Dialogue on Nationally determined contributions (NDCs) Accounting Between Canada and Chile in the Context of an Internationally Transferred Mitigation Outcome (ITMO)

In 2018, the governments of Canada and Chile initiated a bilateral discussion to explore considerations on Internationally Transferred Mitigation Outcomes (ITMOs) under Article 6 of the Paris Agreement.   Econoler was mandated to carry out an assignment aimed at structuring a dialogue between Chile and Canada to explore issues related to Nationally Determined Contribution (NDC) accounting in the implementation of a cooperative approach under Article 6.2 of the Paris Agreement. The key issue related to the corresponding and required adjustments especially in a context in which Canada and Chile expressed their NDC targets differently.

To structure the dialogue on NDC accounting, Econoler developed an Expert Brief and facilitated four meetings between representatives of the Chilean and Canadian governments.   The Expert Brief presents an analysis of NDC accounting issues relevant for structuring an ITMO transfer between Canada and Chile, such as methods, principles, timing, triggers, etc. The Brief was aimed at framing and guiding the facilitated dialogue between the two countries. The exchange enabled both country representatives to develop a common understanding of the issues at stake and of the provisions that would guide NDC accounting in the context of an eventual future transfer of ITMOs.