Background paper

17th Conference of the Parties to the UN Framework

Convention on Climate Change Durban, South Africa

28 November - 9 December 2011

Prepared by: Gabriela Fischerova - Climate Change Policy Advisor UNDP BRC

Bratislava, Slovakia, November 2011

Introduction This document aims to provide short overview of the key issues to be discussed and decided in

Durban for those who do not follow the negotiations on daily basis or need only ad hoc

orientation in the up-coming event. The more detailed information on agenda items of specific

events are provided in a separate annex.

The views expressed in this document are those of the author and do not necessarily represent the

views of, and should not be attributed to, the UNDP.

General Information The 17 Conference of the Parties to the UN Framework Convention on Climate Change will th

bring together representatives of the world's governments, international organizations and civil

society. The discussions will seek to advance, in a balanced manner, the implementation of the

Convention and the Kyoto Protocol, as well as the Bali Action Plan, agreed at COP 13 in 2007,

and the Cancun Agreements, reached at COP 16 last December.

The Durban Conference will comprise:

• The 17th Conference of the Parties (COP 17)

• The 7th Conference of the Parties serving as the Meeting of the Parties to the Kyoto Protocol (CMP 7)

• The 35th session of the Subsidiary Body for Implementation (SBI 35)

• The 35th session of the Subsidiary Body for Scientific and Technological Advice (SBSTA 35)

• The fourth part of the 16th session of Ad Hoc Working Group on Further Commitments for Annex I Parties under the Kyoto Protocol (AWG-KP 16-4)

• The fourth part of the 14th session of Ad Hoc Working Group on Long-term

Cooperative Action under the Convention (AWG-LCA 14-4)

Joint SBs workshop on the Nairobi work programme will be organized on Wednesday 30

November from 10:00 to 13:00.

In conjunction with these formal sessions, several pre-sessional meetings will take place in

Durban:

• 65th meeting of the Clean Development Mechanism Executive Board (21 to 25

November)

• Least developed countries Preparatory Meetings (22 to 23 November)

• Small island developing States Preparatory Meetings (24 to 25 November)

• 27th meeting of the Joint Implementation Supervisory Committee (24 to 25 November)

• African Group Preparatory Meetings (24 to 25 November)

• G-77 & China Preparatory Meetings (26 to 27 November)

The Conference will be hosted by the Government of South Africa and will take place at the

International Convention Centre (ICC) & Durban Exhibition Centre (DEC) from 28 November

to 9 December 2011.

Key Issues for Durban

Among 84 formal agenda items altogether there are expected few key outcomes from Durban

which are critical for further continuation of meaningful international regime for combating

climate change. These are:

• 2nd Commitment period under the Kyoto protocol adopted

• Outline/roadmap for the new global agreement adopted

• Standing Committee approved and Green Climate Fund rules in place

• Adaptation Committee established

• Climate Technology Centre and Network agreed

• Capacity building framework agreed The items above are interlinked and conditioned so that the progress or lack of progress in one

item could seriously affect the discussions on other one.

In the following text, each of these items is shortly explained and the current situation in

negotiations described.

2nd Commitment period under the Kyoto Protocol (2nd CP)

Adoption of the second commitment period is embedded in the article 3, paragraph 9 of the

Kyoto protocol. While for the first commitment period, 38 developed county parties of the KP

were committed to reduce or limit their emissions of greenhouse gases (GHGs) during the period

of 2008 - 2012 (without the US who did not ratify the KP), now already three other parties have

declared that they do not intend to commit themselves to any 2nd CP under the KP: Canada,

Japan, and Russia. This means that any potential 2nd CP would include parties responsible for less

than 40% of developed countries emissions in 2008 and less than 25% of the global emissions.

Australia, New Zealand and others consider the 2nd CP as transitional to a global treaty.

Therefore, in order to reach the ultimate objective of the UNFCCC (to achieve stabilization of

greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous

anthropogenic interference with the climate system) more action is needed to curb the emissions

from all major economies.

Many developing countries made it clear in their statements that without 2nd CP they are

notwilling to discuss any possible outcome on global regime. The simple adoption of the 2nd CP

would not be sufficient with current pledges of reduction from Annex B countries. These are now

far below what is needed with respect to keep the temperature rise by the end of 2100 below 2°C.

Translated to the concentrations and percentages it means that the concentration of GHGs in the

atmosphere should not exceed 450 ppm (parts per million) and developed countries should

reduce their emissions by 25% to 40% by 2020.

In Durban, parties should agree whether there will be any second commitment period and if yes

what are the commitments and the conditions. The technical discussions on some specific aspects

of the 2nd CP already reached the impasse which cannot be removed without taking political

decision. As this can be taken only by ministers it might be expected that the 2nd CP will be in the

centre of interest of high level segment.

3.9. Commitments for subsequent periods for Parties included in Annex I shall be established in amendments to Annex B to this Protocol, which shall be adopted in accordance with the provisions of Article 21, paragraph 7. The Conference of the Parties serving as the meeting of the Parties to this Protocol shall initiate the consideration of such

commitments at least seven years before the end of the first commitment period referred to in paragraph 1 above.

Outline/roadmap for the new global agreement

The differences in the status of countries (among developed countries as well as among

developing countries) both in economic and legal terms make it very difficult to negotiate

comparable conditions and commitments under current international agreements—UNFCCC and

the KP. For example, the US not being the party to the Kyoto Protocol, and Canada, Japan, and

Russia (and maybe some other developed countries) not willing to be a part of the 2nd CP, the rest

of the developed countries have to negotiate under the Convention similar level of effort for all

developed countries. Since the beginning of the work of the ad hoc groups, there is a strong

emphasis on keeping these two tracks separated and even though there are many common issues,

formally they are two different tracks.

The complicated negotiation settings and the weak coverage of the emissions in the potential 2nd

commitment period have led to the proposal by some parties to start negotiations on a new global

agreement to be completed sometime within the next four year. This is rather new idea and will

not lead to any specific legal outcome, but the outline or roadmap for the process for next few

years might be considered as sufficient commitment to follow the international process that—at

the end—will head for the sensible and sustainable global deal. As the theme is highly political,

it needs to be decided by high level segment, very likely in parallel with the 2nd CP.

Standing Committee and Green Climate Fund

The Cancun Agreements (para 112) also established a Standing Committee to assist the COP in

exercising its functions with respect to the operationalisation of the financial mechanism of the

Convention. While there is a common view on the need for the standing Committee, there are

still some issues of divergence:

• Status: should the SC be a permanent subsidiary body or not, scope of work and

responsibilities

• Composition of SC: how many members—16 or 24, from which constituencies,

advisory members

• How to work: frequency of the meetings, mode of work: sub-committees, or

experts from NWP, linkages to other work

• Activities of the SC for the first year: procedural and substantive, for adoption by

COP18

The Cancun Agreements also called for scaled-up, new and additional, predictable and adequate

funding to be provided to developing countries and asked the developed countries to commit to

joint goal of mobilizing jointly 100 billion USD per year by 2020. Significant share of these new

funds should flow through the Green Climate Fund (GCF). The Transitional Committee (TC) for

the design of the Green Climate Fund was established during the first half of the year 2011. The

TC has met four times and prepared and forwarded a governing instrument for the GCF to

COP17 for consideration and adoption. The text was forwarded without brackets and can be

adopted as it stands. It is a delicate balance between what politically is achievable and what is

substantively needed on the ground to drive a paradigm shift in addressing climate change in

developing countries. Politically, the document provides donor countries with a high degree of

flexibility, while as the same time driving scaled up implementation mechanisms for developing

countries, including on direct access. In terms of the substance of the GCF, this flexibility means

that all governments are presented with an opportunity and none with an obligation.

