1. 21st August 2018, Montevideo, Uruguay
Sustainable Development Dialogue (SDD) on Implementation of Article 6 of the Paris Agreement under the UNFCCC process
Cooperative approaches: pathway from offsets to a real contribution to SDGs
21st August 2018, Montevideo, Uruguay
Sven Braden, SDD

2. “A Party driven dialogue with the aim to help overcome knowledge and political barriers for Parties to promote sustainable development through voluntary cooperation under Article 6”

3. “The relationship of sustainable development and climate change is based on synergies (e.g positive health impacts arising from mitigation activities) and trade-offs (e.g food and energy security)”

4. SD in the Paris Agreement and Art. 6
Mitigation Activities under Art. 6 and their relations to SDGs
Synergies with SDG
Climate Action
Conflicts with SDG
SDG No. 7
Ensure access to affordable, reliable,
sustainable and modern energy for all
SDG Targets: 7.1, 7.2, 7.3
SDG No. 15
Protect restore and promote sustainable
use of terrestrial ecosystems
SDG Targets: sustainable forest
management
SDG No. 13
Take urgent action to combat Climate
Change
SDG Tarrgets: 13.1, 13.2, 13.3
SDG No. 2
Ending hunger, achieve food security
SDG Targets: 2.3, (double agricultural
productivit)
SDG No. 4
Quality Education

5. IIIII IIIII IIIII IIIII III
Reference to Sustainability in “legal instruments” in the UNFCCC process
1992 – UNFCCC I
1997 – Kyoto Protocol
III
2015 – Paris Agreement
IIIII IIIII IIIII IIIII III

6. SDD Approach
Identification of High-Level Opions (HLOs) based on Parties Submission
Presentation of HLOs - Parties Views
Presentation of HLOs and Analysis of Parties Feedback
Next Steps

7. based on Parties Submission
Identification of High-Level Options (HLOs)
based on Parties Submission

8. Number of submissions to Article 6 - by COP23, Oct./Nov. 2017
Identification of High-Level Options (HLOs) based on Parties Submission
Number of submissions to Article 6 - by COP23, Oct./Nov. 2017
All submissions
by Parties
Article 6.2
Article 6.4
Article 6.8 22 15 12 9
Observations:
Most Parties shared their views on Article 6.2
A few Parties shared their views on Article 6.8 only, many did not
SD is mentioned in submissions related to all three Article 6 approaches

9. Identification of High-Level Options (HLOs) based on Parties Submission
Governance
SD criteria, SDG Framework
SD assessment
Safeguards
Reporting, transparency

10. Presentation of HLOs and Analysis of Parties Feedback

11. Presentation of HLOs and Analysis of Parties Feedback
Date
Occasion
Location
Form of Engagement
February 19th
ICTSD Art. 6 Meeting
Tokyo, Japan
Roundtables
March 21st
ADB Workshop on Art. 6
Manila, Philippines
April 4th
Technical Expert Meeting of AILAC
Mexico City, Mexico
April 6th
Informal Meeting of Art. 6 Negotiators
April 11th
African Carbon Forum
Nairobi, Kenya
April 24th
GA Partnership for Market Readiness
Kiev, Ukraine
Information
April 29th
Bonn, German

12. Presentation of HLOs and Analysis of Parties Feedback
Objective
Identify convergence and divergence among Parties and stakeholders on the HLOs
Produce input (based on Parties Feedback) to develop draft text proposals for the Art. 6 implementing provisions
General Observations after SDD Engagement Events
Strong role of national authorities – need for corresponding capacity / strategy building
Anticipated strong role of markets (demand side)
Need for continuous platforms / campaigns / exchanges on SD to assist Parties and create market demand

13. Presentation of HLOs and Analysis of Parties Feedback
Preparation 6 Factsheets addressing High Level Options
Unpacking the issue – Why it matters?
Identification of Parties feedback related to specific HLO
Does the current draft (SBSTA note) adress specific HLO?
Considerations for text recommendations

