KYOTO PROTOCOL

KYOTO PROTOCOL The Kyoto Protocol is a protocol to the United Nations Framework Convention on Climate Change (UNFCCC or FCCC), aimed at combating global warming. The UNFCC is an international environmental treaty with the goal of achieving "stabilization of greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system." The Protocol was initially adopted on 11 December 1997 in Kyoto, Japan and entered into force on 16 February 2005. As of February 2009, 183 states have signed and ratified the protocol. The most notable non-member of the Protocol is the United States, which is a signatory of UNFCC. The Protocol establishes legally binding commitment for the reduction of four greenhouse gases (GHG) (carbon dioxide, methane, nitrous oxide, sulphur hexafluoride), and two groups of gases (hydrofluorocarbons and perfluorocarbons) produced by "annex I" (industrialized) countries, as well as general commitments for all member countries. Under the Protocol, industrialized countries agreed to reduce their collective greenhouse gas emissions by 5.2% from the 1990 level. National limitations range from the reduction of 8% for the European Union and others to 7% for the United States (non-binding as the US is not a signatory), 6% for Japan, and 0% for Russia. The treaty permitted the emission increases of 8% for Australia and 10% for Iceland. The Protocol allows for several "flexible mechanisms", such as Emissions Trading, the Clean Development Mechanism and Joint Implementation to allow annex I countries to meet their GHG emission limitations by purchasing GHG emission reductions credits from elsewhere, through financial exchanges, projects that reduce emissions in non-annex I countries, from other annex I countries, or from annex I countries with excess allowances. In practice this means that non-annex I countries have no GHG emission restrictions, but have financial incentives to develop GHG emission reduction projects to receive "carbon credits" that can then be sold to annex I countries, encouraging sustainable development. In addition, the flexible mechanisms allow annex I countries with efficient, low GHG-emitting industries, and high prevailing environmental standards to purchase carbon credits on the world market instead of reducing greenhouse gas emissions domestically. Annex I countries typically will want to acquire carbon credits as cheaply as possible, while non-annex I countries want to maximize the value of carbon credits generated from their domestic Greenhouse Gas Projects. All annex I countries have established Designated National Authorities to manage their greenhouse gas portfolios, and countries including Japan, Canada, Italy, the Netherlands, Germany, France, Spain and others are actively promoting government carbon funds, supporting multilateral carbon funds intent on purchasing carbon credits from non-annex I countries, and are working closely with their major utility, energy, oil and gas and chemicals conglomerates to acquire greenhouse gas certificates as cheaply as possible.[citation needed] Virtually all of the non-annex I countries have also established Designated National Authorities to manage the Kyoto process, specifically the "CDM process" that determines which GHG Projects they wish to propose for accreditation by the CDM Executive Board. Source Wikipedia