In terms of generating a tangible paradigm shift in the delivery of climate finance, the 8 page

document is the foundation for a Fund that is greater than the sum of individual countries'

negotiating positions. It represents both the crucial political balance and also a Fund that is

substantively and technically different from business-as-usual with new, innovative components

in the form of objectives, governance arrangements, and operational modalities. While individual

governments may benefit from changes to the text, others may not, and the balance and

flexibility of the GCF constructed by the TC may be lost. It therefore is in the collective interest

of all governments to adopt this document in its current form.

However, the TC itself did not adopt the instrument due to the lack of consensus among

members of TC and there might be further discussion on the content of the governing instrument

before adopting it. This could lead to loosing of political momentum and the delays in

operalization of the GCF.

Adaptation Committee

The activities related to climate change on international and national levels were predominantly

focused on mitigation in the past decades. The importance of adaption was highlighted first in

Bali Action Plan in 2007 and it was also reflected in Cancun Agreements where the decision to

establish Adaptation Committee was taken (para 20) "to promote the implementation of

enhanced action on adaptation in a coherent manner under the convention through providing

technical support and guidance to parties, strengthening, consolidating and enhancing the sharing

of relevant information, knowledge, experience and good practices, promoting synergies and

providing information and recommendations". There is a draft decision prepared, however it still

contains various divergencies on the issues such as composition oth AC, how many members,

from which constituencies, whether the AC should comprise also advisory members were

discussed, frequency of the meetings of the AC, mode of work (sub-committees or experts from

NWP); when to review the AC (after 4 years and then periodically every 3 years or only after 4

years); activities of the AC for the first year: procedural and substantive. The work plan of the AC

should be adopted by COP18 in 2012. Parties in Durban are expected to find the compromises

on the above issues and finalize text of the decision in the way it caould be adopted by the COP.

Climate Technology Centre and NetworkAccording to the Cancun Agreement, Climate

Technology Centre and Network should be established as a part of the technology mechanism

(paras . It should be fully functional in 2012, so the Durban conference has to decide on the ToRs

for CTCN, procedures how to selection of the host organization, selection criteria and governing

issues. The UNFCCC Secretariat will help parties with organizing selection procedure, but

decisions have to be taken by parties through the COP.

According to Cancun Agreement, Climate Technology Centre and Network should be established

as a part of the technology mechanism. It should be fully functional in 2012, so the Durban

conference has to decide on the ToRs for CTCN, procedures how to select the host organization,

selection criteria and governing issues. The UNFCCC Secretariat will help parties with

organizing selection procedure, but decisions have to be taken by parties through the COP. Draft

decision was discussed, and procurement draft to be prepared by UNFCCC Secretariat. Main

undecided issues remaining to be solved in Durban are:

• Governance: Should CTCN have its own independent governance structure or will be

govern by Technology Executive Committee

• Selection procedure: timeline, who will do actual evaluation and selection - TEC or

special panel of 6 experts

• Architecture: Only one seat or regional and country offices; relation to the network and

governments, linkages to financial and adaptation mechanisms

• Other issues: Selection criteria; financing of the CTCN; reporting, roles and

responsibilities; ToRs

Capacity building framework

Two papers are ready to be the basis of discussions on CB in Durban: (a) compilation of

submissions in a draft decision; and (b) summary of the facilitator of in-depth discussion on CB

works in institutions and initiatives under the Convention.

Capacity building: Discussions in the informal group addressed the need for more

coherence of capacity building under the different UNFCCC processes and emphasized

the cross-cutting nature of capacity building. Parties discussed gaps in the delivery of

capacity building as either integrated elements of projects and programmes or stand-alone

activities. Parties discussed where, and how, capacity building is integrated in the

mandates and work programmes of the LDC Expert Group (LEG) and the Consultative

Group of Experts (CGE). The paper is rather consolidated with the only few issues to be

decided (whether to establish a new enhanced mechanisms to assist SBI or SBI should

review its work on CB; to whom to address the request to undertake CB activities: only to

existing bodies or to the newly established as well). The issue of financing the CB

activities is also linked to finance, adaptation and technology discussion.

Capacity-building work in institutions and initiatives under the Convention: summary of

the in-depth discussion on this topic is captured in the summary of the facilitator.

Background document prepared by secretariat was presented and commented on by

parties. Linkages with other bodies such as Consultative Group of Experts on National

Communications from Parties not included in Annex I to the Convention (CGE), the

Least Developed Countries Expert Group (LEG), GEF. Parties are urged to present

textual proposals before the next meeting as a basis to move forward in the negotiations.

Practical Information The conference will start on Monday 28 November with welcoming ceremony. After the

ceremony, the opening session of the COP 17 will take place, followed by the opening session of

the CMP 7. In the afternoon two parallel opening sessions for subsidiary bodies are planned.

The work of ad hoc working groups will start on Tuesday morning with the opening session of

AWG KP 16-4 followed by AWG LCA 14-4 in the afternoon.

After than the work will be carried out mostly in contact and informal groups with one plenary

sessions of COP and CMP planned for Wednesday 30 November (morning and afternoon).

The SBs are supposed to complete their work by Saturday of the first week, AWGs will continue

as needed.

Ceremonial opening of high-level segment is planned for Tuesday afternoon of the second week

(6 December) followed by national statements of high level representatives of parties in front of

joint COP and CMP session.

Closing sessions are scheduled for Friday afternoon (9 December at 15:00)

Given that six bodies will be meeting during the sessional period, meeting time will be very

limited, especially for contact groups. To maximize the time available for negotiations, the

presiding officers, in consultation with the Parties, may propose timesaving measures and

approaches to expedite work. Such proposals will be based on these consultations, and on

relevant submissions and statements made during plenary meetings, and take into account any

previous negotiations and/or conclusions.

ANNEX

To the Background paper

17 Conference of the Parties to the UN Framework Convention th

on Climate Change Durban, South Africa

28 November - 9 December 2011

I. The AWG-KP 16 (third part)

The work of the Ad hoc Working group on Further Commitments for Annex I Parties

under the Kyoto Protocol (AWG KP) had continued its work on the revised proposal by the

Chair which forms the basis for negotiating the text for Durban. The proposal has five chapters

and each was discussed in separate informal group.

Chapter I:

Chapter II: Chapter III: Chapter IV:

Chapter V:

Amendments to the Kyoto protocol pursuant to its Article 3, paragraph 9

(2nd commitment period)

Land-use, land-use change and forestry Emission trading and the project-based mechanisms

Greenhouse gases, sectors and source categories, common metrics to

calculate the carbon dioxide equivalence of anthropogenic emissions by

sources and removals by sinks, and other methodological issues (Basket of

issues)

Consideration of information of potential environmental, economic and

social consequences, including spillover effects, of tools, policies,

measures and methodologies available to Annex I Parties (potential

consequences)

The document can be found on: http://unfccc.int/resource/docs/2011/awg16/eng/crp02r01.pdf

While the work on the chapters IV and V progressed relatively successfully, the chapter I

seemed to be most difficult. This is not surprising given the highly political character of the

second commitment period (2nd CP). The three countries, Canada, Japan, and Russia which

already declared that they will not commit to the second commitment period under the Kyoto

Protocol reiterated their intention not to do so also in Panama. Without them and without the US

(who did not ratify the Protocol), the potential second commitment period seems to be covering

only around 16% of the global greenhouse gas emissions and many developed countries are

starting to look at it as at transitional arrangements before some kind of global agreement is

reached. However, the 2nd CP is an unavoidable political condition of developing countries to

continue discussions on global agreement. Thus, for many the 2nd commitment period is

becoming sort of transition from current international regime dividing parties to developed

parties with reduction commitments and developing countries without reduction commitments to

new global treaty covering all major emitters respecting the principle of common but

differentiated responsibility and respective capabilities.

