Parties to the United Nations Framework Convention on Climate Change (UNFCCC) have decided to establish a new market-based mechanism (NMM) to promote mitigation across broad segments of developing countries' economies. By now, they have defined only some broad outlines of how it is to function. In the article "Developing a sectoral new market mechanism: insights from theoretical analysis and country showcases" Wolfgang Sterk, Hans Bolscher, Jeroen van der Laan, Jelmer Hoogzaad and Jos Sijm identify key design options for the NNM based on a survey of the literature and review them against a range of assessment criteria. The authors conclude, that lack of data and of institutions that could manage the NNM in the developing countries are key bottlenecks.
The article is published in the journal "Climate Policy". It is available with costs at the Taylor & Francis website.