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YALE	
  SCHOOL	
  OF	
  FORESTRY	
  &	
  ENVIRONMENTAL	
  STUDIES	
  




  China’s	
  Path	
  to	
  Copenhagen:	
  
   Strategic	
  Recommendations	
  for	
  How	
  the	
  PRC	
  Could	
  
         Create	
  an	
  Optimal	
  Outcome	
  at	
  COP	
  15	
  	
  
                                                                                  	
  
 Bidisha	
  Banerjee,	
  Andy	
  Barnett,	
  Alyssa	
  Go,	
  Angel	
  Hsu,	
  Saman	
  Ikram,	
  Christopher	
  Kieran,	
  Marian	
  Thorpe	
  
                                                                         	
  
                                                                         	
  
                                                                11/24/2009	
  




Recognizing	
  the	
  People’s	
  Republic	
  of	
  China’s	
  substantial	
  domestic	
  efforts	
  on	
  behalf	
  of	
  the	
  climate	
  system,	
  
this	
  report	
  by	
  graduate	
  students	
  at	
  the	
  Yale	
  School	
  of	
  Forestry	
  &	
  Environmental	
  Studies	
  turns	
  a	
  lens	
  on	
  the	
  
nation’s	
  pivotal	
  role	
  in	
  the	
  international	
  arena.	
  	
  This	
  paper	
  discusses	
  the	
  upcoming	
  UNFCCC	
  Conference	
  of	
  
the	
  Parties	
  and	
  makes	
  recommendations	
  for	
  China’s	
  negotiating	
  stance	
  that	
  further	
  the	
  nation’s	
  
environmental,	
  economic,	
  and	
  political	
  goals	
  of	
  achieving	
  a	
  circular	
  economy	
  and	
  a	
  harmonious	
  society.	
  The	
  
recommendations	
  also	
  describe	
  how	
  the	
  PRC	
  could	
  enhance	
  its	
  leadership	
  as	
  a	
  world	
  power	
  through	
  the	
  
international	
  climate	
  change	
  regime.	
  	
  The	
  recommendations	
  are	
  outlined	
  in	
  the	
  executive	
  summary.	
  
Executive Summary

Introduction
U.S. President Barack Obama’s Nov. 14-15 visit with President Hu Jintao of the People’s Republic
of China highlights the Asian country’s emergence as a world superpower. The timing of Obama’s
trip, about one month before the upcoming climate change negotiations in Copenhagen,
underscored the fact that China also plays a leading role on the international stage when it comes to
the environment. In this regard, China has led by example. China’s National Climate Change
Policy, released in 2007, reveals a strong commitment to reducing the nation’s impact on global
climate change and the environment. In the plan, China pledges to “strive to build a resource
conservative and environmentally friendly society, enhance national capacity to mitigate and adapt
to climate change, and make further contribution to the protection of the global climate system”
(“China’s National” 2007). This commitment has already been demonstrated through the adoption
of domestic policies that promote energy efficiency and conservation, improve motor vehicle fuel
economy, set ambitious energy targets, and promote reforestation (“Climate Change” 2007).
Recognizing China’s substantial domestic efforts on behalf of the climate system, this report turns a
lens on the nation’s pivotal role in the international arena and potential to guide the negotiations
toward a desirable outcome for all parties. This paper discusses critical issues for China in the
upcoming UNFCCC Conference of the Parties and makes recommendations for China to further its
environmental, economic, and political goals of achieving a circular economy and a harmonious
society. These recommendations also outline how the PRC could enhance its leadership as a world
power through the international climate regime.

In regards to the legal structure of an international climate change agreement:
In the AWG-KP China could:
    • Gain time to restore the stalled AWG-KP talks by convincing all other countries of the
        need to extend the Bali Action Plan’s timeline for agreement.
    • Work with the G77 and Annex I countries to draft a post-COP 15 negotiating time-
        table.
    • Cement the support of the African Group in the AWG-KP so that the African Group does
        not stymie talks as in Barcelona.
    • Convince India not to rely exclusively on COP decisions, since these decisions have weak
        legal character.
    • Join with India in offering to restrict per capita emissions pegged to the Annex I per
        capita average. China could take this position within the Contact Group on Potential
        Consequences).