Low level of ambition of developed countries to reduce their emissions threatens the

objective of not to let the global temperature rise by more than 2°C by the end of the century

compared to pre-industrial times. With the current pledges, the world is on the path to 3.5°C to

4°C.

Overall assessment of the Panama progress is highly positive and it is believed that in

Durban the AWG KP might come to an end of its mandate.

In the following text more detailed analyses of individual chapters of the revised proposal by the

Chair is presented.

Chapter I: Amendments to the Kyoto protocol pursuant to its Article 3, paragraph 9 (2nd

commitment period)

The text of Chapter I consists of the draft text of the decision itself and its annex. The draft

decision offers two options how to reach the continuation of the Kyoto protocol: option 1 simply

says that the CMP adopts the amendments to the Kyoto protocol as contained in the annex to the

decision while option 2 is based on conditionality with regard to the adoption of a protocol under

the Ad hoc Working Group on long-term Cooperative Action under the Convention (AWG LCA)

track. In other words, the CMP will adopt the amendments to the Kyoto Protocol which shall

take effect only after some legal document is adopted under the LCA track. The issues discussed

under the chapters II to V would be decided by separate decisions also to be adopted by CMP7.

Annex to the draft decision contains substantial parts for 2nd commitment period to be

implemented: Part A is the table with quantified emission limitation or reduction commitments

(QELRCs) and the length of the 2nd CP. From three current proposals of the table of annex B,

first and last options are almost identical with the existing Annex B, listing countries with the

quantified emission limitation or reduction commitments for the period 2008 - 2012 and

providing columns for commitments for the next commitment period. The duration of the 2nd CP

is proposed to be either five years (from 2013 to 2017) or seven years (from 2013 to 2020).

Option 2 specifies the commitments for developed countries which a party to the KP in the form

of quantified domestic emission reduction and in the form of total reductions required, based on

historical responsibility and the needs of developing countries. All QELRCs are to be expressed

as a percentage of the base year or period. There are no numbers for the next commitment period

yet.

Part B of the annex contains proposal for textual amendments of the Kyoto protocol, mostly on

Article 3 (commitments). These relate the legal expression of commitments, length of the second

commitment period, and aggregated level of reduction (by all Annex B countries). Other

proposed changes are for Article 4 (paragraphs 2 and 3), Article 6 (paragraph 5), Article 9, 15,

17, 18, and 21. New articles are proposed related to potential new market mechanism.

Decisions needed to be taken in Durban:

• Annex I Parties have to commit to the second commitment period

• Numbers - need to transform current or more ambitious pledges of Annex I countries to

concrete figures expressed as a percentage of the base year or period (option 1 and 3) or

reduction commitments or to domestic emission reduction and total reduction required

based on historic responsibility (option 2)

• Length of the second commitment period - five or seven years

• Status of current countries with their economies in transition and the Turkey

Chapter II: Land-use, land-use change and forestry

The Chapter II provides draft decision to amend current LULUCF rules (decision 16/CMP.1).

The aim is to accommodate proposals from parties for changes based on the lessons learned from

the first commitment period and to adjust the rules for potential 2nd commitment period.

The main issues to be decided in Durban under the LULUCF are:

• New definition of wetland drainage and rewetting is included, and there might be

changes in the definition of forests, however, textual proposals are not included yet.

• What activities should be accounted for fulfilling the reduction commitments - in the 1st

CP, parties may chose whether to account only for afforestation, reforestation and

deforestation or to cover also other activities: revegatation, forest management, cropland

management, grazing land management. According to the proposal for 2nd CP ALL parties

would be committed to the same activities, the voluntary element disappears.

• Accounting rules for forest management - there are five options proposed: 1.

Reference levels; 2. Baselines; 3. Net-net accounting relative to the 1st CP; 4. Cap; 5. No

changes to the 1st CP.

• Natural disturbances - whether and how to account for emissions caused by natural

disturbances. There is an agreement on a revised text on force majeure, now known as

"disturbances," with a few issues outstanding (conditions for possible exclusion of

emissions from natural disturbance).

• Harvested wood products - they were not accounted for in the 1st CP. The proposed text

contains three options how to account for emissions from harvested processed wood:

based on default decay functions; based on default half-lives; and based on instant

oxidation.

• "Flexible land-use" - possibility for parties to decide whether they account for

emissions from the conversion to a non-forest land of a forest by human-induced planting

Chapter III: Emission trading and the project-based mechanisms

The work on flexible mechanisms did not progress much due to the lack of political decisions,

mostly on existence of the second commitment period and on some highly political issues such

as whether to include nuclear activities or carry-over of assigned amount units (AAUs) unused in

the 1st commitment period. The only significant change was the removal of the proposal to apply

discount factor on CERs from certain type of CDM activities.

The progress was small and there are still many issues to be decided on political level in Durban.

These are mainly:

• Conditions for continuation of the use of credits from mechanisms (only parties who

ratified second commitment period or to all parties to the Kyoto Protocol)

• Activities relating to nuclear facilities - eligibility for inclusion into CDM or JI (yes or

no)

• Carry-over of units from the first commitment period - there are three options on carry-

over amount: 1. limits to be decided; 2. no restriction; and 3. More elaborated text on

limitations (quantitative limits, limitation on domestic use, and ban on trade units). The

Democratic Republic of the Congo, on behalf of the African Group proposed that carry-

over from the first to the second commitment period should be limited to 1% of each

party's first commitment period AAUs, and that parties should be able to sell the amounts

carried over, with 50% of the revenue to be transferred to the Adaptation Fund.

• Share of proceeds - currently, share of proceeds are applied only on the CER. There are

now proposals to extend the share of proceeds also to other two mechanisms under the

KP: on Joint Implementation and on International Emission Trading; and to increase

percentage of share of proceeds form CDM

• New market-based mechanisms - parties have to decide whether to establish new

market-based mechanisms for the second commitment period or not

Chapter IV: Greenhouse gases, sectors and source categories, common metrics to

calculate the carbon dioxide equivalence of anthropogenic emissions

by sources and removals by sinks, and other methodological issues

(Basket of issues)

This chapter is most elaborate from all chapters. The text contains two sets of options (A and B)

covering the same issues (see below). Parties may decide to agree on option A removing the

brackets from nitrogen triflouride or to negotiate more issues still undecided under the option B.

• 2006 IPCC Guidelines for national GHG Inventories - waiting for the outcome of the

LULUCF

• Inclusion of the new gases - either only nitrogen triflouride, or also fluorinated ethers,

perfluoropolyethers, and and trifluoromethyl sulphur pentafluoride

• Global warming potential - which values should be used, those in the Second

Assessment report by IPCC or new ones from the Fourth Assessment report

Chapter V: Consideration of information of potential environmental, economic and

social consequences, including spillover effects, of tools, policies, measures

and methodologies available to Annex I Parties (potential consequences)

The text on response measures under the AWG KP is almost ready for adoption, concentrating on

understanding of potential consequences and observed impacts through various means such as

regular and systemic provision of information. How to report ant to whome still remains

undecided:

• Reporting on the potential consequences and observed impacts - should there be

permanent forum established as a forum to report and evaluate impacts and consequences

or should the existing channels, such as national communications be used

II. The AWG LCA 14 (third part)

The third part of the 14th session of AWG LCA had continued its work on building blocks of Bali

action plan, in order to implement Cancun agreement. The work had been carried out in one

contact group and individual items were discussed in informal groups. This chapter provides

overview of the specific outcomes from the groups identifying issues forwarded to further

discussion (and possible decision) in Durban.

