1st Sustainable Development Mechanism Bonn, 24 March 2012 Future of JI – Business Perspectives Hanna-Mari Ahonen IETA.

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Presentation transcript:

1st Sustainable Development Mechanism Bonn, 24 March 2012 Future of JI – Business Perspectives Hanna-Mari Ahonen IETA

Business needs clarity JI is important model for new market mechanisms (host country cap, country-driven) Currently, no carbon market incentive to reduce emissions outside EU ETS! To incentivise emission reductions in non-ETS sector & JI alive provide clarity on JI, asap! Key issues to clarify immediately: Incentives to early (immediate) action: otherwise, risk losing momentum Timeline of re-operationalisation of JI: years of uncertainty undermine investments Transitional procedures between now and guideline revision: decisions needed in Qatar Host country eligibility: Kyoto CP2 ratifiers vs. non-ratifiers Relationship with alternative offset schemes: Article 24a etc. Key characteristics of revised guidelines: Predictability & stability Transparency & efficiency Continuity & incentives for early and long-term action