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The document identifies three primary policy areas for GHG mitigation in India's power sector: the adoption of supercritical and ultra-supercritical coal technologies, the replacement of inefficient agricultural pump sets, and the upgrade of distribution networks to High Voltage Distribution Systems (HVDS). It argues that while these options have large mitigation potential, implementation is hindered by resource constraints, poor financial health of utilities, and political challenges regarding metering. The author advocates for moving beyond the Clean Development Mechanism (CDM) toward long-term North-South cooperation to facilitate technology transfer and financing.

The document analyzes the Indian steel industry's high carbon intensity, driven by a proliferation of inefficient small-scale coal-based direct reduced iron (DRI) units and small blast furnaces. It argues that current project-based mechanisms like the Clean Development Mechanism (CDM) are insufficient for systemic change. The author proposes a combination of a harmonised carbon tax and administered manufacturing standards to incentivize a shift toward larger, more efficient blast furnace-basic oxygen furnace (BF-BOF) units and the long-term substitution of steel with low-carbon materials. The paper emphasizes that international cooperation in technology transfer and capacity building is essential to support these domestic policy shifts.

The document presents a portfolio of 2008 research by Climate Strategies, focusing on the EU ETS, the Clean Development Mechanism (CDM), and G8 climate opportunities. Key analyses include the risks of carbon leakage in industrial sectors, the underperformance of CDM projects in terms of certified emission reductions, and the economic rationale for transitioning from free allowance allocation to auctioning in the EU ETS. It also includes the Eliasch Review on financing global forests and a study on the development of mandatory emissions trading in Japan.

The report assesses Green Investment Schemes (GIS) as a hybrid carbon finance mechanism in Central and Eastern Europe (CEE) that combines the sale of Assigned Amount Units (AAUs) with domestic greening activities. It argues that GIS can address mitigation priorities that other mechanisms, such as Joint Implementation (JI) and the Clean Development Mechanism (CDM), have failed to deliver, particularly in building energy efficiency and small-scale bioenergy. The authors emphasize that because the window for these transactions closes in 2012, GIS should prioritize long-term, low-carbon infrastructure and high-additionality projects rather than lowest-cost measures. Key recommendations include adopting simplified monitoring and verification (M&V) processes, allowing post-2012 fund disbursement, and utilizing a programmatic approach to reduce transaction costs for small-scale investments.

The report examines the Joint Implementation (JI) mechanism of the Kyoto Protocol, detailing its two operational tracks and comparing it to the Clean Development Mechanism (CDM). It highlights significant delays in implementation, particularly in Russia and Ukraine, and the restrictive impact of the EU Emissions Trading Scheme (EU ETS) on projects in Central and Eastern Europe. The document also analyzes the role of Green Investment Schemes (GIS) as an alternative to JI and concludes that the mechanism's late start and short crediting period (ending in 2012) threaten its overall viability unless post-2012 certainty is established.

The paper argues that international aviation and maritime emissions must be regulated as separate sectors to avoid emissions leakage and economic inefficiency. It proposes the implementation of global emissions trading or fee regimes, noting that such systems could generate significant revenue for climate mitigation and adaptation in developing countries. The author evaluates linking options, concluding that a unilateral link with the Clean Development Mechanism (CDM) is the most practical first step due to ease of implementation and allowance supply, while bilateral links (such as with the EU ETS) are more complex, requiring international treaties and scheme compatibility. The document also discusses the International Maritime Emission Reduction Scheme (IMERS) as a differentiated approach to shipping emissions.

The document analyzes Japan's transition from voluntary climate instruments, such as the Keidanren Voluntary Action Plan and the Japanese Voluntary Emissions Trading Scheme (JVETS), toward a mandatory ETS. It compares proposals from the Ministry of Environment (MoE) and the Ministry of Economy, Trade and Industry (METI), noting that the use of intensity-based targets and lenient penalties in some proposals could hinder direct bilateral linking with more stringent systems like the EU ETS. The paper concludes that while direct links are unlikely before 2013, indirect links via the Clean Development Mechanism (CDM) will remain primary until a mandatory system with absolute targets is established.

The report analyzes the landscape of carbon offsets, contrasting mandatory compliance mechanisms like the Clean Development Mechanism (CDM) and Joint Implementation (JI) with voluntary standards and retail providers. It evaluates key design elements including project eligibility, additionality testing, and quantification protocols, while highlighting risks to environmental integrity such as leakage and non-permanence.

The report argues that the drive for agrofuels in Latin America is based on a cash-crop model of intensive monocultures that benefits large landowners and international agribusiness while causing widespread deforestation, water shortages, and human rights abuses. In Brazil, sugarcane expansion is linked to slave-like working conditions and the displacement of family farms. Argentina's soy-based biodiesel industry has led to significant deforestation and the concentration of land ownership, with 46% of production controlled by 2.2% of producers. In Colombia, oil palm expansion is associated with paramilitary violence and the forced displacement of Afro-descendant and indigenous communities. Central American countries, including Costa Rica, Guatemala, and El Salvador, are increasing production to meet US and EU demand, which the report warns will exacerbate child labour and food insecurity. The document highlights the influence of multilateral banks like the IADB and the World Bank, and corporations such as Cargill and Bunge, in financing and driving this transition.

