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CDM - Clean Development Mechanism

The Kyoto Protocol includes the need for joint action between the industrialized and developing countries, to reduce emissions of greenhouse gases, allowing developing countries to take part in emission reduction initiatives, on a voluntary basis, through the Clean Development Mechanism (CDM). Thus developing countries can participate in international climate change activities since credits generated from greenhouse gas emission reduction activities in developing countries can be purchased by more industrialised countries in order to comply with their emission reduction target. At the same time CDM projects must deliver sustainable development impacts in the host country that go beyond pure emission reductions in order to support the recipient countries in improving their development patterns.

The link between this dual objective of the CDM is the generation of carbon credits (Certified Emission Reductions – CER) as a tradable commodity that is provided by the project activity in return for new revenue streams and support in kind in terms of transfer and diffusion of environmentally-friendly technologies.


Find out more about CDM from the SETatWork main website:

or view the CDM-related entries in the SETatWork database