3.1. Shared vision

(Paragraphs 5 and 6 of the Cancun Agreement: 5. Agrees, in the context of the long-term goal and the ultimate objective of the Convention and the Bali Action Plan, to work towards identifying a global goal for substantially reducing global emissions by 2050, and to consider it at its seventeenth session; 6. Also agrees that Parties should cooperate in achieving the peaking of global and national greenhouse gas

emissions as soon as possible, recognizing that the time frame for peaking will be longer in developing countries,

and bearing in mind that social and economic development and poverty eradication are the first and overriding

priorities of developing countries and that a low-carbon development strategy is indispensable to sustainable

development. In this context, further agrees to work towards identifying a timeframe for global peaking of

greenhouse gas emissions based on the best available scientific knowledge and equitable access to sustainable development, and to consider it at its seventeenth session) The informal group on shared vision ended up with the non-paper in some form of the draft

decision with 17 sub-headings. Apart from those discussed in this group in Bonn few more were

added, covering now Global goal for substantially reducing global greenhouse gas emissions by

2050; Time frame for global peaking of greenhouse gas emissions; Equity; Historical

responsibility; Establishment of global goals for finance, technology, adaptation, and for

capacity-building; Trade; Response measures; Intellectual property issues in relation to

technology; Low-carbon and climate-resilient society; Human rights; Rights of mother earth;

Right to survive; An international climate court of justice; and Warfare.

There are two main items under the Shared vision to be agreed in Durban:

• Global goal for global emissions reduction by 2050 - proposal are to set the global goal

on 50% or 85% or 90% from 1990 levels by 2050, with the possibility to update the

global goal based on the review to be carried out in 2013 or 2015 (the year of the review

still to be decided under the agenda item Review). Another proposal sets the global goal

to more than 100% by 2040.

• Goal for developed countries by 2020 - to reach the global goal, there is a text requiring developed countries to reduce their emissions by 30%, or 40% or 45% by 2020. Aligned

to the proposal of 100% reduction, there is a proposal for developed countries to reduce

their emissions by more than 50% by 2017.

• Time frame for global peaking - there are several years proposed for global peaking: immediately, 2012, 2013, 2015, 2017, and 2020

• Compared to current level of pledges by developed countries (which is 17 to 25%), even

the lowest proposal 30% will be very difficult to negotiate. The issue also heavily depends on the progress of discussion under the AWG KP Chapter I (Commitments of

Annex I Parties) where there is currently no significant change in positions and it will

need political decision on very high level. http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111006_sv_1930.pdf

3.2. Mitigation

3.2.1. Mitigation by the developed countries (paragraph 36 to 47 of the Cancun

Agreement )

Under this agenda item, Parties discussed texts as they left them from Bonn. Three sub items

were discussed: (a) level of ambition of developed countries reduction pledges; (b) international

assessment and review; and (c) biennial reports.

(a) Level of ambition: (paras 36 - 38 of CA) As the issue of the pledges awaits political

decision in Durban what the reduction commitments would be the discussions in

Panama focused on supporting issues such as how to increase level of ambition,

accounting framework, biennial reports. The developed countries would have liked to

discuss this issue together with the efforts of major emitters from developing

countries however this was strongly opposed by some DCs. As the US, Canada,

Russia and Japan will not be part of the second commitment period under the Kyoto

Protocol the existence of the new strong mitigation regime under the Convention is

more and more of great importance.

The outcome from the session on this item is in the form of co-facilitator`s summary:

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/co- facilitators_summary_14_oct_for_web.pdf

(b) Biennial reports: (paras 40 - 43 of CA) Possible elements of the guidelines for

biennial reporting by developed countries contained in the non-paper by facilitator

were discussed. The non-paper has a form of the draft decision and covers six

chapters: objectives; GHG trends; reduction targets; progress in achieving targets;

projections; and provisional of financial, technological and capacity building support

to DCs. The text is rather developed even though under each chapter there are some

unresolved issues.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/non-paper_3.2.1_v8_for_web2.pdf

(c) International assessment and review (IAR): (para 44 of CA) IAR should provide

better information from countries on their progress in fulfilling their respective

reduction commitments. While there is a general agreement on the need of IAR,

views differ on objectives, scope, frequency, inputs, processes, outputs.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/non-paper_3.2.1_2_v9_for_counter.pdf

3.2.2. Mitigation by the developing countries (paragraphs 48 to 67 of the Cancun

Agreement)

Discussion focused on (a) paragraphs 48 to 51 of Cancun Agreement (CA) where several issues

have been discussed: deviation in emissions compared to BAU; support needed for NAMAs;

diversity of mitigation actions; (b) registry; (c) biennial reports by DCs; (d) international

consultation and analysis (ICA). However, all texts are in the form of summary or non-papers

prepared by co-facilitators.

(a) Discussions on paragraphs 48 - 51 of CA: Deviation from BAU - there is no

common view on what the deviation means, whether it relates to the ambitions or

diversity of mitigation actions. Developing countries think that the concept of

ambition did not apply to them and there is no need to regularly update the list of

NAMAs and to submit new or updated information on mitigation actions. Diversity of

mitigation actions - how and where to inform on updated NAMAs is unclear,

whether informing should be on voluntary basis, should it be in the UNFCCC

document of only in the registry. The use of a common template for NAMAs was

proposed by one Party and opposed by some reasoning that this may undermine

understanding of diversity in actions and national appropriateness. Provision of

support for NAMAs was discussed, without any textual results. According to some

Parties, a decision on financing to support preparation and implementation of

NAMAs is necessary, including support for institutional arrangements at the national

level

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111006_322_0830

..pdf

(b) Registry (paras 53 - 59 of CA): Main functions (recording of NAMAs seeking

international support and facilitating matching NAMAs and support) of the registry

were agreed. Domestically implemented NAMAs should also be recorded separately.

Format of the reporting NAMAs was discussed with divergent views among

developed countries (more formalized approach) and developing countries (more

flexibility). Further work to be conducted by SBI.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111005_regisrty_

2200.pdf

(c) Biennial update reports (para 60 of CA): Possible elements of guidelines for biennial

reports from developing countries were discussed. The non-paper by co-facilitators is

prepared containing six chapters: Introduction (including objectives and scope);

National GHG inventories (methodologies and reporting); Mitigation actions;

Finance, technology and capacity-building needs and support received; Submission;

and Updating the guidelines. Capacity-building to assist DC in preparation biennial

reports was seen as critical issue by many delegations.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111005_bur_2200

.pdf

(d) International consultation and analysis (ICA) (para 63 of CA): Objectives, principles,

process and scope of ICA, outcome, frequency and flexibility were discussed. It was

agreed that the objective of ICA is improved transparency of mitigation actions and

effects. There is a need for different frequencies of ICA for different countries.

Process should be lead by an expert team nominated by parties or a by single pool of

50 experts to be constituted for both ICA and IAR. Capacity building and learning-

by-doing are important aspects of ICA but there are capacity constraints at present

and building capacity takes time. There is a need for expedited funding for reporting

in order to get inputs for ICA ready to be used for 2013 - 2015 review (GEF6 has

money from 01.07.2014). Biennial reporting on LULUCF are especially challenging.

Developing countries insist that ICA is not supposed to analyze countries

performance. Possible elements of ICA decision in Durban: timing and frequency;

scope; content of analysis; output; format for international consultations.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111006_ica_1130.

pdf

3.2.3. REDD+ (Reducing emissions from deforestation and forest degradation and the

role of conservation, sustainable management of forests and enhancement of forest

carbon stocks in developing countries) (paras 68 to 78 of CA)

The discussion focused mostly on financing issues. Parties have identified several sources of

financing: public sources; special RED+ window under the Green Climate Fund; existing

multilateral and bilateral channels; market-based mechanisms; combination of funds and market

based mechanisms; and any other new funding source. According to some Parties, public sources

should play more important in financing REDD+ in the first phase with gradual shift to other

sources in following phases. Further progress on the issue depends on technicalities to be dealt

with under the SBSTA (definitions, reference levels of emissions and forests, MRV).