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.

The paper analyzes 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 energy performance standards are highly cost-effective and should be supported by trade regimes, while PPM-based measures, though more controversial in trade law, can be justified under GATT general exceptions if applied fairly and transparently. The authors emphasize the need for international harmonization of testing procedures and increased technical and financial assistance for developing country exporters to meet these standards.

The report identifies that the creation of expiring units (tCERs and lCERs) and complex methodologies have severely diminished investment confidence in A/R CDM projects, leading developers to prefer voluntary markets. It recommends replacing expiring units with a risk-buffer system, simplifying methodologies, and potentially extending national accounting systems (Article 3.3) to non-Annex I countries to increase mitigation potential, which is estimated at 10,000 MtCO2 per year by 2030 in developing countries.

The report finds that CDM projects frequently underperform, with only 76% of forecasted CERs actually issued by June 2007. This underperformance is attributed to overestimations by consultants and validators, as well as implementation and monitoring difficulties. Waste projects are the worst performers, while N2O projects often exceed expectations. The study identifies additionality demonstration as the primary cause of project rejection, particularly for large-scale projects and cement blending activities in India and Brazil. Bilateral projects, especially those with European participants, show higher CER issuance rates than unilateral projects. The report also highlights deficiencies in stakeholder consultation and the lack of quantifiable indicators for sustainable development in host countries like China, India, and Brazil.

The report evaluates the proposed EU Directive's 10% biofuels target for 2020, arguing that sustainability depends on precise GHG accounting and the use of productive feedstocks. It highlights that tropical regions, particularly in sub-Saharan Africa and Latin America, have a significant comparative advantage in biofuel productivity over temperate regions. The authors caution against rigid land-use definitions that could disadvantage Least Developed Countries and emphasize the need to account for indirect land use change (iLUC) to avoid 'carbon debt'. The document recommends harmonizing EU methodology with IPCC guidelines and exploring the use of degraded lands for bioenergy to minimize food-security conflicts.

The document analyzes four scenarios for an international carbon market: global trading, formal linking of domestic ETS, indirect linking via credits, and a mixed approach. It focuses on the formal linking of the EU ETS with emerging systems in the US (RGGI, California), New Zealand, and Australia. The authors argue that for linking to be effective and environmentally sound, partners should share similar levels of ambition and strategic climate goals, such as the EU's 2°C target. The report identifies price caps, differing levels of ambition, and the treatment of Assigned Amount Units (AAUs) as primary barriers to linking. It proposes the creation of an international clearinghouse to coordinate regulation and suggests a 'no-regret' working program for the International Carbon Action Partnership (ICAP) focusing on the harmonization of registries, monitoring, reporting, and verification (MRV) standards, and allocation procedures.

This case study examines the Nigerian energy landscape from 1990 to 2005, highlighting a heavy reliance on fossil fuels and unsustainable biomass. It identifies significant potentials for clean energy in solar, wind, biomass, and natural gas (specifically flare-to-power), while noting that investment is hindered by infrastructure deficits, political risks, and market distortions such as energy subsidies. The report proposes several Clean Development Mechanism (CDM) projects and a specific trigeneration case study for a rice mill cluster in Abakaliki to demonstrate the viability of biomass-to-energy systems.

The study finds that CDM projects generally overestimate their emission reduction potential, with actual CER issuance reaching only 76% of the amount predicted at registration. Performance varies significantly by project type, with N2O projects over-performing (129%) and animal waste projects under-performing (28%). The analysis also indicates that in-house project development generally outperforms the use of large external consultancies, and that India showed the best host-country performance (122%) compared to China (55%) and Brazil (90%).

The report analyzes the voluntary carbon market, contrasting it with compliance markets and evaluating ten specific offset standards. It identifies structural flaws in project-based offsetting, such as the difficulty of proving additionality and inherent conflicts of interest where auditors are paid by project developers. The authors argue that while the voluntary market fosters innovation and participation, it requires more rigorous, transparent standards to ensure environmental integrity and the delivery of sustainable development co-benefits.

The paper analyzes nine Brazilian CDM projects, finding that forecasted CER generation typically decreases as projects move from validation to issuance due to methodology changes, lower-than-expected output, and delays. While additionality arguments are generally credible, they are sometimes weakened by the rapid spread of technology. The study also concludes that the Brazilian national stakeholder consultation process is insufficient for gathering local concerns, as fewer than 5% of projects receive comments through the standard procedure.

The paper evaluates six Chinese CDM projects (four registered and two in validation) to assess how they perform against their initial designs. It finds that forecasted Certified Emission Reductions (CERs) fluctuate significantly as projects progress, often due to new standardised baseline information from China's Designated National Authority (DNA) and technological barriers. All sampled projects claim investment barriers, but only half provide a complete investment analysis. The study also notes a lack of standardised stakeholder consultation procedures in China, with written surveys being the most common method. While projects often align with stakeholder expectations regarding local employment, sustainability benefits are not described quantitatively in the Project Design Documents (PDDs).