Climate Cooperation China
On behalf of the International Climate Initiative (IKI)

The Track-2-Dialogue in 2022: Toward COP27

In the first weeks of the new year, the Track-2-Dialogue (T2D) working groups 1 to 4 dealt with the content-related and organisational re-orientation of their fields of work. A prime focus lay on the drafting and coordination of research proposals which will pave the way for cooperation between the Chinese and German researchers in 2022. The aim is to build on the discussions of 2021.

To this end, the individual working groups were debating topics such as green procurement & taxonomies (WG 1), emissions trading (WG 2), the use of green hydrogen for phasing down fossil fuels and coal phase-out/phase-down (WG 3) as well as the improved use of data and the use of satellite-driven emission data for GHG inventories (WG 4). The working groups intend to deliver contributions to important climate-relevant conferences such as the Petersberg Climate Dialogue in July and the 27th Conference of the Parties (COP27) in November 2022. Previously, the chairing institutes from Germany and China of the T2D, the Umwelt Bundesamt (UBA) and the National Center for Climate Change Strategy and International Cooperation (NCSC), met during the 26th Conference of the Parties (COP26) in Glasgow at the beginning of November and agreed to implement further research based on the policy recommendations from the T2D in 2021.

In a series of coordination meetings facilitated by the SGCCC Climate Partnership, Working Group 1 discussed potential topic areas for 2022. The representatives of both sides decided on the research topic of green government procurement and the financing of green infrastructure on the one hand, and the production and trade of green hydrogen on the other. The idea to focus on green government procurement is based on a proposal taking into account updated Chinese policies in this field. Furthermore, the financing of green infrastructure connects well with the WG’s research focus of 2022: Taxonomies. The topic of hydrogen was prioritized due to both partners’ interest in the geopolitical dimension of the developing international hydrogen market.

On 25 March, a meeting of Working Group 2 (on market-based mechanisms to incentivize greenhouse gas emissions reductions) was successfully held online with the support of the SGCCC ETS & N2O project. Twelve participants from the German Emissions Trading Authority (DEHSt) and the Chinese NCSC were present. On behalf of both sides, Mr MA Aimin, Deputy Director of NCSC, and Dr Jürgen LANDGREBE, Head of Department and DEHSt, delivered the opening speeches. This was followed by updates on national carbon markets and an exchange on practical experiences in implementing and evaluating emissions trading schemes. Furthermore, both sides discussed the working group’s work plan for 2022 and agreed to maintain the close exchange.

Credit: Unsplash

After an exchange on focal points and an organizational timeline for 2022, Working Group 3 chose to focus on energy consumption control and the strategical issues of the transition to a green hydrogen-based industry.

Working Group 4 – supported by the NDC Implementation project – announced to elaborate on the use of satellite data for the improvement of national GHG inventories. A second focal point will be the integration of these findings in official international inventory guidelines.

All four Working Groups will continue their preparation in the second quarter of 2022 and present their plans, as well as preliminary results, at the T2D Steering Group Meeting (SGM) which is planned to air at the end of May. The potential contribution of the T2D to international climate fora will be further prepared and discussed during the WGM. Persistent coordination issues remain regarding the inclusion of the Energy Foundation as another funding provider of the cooperation as well as the implications of the reshuffling of the German government on the project structure.

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