Please find here (printer friendly version available here) an executive IETA briefing highlighting the importance of INDCs on the development of carbon markets and carbon pricing worldwide.
This is crucial for countries that are fully industrialised and have high carbon abatement costs and for countries where emissions originate in sectors with limited abatement opportunities because of technology constraints. The UNFCCC’s INDC Synthesis Report, released on 30 October, highlights that over half of the INDCs submitted to date plan to use or are considering the use of market mechanisms.
Carbon markets not only bring a needed source of finance, but they also provide good governance and strong accounting frameworks that allow for technology transfers to be a win-win for both participants in a transaction.
Please see the briefing for more on how the Paris agreement can enable the spread of carbon markets around the world and facilitate a link between systems.