In the AWG-LCA, China could:
    • Distance itself from the Japanese and Australian proposals on the table because they
        undermine the KP’s legal bindingness.
    • Safeguard against Annex I countries’ impulse to cherry-pick aspects of the KP –i.e. the
        CDM.
    • Push for “politically binding” targets on emissions reductions and financing from
        developed countries.

In regards to financing mechanisms in an international climate change agreement:
China could:


China’s Path to Copenhagen                                                               3
•   Engage in the CDM reform discussion to demonstrate leadership on behalf of other
       developing nations.
   •   Ensure that World Climate Change Fund assessments account for cumulative
       historical emissions.
   •   Expedite agreements on funding from market-based levies scheduled for COP 16. This
       may be a viable option for securing some form of adaptation and mitigation funding, despite
       the likelihood of a weak or no agreement emerging from Copenhagen.
   •   Secure promised funding commitments from developed countries.
   •   Encourage voluntary contributions from developed countries.
   •   Leverage the negotiations to build bilateral agreements regarding carbon capture and
       storage and markets for Chinese-made clean technologies.

In regards to Nationally Appropriate Mitigation Actions (NAMAs) in an international climate
change agreement:
China could:
• Support flexibility in NAMAs projects so that goals, and the tools to achieve those goals, can
    be developed according to China’s priorities.
• Push for interim financial measures and secure adequate climate finance for early
    mitigation actions.
• China could support MRV for technology-based conditional NAMAs. MRV of NAMAs in
    developing countries is seen as pivotal in establishing compliance and building credibility in the
    financing mechanism.

In regards to “Measurable, Reportable, and Verifiable” Actions and Commitments in an
international climate change agreement:
China could:
    • Push for compulsory MRV for all developed country commitments and support,
       particularly through a third-party or international body that can independently MRV such
       support.
    • Consider what aspects of its climate policy China has the capacity to MRV or are
       willing to submit for international MRV and consider putting those on the negotiation
       table.
    • Vie for capacity building and support from developed countries to strengthen MRV
       systems.
With regards to China’s bilateral negotiations with the United States:
China could:
   • Capitalize on common ground. Both the US and China can spur local mitigation actions
       with emphases on energy efficiency, renewable energy, smart grid development, and data-
       driven environmental performance.
   • Seek no-loss concessions. Now that the United States EPA has offered to fund and assist
       China’s NDRC in a green house gas inventory, China could offer to MRV select mitigation
       actions at low cost or no cost.
   • Seek win-win scenarios. The United States and EU want steep emission cuts from China,
       and China wants more funding for adaptation, mitigation and technology transfer. There is
       room for both sides to find a beneficial outcome.



China’s Path to Copenhagen                                                                4

