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UNITED NATIONS Distr. LIMITED 11 December 2007 ENGLISH ONLY AD HOC WORKING GROUP ON FURTHER COMMITMENTS FOR ANNEX I PARTIES UNDER THE KYOTO PROTOCOL Fourth session Vienna, 27 31 August 2007 and Bali, 3 11 December 2007 Agenda item 4 Review of work programme, methods of work and schedule of future sessions Review of work programme, methods of work and schedule of future sessions Draft conclusions proposed by the Chair 1. The Ad Hoc Working Group on Further Commitments for Annex I Parties under the Kyoto Protocol (AWG) recalled its programme of work contained in document FCCC/KP/AWG/2006/4 and took note of the views provided by Parties on the timetable to guide the completion of work. 1 2. The AWG reaffirmed that the completion of its work programme will be advanced primarily through the work of Parties, and that it will coordinate its work with and draw upon relevant results achieved and work under way in other bodies and processes under the Convention, especially its Kyoto Protocol, with a view to avoiding duplication. 3. [Option 1: The AWG also recalled that its work should be guided by a shared vision of the challenge set by the ultimate objective of the Convention based on the principles and other relevant provisions of the Convention and its Kyoto Protocol. In planning its further work, the AWG took particular account of paragraphs 18, 19, 20, 21 and 23 of the report of the first part of its fourth session. 2 ] [Option 2: The AWG also recalled that its work should be guided by a shared vision of the challenge set by the ultimate objective of the Convention based on the principles and other relevant provisions of the Convention and its Kyoto Protocol. It emphasized that the Fourth Assessment Report of the Intergovernmental Panel on Climate Change (IPCC) indicates that global emissions of greenhouse gases (GHGs) need to peak in the next 10 15 years and be reduced to very low levels, well below half of levels in 2000 by the middle of the twenty-first century, in order to stabilize their concentrations in the atmosphere at the lowest levels assessed by the IPCC to date in its scenarios which would require Annex I Parties as a group to reduce their emissions by 25 40 per cent below 1990 levels by 2020. In planning its further work, the AWG took into account the iterative approach to its work programme, including with respect to the indicative range of emission reductions for Annex I Parties, which provides useful initial parameters for the overall level of ambition of further emission reductions by Annex I 1 See documents FCCC/KP/AWG/2007/MISC.3 and FCCC/KP/AWG/2007/MISC.6 and Add.1. 2 See document FCCC/KP/AWG/2007/4. GE.07-71322

Page 2 Parties, and which it would review at future sessions in the light of information it would receive, including information on analysis of stabilization scenarios below 450 ppmv carbon dioxide eq.] 4. The AWG decided to hold the first part of its fifth session in March or April 2008 and to resume and conclude its fifth session during the first sessional period in June 2008. 5. The AWG decided to organize the work for its fifth session as follows: (a) At the first part of its fifth session, the AWG will initiate work on the tasks set out in paragraph 17 3 of its work programme (FCCC/KP/AWG/2006/4), and hold an in-session thematic workshop on these matters; In preparation for the first part of its fifth session, the AWG: organize the in-session workshop referred to in paragraph 5 (a) above and to facilitate the participation of relevant experts and organizations in this workshop; Reminded Parties and accredited observer organizations of its invitations 4 to submit, by 15 February 2008, their views and information on the means to achieve the mitigation objectives of Annex I Parties referred to in document FCCC/KP/AWG/2006/4, paragraph 17, and for Annex I Parties to include in their submissions information on the potential environmental, economic and social consequences, including spillover effects on all Parties, in particular developing country Parties, of available tools, policies, measures and methodologies available to Annex I Parties; Requested the secretariat to prepare, by March 2008, an information note on the provisions of the Kyoto Protocol and decisions by the Conference of the Parties serving as the meeting of the Parties to the Kyoto Protocol (CMP) relating to means that may be available to Annex I Parties to reach their emission reduction targets, including: emissions trading and the project-based mechanisms; rules to guide the treatment of land use, land-use change and forestry; and GHGs, sectors and source categories covered. At the resumed fifth session, the AWG will: Continue work on the tasks set out in paragraph 17 of its work programme, (FCCC/KP/AWG/2006/4), and conduct a round table on these matters; Initiate work on the tasks set out in paragraph 17 5 of its work programme, (FCCC/KP/AWG/2006/4), and hold an in-session workshop on these matters; 3 Analysis of means that may be available to Annex I Parties to reach their emission reduction targets, including: emissions trading and the project-based mechanisms under the Kyoto Protocol; the rules to guide the treatment of land use, land-use change and forestry; the GHGs, sectors and source categories to be covered, and possible approaches targeting sectoral emissions; and identification of ways to enhance the effectiveness of these means and their contribution to sustainable development. 4 See documents FCCC/KP/AWG/2007/2, paragraph 24 and FCCC/KP/AWG/2007/4, paragraph 24. 5 Consideration of relevant methodological issues, including the methodologies to be applied for estimating anthropogenic emissions and the global warming potentials of GHGs.

