How the Kyoto Protocol Works
The Kyoto Protocol aims to reduce global greenhouse gas emissions by requiring developed country Parties to meet internationally agreed emission reduction or limitation targets for the period 2008 to 2012 – referred to as the first commitment period.
Australia’s target is to limit greenhouse gas emissions over the first commitment period to 108 per cent of the levels they were in 1990. That means our emissions need to be just eight per cent more than they were 19 years ago.
The allowable level of emissions for Kyoto Protocol Parties that have emission reduction or limitation targets is referred to as their ‘assigned amount’.
Australia’s assigned amount is calculated as follows:
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Base year emissions (our base year is 1990) x emissions target (our target is 108 per cent) x the number of years in the first commitment period (5 years).
Under the Kyoto Protocol, countries are allocated Kyoto units called assigned amount units (AAUs) on the basis of their initial assigned amount, where each AAU signifies an allowance to emit one tonne of carbon dioxide equivalent. Australia’s initial assigned amount, and the method by which it is calculated, is set out in Australia’s Initial Report under the Kyoto Protocol.
Formal notification for Australia to issue 2,957,579,143 AAUs was received from the international transaction log on 14 July 2009.
The Kyoto Protocol also allows for countries to create and acquire Kyoto units from other countries via three flexibility mechanisms:
These mechanisms are based on the principle that the benefit to the climate of reducing greenhouse gas emissions is the same regardless of where they are reduced. The cost of taking action will vary from place to place, so the Kyoto Protocol enables the global community to reduce emissions where it is the most cost effective.
Under the Kyoto Protocol, Australia must retire a Kyoto unit for every tonne of emissions it produces in the first commitment period. The units will be held and retired in a national registry. Read more about the Australian National Registry of Emissions Units and how it works.
Australia is also required to take on a range of monitoring and reporting commitments, which are designed to ensure we remain on track to meet our obligations. For example, countries that have ratified the Kyoto Protocol are required to submit an ‘Initial Report under the Kyoto Protocol’ within 12 months of their ratification coming into effect. Australia submitted its report on 11 March 2008.
The following table lists key milestones for the Kyoto Protocol.
| Event | Timeline | Related Documents |
|---|
| First commitment period ends |
2012 |
Kyoto Protocol |
| UNFCCC negotiations in Copenhagen |
December 2009 |
UNFCCC |
| UNFCCC negotiations in Bali |
December 2007 |
UNFCCC in Bali |
Contacts
For all enquiries regarding the registry and accounts under the Kyoto Protocol, please email registry-contact@climatechange.gov.au.