ICC acknowledges that market mechanisms are only one part of the policy mix needed to meet the goals of the Paris Agreement and strongly welcomes the availability of market provisions under Article 6 of the Paris Agreement and their potential to send clear price signals to drive the transition and encourage ambition.
Business calls on Parties at COP25 to reach an agreement on the effective and transparent implementation of Article 6 of the Paris Agreement and stands ready to inform the process of identifying the best ways forward to build up a framework for Article 6. Business recommendations include:
- Build and agree on a framework for measuring, reporting and verification (MRV) of emissions that takes into consideration generally accepted existing international and national MRV frameworks and that is linked to the transparency framework developed under Article 13 of the Paris Agreement.
- Adopt simple, clear, effective and flexible rules, using familiar terms and procedures, to incentivise business participation and avoid double counting
- Encourage ambition and predictability by developing comparable and measurable standards for emission reduction for NDC reviews
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