Page 3 (c) In preparation for the resumed part of its fifth session, the AWG: (iv) Invited Parties to submit to the secretariat, by 15 February 2007, their views on the topics to be covered by the round table referred to in paragraph 5 (c) above; organize the round table referred to in paragraph 5 (c) above, and to facilitate the participation of relevant experts and organizations in this roundtable; Also invited Parties to submit to the secretariat, by 21 March 2008, their views and information on methodological issues relevant to matters raised in paragraph 17 and of document FCCC/KP/AWG/2006/4; organize the in-session workshop referred to in paragraph 5 (c) above, and to facilitate the participation of relevant experts and organizations in this workshop. 6. The AWG decided to hold the first part of its sixth session in August or September 2008 and to resume and conclude its sixth session during the second sessional period in December 2008. 7. The AWG decided to organize its work for the sixth session as follows: (a) At the first part of its sixth session the AWG will: Initiate consideration of information on the potential environmental, economic and social consequences, including spillover effects on all Parties, in particular developing country Parties, of available tools, policies, measures and methodologies available to Annex I Parties; Adopt conclusions on the tasks set out in paragraph 17 and of its work programme (FCCC/KP/AWG/2006/4); In preparation for the first part of its sixth session, the AWG requested the secretariat, under the guidance of the Chair of the AWG, to: Compile and synthesize, by July 2008, the submissions referred to in paragraph 5 (d) above and the material presented at, as well as the outcomes from, the round table referred to in paragraph 5 (c) above; Prepare, by July 2008, a technical paper, with the participation of relevant experts and organizations, including from developing countries, on matters related to the tasks set out in paragraph 17 and of its work programme (FCCC/KP/AWG/2006/4); (c) At its resumed sixth session, the AWG will: Continue and adopt conclusions on its consideration of information on the potential environmental, economic and social consequences, including spillover effects on all Parties, in particular developing country Parties, of available tools, policies, measures and methodologies available to Annex I Parties;

Page 4 [(iv) Revert to and adopt conclusions on the tasks set out in paragraph 17 (a) 6 and, 7 of its work programme (FCCC/KP/AWG/2006/4), and hold an in-session workshop on these matters; Consider its programme of work and decide on activities to be undertaken during 2009; Initiate consideration of the scale of emission reductions to be achieved by Annex I Parties in aggregate;] (d) In preparation for the resumed part of its sixth session, the AWG: Invited Annex I Parties to submit to the secretariat, by 5 September 2008, additional and updated available information and data related to the tasks set out in paragraph 17 (a) and of its work programme (FCCC/KP/AWG/2006/4), [and on the scale of emission reductions to be achieved by Annex I Parties in aggregate]; (iv) Invited Parties to submit to the secretariat, by 3 October 2008, their views on further activities to be undertaken during 2009, in accordance with the work programme of the AWG; update, by October 2008, the technical paper contained in document FCCC/TP/2007/1, with the participation of relevant experts and organizations; Further requested the secretariat, under the guidance of the Chair of the AWG, to organize the in-session workshop referred to in paragraph 7 (c) above, and to facilitate the participation of relevant experts and organizations in this workshop. [8. The AWG agreed that its seventh and eighth sessions will be held and concluded in 2009. At these sessions, the AWG will [aim to]: (a) (c) Adopt conclusions on the tasks set out in paragraph 17 (c) 8 of its work programme (FCCC/KP/AWG/2006/4); Adopt conclusions on the legal implications arising from the work of the AWG pursuant to Article 3, paragraph 9, of the Kyoto Protocol; Forward relevant draft decisions on further commitments for Annex I Parties under the Kyoto Protocol for adoption by the CMP at its fifth session.] 6 Analysis of the mitigation potential, effectiveness, efficiency, costs and benefits of current and future policies, measures and technologies at the disposal of Annex I Parties, appropriate in different national circumstances, taking into account their environmental, economic and social consequences, their sectoral dimensions, and the international context in which they are deployed. 7 Identification of possible ranges of emission reductions by Annex I Parties, through their domestic and international efforts, and analysis of their contribution to the ultimate objective of the Convention, ensuring due attention to the issues mentioned in the second sentence of Article 2 of the Convention. 8 Consideration of the scale of emission reductions to be achieved by Annex I Parties in aggregate and of the allocation of the corresponding mitigation effort, and agreement on their further commitments, including new quantitative emission limitation or reduction commitments, and on the duration of the commitment period(s), taking into account the analyses described in paragraph 17 (a) and (FCCC/KP/AWG/2006/4).

