Carbon markets are currently booming around the world. Many countries are developing domestic carbon market mechanisms as emerging carbon markets, and the other existing carbon markets are looking toward regional linkage of the markets. The UNFCCC plans to reach the new 2015 agreement to enter into force in 2020, including how to link different market mechanisms. Taiwan is also taking proactive measures to reduce greenhouse gas emissions. The purpose of the project is to assist Taiwan EPA to promote linkage with global carbon markets, in order make the domestic scheme more complete, with the expectation to allow Taiwan meet its emissions target in a cost-effective way. This project has five main objects, including: (1) Researching the development of the global carbon market and draw up practicable response strategies; (2) Following the developments of the new 2015 agreement and new market mechanisms under the UNFCCC and developing feasible strategies for carbon market linkage; (3) Building the communication channels with the major governments and important organizations in global carbon market; (4) Improving the understanding of the carbon market mechanism for domestic industries and promoting the capacity building of the domestic carbon market; and (5) Progress report and on-site staff arrangement. The outputs of the project are described as follows. The project studied the latest development of carbon markets worldwide and provided Taiwan EPA with a global carbon market report every month. The project followed the latest negotiations of market mechanisms under the UNFCCC. The project also studied the linkage of carbon markets worldwide and has provided seven potential models for domestic carbon market to link with global carbon markets. The project followed the research and the meetings of the important carbon market organizations and has assigned four staff to attend the carbon market conferences and visit the climate change organizations in the Europe and the United States. In addition, the project has invited IETA with a “Letter of Intent” for further cooperation. The project has also hosted two carbon market workshops and five consultation meetings, collecting the suggestions from the industries. The project has assigned one staff in Taiwan EPA to assist with project execution.

International Carbon Market, New UN Climate Agreement, International Linkage