After the very delayed appearance of new texts for Articles 6.2 and 6.4 yesterday, Parties cancelled the scheduled informal consultations in the evening, preferring to consider the new iterations at more length.
This afternoon the co-facilitators Peer Stiansen and Hugh Sealy held bilateral meetings with groups and individual Parties, and we understand that many expressed concerns with the latest iterations.
Our own observers have also been studying the text today and report that, while the new versions represent a step forward, there is still a great deal to be done before they can move forward to the next stage of the COP.
The intention of the drafters was to refine the text to the point where the only remaining issues were the key elements that need political decisions: limits and safeguards; metrics (whether Article 6 will use tonnes of CO2 or other measures); inside/outside NDCs; non-NDC uses (such as CORSIA); accounting for 6.4 units; Share of Proceeds and OMGE; and the CDM transition.
However, our observers say the text is inconsistent, “messy”, and poorly drafted in places. In addition to the topics mentioned above, they highlight concerns with text sections covering corresponding adjustments; baselines; additionality; and the criteria for transitioning CDM projects to the new mechanism.
Article 6 also has considerable implications for the voluntary sector, and IETA members have also been discussing the impact that elements such as inside/outside NDCs, Share of Proceeds and OMGE may have on that market.
What happens tomorrow is uncertain, though we expect there to be a further iteration of the texts. We anticipate that there will be more bilaterals in the morning, a new text, and then more discussions in the afternoon.
Since SBSTA has to complete its work on Monday, whatever happens after tomorrow will be directed by the Presidency. We recall that last year the Presidency appointed two Parties, supported by the co-facilitators, to direct the political process.
In short, it could be a very long day tomorrow.
Monday at the IETA Business Hub
Monday kicks off with two sessions sponsored by Mars. The first, at 0930, is on carbon accounting in the land use and agriculture sectors. Representatives of the Gold Standard and WWF will participate in the discussion.
At 1100, the second session with Mars will look at how transactions architecture like the Emergent Forest Finance Accelerator can help scale up financial support for tropical forest protection through REDD+.
The Edison Electric Institute hosts an event at 1230 that will feature leaders from US power utilities, discussing their collective efforts to reduce emissions in the US, and the challenges of reaching net zero by 2050.
At 1400 the Arbor Day Foundation will explore forest restoration, looking at both market-based and non-market based ways in which large-scale planting can be achieved.
Methane emissions from oil and gas in Canada will be the topic at 1530. Bluesource Methane will lead a panel discussion exploring how Canada and Alberta's new methane regulations have fared in their goal of a 45% cut in emissions by 2025.
At 1700 GEM's Wayne Sharpe will host a discussion with CGN Certification into the province of Galicia's carbon market, which will use an electronic carbon registry and exchange to trade offsets from local reforestation projects.
Our final event of Monday will be a panel briefing on the state of the Article 6 negotiations, led by Andrei Marcu. An invited panel of negotiators will discuss the outcome of the first week and take stock of where the talks stand. One not to miss!
Remember, everything you need to know about IETA, its schedule of events and its Article 6 priorities can be found on our COP webpage.