The document discusses three pillars of climate change governance: governments, institutions, and markets. It states that when one pillar fails, the others can compensate and the system aims to self-correct over time through evolution. However, the document also notes there are consistent failures in governance due to issues with participation, sophistication, representation, credibility, transparency, and pricing mechanisms in these pillars. Specific examples of market failures in India's power, steel, and cement industries are provided. The steps for developing a clean development mechanism project are outlined, taking around 700 days from registration to issuance of credits.

1. Climate Change Governance
Three pillars
a.Governments
b.Institutions
c.Markets
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2. Climate Change Governance
• When one fails other compensates
• When one fails it either self corrects and
evolves with new attributes. Or depends on
the other for a change.
• The cycle should repeat it self.
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3. Why we (consistently) Fail
Institutional Failure
 Participation
 Sophistication / Time
 Blame? Democracy? Inclusively?
 Inequalities
 Me first attitude!
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4. Why we (consistently) Fail
Government Failure
 Implementation
Timely & Suitable policy intervention
 Representation
 Credibility
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5. Why we (consistently) Fail
Market Failure
Transparency
 Uniform trading platform / exchange
 Pricing
 Demand for Credits
For E.g. Currently 60 % emissions of India is from
Power, Steel, Aluminum, Cement, Paper &
Fertilizers 5

6. Steps is CDM
Inspiration – Visit various URLs / Consultants - Search for Buyer / Partner -
Cost & Benefit Analysis - Proceed with the following
For Example 700 days from CDM registration to first CER issuance. 600
days from PIN to Registration. Average CER Spot Price is 12 Euros
PIN / PCN & PDD Development Project Developers / Consultant
Host Country Approval GOI / MOEF i.e. DNA
Validation DOE
Registration CDM EB
Implementation Project Developers
Monitoring Project Developer + DOE
Verification DOE
Certification CDM EB
Issuance of CERs CDM EB
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