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China Path To Copenhagen

  • 1. YALE  SCHOOL  OF  FORESTRY  &  ENVIRONMENTAL  STUDIES   China’s  Path  to  Copenhagen:   Strategic  Recommendations  for  How  the  PRC  Could   Create  an  Optimal  Outcome  at  COP  15       Bidisha  Banerjee,  Andy  Barnett,  Alyssa  Go,  Angel  Hsu,  Saman  Ikram,  Christopher  Kieran,  Marian  Thorpe       11/24/2009   Recognizing  the  People’s  Republic  of  China’s  substantial  domestic  efforts  on  behalf  of  the  climate  system,   this  report  by  graduate  students  at  the  Yale  School  of  Forestry  &  Environmental  Studies  turns  a  lens  on  the   nation’s  pivotal  role  in  the  international  arena.    This  paper  discusses  the  upcoming  UNFCCC  Conference  of   the  Parties  and  makes  recommendations  for  China’s  negotiating  stance  that  further  the  nation’s   environmental,  economic,  and  political  goals  of  achieving  a  circular  economy  and  a  harmonious  society.  The   recommendations  also  describe  how  the  PRC  could  enhance  its  leadership  as  a  world  power  through  the   international  climate  change  regime.    The  recommendations  are  outlined  in  the  executive  summary.  
  • 2. Executive Summary Introduction U.S. President Barack Obama’s Nov. 14-15 visit with President Hu Jintao of the People’s Republic of China highlights the Asian country’s emergence as a world superpower. The timing of Obama’s trip, about one month before the upcoming climate change negotiations in Copenhagen, underscored the fact that China also plays a leading role on the international stage when it comes to the environment. In this regard, China has led by example. China’s National Climate Change Policy, released in 2007, reveals a strong commitment to reducing the nation’s impact on global climate change and the environment. In the plan, China pledges to “strive to build a resource conservative and environmentally friendly society, enhance national capacity to mitigate and adapt to climate change, and make further contribution to the protection of the global climate system” (“China’s National” 2007). This commitment has already been demonstrated through the adoption of domestic policies that promote energy efficiency and conservation, improve motor vehicle fuel economy, set ambitious energy targets, and promote reforestation (“Climate Change” 2007). Recognizing China’s substantial domestic efforts on behalf of the climate system, this report turns a lens on the nation’s pivotal role in the international arena and potential to guide the negotiations toward a desirable outcome for all parties. This paper discusses critical issues for China in the upcoming UNFCCC Conference of the Parties and makes recommendations for China to further its environmental, economic, and political goals of achieving a circular economy and a harmonious society. These recommendations also outline how the PRC could enhance its leadership as a world power through the international climate regime. In regards to the legal structure of an international climate change agreement: In the AWG-KP China could: • Gain time to restore the stalled AWG-KP talks by convincing all other countries of the need to extend the Bali Action Plan’s timeline for agreement. • Work with the G77 and Annex I countries to draft a post-COP 15 negotiating time- table. • Cement the support of the African Group in the AWG-KP so that the African Group does not stymie talks as in Barcelona. • Convince India not to rely exclusively on COP decisions, since these decisions have weak legal character. • Join with India in offering to restrict per capita emissions pegged to the Annex I per capita average. China could take this position within the Contact Group on Potential Consequences). In the AWG-LCA, China could: • Distance itself from the Japanese and Australian proposals on the table because they undermine the KP’s legal bindingness. • Safeguard against Annex I countries’ impulse to cherry-pick aspects of the KP –i.e. the CDM. • Push for “politically binding” targets on emissions reductions and financing from developed countries. In regards to financing mechanisms in an international climate change agreement: China could: China’s Path to Copenhagen 3
  • 3. Engage in the CDM reform discussion to demonstrate leadership on behalf of other developing nations. • Ensure that World Climate Change Fund assessments account for cumulative historical emissions. • Expedite agreements on funding from market-based levies scheduled for COP 16. This may be a viable option for securing some form of adaptation and mitigation funding, despite the likelihood of a weak or no agreement emerging from Copenhagen. • Secure promised funding commitments from developed countries. • Encourage voluntary contributions from developed countries. • Leverage the negotiations to build bilateral agreements regarding carbon capture and storage and markets for Chinese-made clean technologies. In regards to Nationally Appropriate Mitigation Actions (NAMAs) in an international climate change agreement: China could: • Support flexibility in NAMAs projects so that goals, and the tools to achieve those goals, can be developed according to China’s priorities. • Push for interim financial measures and secure adequate climate finance for early mitigation actions. • China could support MRV for technology-based conditional NAMAs. MRV of NAMAs in developing countries is seen as pivotal in establishing compliance and building credibility in the financing mechanism. In regards to “Measurable, Reportable, and Verifiable” Actions and Commitments in an international climate change agreement: China could: • Push for compulsory MRV for all developed country commitments and support, particularly through a third-party or international body that can independently MRV such support. • Consider what aspects of its climate policy China has the capacity to MRV or are willing to submit for international MRV and consider putting those on the negotiation table. • Vie for capacity building and support from developed countries to strengthen MRV systems. With regards to China’s bilateral negotiations with the United States: China could: • Capitalize on common ground. Both the US and China can spur local mitigation actions with emphases on energy efficiency, renewable energy, smart grid development, and data- driven environmental performance. • Seek no-loss concessions. Now that the United States EPA has offered to fund and assist China’s NDRC in a green house gas inventory, China could offer to MRV select mitigation actions at low cost or no cost. • Seek win-win scenarios. The United States and EU want steep emission cuts from China, and China wants more funding for adaptation, mitigation and technology transfer. There is room for both sides to find a beneficial outcome. China’s Path to Copenhagen 4