We believe in bringing in the strength of the private sector and market forces to bear on the problem of climate change. Putting a price on emissions can create added incentive for companies and countries to invest in efficient technologies. This is why we are pioneering the transition and adaptation of existing market-based mechanisms to the decentralised future of international collaboration in the fight against climate change.
During the past decade, we have successfully assisted governments with the origination, development and transaction of carbon credits. We have also worked extensively on the implementation of low carbon strategies, and scaling up of programmes through the use of market-based mechanisms. This know-how extends to the successful design and implementation of monitoring, reporting and verification systems and frameworks, and capacity building in the area of carbon pricing.
Readiness for bilateral trading under the Paris Agreement
Article 6 of the
Paris Agreement provides a new framework for countries to collaborate on emission reductions and use Internationally Transferred Mitigation Outcomes (ITMOs) to distribute and credit emission reduction achievements towards the Nationally Determined Contributions (NDCs) of participating countries. South Pole is working with interested parties on readiness activities for Article 6 transactions, building up the necessary know-how and infrastructure in partner countries, pioneering and road-testing newly evolving rules on the ground through the implementation of innovative pilot projects.
National and sectoral solutions
Complementary to our work on international collaboration, South Pole's work with national governments and industry stakeholders scale up mitigation efforts with the help of market-based mechanisms.
We are, for example, supporting the European Bank for Reconstruction and Development (EBRD) in the low-carbon transition of the Southern and Eastern Mediterranean (SEMED) region through the launch of a series of market-based programmes to reduce carbon emissions.
South Pole is also closely working with industry stakeholders on sectoral approaches. In partnership with the International Emission Trading Association (IETA) and the International Air Transport Association (IATA) we provide capacity building and readiness for the aviation industry for the upcoming market-based industry wide Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).
CDM reform and contributions to a new mechanism under the Paris Agreement
As a leading project developer, South Pole actively contributes to the reform and improvement of existing mechanisms such as the Clean Development Mechanism (CDM), where we design standardized baselines in various sectors to improve efficiency and reduce transaction costs. South Pole is a committed member of different expert bodies advising various international carbon standards and its experts are frequent speakers at industry conferences as well as trainers in international capacity building and outreach activities.