Global Governance of Net-Zero Transition: Transforming Net-Zero Transition with Global-Governance Architecture Driven by Three Mutually-Reinforcing Pillars Global Governance Structure: A. Establish governance commonground on the premise of 2015 Paris Agreement: • One Governance Platform is the architectural foundation in the dynamics of international engagement, especially as envisioned by the Paris Rulebook (as concluded at COP26) on an agreed-upon set of governance rules, applicable to international efforts that link action to impact on an accountable baseline; B. Improve asset allocation by overcoming inherent information asymmetry: • One Disclosure Standard further brings together governance premises to a streamlined market-based decision-making structure, addressable at causes and causalities of the transition from perspective of strategy and governance, but also exposure to climate-related risks, therefore countermeasures driven by substantive metrics and targets (see the introduction of ISSB/International Sustainability Standards Board under leadership of UK COP26 from 2022); C. Transform merit-based decision with real-time data transparency: • One Reconciliation Baseline is also a prerequisite from operational point of view, particularly with accountability and transparency that link as-is net-zero impact (e.g., using blockchain with real-time impact measurement) to should-be asset value, substantiated and reconciled by fiscal/financial mechanisms;

1. Bangkok, Thailand / Page 1 (2) Edition: May 15, 2022
Global Governance of Net-Zero Transition
Transforming Net-Zero Transition with Global-Governance Architecture
Driven by Three Mutually-Reinforcing Pillars
Siripong Treetasanatavorn
Sloan Fellow, Massachusetts Institute of Technology
Global Governance Structure:
A. Establish governance commonground on the premise of 2015 Paris Agreement:
• One Governance Platform is the architectural foundation in the dynamics of
international engagement, especially as envisioned by the Paris Rulebook (as
concluded at COP26) on an agreed-upon set of governance rules, applicable
to international efforts that link action to impact on an accountable baseline;1
B. Improve asset allocation by overcoming inherent information asymmetry:
• One Disclosure Standard further brings together governance premises to a
streamlined market-based decision-making structure, addressable at causes
and causalities of the transition from perspective of strategy and governance,
but also exposure to climate-related risks, therefore countermeasures driven
by substantive metrics and targets (see the introduction of ISSB/International
Sustainability Standards Board under leadership of UK COP26 from 2022);2

2. S. Treetasanatavorn. Global Governance of Net-Zero Transition
Edition: May 15, 2022 Bangkok, Thailand / Page 2 (2)
C. Transform merit-based decision with real-time data transparency:
• One Reconciliation Baseline is also a prerequisite from operational point of
view, particularly with accountability and transparency that link as-is net-zero
impact (e.g., using blockchain with real-time impact measurement³) to should-
be asset value, substantiated and reconciled by fiscal/financial mechanisms;3
References (in appearance order):
1. See discussion the Paris Rulebook as key pivotal global-governance mechanisms in
advancing reciprocal climate impact on a global scale by UNFCCC (2022):
https://unfccc.int/news/article-6-is-a-key-tool-to-boost-climate-ambition-patricia-
espinosa; but also broader views of the net-zero transition with substantive rationale
by the Group of Thirty (2020): https://group30.org/publications/detail/4791; also refer
to the image source at Energy Tracker Asia (2021): https://energytracker.asia/cop26-
is-this-make-or-break-for-the-paris-agreement/
2. See introduction of the International Sustainability Standards Board (ISSB) at UK
COP26 (2021): https://ukcop26.org/uk-welcomes-work-to-develop-global-
sustainability-reporting-standards-alongside-40-international-partners; but also
briefing note on latest progress of the disclosure standards by Refinitiv (2022):
https://lipperalpha.refinitiv.com/2022/04/monday-morning-memo-the-issb-published-
its-first-two-drafts-for-the-ifrs-sustainability-disclosure-standards/
3. See World Bank's Climate Warehouse Initiative (2019) that seeks to establish a
carbon emissions reconciliation baseline using real-time blockchain innovation:
https://www.theclimatewarehouse.org/work/climate-warehouse; see also leadership
of Singapore from the Straits Times (2022):
https://www.straitstimes.com/singapore/environment/spore-accepts-world-bank-
invitation-to-host-initiative-to-make-carbon-credit-trade-more-transparent