The issue was discussed in informal group, short text in the form on non-paper with many

placeholders for the text from SBSTA work was produced as a basis for further discussion in

Durban.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111006_323_2000

.pdf

3.2.4. Sectoral approaches and sector specific actions

Under this agenda item, general frameworks and two sectors were discussed: (a) agriculture; and

(b) international aviation and maritime transport (bunkers).

On the general framework, a joint submission (FCCC/AWGLCA/2011/CRP.22) by a number of

developing countries emphasized the importance of food security; the need to avoid barriers and

distortions in international trade; and the importance of economic and social development in the

context of sectoral approaches.

On agriculture, parties considered language and worked to identify shared views on aspects of

market mechanisms (should they or should they not be applied); possible discrimination or

restriction of the international trade; unilateral measures (phytosanitary, technical); food

security; economic development and poverty eradication. Parties agreed to work towards further

streamlining it based on submissions, with input from the Panama Facilitator's guidance paper

and the Bonn Facilitator's note

On international aviation and shipping, parties reflected on options for text. Traditionally,

discussion focused on the role of International Maritime Organization (IMO) and International

Civil Aviation Organization (ICAO) those being specialized organizations for maritime transport

and civil aviation. Some developed countries welcomed progress made by the IMO at the 62nd

session of the Marine Environment Protection Committee (where a historic agreement on the

energy efficiency of new ships no matter where they are built was reached. The regulations will

enter into force in 2013 and stipulate gradually increasing efficiency goals which, in 2025 when

fully phased in, mean that new ships are to be 30 per cent more energy efficient than the ships

built today. In addition, agreement was also reached on standards of how ships must develop and

maintain an energy savings plan on board. A mechanism has been developed to support

developing countries in their efforts to comply with the new requirements.). Other parties

doubted the extent to which the measures will be applied globally due to the majority rather than

consensus decision.

There is a consolidated text proposed by parties as a basis for Durban. Many parties called for

turning this to negotiation text however, it still contains more than 9 options on different

subjects.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111007_sectapproaches_1200.pdf

3.2.5. Market and non-market mechanisms (Various approaches, including

opportunities for using markets to enhance the cost-effectiveness of, and to promote,

mitigation actions)

The text on this item is quite elaborated in the parties` compilation of 18 pages. It contains eight

chapters: preamble; principles and objectives for various approaches; evaluating existing

approaches and lessons learned; conditionalities; framework for various approaches; new

approaches; work programme; and readiness. However, there are many options in the text and

there are no clear views what new approaches should be introduced in post-2012 period (project-

based, sector-based, others).

The non-market based approaches focused on voluntary approaches, participation and access.

There is a proposal to consider the establishment of mechanisms, at COP18 that enhance the

cost-effectiveness of, and promote mitigation actions such as: subsidies; taxes; regulation and

environmental law; consumption and production; education and capacity-building; net reduction

and avoidance of greenhouse gas emissions; warfare impact of greenhouse gas emissions;

technology; precautionary measures. Parties will review and streamline the compilation

document before Durban, and that it will be used as the basis of discussion for a draft decision.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111007_325_1530

.pdf

3.2.6. Response measures

The discussion on response measures (RM) is summarized in the note of facilitator. The main

lines of discussion are: the response measures should be part of the outcome of Durban;

unilateral actions might be considered as a response measures in some cases; issue of

information on observed RM; need to establish a continuous forum for RM; ex-ante impacts and

specific actions to avoid and minimize negative economic and social consequences on

developing country Parties need to be considered; discussion on RM under the LCA should set a

political parameter to the issue; links to the discussion on RM under other bodies of the

Convention (SBI, SBSTA). Some parties question the mandate of the group when the issues of

trade were discussed.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/lca_facilitators_note

_agenda_item_3.2.6_7_oct_7.30pm.pdf

3.3. Adaptation

Under this agenda item, the discussion focused on the operationalization of, composition of, and

modalities and procedures for, the new Adaptation Committee, highlighting links to other

institutions, national adaptation plans and the Green Climate Fund. On composition, issues such

as how many members, from which constituencies, whether the AC should comprise also

advisory members were discussed, frequency of the meetings of the AC, mode of work

(subcommittees or experts from NWP); when to review the AC (after 4 years and then

periodically every 3 years or only after 4 years); activities of the AC for the first year: procedural

and substantive. The work plan of the AC should be adopted by COP18 in 2012. The negotiating

text is in the form of draft decision.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111007_adaptation_1000.pdf

3.4. Finance

There are two texts produced under the agenda item finance: (a) Standing committee (SC); and

(b) Long-term Finance.

(a) Standing Committee: While parties were waiting for the last meeting of the Transitional

Committee on GCF (held on 16 - 18 October 2011 in Cape Town) discussion on finance

focused mostly on the roles and functions, composition, and working modalities of the

Standing Committee. Its role as defined in paragraph 112 of the Cancun Agreements is

"to assist the Conference of the Parties in exercising its functions with respect to the

financial mechanisms of the Convention". The main issues of divergence are:

• Status: should the SC be a permanent subsidiary body or not, scope of work and

responsibilities

• Composition of SC: how many members 16 or 24, from which constituencies,

advisory members?

• How to work: frequency of the meetings, mode of work: subcommittees, or

experts from NWP, linkages to other work

• Activities of the SC for the first year: procedural and substantive, for adoption by

COP18

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111007_financestc

ommittee_1300_2.pdf

(b) Long-Term Finance: the draft co-facilitators consolidated text is full of options and

different views from parties. Some parties were not willing to discuss long-term finance

at this point of time while others wanted to progress with this matter to get clearer idea

where the funds for GCF would come from.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111007_financeltf_1300.pdf

The discussion on finance in Durban will very likely focus on Standing Committee and the

adoption of the report of the Transitional committee. TC has prepared draft governing instrument

for the Green Climate Fund, however the TC was not able to agree on final text. So the TC has

just took note of it and it is now the role of the COP17 to adopt the governing instrument. As

there is no agreement in the TC, further discussion can be expected. Report of the TC to the

COP17 can be found on the following web page:

http://unfccc.int/files/cancun_agreements/green_climate_fund/application/pdf/tc4-3.pdf

3.5. Technology

According to Cancun Agreement, Climate Technology Centre and Network should be established

as a part of the technology mechanism. It should be fully functional in 2012, so the Durban

conference has to decide on the ToRs for CTCN, procedures how to select the host organization,

selection criteria and governing issues. The UNFCCC Secretariat will help parties with

organizing selection procedure, but decisions have to be taken by parties through the COP. Draft

decision was discussed, and procurement draft to be prepared by UNFCCC Secretariat. Main

undecided issues remaining to be solved in Durban are:

• Governance: Should CTCN have its own independent governance structure or will be

govern by Technology Executive Committee

• Selection procedure: timeline, who will do actual evaluation and selection - TEC or

special panel of 6 experts

• Architecture: Only one seat or regional and country offices; relation to the network and

governments, linkages to financial and adaptation mechanisms

• Other issues: Selection criteria; financing of the CTCN; reporting, roles and

responsibilities; ToR

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111007_tch_1300.

pdf

3.6. Capacity building

Two papers are ready to be the basis of discussions on CB in Durban: (a) compilation of

submissions in a draft decision; and (b) summary of the facilitator of in-depth discussion on CB

works in institutions and initiatives under the Convention.

