Towards Enhanced Transparency in Non-Annex 1 Countries? Challenges and Options for Measurement and Reporting in Georgia

Abstract

This paper explores what the main challenges are for Georgia and other non-Annex 1 countries to meet the requirements under the Paris Agreement’s Enhanced Transparency Framework, and discusses what the options are for overcoming these challenges. The paper draws on primary data from Georgia’s energy sector and on case-based literature from various non-Annex 1 countries. The literature points to challenges such as insufficient budgets, low capacity, and inadequate institutional set-ups, and proposes increased financial and technical support and standardized guidelines for measurement and reporting as best options. Cases from South Caucasus and Georgia are rare. We therefore examine how Georgia’s current system for Measurement and Reporting is organized, and what the main technical-administrative challenges are for the sector to meet the transparency requirements as seen from key stakeholders’ and implementers’ perspectives. In addition to challenges similar to those identified in the literature, we find that the most fundamental challenge is a lack of domestic political motivation and support. The perceived complexity of the transparency requirements is a major deterrent in combination with the limited capacity to deal with it. We therefore focus our discussion on options for how to foster domestic political support, and argue that emphasizing existing and new co-benefits, including increasingly linking Measurement and Reporting to the carbon market, could be a way forward. Given the urgency of reducing emissions, we find that efforts towards reducing the complexity of the requirements, activities and tools for Measurement and Reporting (M&R) could help adapt the Enhanced Transparency Framework to the actual situation of non-Annex 1 countries and make Measurement and Reporting more worthwhile for these countries.

Practical Solutions for Addressing Challenges in National Reporting for the Enhanced Transparency Framework: Cases from Developing Countries in the Asia–Pacific Region

“…Existing literature points out that when developing countries are preparing their BUR(s) and NC(s), they often face various challenges and gaps, such as a lack of robust data, limited technical capacity and financial support, and insufficient institutional arrangements [10][11][12][13][14]. The UNFCCC technical reports found that when preparing the GHG inventory and mitigation action (MA) parts of national reporting, major challenges are a lack of technical capacity and experts, followed by difficulties with data collection processes including data-sharing systems, as well as a lack of coordination across the agencies and ministries involved in reporting [15][16][17][18][19][20][21].…”

“…The UNFCCC technical reports found that when preparing the GHG inventory and mitigation action (MA) parts of national reporting, major challenges are a lack of technical capacity and experts, followed by difficulties with data collection processes including data-sharing systems, as well as a lack of coordination across the agencies and ministries involved in reporting [15][16][17][18][19][20][21]. Studies also identified other issues faced by developing countries such as a shortage of practitioners with the necessary technical skills for developing reports, insufficient coordination between national and subnational governments, and a lack of qualified experts [10][11][12][13]22,23]. In this study, we focus on three common challenges faced by developing countries in preparing BUR(s).…”