Why Article 6 is a powerful tool for India, Pg7

Key Highlights:

• At COP29, Article 6 of the Paris Agreement became fully operational, enhancing climate finance delivery and efficiency.
• 89 cooperation arrangements exist under Article 6.2 across 58 Parties, indicating growing carbon market collaborations.
• In August 2025, India entered carbon markets by signing the Joint Crediting Mechanism (JCM), operationalizing Article 6.2.
• India has identified 13 eligible activities for Article 6.2 and 6.4, focusing on high-end technologies aligning with climate and development goals.

Detailed Insights:

• Article 6 partnerships can facilitate advanced tech transfer, support R&D, strengthen bilateral relations, and channel climate finance into India.
• The JCM partnership with Japan exemplifies how countries can cooperate, transferring emission reductions while ensuring rigorous accounting.
• India's identified activities include renewable energy with storage, green hydrogen, sustainable aviation fuel, and high-end energy-efficiency technologies.
• To fully leverage Article 6, India needs to strengthen its domestic framework, streamline project clearances, and build a removals market.
• A steering committee at the Cabinet level could offer guidelines and regularly assess Article 6 project progress.
• India can lead in building shared systems and knowledge networks across developing countries through South-South collaboration.
• The focus on emerging solutions like offshore wind, energy storage, and green hydrogen can diversify India's energy mix and lower emissions.

Key Concepts Involved:

• Article 6: A mechanism within the Paris Agreement allowing countries to cooperate in achieving their climate goals through carbon markets.
• Joint Crediting Mechanism (JCM): A bilateral offset crediting mechanism facilitating technology transfer and emission reductions.
• Carbon Credits: Tradable permits representing the removal or reduction of one tonne of carbon dioxide equivalent.