CAN welcomes the opportunity to respond to the invitation to present views on the establishment of new market-based mechanisms (decision -/CP.16, paragraphs 80-82).
In CAN’s view, discussions about the future of the flexible mechanisms including the consideration of new project activities should be firmly grounded in an analysis of their performance so far. So far, the CDM has failed to meet its dual objectives of supporting cost-effective climate change mitigation and sustainable development in developing countries. Yet, even when accepting some of the well-known shortcomings of project-based CDM mechanisms, CCS is highly likely to fail most of the requirements in this specific offset framework. Therefore despite the abovementioned CMP decision, CAN does not believe including CCS in CDM is an appropriate way forward. Therefore this submission sets out reasons for CAN´s opposition to the inclusion of CCS in CDM and subsequently addresses the different issues referred in paragraph 3 of the CMP Decision It should be noted, however, that this submission does not refer to use of various CCS technologies outside the CDM and for general mitigation purposes both in developed and developing nations.