Session 3A presentation from the 8th Strategic Dialogue of the Carbon Market Platform, 23-24 October 2023

1. West African Alliance on Carbon Markets and
Climate Finance
Ousmane Fall Sarr,
Coordonator of West African Alliance
on Carbon Markets and Climate Finance
8th annual Strategic Dialogue of the Carbon
Market Platform
Tokyo, Japan: Oct 24, 2023
Role of regional host country coalitions as a vehicle to enhance
Article 6 implementation and the ambition of NDCs.

2. Contents
2
The Alliance……………………………………..….………….......1
Alliance Supported activities…………………..……………..… 2
Alliance achievements & activities…………………………..… 3
Role of regional hot country coalitions : ex of WAA…………..…
4

3. The Alliance
3
Cabo
Verde
Source: University of Texas Libraries
Vision & Mission
• Launched in Marrakech during COP22 in 2016
Member countries
Objectives
• Promote access to market mechanisms and
climate finance opportunities
• Pilot the transition of CDM related capacities and
activities to the Paris Agreement context
• Support Article 6 pilot experiences in the sub-
region while sharing implementation knowledge in
the negotiations and vice versa
• And more
• Enhance the position of West African countries to
participate in international carbon markets, benefit from
technology transfer and access result-based climate
finance for NDC implementation
Currently supported by:
• Foster active participation by West African
delegates in the UNFCCC negotiations

4. Supported activities
Alliance supported activities
Workshops & meetings
Member participation at COPs and
international events
Technical work: Article 6 negotiations, in-
country readiness, CDM transition to A6.4,
support to mitigation projects, reports, and
studies
Outreach, networking, and communication
Alliance management
Currently supported by:

5. Alliance achievements & activities
X
Sub-regional cooperation and coordination
Implemented in-person members’ meetings (5) with the last one being on March 2022 in Lomé, Togo
Support to WAA member countries’participation at CoPs and SBs
Creation of thematic working groups (4) (carbon markets and pricing, transparency, climate finance and technology transfer) to sharpen members’
engagement in international negotiation processes
Two rounds of ITMO buyers-sellers roundtable to improve members’ participation in Article 6 pilots (jointly WAA – EAA)
Initiated partnerships with regional and international actors (UNFCCC, ECOWAS, WAEMU, EAA, BMWK, KliK, AfDB, AGN, World Bank, UNDP, IETA,
CPLC, Carbon Market Fairness and Transparency Coalition, Pacific Alliance)
Support for national Article 6 readiness
Hosted Thematic workshops (5) and preparatory meetings for negotiations (10+)
(Article 6 components, CDM transitioning, Share of Proceeds, Corresponding Adjustment, etc.)
Report: Article 6 readiness in West Africa. A scoping study assessing Article 6 readiness support needs of WA countries
Report: Blueprint for Article 6 readiness in member countries of the West African Alliance
Hosting side events at I4C event and African Climate Weeks
Enhanced access to finance for WA mitigation projects and programmes
Report: Stakeholders’ Perspectives on Carbon and Climate Finance in West Africa – Barriers and Opportunities
Developed a stakeholder’s database intended for supporting strategic networking within the sub-region. Outcome: Stakeholder mapping tool
Outreach
Supported ECOWAS with A6.4 sub-regional dialogue and Climate Finance needs-based strategy development
Established a communication structure and social media strategy
In-country readiness support for Nigeria and Togo
Offsetting of the Alliance related flight
emissions through a Gold Standard Project
in Nigeria (Alliance neutrality program)

6. Recent publications
Access to Finance Report
Article 6 Readiness Blueprint

7. 1. Readiness
Blueprint

9. 2.
State of climate &
carbon finance in
West Africa

10. Analysis Overview 10
West Africa on the global stage
Recipient of only 4.6% of total
international climate finance flows
during the assessed period 2006-
2021
Hosts only 0.3% of all carbon
projects registered to date globally
under the CDM and selected voluntary
standards
Purpose of the analysis Good to know
Aggregate data on climate- and
carbon finance flows to West
Africa to understand the current state and
trends in the region.
First publicly available analysis of
its kind
International climate finance channelled through
multilateral climate finance funds, specifically to
mitigation activities
Adaptation activities have been excluded
Analysis focus

