Benefits of the Clean Development Mechanism
The Clean Development Mechanism (CDM) was designed to meet two objectives, namely to help Annex I Parties to cost-effectively meet part of their emission reduction targets under the Kyoto Protocol and to assist non-Annex I Parties in achieving sustainable development. While CDM projects create certified emission reductions (CERs) that project participants can sell to Annex I Parties to help them meet their Kyoto Protocol targets, they can also provide complementary benefits to non-Annex I Parties such as new investment, the transfer of climate-friendly technologies and knowledge, the improvement of livelihoods and skills, job creation and increased economic activity. United Nations Climate Change Secretariat has analysed aspects of CDM project activities and reported on the levels and types of benefits the CDM has provided. Expanding on the study in 2011, this report analyses approximately 4,000 registered CDM projects (excluding programmes of activities) according to four topics: sustainable development, technology transfer, finance and regional distribution.