(a) Capacity building: Discussions in the informal group addressed the need for more

coherence of capacity building under the different UNFCCC processes and emphasized

the cross-cutting nature of capacity building. Parties discussed gaps in the delivery of

capacity building as either integrated elements of projects and programmes or stand-alone

activities. Parties discussed where, and how, capacity building is integrated in the

mandates and work programmes of the LDC Expert Group (LEG) and the Consultative

Group of Experts (CGE). The paper is rather consolidated with the only few issues to be

decided (whether to establish a new enhanced mechanisms to assist SBI or SBI should

review its work on CB; to whom to address the request to undertake CB activities: only to

existing bodies or to the newly established as well). The issue of financing the CB

activities is also linked to finance, adaptation and technology discussion.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111007_cb_1130.

pdf

(b) Capacity-building work in institutions and initiatives under the Convention: summary of

the in-depth discussion on this topic is captured in the summary of the facilitator.

Background document prepared by secretariat was presented and commented on by

parties. Linkages with other bodies such as Consultative Group of Experts on National

Communications from Parties not included in Annex I to the Convention (CGE), the

Least Developed Countries Expert Group (LEG), GEF. Parties are urged to present

textual proposals before the next meeting as a basis to move forward in the negotiations.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/cb_facilitator_summ

ary_031011_v.5.pdf

4. Review: further definition of its scope and development of its modalities

Parties continue discussion on the facilitators1 note from Bonn session. Views differ on the

scope, definitions, principles, inputs; process and the way forward. On scope of the review,

dilemma was between focusing on the adequacy of the long-term global goal, or to address

implementation of the Convention and overall progress towards achieving the global goal.

Others suggested that the review should include consideration of whether the Convention's

structure should be modified. On definitions, some parties consider the definition of the scope

inadequate and asked for more, others consider the definition in the Cancun agreement sufficient.

On key principles, debates were between the need for a party-driven process or principle of

common but differentiated responsibilities, equity and transparency. On inputs, possible sources

of information were identified: the IPCC's AR4, IPCC working group contributions to the Fifth

Assessment Report (AR5), the proposed biennial reports and countries' climate policies and

actions. Others suggested starting the process before 2013 and gathering inputs through a

clearinghouse mechanism. On modalities, opinions were from using existing mechanisms (SBI,

SBSTA) to undertake the review and opposed the establishment of a new mechanism.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/20111007_review_0

900.pdf

5. Continued discussion of legal options with the aim of completing an agreed

outcome: The facilitator prepared a paper with a "menu of legal options," setting out a range of possible

options for a Durban outcome, including:

• a legally binding instrument;

• COP decisions, with various sub-options:

o a mandate to conclude an legally binding instrument with a clear roadmap;

o a declaration regarding the future instrument, leaving the legal form open;

o continuing discussions to identify the appropriate form of the different elements

of the agreed outcome;

o affirming the importance of an legally binding instrument;

o and continuing to address all the BAP pillars.

The character of the paper is very informal and was not even published as an in-session material.

6. Other matters

Under Other matters, the issues of (a) EITs and (b) Turkey were considered.

(a) EIT: During informal consultations, parties discussed a draft COP 17 decision presented

by Annex I countries with economies in transition, addressing support for low-emission

economic growth. The main request is that EITS shall not be bound by legal

commitments under post-2012 climate change arrangements to provide new and

additional financial resources, technology transfer and institutional capacity-building in

support of developing countries, although they may wish to consider to do so on a

voluntary basis; and on the other hand to receive capacity building, financial, technical

and technology transfer assistance in order to assist them in the development and

implementation of their national low-emission development strategy and action plans.

http://unfccc.int/resource/docs/2011/awglca14/eng/misc08.pdf#page=130

(FCCC/AWGLCA/2011/MISC.8, pages 130-131)

(b) Turkey: In informal consultations, parties exchanged views on Turkey's draft text for a

decision in Durban. The draft decision proposed that in regard to mitigation, adaptation,

technology development and transfer, capacity building and finance, any agreement,

decision or instrument adopted by the Parties shall provide Turkey the flexibility and

support given to those developing country parties whose economic and social

development indicators are similar to Turkey; that Turkey shall not be bound by legal

commitments to provide new and additional financial resources and/or support, including

technology development and transfer and capacity building under any agreement,

decision or instrument adopted by the Parties; that adequate financial resources provided

through operating entities of the Financial Mechanism of the Convention, funds under the

Convention, market mechanisms and other delivery channels of finance including inter

alia bilateral and multilateral financial institutions and funds; technology development

and transfer support through technology mechanism and capacity building assistance

shall be provided to Turkey under the Convention and any agreement, decision or

instrument adopted by the Parties in order for Turkey to address climate change. During

the second informal meeting Turkey provided more streamlined text accommodating

some of the concerns expressed.

http://unfccc.int/files/meetings/ad_hoc_working_groups/lca/application/pdf/draft_decision_turke

y.pdf

III. 34th session of SBSTA

1.1.1. Nairobi work programme on impacts, vulnerability and adaptation to

climate change: The SBSTA 34 was supposed to finish the review of second phase of

implementation of Nairobi work programme (according to the decision 2/CP.11, para 6

(e) and to decide on future specific activities under this programme. Review was based

on submission by Parties FCCC/SBSTA/2011/MISC.3) and information document

prepared by the Secretariat (FCCC/SBSTA/2011/INF.2). The review has been concluded

at SBSTA 34 so now the considerations on further work may start. Until the end of the

second phase (by end of 2011), secretariat should, subject to the availability of resources

to:

• conduct a survey of national focal points to identify priority needs;

• compile information on ecosystem-based approaches to adaptation;

• prepare technical paper on water and climate change impacts to adaptation; and

• organize the joint SBI/SBSTA in-session workshop to consider outcomes of NWP

most relevant to SBI

SBSTA 35 should consider further work and define the duration and activities for the next

phase (to draft decision for adoption by COP17). Preliminary proposals for the duration are

2 or 3 years, activities are to be decided based on submissions from parties and

organizations. The activities to be taken into account are listed in the Annex to the

conclusions. Parties and relevant organizations are invited to submit to secretariat by 19

September 2011, the proposals for upcoming activities. When submitting their proposals,

parties and organizations should take into considerations Annex to the decisions, where the

preamble says inter alia "enhanced action on adaptation should follow a country

driven, gender-sensitive, participatory and fully transparent approach"

Document FCCC/SBSTA/2011/L.13

1.1.2. Methodological guidance for activities relating to reducing emissions from

deforestation and forest degradation and the role of conservation, sustainable

management of forest and enhancement of forest carbon stocks in developing

countries: The objective is to prepare a draft COP decision on modalities for activities in

REDD+ to reduce tropical deforestation by at least 50% by 2020 compared to current

levels and stop the forest cover loss by 2030. The REDD+ activities should also preserve

ecosystems, biodiversity and social co-benefits. Specific issues for SBSTA 34 were

information systems on safeguards, forest reference levels and forest reference emission

levels, reference to the relevant IPCC guidelines on forest-related greenhouse gas

emissions by sources and removals by sinks, forest carbon stocks and forest area changes.

Some discussion was going on whether the SBSTA work should solely focus on Annex 2 of

the Cancun agreement (1/CP.16 paragraph 75) or it may be broaden by other issues parties

consider as relevant. By its conclusions SBSTA 34 decided to continue these considerations

with the aim to conclude its work in Durban on SBSTA 35. The SBSTA also invited parties

and accredited observers to submit to the secretariat, by 19 September 2011, their views on

issues in the annex to the conclusions, such as: characteristics and design of safeguards;

guidance for scope, construction and characteristics of reference levels; modalities for

MRV as referred to in Annex II of the 1/CP.16; guidance on REDD+ activities as in

paragraph 70 of the 1/CP.16. Submissions will form the base for further work. Subject to

availability of financial resources, meeting of technical experts should be organized prior to

SBSTA 35.

