Breakthrough in Baku: COP29 resolves years-long Paris Agreement deadlock

Under Azerbaijan's leadership at COP29, a historic agreement has been reached on implementing carbon markets under Article 6 of the Paris Agreement.

This landmark decision, finalized at this evening's plenary session, marks a breakthrough in negotiations that have spanned several years, Caliber.Az reports.

This achievement was a top priority for Azerbaijan's COP29 presidency, which led intensive technical and political negotiations to resolve the final unresolved aspect of the Paris Agreement. The presidency’s statement heralded the decision as a transformative moment:

"This strategy breaks through years of stalemate and completes the last outstanding issue in the Paris Agreement."

The adoption of Article 6 establishes high-quality, transparent carbon markets, enabling nations and corporations to collaborate effectively in meeting their climate objectives. According to projections, these markets could save up to $250 billion annually in implementing national climate plans.

The COP29 presidency emphasized the broader implications of the agreement, urging parties to use these savings to scale up their climate ambitions:

"The COP29 Presidency calls on parties to reinvest these savings into even greater climate ambitions. The next generation of national contributions, due in February, is critical to keeping the world's hopes of keeping warming within 1.5 degrees Celsius."

According to the statement, this milestone decision is a timely boost for global climate efforts, providing a crucial framework for countries to enhance their commitments and meet their climate goals with increased cooperation and efficiency.

“We have ended a decade-long wait and unlocked a critical tool for keeping 1.5 degrees in reach,” said COP29 President Mukhtar Babayev. “Climate change is a transnational challenge and Article 6 will enable transnational solutions. Because the atmosphere does not care where emissions savings are made.”

COP29 Lead Negotiator Yalchin Rafiyev commented, “Today, we have unlocked one of the most complex and technical challenges in climate diplomacy. Article 6 is hard to understand, but its impacts will be clear in our everyday lives. It means coal plants decommissioned, wind farms built and forests planted. It means a new wave of investment in the developing world.”

Today’s outcome represents a significant achievement. While the COPs in Glasgow and Sharm El-Sheikh laid essential groundwork by defining rules, procedures, and modalities for carbon markets, critical aspects of Article 6 remained unresolved. Leading up to COP29, these stalled negotiations caused a costly delay in fully operationalizing this key pathway for enhanced global climate cooperation.

The COP29 Presidency adopted a focused strategy to overcome past multilateral deadlocks. Throughout the year, it facilitated constructive engagement among Parties, bridging technical and political discussions to build consensus. This effort culminated in the early adoption of Article 6.4 standards on the first day of COP29, setting the stage for today’s landmark achievement.

The COP29 Presidency extends heartfelt gratitude to the many individuals and organizations who have dedicated nearly a decade to this goal. Today’s success builds on the foundations they laid through years of tireless work and commitment.

The unanimous decisions on Article 6 adopted today are crucial for ensuring the environmental integrity, transparency, and credibility of carbon markets. These decisions will enable genuine, additional, verifiable, and measurable reductions and removals of emissions, unlocking immense potential for global climate investment.

The newly adopted guidelines and rules aim to uphold practicality and inclusivity, safeguard human rights, and support sustainable development. They provide a framework that allows countries and project developers to collaborate confidently under the Paris Agreement. However, this milestone does not signal the conclusion of Article 6’s evolution. Parties will have the flexibility to refine the rulebook further as they gain practical experience.

By Tamilla Hasanova