CARBON PRICING AND ARGENTINA’S CLIMATE

POLICY

Soledad AguilarClimate Change National Director

saguilar@ambiente.gob.ar

Overview of Argentina’s climate policy development

Working structure of National Cabinet on Climate Change

Structure of NCCC

Ministry meetings

Focal Point Meetings

Thematic Roundtables

COFEMA Meetings

Broad Cabinet Meeting

Thematic Roundtables

Sectoral meetings Transversal meetings

Energy efficiency

Renewable energy

Agriculture and

Livestock

Forests

Production

Transport

Infrastructure

Education, Culture and

Information

Climate Finance and

Carbon pricing

Risk management and

emergency

Argentina’s GHG Emissions Inventory and Revised NDC

Revised NDC

Absolute target

Energy 77Transport

5.9

Forests27

Industry 6.4

Avoided emissions (MtCO2eq) by sector

2017-2018 Climate Change Sectorial Action Plans

Mitigation and adaptation measures

under development

2030

77MtCO2eq.

2017-2018 Climate Change Sectorial Action Plans

Mitigation and adaptation measures

under development

2030

5.9MtCO2eq.

URBAN MOBILITY

39.6 %

FREIGHT

59.6%

INTERCITY MOBILITY

0.8%

Partnership for Market Readiness (PMR) - Argentina

Gradual introduction of carbon prices with neutral fiscal or sectorial impact

Design of tradable certificate schemes for:

• Renewable energies (to meet or exceed the goal of 20%) • Energy efficiency (to define goals) • The transport sector (% low carbon fleet)

Studies to improve the impact of Argentina´s Carbon Tax

Instruments to Implement Mitigation Measures: Options for Carbon Pricing

Carbon Tax• Analysis of impacts of existing carbon tax

program and potential extensions

RECs• Analysis to support decision on REC

• Definition of scope and target for REC scheme

• Design of REC scheme, including institutional,

regulatory and technical infrastructure and MRV

• Design of pilot for REC scheme

EECs• Analysis to support decision on EEC

• Definition of scope and target for EEC scheme

• Design of EEC scheme, including institutional,

regulatory and technical infrastructure and MRV

• Design of pilot for EEC scheme

Transport• Mapping, assessment and prioritization of

potentials CPIs for transport sector

Thank you

Carbon Pricing Instruments (CPIs) Implementation

(World Bank, 2018)

CPIs generate economic incentives forcompanies with cleaner technologies

Potential to contribute to the mitigation ofclimate change.

Economic instruments:• Carbon taxes• Certificates schemes• Subsidies for low carbon technologies

Strategy of the National Cabinet on Climate Change

National Climate Change Strategy and Sectorial Plans

Instruments for implementation Implementation and Monitoring

Climate Change Sectorial Plans

(Low Emission Capacity Building

Program –LECB)

Forests and Climate Change Sectorial

Plan

(UN-REDD Program)

Infrastructure and Climate Change

Sectorial Plan

(NDC Invest)

National Adaptation Plan + Climate

Finance Portfolio

(Green Climate Fund)

Economic Instruments

(Partnership for Market Readiness)

Financial Instruments for Forests

(Forest Carbon Partnership Facility)

National Communication & BUR

Monitoring & Transparency

Capacity Building Initiative for

Transparency

Regional Project

(Adaptation Fund)

Ozone Program

(UNDP – UNIDO)

NDC Revision

2020