Document FCCC/SBSTA/2011/L.14

1.1.3. Development and transfer of technologies: The pre-sessional workshop on

technology needs assessment (TNAs) held on 1 - 2 June 2011 in Bonn and organized by

the UNFCCC Secretariat in collaboration with GEF, UNDP, UNEP and Climate

Technology Initiative (CTI) formed the basis for the conclusions on this item. The SBSTA

34 also recalled its conclusions from 33rd session to organize, subject to availability of

resources, two training workshops in French and Spanish, on preparing technology transfer

projects for non-Annex I parties.

Document FCCC/SBSTA/2011/L.10

1.1.4. Research and systematic observation: Research and systematic observation

plays the fundamental role for developing and validating climate models, and even more

important role for adaptation activities. The pre-sessional workshop on research was

organized by the secretariat, under the guidance of the Chair of the SBSTA, from 2 to 3

June 2011. More information on the workshop can be found here:

http://unfccc.int/methods_and_science/research_and_systematic_observation/items/6032.

php. The workshop strengthened the research dialogue between parties and research

programmes and organizations, enhanced communication between science and policy

communities and understanding of new scientific findings. Subject to availability of

financial resources, further workshops should be organized. The SBSTA also invited

parties to provide, by 19 September 2011, their views on the research dialogue, including

ongoing activities, associated modalities and ways to enhance the dialogue. Submissions

will be further considered on SBSTA 35. Matters related to systematic observation,

including issues related to the timing of the contributions of the Global Climate

Observing System are deferred to SBSTA 36.

Document FCCC/SBSTA/2011/L.4

1.1.5. Forum on the impact of implementation of response measures as at the thirty

fourth and thirty fifth sessions of the subsidiary bodies, with the objective of

developing a work programme under the Subsidiary Body for Scientific and

Technological Advice and the Subsidiary Body for Implementation to address these

impacts, with a view to adopting, at the seventeenth session of the Conference of the

Parties, modalities for the operationalization of the work programme and a possible

forum on response measures: The item was included into the agenda of both subsidiary

bodies based on the paragraph 93 of the 1/CP.16 requiring chairs of SBs to convene the

forum at its 34th and 35th sessions. The joint forum of SBI and SBSTA has been therefore

established. The forum has met several times during the second week of Bonn talks. First

parties presented their views on impacts of response measures and the scope and modalities

of the work. Issues of international trade, oil exports, impacts on tourism, were mentioned.

Many parties asked for streamlining the response measures issues form other agendas

preferentially under the forum, some other parties opposed streamlining arguing that RM

have their place in all bodies of the Convention. Work will continue in Durban with the aim

to adopt modalities of work of the forum. Submissions are invited from parties and

observers by 19 September 2011 to be further considered at 354th session of SBs.

Document FCCC/SBSTA/2011/L.16, FCCC/SBI/2011/L.18

1.1.6. Matters relating to Article 2, paragraph 3, of the Kyoto Protocol: In Cancun,

both the SBSTA and the SBI have decided on a joint workshop on this item to be held prior

to the 35th session of SBs. Parties have submitted their views on what should be addressed

at the workshop (sharing information, minimizing, adverse effects, research and

assessment, enhancing support to DCs, enhancing reporting and verification). The issue

will be further considered at the 35th session of SBSTA.

Document FCCC/SBSTA/2011/L.16, FCCC/SBI/2011/L.12

1.1.7. Methodological issues under the Convention:

(a) Emissions from fuel used for international aviation and maritime transport:

No progress in the issue, reports from International Civil Aviation Organization

(ICAO) and the International Maritime Organization (IMO) on their ongoing work

Document FCCC/SBSTA/2011/L.2

(b) Revision of the UNFCCC reporting guidelines on annual inventories for Parties

included in Annex I to the Convention

The document FCCC/SBSTA/2011/INF.4 Draft annotated revised UNFCCC Annex I

reporting guidelines has been issued by secretariat at 30 May 2011, however, the

SBSTA was not able to consider the document and invited the secretariat to organize

fourth workshop on guidelines in the second half of 2011. Based on the outcomes of

the workshop, new version of the document should be prepared for consideration at

SBSTA 35 with a view to prepare draft decision for adoption by COP17.

Document FCCC/SBSTA/2011/L.3

(c) Greenhouse gas data interface

The SBSTA 34 appreciated the GHG data interface and requested the secretariat to

include modules to allow in the modules of the data interface, where applicable, the

possibility of presenting GHG emissions/removals in physical units, in addition to

carbon dioxide equivalent. The issue will be further considered in one-years time at

SBSTA 36 in 2012.

Document FCCC/SBSTA/2011/L.7

1.1.8. Methodological issues under the Kyoto Protocol:

(a) Implications of the establishment of new hydrochlorofluorocarbon-22 (HCFC-22)

facilities seeking to obtain certified emission reductions for the destruction of

hydrofluorocarbon-23 (HFC-23);

The matter is considered with the aim to provide guidance to the CDM Executive

Board on the treatment of new HCFC-22 facilities for the purpose of CDM projects.

Technical paper was prepared by the Secretariat issued on 31 may 2011

(FCCC/TP/2011/2). The item will be considered at the 35th session.

Document FCCC/SBSTA/2011/L.6

(b) Materiality standard under the clean development mechanism;

The decision 3/CMP.6 requested the SBSTA to consider the issue of materiality, with

a view to recommending a draft decision on this matter for adoption by the CMP at its

seventh session. Parties have submitted their views and the secretariat had prepared

technical paper issued on 31 May 20011 (FCCC/TP/2011/4). The item will be

considered at the 35th session.

Document FCCC/SBSTA/2011/L.11

(c) Common metrics to calculate the CO2 equivalence of greenhouse gases

The issue of common metric to calculate the carbon dioxide equivalence of

anthropogenic greenhouse gas emissions by sources and removals by sinks has been

in the agenda since SBSTA 30 (2009). Alternative common metrics and shortcomings

in the use of GWPs are still being assessed by the IPCC in the context of its work on

its Fifth Assessment Report. The secretariat was requested to organize subject to the

availability of resources, a workshop on common metrics, to be held in the first half

of 2012, with a focus on uncertainties, new and refined areas or metrics, policy goals,

and the relationship between policy frameworks and metrics. The issue will be further

considered at the 36th session of SBSTA in 2012.

Document FCCC/SBSTA/2011/L.8

(d) Scientific, technical and socio-economic aspects of mitigation of climate change

The item will be considered at the 35th session, taking into account the best available

scientific information on mitigation, in particular information from the IPCC. The

Chair of the SBSTA will consult with Parties on the extent to which the matter should

be further considered at that session.

Document FCCC/SBSTA/2011/L.9

1.1.9. Cooperation with other international organizations: No progress with the

item, statements by the secretariats of the Convention on Biological Diversity and the

United Nations Convention to Combat Desertification on their activities and efforts to

address climate change and on their contribution to the work of the Convention

Document FCCC/SBSTA/2011/L.5

IV. 34th session of SBI

The SBI started late as there were lengthy informal discussions on the adoption of the

agenda both before opening and after opening the sessions. As a result sub-item on information

contained in non-Annex I national communications is held in abeyance and placed on SBI 35's

provisional agenda; and sub-items on revision of guidelines on the reporting of national

communications, including the biennial reports for Annex I parties, and development of

guidelines for biennial reports as part of non-Annex I national communications, respectively,

together with the relevant footnotes, would be deleted from the agenda. The item on a forum on

the impact of the implementation of response measures, the SBI proceeded in the same manner

as the SBSTA, and convened a forum at this and would convene another one in Durban.

