals.
  • Host countries may engage in Article 6 for several reasons, including revenue generation, financing high-cost measures, capacity building, technology transfer, and generating sustainable development co-benefits. To make informed decisions on individual projects, countries should ideally possess a recent GHG inventory, a clearly formulated NDC, a long-term decarbonisation strategy for 2050, and an institutional framework for overseeing Article 6 activities.

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APA
NewClimate Institute (2020). Considerations for Article 6 Engagement. http://www.newclimate.org/resources/publications/considerations-for-article-6-engagement
Chicago
NewClimate Institute. Considerations for Article 6 Engagement. 2020. http://www.newclimate.org/resources/publications/considerations-for-article-6-engagement.
Wikipedia
{{cite report |author=NewClimate Institute |title=Considerations for Article 6 Engagement |date=26 November 2020 |url=http://www.newclimate.org/resources/publications/considerations-for-article-6-engagement |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{newclimateinstitute2020considerations, author = {{NewClimate Institute}}, title = {{Considerations for Article 6 Engagement}}, institution = {NewClimate Institute}, year = {2020}, month = nov, url = {http://www.newclimate.org/resources/publications/considerations-for-article-6-engagement}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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