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World Bank Study
This report highlights China’s strategies and policies toward both mitigating and adapting to climate change while also discussing the means to raise public awareness of the issue and enhance international cooperation. Cities and Carbon Market Finance: Taking Stock of Cities’ Experience with Clean Development Mechanism (CDM) and Joint Implementation (JI), OECD, 2010, © OECD 2010132 The importance of cities in climate policy stems from the simple reality that they house the majority of the world’s population, two-thirds of world energy use and over 70 percent of global energy use emissions. At the international level, global carbon markets have become an important new source of financing for mitigation projects and programs. Yet to date, the participation of urban authorities and of urban mitigation projects in the global carbon market remains extremely limited. The under-representation of urban carbon projects can be linked both to the difficulties in implementing urban mitigation projects and to the difficulties for cities to access the carbon market. This paper reviews 10 in–depth case studies of urban projects proposed and operating within the realm of Joint Implementation (JI) and the Clean Development Mechanism (CDM) of the Kyoto Protocol. It explores the drivers of success for projects, examining in particular: the types of projects that have been successful and their profitability; leadership and other roles of various actors in project initiation development and operation (i.e. local, regional and national governments as well as international, private sector or other non-governmental organizations); the role of local co-benefits; and project financial structure and risk management approaches. This paper also considers how these lessons learned may inform future decisions how to best access the potential for carbon markets to offer increased levels of financial support for urban mitigation projects or programs. Cities and Climate Change Mitigation: Case Study on Tokyo’s Emissions Trading System, World Bank, May 2010243 The Tokyo Metropolitan Government has developed the world’s first cap and trade program (emissions Trading System, or eTS) at the city level targeting energy-related CO2. The eTS covers around 1,340 large facilities including industrial factories, public facilities, and educational facilities, as well as, uniquely, commercial buildings. The ETS went into effect in April 2010. The city aims to reduce emissions by 25 percent from 2000 levels by 2020. CO2 reductions are aimed at 6–8 percent of 2000 levels in the first compliance period (2010–2014) with a possible further 17 percent reduction by the end of the second compliance period (2015–2019) in order to achieve this goal. In addition to its status as the world’s first city level eTS specifically for greenhouse gases (GHGs), the Tokyo program is particularly notable for the organized strategy that simultaneously gained wide stakeholder acceptance while setting stringent goals for GHG emitters in its jurisdiction. The strategy built an eTS framework that is sufficiently complex to tackle the practical problems in realizing GHG reductions while also reducing, as far as possible, the burden on the participatory facilities.