IETA Article 6 Policy Briefs Ahead of COP29 – Emissions Avoidance

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This position brief outlines the misunderstandings surrounding “emission avoidance” decisions among stakeholders, primarily due to the lack of an official definition from the IPCC or UNFCCC and insufficient clarity from Article 6 negotiators. Climate change practitioners often associate this term with the initial phase of the mitigation hierarchy – “avoid, minimise, restore, offset” – without clearly linking it to carbon crediting activities. This ambiguity can lead to conflation with emission reduction in carbon markets.

Various interpretations complicate matters further, distinguishing reductions as applicable to existing sources, while avoidance pertains to preventing future emissions. Historical examples, such as Ecuador’s 2007 initiative concerning the Yasuní national park, situate emission avoidance within the context of forgoing fossil fuel development. More recently, the Philippines has sought carbon credits for delaying new coal-fired power plants.

Additionally, senior negotiators propose differentiating avoidance from reductions based on agency, where proactive measures qualify for credits while inaction does not. This highlights the urgent need for a clear definition of emission avoidance to prevent misunderstandings and ensure effective policy-making in the carbon market.

Read the full IETA comment.

In Conclusion

The A6 text still includes a significant number of brackets and options. Between now and COP29, countries need to engage informally and in good faith to seek constructive outcomes. Whilst Article 6.2 is already operational and a growing number of countries are engaging in cooperative approaches, we cannot have another failure to finalise guidance in Baku and risk nullifying ongoing implementation efforts. We fear such a prospect may result in market participants starting to lose trust in Article 6, therefore failing to generate the extent of climate funding needed to meet the Paris Agreement goals.

We look forward to continuing our support to the process and contributing with our 350+ members and 25 years’ expertise in carbon markets.

IETA