11. Climate Finance in West Africa 11
53
28
10
9
3
Energy Forestry Agriculture Transportation Industry
Approved climate finance projects, by sector:
104 GHG mitigation programmes
are funded by international climate finance
funds
USD 864 million allocated to these
programmes as of 2022 of which 30%
has been disbursed
Leading Funds: CIF, GCF, GEF
Responsible for 88% of total finance
allocated by multilateral climate funds to
West Africa
Energy and forestry projects 3/4 of all
approved projects & 4/5 of all regional
finance flows since 2006
Trends
Allocated vs. disbursed finance, by sector:
% Disbursed Allocated Disbursed
Climate finance analysis

12. 12
• Approved climate finance programmes per West African
country, by mitigation project type:
Benin
Burkina Faso
Côte D’Ivoire
The Gambia
Ghana
Guinea
Guinea-Bissau
Liberia
Mali
Mauritania
Niger
Nigeria
Senegal
Sierra Leone
Togo
Cabo Verde
Chad
0% 20% 40% 60% 80% 100%
Agriculture Water & Resilience
Energy Forestry Transportation

13. Carbon Finance in West Africa 13
0
20
40
60
80
100
120
140
160
Number
of
activities
VCM projects CDM projects
Registered activities under the CDM and VCM, by category:
367 carbon market activities under
CDM or voluntary standards of which 1/3
have issued carbon credits
As of 2022, these activities have
collectively issued 24.7 million
carbon credits
Carbon finance flows
Since 2010, USD 100 million flows,
half of which can be linked to 2021
issuances alone
Strong trends shown towards
efficient cookstove projects
followed by clean water and then
solar projects
Trends
Carbon finance analysis

14. • Registered activities under the CDM and the VCM
per country, by project type
Clean water Composting Efficient cookstoves Hydro
Industrial gases NBS – Avoided NBS – Removed Solar
Other
Wind
Waste to energy
Benin
Burkina Faso
Côte D’Ivoire
The Gambia
Ghana
Guinea
Guinea-Bissau
Liberia
Mali
Mauritania
Niger
Nigeria
Senegal
Sierra Leone
Togo
0% 20% 40% 60% 80% 100
%

15. GlobalArticle6.2
Cooperative
Approaches
Landscape
IETA (2023)
* Ghana
* Senegal
* Liberia
Japan’s Joint
Crediting
Mechanism
A6.2 Bilateral Agreements and MoUs
* Senegal

16. SpearheadingArticle6
implementation-activities
Operationalisation of Article 6
gathering pace
• Milestones:
o First letter of
authorisation
• Upcoming challenges and
opportunities:
o Transition of CDM
portfolio
o More engagement via
Article 6.2
Ghana
Senegal
Liberia
Singapore
Switzerland
Sweden
UAE (Blue Carbon)
A6.2 cooperative
approaches
in talks
Japan (JCM)
Article 6.8
Adaptation Benefit
Mechanism

17. SpearheadingArticle6
implementation-readiness
Number of capacity-building activities
per country (2022):
(Climate Finance Innovators, 2023, forthcoming)
• Milestones:
o First Article 6 framework
• Upcoming challenges and opportunities:
o Scaling up Article 6 readiness
support
o Ensuring fair benefit sharing
arrangements

18. 26-28 September 2023
Abidjan, Cote d’Ivoire
WEST AFRICA CARBON MARKET HUB
Scaling Up Public and Private Capacity to Deliver the Goals
of The Paris Agreement

19. RoleofRegionalhostcountriescoalitionasa
vehicletoenhanceArticle6implementation
❖Stronger participation in the negotiations and better Technical coordination,
❖Faster readiness process by facilitating experience sharing and P2P learning, and not leave
anyone behind (clustering approach, by language, geographical and cultural similarities) not
reinvent the wheel, pilot experience for 6.2 agreement in Ghana, Senegal shared with other
countries
❖Harmonization of project implementation approaches, manage trans boundary ecosystems
and resources management (forestery project in CI and Ghana, reduce permanence risk,
deforestation,
❖Development of regional initiatives (Replicability- Multicountries Programs),
❖Harmonization of policies (same economic community or market (ECOWAS, WAEMU): Ex.
Carbon Pricing instrument and existing common regional fiscal regulation,
❖Advocate for more fairness in carbon price setting (an integrity issue in the demand side :
buyer’s domestic mitigation cost Vs HC abatement cost of the mitigation outcome )
❖Development of regional market infrastructures and platform (next step after launching of our
hub in Abidjan)
❖Ultimate goal : the establishment of an integrated REGIONAL carbon Market (ECOWAS pol)
❖Exchange on how to address Contribution to adaptation, Capacity Building, Tech transfer for

20. Thank you
Contact: ofsarr@yahoo.com