The Swedish Energy Agency co-authors article about international market-based cooperation in Carbon Mechanisms Review
The Swedish Energy Agency recently co-authored an article that was published in the latest issue of the magazine Carbon Mechanisms Review. A summary of the article follows below.
To achieve the long-term goals of the Paris Agreement (PA), the scale and pace of mitigation action must be urgently stepped up, and the private sector needs to be engaged. International market-based cooperation can enable ambition-raising by accelerating and scaling up mitigation action faster and cost-effectively. It can mobilise public and private actors to implement and enhance countries’ Nationally Determined Contributions (NDCs), and contribute to ambition-raising beyond NDCs.
Following six years of negotiations, COP26 in Glasgow marked the adoption of rules for market-based cooperation under Article 6 of the PA (“Article 6 Rulebook”). Article 6 presents participating Parties with different forms of cooperation to allow for higher ambition in climate action and promoting sustainable development. This cooperation can, in-turn, be integrated into countries’ NDCs.