Kick the Habit: A UN Guide to Climate Neutrality

Certified Emission Reductions

Certified Emission Reduction units issued by host parties

Million CERs 40

One certified emission reduction unit is equivalent to a one-tonne reduction in greenhouse gas emissions (measured in CO 2 equivalent).

20

1 5

Circles have only been drawn for countries that have issued more than 50,000 CERs.

China

South Korea

Egypt

India

Vietnam

Mexico

Brazil

Chile

Host parties

Source: United Nations Framework Convention on Climate Change, April 2008.

In order to qualify for the CDM, activities have to ensure that the emission reductions are strictly additional and that they contribute to sustainable ”Additionality” means the projects must achieve cuts in emissions that would not have happened otherwise. If a scheme to cut air pollution also brings about a reduction in GHG emissions, for example, then the cut would have occurred any- way, as a by-product, and there is no additionality. To try to avoid giving credits to projects like this (“free riders”), there are some rules which try to ensure the project does in fact reduce emissions more than would have happened in any case. development in the host country. Emission reductions created through CDM projects are considered to be of very high quality due to the strict requirements to be approved under the CDM and which is ensured by quality control and independent third party evaluation. However, since the cost to certify and meet all the criteria are considerable, the price for an offset unit created under the CDM is often more expensive than outside the compliance market.

All project types are in general eligible to be certified as CDM (under the precondition that they are located in Non-Annex I countries) and lead to re-

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