UPSC Prelims 2008 Q96: Environment & Ecology – Climate Change & Greenhouse Gases
Consider the following statements:
1. Clean Development Mechanism (CDM) in respect of carbon credits is one of the Kyoto Protocol
Mechanisms.
2. Under the CDM, the projects handled pertain only to the Annex - I countries.
Which of the statements given above is/are correct?
- (a) 1 only
- (b) 2 only
- (c) Both 1 and 2
- (d) Neither 1 nor 2
Answer: (a) 1 only
Explanation
Checking two claims about the Clean Development Mechanism
The CDM, a Kyoto Protocol tool, has specific rules about which countries can host its projects.
| Statement | Verdict | Reason |
|---|---|---|
| 1. CDM is one of the Kyoto Protocol Mechanisms | Correct | The Clean Development Mechanism is indeed one of the flexible mechanisms established under the Kyoto Protocol |
| 2. CDM projects pertain only to Annex-I countries | Incorrect | CDM projects are actually hosted in developing (non-Annex-I) countries, with Annex-I (developed) countries providing the funding/investment — the statement reverses this relationship |
Correcting the second claim:
| Point | Detail |
|---|---|
| CDM project hosts | Non-Annex-I (developing) countries |
| CDM funders | Annex-I (developed) countries |
Answer: (a) 1 only.
Why each option is right or wrong
- (a) CORRECT. The CDM's status as a Kyoto Protocol mechanism is accurate; the Annex-I-only claim reverses the actual host-funder relationship.
- (b) Incorrect. Statement 2's Annex-I-only claim is reversed/wrong, so '2 only' is incorrect.
- (c) Incorrect. Statement 2 is inaccurate, so 'both' cannot be correct.
- (d) Incorrect. Statement 1 is accurate, so 'neither' is wrong.
Key point
The CDM is indeed a Kyoto Protocol mechanism — but its PROJECTS are hosted in developing (non-Annex-I) countries, while Annex-I (developed) countries provide the FUNDING; the statement reverses this relationship.
Remember
CDM is a Kyoto Protocol mechanism — but its projects are hosted in developing countries, NOT limited to Annex-I (developed) countries.
Common mistakes
- Reversing the host-funder relationship between Annex-I and non-Annex-I countries under the CDM.
- Not knowing the CDM's basic purpose: channeling developed-country investment into developing-country emission-reduction projects.
- Confusing 'projects pertain to' with 'funded by' in the CDM's structure.
Exam tip
CDM: projects are hosted in developing (non-Annex-I) countries, funded by developed (Annex-I) countries — not the reverse.
Sources
- United Nations — Kyoto Protocol to the United Nations Framework Convention on Climate Change (1997), Article 12 (Clean Development Mechanism)
- UNFCCC — Clean Development Mechanism: Modalities and Procedures (Marrakesh Accords, 2001)