This short study reflects on the significance of COP26 outcomes for global carbon markets with a focus on African priorities. This includes carbon market cooperation under Article 6 of the PA but also the transition of the Clean Development Mechanism (CDM) of the Kyoto Protocol (KP) to the Article 6.4 mechanism. First, we assess the agreed rules in light of African countries’ negotiation positions to understand how well these are reflected in the compromise. Second, the study looks ahead and asks how COP 26 decisions are relevant for African interests to engage in carbon market cooperation. One key ingredient for the success of Article 6 in Africa is comprehensive capacity building, in order to support host countries and carbon market stakeholders in preparing to meet all new participation requirements. Moreover, the study assesses African priorities for negotiating open technical aspects in the Article 6 work programme.
Authors: Sandra Greiner, Stephan Hoch, El Hadji Mbaye Diagne, Gema Andreo Victoria and Aayushi Singh