Article 6 Negotiation at COP 28
Trends and Updates

Supanut CHOTEVITAYATARAKORN
Program Manager
Paris Agreement Article 6Implementation Partnership CenterKey messageso Use of Article 6 recognized in the outcome of the first Global Stocktake
as one of the key tools to accelerate implementation.

o Absence of decisions from COP 28 does not prevent countries fromcontinuing to cooperate under Article 6.
o Practical Article 6 implementation on the ground can lead by examples
and give market confidence by implementing with high integrity.

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Where we areA lot of progress has been made since COP 26
Component

Article 6.2

COP 26Body

COP 28COP 29Article 6.2 Guidanceo Tracking guidanceo Review guidanceo Reporting outlines
o Draft version forsubmitting annual
information (AEF)(no text)

o Further guidance(carried overmandates)

Article 6.4 RMPso Elaboration ofprocesses, including on
CDM transitiono Article 6.4 SB RoP(no text)o Adoption of methand removal
requirementso Further guidance

A number of standards and procedures
developed by Article 6.4 SB

Tools, guidelines,
and other provisions

CMACMA

Article 6.4
6.4 SBCOP 27-3

Reflections on Article 6.2 discussion

Rationale

Views/Positions

Key areas of broad convergenceo Authorization (process and elements on aViews/Positions

Rationalevoluntary basis)o Implementation
based on agreed
decisionso Ensuringtransparency by
not delaying
reportingo Technical-nature
work could betasked to thesecretariat

o Discussions based on
mandates from COP27
o No need for a definitionof cooperative
approacheso Not to reopen matters
already agreed from2/CMA.3 and 6/CMA.4
o AEF tables ready foradoptiono Change to authorization notaffecting ITMOs first transferred(while allowing some exceptions)o Reporting sequencing (IR -> AEF)

o Marking of review status/
consistency check resultso There should be a definitionof cooperative approacheso Standardized authorization
forms and contentso Clear steps and procedures
for reporting and review

Divergent viewso Definition of cooperativeapproaches
o Listing of contents/elements in theauthorization(s)o Necessity of more elaborated AEF
o IR review to be completed before
submitting associated informationin the AEF

o Comprehensive AEF tableso Consistency check beforeITMOs can be used/furthertransferredo Clearer rules
required for market
integrityo Robust reporting
and review arenecessary for trust
and transparency

Other technical issues discussed include common nomenclatures,international registry, confidential information, and special
circumstances for LDCs and SIDs.

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Substantive progress on Article 6.4 in 2023
Work of Article 6.4 SB in 2023
ooo

Adoption of several standards and procedures, including on activity standard, activity cycle, validation andverification, accreditation, and CDM activity transition
Recommendations on methodology requirements and activities involving removal
Progress made on developing SD tool, appeals and grievance procedure, and others[ Discussion at COP 28 on general guidance for Article 6.4 SB in its continuation of work ]o Pursue inclusivity - proactively reaching out to a broad range of stakeholderso Guided by the best available scienceo Prioritize works on SD tool, appeals and grievance procedure, tools, guidelines and other required regulatory provisions

Country-level
67 Parties have designated DNAs for 6.4 (as of 12 Dec 2023)

Activity-level1,330 CDM activities requested for transition to the Article 6.4 mechanism

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Recommendations from Article 6.4 SB
Methodology requirements

Activities involving removalo Elaboration of methodology principles and baseline
approaches, referred to in paragraphs 33 – 38 of theArticle 6.4 RMPso Additionality demonstrationo Leakageo Non-permanence and reversals

o Context/Definitions
o Requirements for monitoring, reporting, accounting,remediation of reversals, applicable methodologies,
addressing reversals, avoidance of leakage and othernegative impactso Host Party roles

Status: Broad acceptance (recognizing further work)

Status: Divergent views remained on certain issues

Key issues raised:o Applicability to all project typeso Whether any additional clarifications are needed

Key issues raised:o Clarity in terms of application to REDD+o Management of reversal risks and eventso Role of the host Party (and potentially otherparticipating Parties)

6Adoption of CMP 18’s CDM Guidance
TopicsTo be considered at
CMP 19Key decisions

Technical paper requested

GeneralAgreed process for nonresponsiveness of CDM DNAs--

Functioning ofCDMTakes note of the technical paperby the secretariat(FCCC/TP/2023/3)(2025 Deadline for requestingissuance of pre-2020 CERs)

Functioning and operationof the CDM processes andinstitutions, including
appropriate time frames

Technical paper on thenecessary operations of theCDM registryManagement offinancial
resources

Decides to “authorize” a transferfrom the CDM Trust Fund to the
Adaptation Fund, andpotentially to other areas inneed of funding at CMP 19“Authorize” the transfer(potentially including theamounts to be transferred)

Technical paper on thenecessary level of resources
for the functioning andoperation of the CDM
processes and institutions

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The way forward

Prospects for future engagement by the private sector
oDemonstration of actual projects accelerate Article 6 implementation on the ground: As
many countries are already preparing and moving towards Article 6 implementation, the private
sector can play a crucial role in initiating pipelines of Article 6 activities/ideas to demonstratepotential opportunities and accelerate implementation on the ground.

oInformation sharing: Project developers need to be able to navigate through different nationalarrangements and rules applied by each country and bilateral cooperation, accessibility andclarity from the governments are therefore helpful to facilitate these processes.

oProactive engagement: The private sector is encouraged to involve and provide inputs andactively engage in the development of cooperative approaches, as well as Article 6.4
Mechanism to contribute to promoting inclusive, practical and robust implementation of Article 6.

8Thank you for your attention

Any questions
Contact: a6_partnership@iges.or.jp
Website: https://a6partnership.org