Climate policy and carbon markets - your most important questions answered

Our FAQs offer companies a compact introduction to climate protection. Find out how international agreements and climate conferences shape climate policy, which standards climate protection projects fulfil and how companies contribute to the SDGs. Practical answers also show you why it makes sense to support climate protection projects and which legal and regulatory framework conditions you should be aware of.

What happens at COP29 and other UNFCCC climate conferences?

At a UNFCCC climate conference, politicians from many different countries come together to work out solutions and reach agreements to limit the increase in global warming. In 1992, the first UNFCCC environmental summit conference took place in Rio de Janeiro, Brazil, with the participation of the member states of the United Nations. The first Climate Change Conference (COP 1) was held in Berlin, Germany, in 1995.

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What is the Paris Climate Agreement?

At the COP21 climate conference in Paris in 2015, the “Paris Climate Agreement” – also known as the “Paris Treaty” or the “Paris Agreement” – was adopted. There were 197 signatories to the agreement, with almost all of them ratifying the treaty. The agreement is a legally binding international treaty that forms part of the United Nations Framework Convention on Climate Change (UNFCCC). Its aim is to limit global warming, preferably to 1.5°C and significantly below 2°C, compared to the pre-industrial level of 1850.

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What is the Kyoto Protocol?

On 11 December, 1997, in Kyoto, Japan, the additional protocol to the organisation of the United Nations Framework Convention on Climate Change (UNFCCC) was adopted. The aim was to slow down climate change by means of climate protection measures. The Kyoto Protocol included clear regulations on how greenhouse gases were to be reduced. It came into force in 2005 and was replaced by the Paris Agreement in 2021.

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What was Decided at the Climate Change Conference in Glasgow?

The 26th UN Climate Change Conference (COP26) took place from 31 October to 12 November 2021, in Glasgow, Scotland. As at the previous Climate Change COPs, the focus was on limiting global warming and the measures needed to do so. These emission reduction certificates (Certified Emission Reductions, CERs) can be traded and transferred on international carbon markets.

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What is bilateral climate protection?

In 2020, the Paris Agreement replaced the Kyoto Protocol. In the process, the framework conditions for the international carbon markets underwent change. “Paris” now allows parties to the agreement to cooperate directly with one another. This means that CO₂ reductions can be realised in one country, while the certificates for these reductions are transferred to another country and accounted for in that country’s national register.

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What is beyond value chain mitigation (BVCM)?

Beyond value chain mitigation (BVCM) is a key concept in the battle against the climate crisis. It covers measures that companies undertake to reduce the impact of climate change beyond their own value chains, in particular through climate protection projects. These can be high-quality, certified and measurable climate protection projects that have additional benefits for local people and biodiversity, or transformational activities that drive innovation, advocacy, education and behavioural change. BVCM complements a company’s own emissions reduction efforts and is a critical lever for reaching the climate targets set by the Paris Agreement.

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Why Should Companies Support Climate Protection Projects? 10 Good Reasons

The market and the public have their doubts: should we be supporting climate protection projects? myclimate responds: yes, absolutely, and sooner rather than later. Here, myclimate offers ten reasons why climate protection projects are important.

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Stricter rules for green claims and environment-related advertising in the EU. What’s changing?

What on Earth are Greenwashing, Greenwishing, Greenhushing and Bluewashing?

Greenwashing, greenwishing, or even greenhushing? And what’s the difference between greenwashing and bluewashing? These days, discussions about climate protection are peppered with a myriad of buzzwords that complicate the debate. These FAQs provide a clear overview of the concepts and explain how to make sustainability communication credible.

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What are the 17 Sustainable Development Goals (SDGs)?

The Sustainable Development Goals (SDGs) are common, universal goals for member states of the United Nations to transform the world into a fairer, more prosperous and peaceful society until 2030. They were adopted in September 2015 as successors to the Millennium Goals.

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How does myclimate measure contributions to the SDGs?

When planning and designing climate protection projects, myclimate places a special focus on achieving positive impacts that extend beyond reducing greenhouse gas emissions. These impacts help improve the ecological, social, and economic conditions in the countries where we operate. To assess these diverse benefits, we measure them against the Sustainable Development Goals (SDGs).

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What standards do our climate protection projects meet?

myclimate applies only the strictest independent quality standards when choosing and designing its own climate protection projects. International projects are primarily certified according to Gold Standard and Plan Vivo, and selected projects also according to VCS (incl. CCB and/or SD-VISta) or CSI. Domestic projects are verified according to the "myclimate Guidelines for Domestic Projects" or according to the standards in the respective countries.

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What is the CO₂ Act and How Does it Relate to Switzerland’s Climate Targets?

After the revised Swiss CO₂ Act was narrowly rejected on 13 June 2021, the current CO₂ Act was extended until the end of 2024. The National Council and the Council of States then agreed on a revised version, which came into force on 1 January 2025. The CO2 Ordinance, published on 2 April, implements the CO2 Act and thus the climate policy instruments in practice. This newly revised CO₂ Act will shape Swiss climate policy until the end of 2030, with the aim of cutting greenhouse gas emissions in half (compared to 1990 levels) by then, a Paris Climate Agreement commitment.

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What is emissions trading?

In Europe, North America, Australia and New Zeeland, national and regional emissions trading systems have been introduced to regulate industries that are particularly energy-intensive and emissions-intensive through a market mechanism. Emissions trading employs a marketplace to reduce emissions of harmful gases, which creates motivation for investing in climate-friendly technologies.

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What does Decarbonisation mean?

Greenhouse gas emissions produced by people and the resulting global temperature increase are a key cause of climate change. Through decarbonisation – the switch from fossil fuels to carbon-free and renewable energy sources – states and companies worldwide want to reduce and avoid CO2 emissions. However, current global climate targets are still not ambitious enough to effectively stem climate change.

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Birte Rinas

Team Leader Corporate Communication

+41 44 500 43 50

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