ALLCOT applauds the initiative of the West Africa Alliance on Carbon Markets and Climate Finance to create a carbon market HUB, so as to leverage from the production of carbon credits the financing of the West African sub-region and the fulfillment of the emission reduction targets set out in the Paris Agreement.
Representatives from 16 West African countries that are part of the West Africa Alliance on Carbon Markets and Climate Finance met September 26-28 in Abidjan, Côte d’Ivoire, to discuss carbon market opportunities in the West African sub-region.
The purpose of the carbon market HUB meeting
The main conclusion of the meeting was the need to create a West African Carbon Market HUB, which would enable the countries of the Alliance to work together to strengthen West Africa’s participation in carbon markets.
To create such a HUB the participants of the event raised and adopted by acclamation concrete actions to be undertaken by all countries.
Main actions proposed
Among the main actions proposed are:
- Implement transformational changes in the development sectors, particularly the energy, industry, transportation, waste and agriculture sectors. These changes are necessary to reduce emissions in accordance with the Paris Agreement, protect and enhance nature and biodiversity in the subregion, and raise the standard of living of its population.
- Leverage voluntary cooperation under Article 6 of the Paris Agreement and voluntary carbon markets as tools to increase ambition in adaptation and mitigation actions in support of Nationally Determined Contributions (NDCs).
- Harmonize approaches, carbon market regulatory frameworks, infrastructure, methodologies, legal classification of carbon credits and investment risk mitigation.
- Promote dialogue between public, private and non-state actors to ensure that national interests are met while preserving incentive structures for carbon project investors in the subregion.
- Countries should urgently establish their Article 6 mandated authorities and designate their designated national authorities (DNAs) under Article 6.4 to facilitate the transition of projects registered under the Clean Development Mechanism (CDM) to the Article 6.4 mechanism.
- Promote capacity building for successful and equitable adoption of carbon markets in the sub-region. This includes building local expertise to develop, certify and technically support the development of carbon market projects and to develop bankable projects in West Africa. Capacity building should target all key stakeholders in the public and private sectors, as well as non-state actors, including youth.
- Carbon markets should provide equitable benefit sharing for all relevant stakeholders, including governments, activity owners and local communities, as appropriate.
- Strengthen the quality and integrity of projects to ensure access to sufficiently high carbon revenues.