14. Presentation of HLOs and Analysis of Parties Feedback
Unpacking the issue – Why it matters?
Avoid trade-off between SD and mitigation measures, leading to a ‘race to the bottom’ for sustainable development by integrating clear and transparent SD criteria and decision- making procedures
supports social integrity and credibility of emission reductions transacted
Defining Art. 6 relevant SD criteria, creation of links to the SDG framework (17 goals, 169 targets)
Identification of Parties feedback related to specific HLO
SDG Framework can serve as guidance through all Art. 6 approaches – to support national SD priorities
SD criteria applied by Parties shall be publicly available
No convergence of views whether SD criteria should be mandatory, market demand for SD criteria assumed

15. Presentation of HLOs and Analysis of Parties Feedback
Does the current draft (SBSTA note) adress specific HLO?
Art. 6.2: No SD criteria mentioned
Art. 6.4: No SD criteria mentioned, may be included in explanation on why activity fosters SD, lacks references to institutional roles
Considerations for text recommendations
Art. 6.2: Encouraging Parties to use relevant SD criteria , endorsement of SDGs in case of absent SD criteria
Art. 6.4: Host Party defines relevant SD criteria which can be assessed and monitored; mandating the Supervisory Body to develop or endorse SD criteria over time. Those criteria could be voluntary endorsed by host/using parties.

16. Presentation of HLOs and Analysis of Parties Feedback
Unpacking the issue – Why it matters?
Creation of a “race to the top” with projects competing to maximize SD impacts
increased trust in the overall mechanism; higher transparency and credibility in SD claims of participants
Creation of synergies between relevant SDG indicators and SD Assessment of Art. 6 activities (via a tool?)
Examples of best practices for sustainable development assessment of climate mitigation actions
Identification of Parties feedback related to specific HLO
Parties agreed on the usefulness of a common SDG tool (standardizing assessments) if it is voluntary and respects national prerogative of Parties, strong role of DNA
Certification of existing standards was discussed but for 6.4 no agreement if Supervisory Body or Parties would do certification

17. Presentation of HLOs and Analysis of Parties Feedback
Does the current draft (SBSTA note) adress specific HLO?
Art. 6.2: SD Assessment not mentioned
Art. 6.4: may be included in explanation on why activity fosters SD
Considerations for text recommendations
Art. 6.2: SD assessment as a eligibility requirement to ensure compliance with host country SD priorities, Parties to provide information on institutional arrangements for SD Assessment
Art. 6.4: Ensure verification of SD claims; specification of institutional arrangements of SD assessment (DNA; DOE); Mandate for the development or adoption of an existing tool (such as the Equator principles) to assess the SD contributions of activity

18. Next Steps

19. Next Steps
Publication and Distribution of 6 Factsheets by End of August
Views stated in this document are those of the authors, including proposals for text elements. Publication will be made on behalf of GSF and UNEP-DTU
Factsheets are to inform Parties ahead of Bangkok Session in September
Update of SDD Working Paper - integration of main findings of Parties feedback on SDD by September
SDD to asssist Parties to agree on provisions for the operationalization of SD provisions in Art. 6 at:
Meeting of SBSTA in Bangkok, 4th to 9th September
Informal meeting of Art. 6 negotiators in Glion, 16th to 19th October (tbc)
COP 24 in Katowice, 3rd to 12th December

20. Next Steps

21. Muchas Gracias
The Dialogue on Sustainable Development is a joint collaboration of the Gold Standard Foundation and UNEP DTU and
is supported by Belgium, Germany, Liechtenstein, Norway, Sweden and Switzerland.
Sven Braden, Consultant,
Karen Holm Olsen, UNEP DTU Partnership,
Marion Verles, Gold Standard Foundation,
Fatima-Zahra Taibi, UNEP DTU Partnership,