Subsequently all contact groups were established and a number of conclusions were adopted. As

a way forward on many of the items it was decided to convene different workshops and to

request submissions by Parties and organizations.

1. National communications and GHG inventory data from parties included in

Annex I to the Convention: The conclusions on the status of submission and review of

fifth national communications are in the document FCCC/SBI/2011/L.2. Sixth national

communications should be submitted to the secretariat by 1 January 2014.

Consideration of compilation and synthesis of fifth national communications will

continue at SBI 35.

Documents FCCC/SBI/2011/L.2, L.3

2. National communications from parties not included in Annex I to the Convention:

(a) Consultative group of experts: The work programme of the consultative Group of

Experts on Non-Annex I National Communications (CGE) is endorsed, and the term

and the mandate of the CGE and the need for the continuation of the group shall be

reviewed by the COP 17.

Document FCCC/SBI/2011/L.8

(c) Further implementation of Article 12, paragraph 5, of the Convention: On the

Convention Article 12(5) (frequency of the submission of NC) the SBI agreed to

continue consideration of the issue at SBI 35.

(d) Provision of financial and technical support: SBSTA invited GEF to continue to provid

information on Non Annex I NC preparations, and Non Annex I parties were invited to

make submissions, by 19 September 2011, on the detailed costs incurred by non-Annex I

Parties, including in-kind contributions, for the preparation of their most recent

national communications and on the financial resources.

Document FCCC/SBI/2011/L.9

3. Financial mechanism of the Convention: The synthesis report on the National

Economic, Environment and Development Study (NEEDS) for climate change was

discussed, as well as complementary work undertaken by UNDP EEG, and the funding

needs for global climate observations and further support to strengthen observation

networks and capabilities in developing countries, especially least developed country

Parties and small island developing States. Parties are invited to submit to the

secretariat, by 19 September 2011, information on support provided to developing

country Parties and activities undertaken to strengthen existing and, where needed,

establish national and regional systematic observation and monitoring networks for

compilation and for consideration by the SBI 35.

Document FCCC/SBI/2011/L.17

4. Article 6 of the Convention: (education, training and public awareness), was decided

to organize workshop in LDCs by SBs next year. The New Delhi work programme will

be reviewed - in strengthening the bottom up approach, and active participation of

women, youth, and media, incorporating gender aspects, strengthening adaptation

issues in education and communication campaigns. Developing countries will be

supported to elaborate national strategies and plans on art. 6. There will be a special

event in Durban.

Document FCCC/SBI/2011/L.6

5. Matters relating to Article 4, paragraphs 8 and 9, of the Convention: No progress

on the text of the draft decision (as in Annex IV of the FCCC/SBI/2010/10), the matters

will be further considered on SBI 35 with a view to the results of Cancun. The work

programme of the LEG for 2011-2012 was endorsed. The Instanbul Programme of

Action for LDCs is going to be linked to the work of LEG.

Documents FCCC/SBI/2011/L.14, L.4

6. The National adaptation plans: (Remark: not only for LDCs, but as well for all

developing countries). It was decided to organize expert meeting on process of LDCs to

develop and implement NAPs and how to receive support for both developing and

LDCs. Submissions are invited by 15 August on the process and guidelines.

Document FCCC/SBI/2011/L.16

7. Approaches to address loss and damage associated with climate change impacts in

DCs that are particularly vulnerable to the adverse effects of climate change to

enhance adaptive capacity: Parties engaged in a technical workshop to share views on

current work being undertaken across the multilateral system on this issue. Within the

SBI, parties agreed to hold another technical workshop to share views on how a work

plan under the Convention could function and what financial and technical support

may be needed. International organizations were invited to submit views on this by 15

August.

Document FCCC/2011/SBI/L.20

8. Matters relating to Article 3, paragraph 14 of the Kyoto Protocol: The SBI and the

SBSTA requested the secretariat to organize the joint workshop, before their 35th

sessions. Issues that will be addressed at the workshop were identified, including: (a)

Sharing information to enhance understanding of adverse effects, including the adverse

effects of climate change, effects on international trade, and social, environmental and

economic impacts; (b) Minimizing the adverse effects through a process to implement

Article 3, paragraph 14, and Article 2, paragraph 3, of the Kyoto Protocol. The SBI and

the SBSTA agreed to continue to discuss these matters related, including consideration

of the workshop report in a joint contact group to be established at their 35th sessions.

Document FCCC/SBI/2011/L.12

9. Forum on the impact of implementation of response measures as at the thirty

fourth and thirty fifth sessions of the subsidiary bodies, with the objective of

developing a work programme under the Subsidiary Body for Scientific and

Technological Advice and the Subsidiary Body for Implementation to address

these impacts, with a view to adopting, at the seventeenth session of the

Conference of the Parties, modalities for the operationalization of the work

programme and a possible forum on response measures: The item was included into

the agenda of both subsidiary bodies based on the paragraph 93 of the 1/CP.16 requiring

chairs of SBs to convene the forum at its 34th and 35th sessions. The joint forum of

SBI and SBSTA has been therefore established. The forum has met several times during

the second week of Bonn talks. First parties presented their views on impacts of

response measures and the scope and modalities of the work. Issues of international

trade, oil exports, impacts on tourism, were mentioned. Many parties asked for

streamlining the response measures issues form other agendas preferentially under the

forum, some other parties opposed streamlining arguing that RM have their place in all

bodies of the Convention. Work will continue in Durban with the aim to adopt

modalities of work of the forum. Submissions are invited from parties and observers by

19 September 2011 to be further considered at 354th session of SBs.

Document FCCC/SBI/2011/L.18

10. Development and transfer of technologies: 36 non Annex I Parties were assisted in

developing of Technology Needs Assessements (TNAs) and many requested update.

Document FCCC/SBI/2011/L.10

11. Capacity building under the Convention and under the Kyoto Protocol: Under the

Convention capacity building, Parties were unable to agree on the second

comprehensive review of the capacity building framework, and agreed to continue

consideration of the issue at SBI 35. Under the KP, no agreement had been reached, to

continue consideration of the issue at SBI 35.

12. Amendments to the Kyoto Protocol of procedures and mechanisms relating to

compliance: No agreement on this, matter to continue being considered at SBI 35.

13. Procedures, mechanisms and institutional arrangements for appeals against the

decision of the Executive Board of the Clean Development Mechanism (EB CDM):

The divergent views remain, in particular on the scope of the appeals procedure. Initial

draft text has been proposed, however, there is many options and bracketed text. Draft

will be further considered at SBI 35 with a view to submit it to CMP17 for adoption.

Document FCCC/SBI/2011/L.11

14. Arrangements for intergovernmental meetings: 19th COP should come from Eastern

European Group (possibly Hungary). Future sessional periods were decided as follows:

• For 2014: 4 - 15 June; and 3 - 14 December

• For 2015: 3 - 14 June; and 2 - 13 December

• For 2016: 18 - 29 May; and 30 November - 11 December

On the Observer organizations in the process, the need to engage broad range of

stakeholders was recognized, and agreed that the existing means of engagement could be

further enhanced (the issue on participation of observers in contact and informal groups

was deleted from the final version). Upcoming UNFCCC special event on observer

participation at COP 17 is planned. Possible elements for provisional agendas of

COP17/CMP7 were presented by the Executive Secretary for parties to consider in an

addendum to the document 6.

Document FCCC/SBI/2011/L.19, FCCC/SBI/6/Add.1

15. Administrative, financial and institutional matters: The SBI took note of the

financial statement and the status of contributions, and approved the programme budget for the

biennium 2012 - 2013 in the total sum of 48 511 181 EUR, and adopted indicative scale of

contributions of individual parties.

Document FCCC/SBI/2011/L.21.Add.1