Page 5 9. In preparation for the resumed part of its seventh and eighth sessions, the AWG invited Parties to submit to the secretariat, by 15 February 2009, their views on: (a) Legal implications arising from the work of the AWG pursuant to Article 3, paragraph 9, of the Kyoto Protocol; The scale of emission reductions to be achieved by Annex I Parties in aggregate and on options for the allocation of the corresponding mitigation effort and their contribution to the global effort to reach the ultimate objective of the Convention. [10. The AWG requested the secretariat to schedule all meetings under the AWG, to the extent possible, in conjunction with other UNFCCC meetings with a view to ensuring an efficient use of resources.] 11. The AWG noted that its requests to the secretariat, as specified in paragraphs 5, 5, 5 (d), 5 (d) (iv), 7, 7 (d) and 7 (d) (iv) above, as well as the scheduling of additional sessions (see paragraphs 4 and 6 above), are additional and subject to the availability of supplementary funding. The secretariat informed Parties of supplementary funding requirements. 12. An overview of activities of the AWG is provided in the annex.

Page 6 Annex Date/session Activity Ref. para. in the text 15 February 2008 Submission: information and views on the means to achieve 5 mitigation objectives, including information on the potential environmental, economic and social consequences and spillover effects. 15 February 2008 Submissions on the topics to be covered by the roundtable. 5 (d) March 2008 Information note by the secretariat on the provisions of the Protocol 5 and decisions of the CMP relating to the means. 21 March 2008 Submissions on relevant methodological issues. 5 (d) AWG 5.1 March/April 2008 Initiate work on para. 17 of FCCC/KP/AWG/2006/4 (means). In-session thematic workshop on the analysis of means. 5 (a) 5 (a), 5 Continue work on para. 17 of FCCC/KP/AWG/2006/4 5 (c) (means). AWG 5.2 2 13 June 2008 Round table on ways to enhance means. Initiate work on para. 17 of FCCC/KP/AWG/2006/4 (methodological issues). 5 (c), 5 (d) 5 (c) July 2008 July 2008 AWG 6.1 Aug/Sept 2008 AWG 6.2 1 12 December 2008 In-session workshop on relevant methodological issues. Secretariat to compile and synthetize submissions on methodological issues and material and outcomes from the workshop. Secretariat to prepare a technical paper on matters related to paragraphs 17 and of document FCCC/KP/AWG/2006/4. Initiate consideration of potential environmental, economic and social consequences, including spillover effects. 5 (c), 5 (d)(iv) 7 7 7 (a) Adopt conclusions on on para. 17 and of 7 (a) FCCC/KP/AWG/2006/4 (means). 5 September Submissions by Annex I Parties on additional and updated 7 (d) 2008 information on paragraphs 17(a) and [and on the scale of emission reductions]. 3 October 2008 Submissions on further activities for 2009. 7 (d) October 2008 Update of technical paper on factors and indicators for the mitigation 7 (d) potential. Continue and adopt conclusions on its consideration of potential 7 (c) environmental, economic and social consequences, including spillover effects. Revert to and adopt conclusions on para. 17 (a) and of FCCC/KP/AWG/2006/4 (mitigation potential and ranges). 7 (c) In-session workshop on mitigation potential. Consider work programme for 2009. 7 (c), 7 (d)(iv) 7 (c)

Page 7 Date/session Activity Ref. para. in the text [Initiate consideration of the scale of emission reductions to be 7 (c)(iv)] achieved by Annex I Parties. 15 February 2009 Submissions on legal implications. 9 (a) 15 February 2009 Submissions on the scale of emission reductions to be achieved by Annex I Parties. 9 [AWG 7 and 8 (2009) Adopt conclusions on para. 17 (c) of FCCC/KP/AWG/2006/4 (further commitments by Annex I Parties). Adopt conclusions on the legal implications arising from the work of the AWG. Forward relevant draft decisions on further commitments to the CMP at its fifth session. 8 (a) 8 8 (c)] - - - - -