Article 6 Pipeline
Article 6 of the Paris Agreement provides a framework for countries to cooperate towards the implementation of their Nationally Determined Contributions (NDCs) through carbon markets (Articles 6.2 and 6.4) and non-market modalities (Article 6.8). These cooperative approaches can help countries to achieve and enhance their NDC targets. The overall objective is to increase climate ambition, promote sustainable development, and safeguard environmental integrity.
Building on the extensive experience from the Clean Development Mechanism (CDM), UNEP Copenhagen Climate Centre (UNEP-CCC) has set up an Excel-based database for Article 6 activities. The aim is to provide insights on the development of Article 6 projects, their contribution to countries’ NDC implementation and SDG achievement at the national and global level. Find a short video introducing this work here.
UNEP-CCC will continue expanding this pipeline’s functionality as new Article 6 projects emerge and the modalities become clearer. Ultimately, the pipeline will take the shape of a more interactive and user-friendly platform. This will provide transparency and allow users to easily explore information on cooperation under Article 6.
First Proposed Activities for the Paris Agreement Crediting Mechanism (PACM) under Article 6.4 – Notifications of Prior Consideration
As part of the Article 6.4 Activity Cycle, project proponents need to submit prior consideration notifications. This is to demonstrate that the benefits of participating in the mechanism were taken into account before implementing the activity. With the last update on 2 December , a total of 735 notifications were submitted and published (Prior consideration notifications | UNFCCC). The interactive graph below shows the geographical distribution of the proposed activities.
The chart below illustrates in which sectors these activities aim to mitigate emissions and how large the impact (in tonnes of CO2 equivalents per year) is estimated to be. Each dot represents one activity and clicking on it reveals additional information. This includes parameters like the host Party, type of activity, the start date, and a link to the submitted form for further context.
By selecting a geographic region or category, the activities and emerging patterns can be explored in more detail. For example, renewable energy projects represent the most common category with more than 300 projects and covers a wide range of different sizes – from just a few hundred tonnes per year for a solar project in Zambia to a leak detection and repair system for fossil gas infrastructure in Uzbekistan that could generate more than 7 million credits annually.
The data and categorizations are based on the limited information from the forms submitted to the UNFCCC. While future revisions based on a more detailed understanding of the projects are likely, this first overview provides insights into the kind of activities are being pursued under the new mechanism.
Activities Transitioning from the Clean Development Mechanism (CDM) to Article 6.4
The deadline for submitting requests has passed. In this explainer video, we examine those activities that intend to transition using CDM methodologies and outline the next steps.
Video on the CDM Transition (08:30 minutes) – find the slide deck here
As of 6 December 2024, transition requests were correctly submitted for 1,373 Project Activities (PA), 119 Programmes of Activities (PoA), and (together with these PoAs) 952 Component Project Activities (CPA) (see the figure below). Update: The first Parties approved the transition of some CDM activities. This includes five PA, four PoA, and 77 CPA hosted in Bhutan, the Dominican Republic, Ghana, and Myanmar.
Of the potential reductions of around 1.5 billion tonnes of CO2e that eligible activities could generate after transition while using CDM methodologies, this could amount to more than 900 million tonnes (60%).
For more details (such as submissions by host countries, regions, and activity types) please refer to the sheet Analysis | PACM in the A6 Pipeline. Additional background on the projects potentially transitioning to the Paris Agreement Crediting Mechanism (PACM) under Article 6.4 can be found in the CDM Pipeline and on the UNFCCC website.
Designated National Authorities
Based on the last update on 28 October 2024, 97 Parties communicated their Designated National Authority (DNA) to the UNFCCC secretariat. More than two-thirds of all Parties across Africa (39 countries | 72%) have submitted information about their DNA, followed by Asia (26 | 54%) and the Americas (18 | 51%). Regular updates can be found here: Designated National Authorities (DNAs) | UNFCCC
Overview of the Bilateral Agreements and pilot projects/activities under Article 6.2 of the Paris Agreement
The graph and table below provide an overview of Bilateral Agreements (BA) for the cooperation under Article 6.2 of the Paris Agreement as of 6 December 2024. This also includes memoranda of understanding (MoU) or other official statements that show the intention to collaborate and potentially engage in trading of mitigation outcomes under Article 6.
- There are 97 BAs between 59 different countries
- A total of 141 pilot projects have been recorded, out of which 119 belong to Japan’s Joint Crediting Mechanism (JCM).
Out of 141 pilot projects, 5 have Authorization Statements. The involved countries – Ghana (3x), Switzerland (4x), Thailand, Vanuatu – also submitted Initial Reports to the UNFCCC. The total expected amount of Mitigation Outcomes from these projects are:
- Promotion of climate smart agriculture practices for sustainable rice cultivation in Ghana (Ghana-Switzerland | Authorized Reductions: 1,126 ktCO2e)
- Bangkok E-Bus Program (Thailand-Switzerland | 500)
- Electrification of Vanuatu’s Inhabited Islands through Solar Power ITMO Programme (Vanuatu-Switzerland | 97)
- Integrated waste recycling and composting for methane reduction in Ghana (Ghana-Switzerland | 1,589)
- Transformative Cookstove Activity in Rural Ghana (Ghana-Switzerland | 3,231)
Monthly News on the Article 6 Pipeline:
The November 2024 version of the Excel-based Article 6 Pipeline includes the following updates:
- Paris Agreement Crediting Mechanism (PACM):
- One additional transition request was published for a Programme of Activities in the Philippines containing three projects.
- Around 15 additional notifications of prior consideration from activity proponents who intend to participate in the PACM were published by the UNFCCC and integrated into the database (for a total of 735).
- Bilateral Cooperation:
- Zambia and Sweden, after signing an MoU earlier this year, entered now into a bilateral agreement. Similarly, Nepal and Sweden signed a bilateral agreement (following an MoU from 2022).
- Norway signed agreements with four countries at COP 29 as part of a new initiative: Benin, Jordan, Senegal, and Zambia.
- Malaysia and South Korea agreed to pursue collaboration under Article 6.2.
- Japan submitted its first Initial Report to the UNFCCC for a Cooperative Approach with Thailand.