IETA NETWORK CONNECTION
Creating a vibrant voluntary carbon market beyond 2020
For the private sector, the emphasis on the long-term goal of net-zero is an unequivocal call to increased action. It is not only a realistic option but also the best way forward to avoid catastrophic climate change. Looking beyond 2020, we need to ensure that the voluntary carbon market can play the fullest role possible to prepare the ground for carbon pricing and help achieve the long-term goals of the Paris Agreement.
As IETA’s programme dedicated to the voluntary carbon market, ICROA works every day to enable climate leadership from the private sector and reward organisations which set ever higher targets and lead the way. ICROA also works closely with key market standards and civil society members to develop collaborative solutions in order to unlock future potential and support the development of a viable and resilient international carbon market. This market needs to link voluntary action in the private sector to projects that deliver mitigation, adaptation impacts and SDGs in countries that wish to attract carbon finance.
Ultimately, the creation of a space where voluntary action can continue to grow at the highest levels of transparency and integrity will be key to secure participation at scale and maximise impact. This principle lies at the heart of ICROA’s mission – and is a theme we will explore further this month at IETA’s inaugural European Climate Summit 2019 (ECS) in Lisbon from 15-17 April. It will also be the occasion for all of us to celebrate the 20th anniversary of IETA!
The Summit will analyse key developments in carbon markets and emissions trading, green finance, industry decarbonisation and the energy transition, as well as discuss the next steps for climate action both within Europe and internationally. The full detailed agenda overview is available online. Come and join business leaders from energy, industry and transport, investors, traders and analysts, lawyers and project developers, along with legislators and government representatives in Lisbon!
16-17 April: IETA will host the first European Climate Summit in Lisbon, Portugal
24-26 April: Katie Sullivan and Dirk Forrister will be speaking at the North American Carbon World 2019 in Los Angeles
25-26 April: Catch up with Katie Sullivan and Ellen Lourie at Carbon Pricing for Canadian Industry in Toronto
8-9 May: Katie Kouchakji will be attending the 6th Australasian Emissions Reduction Summit in Melbourne
4-7 June: Meet IETA at the Innovate4Climate event in Singapore
IETA Member's Corner
How is The Climate Cent Foundation involved in the carbon market?
The Climate Cent Foundation CCF is a voluntary scheme set up by the Swiss business community in 2005 with the aim of ensuring effective climate protection. It was funded by a 1.5 Swiss cent per litre levy on petrol and diesel imports from 2006 to 2012. This yielded total funds of 718 million Swiss francs that were invested in greenhouse gas reduction projects carried out in Switzerland and abroad. By 2014, the CCF had acquired 16 million Kyoto certificates that were handed over to the Swiss Confederation free of charge, allowing Switzerland to meet its Kyoto target. Apart from acquisitions of CERs and ERUs, the CCF invested $25 million in the ADB’s Asia Pacific Carbon Fund and still is invested in the World Bank’s PAF ($2.5 million), TCAF ($12.5 million) and Ci-Dev ($23 million) initiatives.
The CCF still holds funds that will be used to acquire additional 20 million Kyoto certificates up until 2020 and to pilot carbon markets post 2020. Through the ongoing engagement in the World Bank Group’s facilities, CCF stays closely connected with multilateral developments. Further to that, CCF supports Switzerland in piloting cooperative approaches under Article 6. To this end, it is making at least $20 million available to develop and implement concrete activities in Colombia, Mexico (capture and energetic use of landfill gas), Peru (efficient cookstoves) and Thailand (fleet electric vehicles).
Why did you join IETA?
The CCF was among the first players in the market to procure CERs and ERUs, and among the very first to transact CERs across borders. In the early days of the emerging carbon market, it was of paramount importance to stay connected to the edge of developments. IETA's analysis and foresight provided the basis to successfully navigate the waters to deliver our mandate and surrender the certificates required to close the Swiss Kyoto gap. Nowadays, just as in the early Kyoto period, little clarity persists about future modalities for markets and IETA again plays an invaluable part in preparing the ground for an eventually emerging market.