Firms that indicated they will introduce Kyoto mechanisms
were asked which country/ region they would select for introducing such projects.
If Russia does not ratify the protocol, it cannot participate in the Kyoto mechanisms
. The absence of Russia, which has a large amount of emissions rights to sell in a planned emissions trading market, would virtually invalidate the Kyoto mechanisms
, the delegates said.
Since 2008, companies can recover part of their green' investments abroad in the form of emissions credits under the Kyoto mechanisms
. In 2009, CERs (certified emissions reductions) accounted for 4.1% of these credits, of which 52% originated in China, 21% in India, 14% in South Korea and 9% in Brazil.
The EU also insists that industrialized countries should use the three Kyoto mechanisms
as a ''supplement'' to, and not a substitute for, domestic policies and measures, EU officials stressed.
For the first time, companies were also able to record credits generated by the Kyoto mechanisms
(certified emission reductions or CERs from the Clean Development Mechanism; and emission reduction units or ERUs from the Joint Implementation Mechanism).
Particularly hard to reconcile are the positions on quota auctioning, the fate of sensitive' industrial sectors (risks of carbon leakage), the use of Kyoto mechanisms
(clean development mechanism or CDM), arrangements for solidarity (transfer of part of auction proceeds) and the funding of carbon capture and storage projects.
Eight EU15 member states - Belgium, Germany, Greece, Ireland, the Netherlands, Portugal, Sweden and the UK - should be able to reach their national objective by 2012 through the use of existing policies and measures, carbon sinks and Kyoto mechanisms
(clean development mechanism or CDM and joint implementation or JI).
The report notes the considerable potential of the Kyoto mechanisms
(especially the Clean Development Mechanism) and calls for their expansion.
This is also true for the Kyoto mechanisms
, which apply to economies in transition and developing countries (Joint Implementation and/or Clean Development Mechanism).
The Council wants emission ceilings to be harmonised and that eligibility criteria as well as the application of Kyoto mechanisms
be clarified for all installations governed by the ETS.
The 3C' initiative has defined a working programme that includes: the promotion of effective policies based on an identification of potential reductions at the level of the world economy; the use of markets developed in the framework of the Emission Trading System and other Kyoto mechanisms
(Clean Development Mechanisms and Joint Implementation Mechanisms); giving a serious thrust to technological development via the support and diffusion of innovative technologies.
Use of Kyoto mechanisms
(The Clean Development Mechanism (CDM) for projects carried out in developing countries, and Joint Implementation, for projects carried out in developed countries or economies in transition ) is allowed.