Joint Implementation (JOC) is one of three flexibility mechanisms defined in the Kyoto Protocol to help countries with binding greenhouse gas emission targets (Annex I countries) meet their contractual obligations.  In accordance with Article 6, any Annex I country may invest as an alternative to reducing domestic emissions in a project to reduce greenhouse gas emissions in any other Schedule I country (known as the “joint implementation project”). In this way, countries will be able to reduce the cost of achieving their Kyoto targets by investing in projects where emissions reductions could be less costly and by applying the emission reduction units (ErUs) that result in their commitment target. This chapter provides an overview of the Clean Development Mechanism (CDM) resulting from the Kyoto Protocol. The Kyoto Protocol aims to create an institutional platform for cooperation between nations on climate change mitigation. Three mechanisms – the so-called flexible mechanisms – are in place: Emissions Trading (ET), Joint Implementation (MOC) and the CDM. The CDM offers developing countries the opportunity to participate in projects to reduce real or expected greenhouse gas emissions. The two general requirements of CDM projects are to contribute to both the reduction of emissions under a baseline or a pre-defined scenario, as well as sustainable development, in accordance with the priorities and strategies defined by the host country. The underlying indicates the evolution of expected emissions in the absence of the project. Emissions reductions must be measurable and measurable and improve the baseline.
Several CDM projects are currently being implemented in developing countries. This contributes to the development of methods for defining basic plans and determining effective emission reductions. The CDM can be a bridge to enhanced cooperation between developed and developing countries to reallocate energy systems to sustainable and renewable systems. This mechanism can be used to promote renewable energy and energy efficiency technologies, reduce costs and risks, and direct investment to developing countries. As a Contracting Party of Schedule I, Russia can host JAI projects conducted jointly with other Annex I contracting parties. Russia has taken the necessary steps to meet the implementation requirements of MOC projects under the “Track 1″ procedure, i.e. the national MOC authorization as opposed to international authorisation (Gutbrod et al., 2010), and is the second largest generator of emission reduction units. First, it ratified the Kyoto Protocol on 4 November 2004, following a long and controversial process. Second, it calculated its allocation in 2007. In the same year, an inventory of GHGs and a national registry were set up.
Russia also submits annual reports to the UNFCCC secretariat on its inventory and the calculation of the amount allocated (UNFCCC, 2010). In addition, after considerable delay (Firsova and Taplin, 2008), Russia adopted a national regulation for the implementation of the JAI projects – a regulation that the government has amended several times. Joint implementation in the modes of transport defined by the Kyoto Protocol will serve as an important driver for bioenergy projects in the region over the next few years; International trade in climate-related products will develop in the form of an emissions trading system, joint implementation and a clean development mechanism. The challenge is to find ways to use the so-called climate bonus to promote the know-how, production and use of bioenergy. The Kyoto Protocol provides for three market-based mechanisms to facilitate the achievement of emission reduction targets in countries and hence for local companies and entities: unlike the clean development mechanism, the MOC has raised fewer concerns about false emissions reductions, with the MOC project taking place in a country that has committed to reducingUncategorized