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Climate Business Group Decision Document
Some questions have been resolved
since COP27-
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Process
o We know it to be a ‘statement’
o We know a copy is to be provided with the Initial Report
o We do not have guidance on what else is included
Timing options
o Authorisation prior to first transfer/transfer
o Authorisation prior to/at the time of issuance (in 6.4 mechanism) (as now noted in
para 38 of the Sharm text)
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Climate Business Group Decision Document
Mandate/ Work programme from COP27
4
• The process of authorization pursuant to decision 2/CMA.3, annex, paragraphs 2, 18(g) and 21(c),
notably the scope of changes to authorization of internationally transferred mitigation outcomes
towards use(s), and the process for managing them and for authorization of entities and cooperative
approaches with a view to ensuring transparency and consistency;
• The application of decision 2/CMA.3, annex, paragraph 2, on mitigation outcomes authorized by a
participating Party for use towards achievement of a nationally determined contribution and for other
international mitigation purposes in accordance with decision 2/CMA.3, annex, paragraph 1(d) and (f);
• The common nomenclature referred to in annex I, chapter II.B, including for cooperative approaches
reported by participating Parties, first transferring Party, sectors, activity types, non-greenhouse gas
metrics and their units of measurement, registries that track internationally transferred mitigation
outcome from cooperative approaches and action types; first transfer specifications; and purposes
towards which use of internationally transferred mitigation outcomes is authorized;
6.2
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Climate Business Group Decision Document
Mandate/ Work programme from COP27
5
• Provision of a statement by the host Party to the Supervisory Body specifying whether it authorizes Article
6, paragraph 4, emission reductions issued for an Article 6, paragraph 4, activity for use towards
achievement of nationally determined contributions and/or for other international mitigation purposes, as
defined in decision 2/CMA.3, in accordance with paragraph 42 of the rules, modalities and procedures,
including its timing, relevant information on the authorization and any revisions.
6.4
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Climate Business Group Decision Document
Implications of different possible
changes of authorisations by Parties
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o Host country determination to decide
o Retrospective changes
▪ Changes are ‘permissible’ per para 21(c ) of
Decisions 2CMA.3
▪ Impacts to SOP and OMGE (paras 35-45 of Sharm
text)
▪ Stability/ predictability of market
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Climate Business Group Decision Document
Remaining Questions
8
• Set authorization criteria ( to be determined by
cooperating parties)
• Format of authorization relatively irrelevant
• Domestic process for authorization by host party –requires
capacity building
• Big question of timing has been answered
• Parties to add change/revision procedures to their
cooperation agreement?