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wri refections on CAN meeting

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CAN meeting 25/7/07 – a vision for Bali



Considerations which will impact our work:

The US – engaging them

China – engaging them and issues around trade

Extension of Annex B - North South proposal



Options for outcomes (Bill Hare) for Bali:

 Agree package for the negotiations in Bali

 Need to agree scope of emission action – peak by 2020 – 50% by 2050

 Strengthening of annex B commitments

 A broadening of Annex B or new Annex (e.g South North proposal)

 Fair and Transparent burden sharing system (built into mandate to develop post Bali)

 Build new flexible mechanisms (CDM not working) to bolster investments going into

the South, but don’t include new obligations for Annex 1 (sun setting the CDM).

Therefore, SDPAMs etc1.

 A clean technology deployment mechanism

 Deforestation reduction mechanism (a forgone conclusions that we wont close off

options at this point)

 Expansion of adaptation fund and upscaling of operationalisation of an adaptation

mechanism (e.g. incentives – proposals out there)

 Inclusion of new sources of emissions (e.g. marine transport, land use change)



Positions:

US – we will live with it. But want voluntary commitments that are mandatory at home,

and pushing for intensity targets. With big emitters meeting want to push a pledge and

review approach.

EU – don’t want a road map to nowhere. Trying to get an EU consensus to bring to the

different country bilaterals, looking towards Gleneagles. But EU not allowed to co-Chair

US big emitters meeting. Bilaterals coming up this year (with China and India) where

they will table actual proposals.

SA – will look at Carbon Markets under article 9 and adaptation under article 9.

Brazil – what targets will they agree to?

China – want to talk about energy intensity targets.

India – they want to invert the current proposal around 2%. Think it’s too hot for India.



Global differentiation debate:

Need a break through in Bali. The EU are trying to provoke this.

Also the UN Secretary General’s meeting (24th Sept) including dinner of 20 night before

(G8 plus 5 and others) are trying to look at Geopolitical implications etc around this

issue.

Countries taking ‘comparable actions’ language beginning to emerge. This is new and

important.

WWF speaking at the UN soon.



1

Paper by IISD (cf the variety of mechanisms)

CAN will name the countries that need to be part of Annex B.



HCFC / HFC:

Meeting in Montreal on this topic in September 2007



Markets for low carbon products:

EU looking at creating new markets for these products, in developing countries also.

Will include the removal of barriers for low carbon goods.

May happen between EU and China first. Will the US rush to compete?



REDD:

Brazil wants a fund.

Others want a carbon market based approach; therefore agreement would come under

Kyoto / convention.



Embedded Carbon:

Should CAN allude to this issue?

Is it raising the issue of competitiveness too soon? And is it counter productive?



Note on the process:

The mandate discussions will happen perhaps via AWG.

But we will have to agree something under the Convention to ensure that the US is

involved. Wont be done under Kyoto because the US is not involved.

But does that mean that we do something under the Convention that supersedes Kyoto?

Any amendment to Kyoto requires ratification from ¾ of the parties therefore will we

have a blocking minority?

Therefore – should we aim to do it all under the framework Convention?

Any new protocol to the Convention needs to set its own rules in terms of how it comes

into force etc.

A Bali mandate that moves away from Kyoto is not desirable.

Proposal: Need COP-UNFCCC and COP/MOP decision covered by Ministerial

declaration.



Important meetings:

 Brussels CAN meeting

 AWG Vienna

 1st September 2007 – CAN workshop on avoided deforestation

 24th September Secretary General’s meeting

 IFG meeting 14-15th September

 Global Leadership for Climate Action – task force – 20 former heads of state (Madrid

Group including Brundtland)

 US emitters initiative

 Bali



Note – House Foreign Affairs Committee sending 4 or more people (and staffers) to Bali.

Moving forward:

A vision (including Bills list of ‘ideal elements’)

A formal submission

Discuss in CAN US meeting

Setting up CAN APEC groups



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