The first review of the adequacy of Article 4.2(a) and (b) was undertaken at COP-1. After judging these commitments inadequate, COP-1 undertook the Berlin Mandate process. Article 4.2(d) calls for a second review before 1999. SBI-6 requested the Secretariat to make preparations for COP-3 to include the review in the agenda for COP-4. The COP took several other actions during the week. Several documents were noted: activities related to technical and financial support (FCCC/CP/1997/INF.3); a report on the second meeting of AGBM-8 (FCCC/AGBM/1997/8/Add.1); and administrative and financial matters (FCCC/CP/1997/INF.1), including the 1998-99 biennial programme budget.

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The RUSSIAN FEDERATION presented a proposal on Article 3 (QELROs). The proposal stated that Parties included in Annex I shall ensure that their collective net aggregate anthropogenic carbon dioxide equivalent emissions of the GHGs listed in Annex A, expressed in terms of an emissions budget, as tonnes of carbon dioxide equivalents, inscribed in Attachment I, do not exceed [__] tonnes. The text also stated that each Party included in Annex I shall ensure that its net aggregate anthropogenic carbon dioxide emissions of the GHGs listed in Annex A do not exceed its commitments, expressed in terms of emissions budgets, inscribed in Attachment I. The text proposed that commitments for each Party included in Annex I shall be established using the process set out in Annex B and shall be inscribed in Attachment I. The first meeting of the COW convened on 1 December. The COW established three negotiating groups on: institutions and mechanisms; advancing the implementation of FCCC Article 4.1 and the financial mechanism; and P&Ms. COW Chair Ral Estrada Oyuela conducted negotiations on QELROs. In addition, a number of informal groups considered other issues. At AGBM-3, held in Geneva from 5-8 March 1996, delegates heard a number of specific proposals on new commitments for Annex I Parties, including a two-phase CO2 emissions reduction target proposed by Germany. They also discussed how Annex I countries might distribute or share new commitments, and whether those should take the form of an amendment or protocol. Delegates agreed to compile proposals for new commitments for consideration at AGBM-4, and to hold informal roundtable discussions on policies and measures as well as on QELROs.

A BRIEF ANALYSIS OF COP-3

Delegates spent a considerable portion of the final debate on Article 3 debating newly inserted paragraphs in the Chair's text related to emissions trading. Delegates agreed to place the text to a separate article (see Article 16 bis) of the protocol and including a reference to future work on trading in a COP decision.

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On 3 December, delegates considered proposed amendments to the Convention and its Annexes (FCCC/SBI/1997/15). The EU presented a proposal to amend Article 17 to state that Parties shall make every effort to agree on any proposed protocol by consensus and, if no agreement is reached, the protocol shall be adopted by a 3/4 majority. This amendment would be applied provisionally, pending its entry into force in accordance with Article 15. The EU said objections to the protocol might remain at the end of COP-3 and a decision-making procedure would be needed. The RUSSIAN FEDERATION emphasized that voting was not the way to adopt an important international instrument. VENEZUELA said the amendment and its provisional application must be considered separately.One of the paragraphs determines that the Meeting of the Parties shall regularly review and, as appropriate, revise such methodologies and adjustments, based on the work of the IPCC and SBSTA. Any revision to methodologies or adjustments shall be used only for the purposes of ascertaining compliance with commitments under Article 3 in respect of any commitment period adopted subsequent to that revision. Paragraphs 5 and 6 indicate that in the event of failure by the Parties to reach such an agreement to achieve their combined level of emissions reductions, each Party to such an agreement shall be responsible for its own level of emissions. NEW ZEALAND described Option C as very limited and noted his support for including all verifiable categories. A number of countries including JAPAN, BARBADOS, BRAZIL and COSTA RICA supported Option C. The US preferred the Australian option, but said "forest management and forest conservation" should be added to the limited Option C. ICELAND, URUGUAY, CANADA, MEXICO, COSTA RICA and NEW ZEALAND supported the US's concern that Option C refers to only a limited number of activities that can contribute to sinks. A number of delegations proposed adding language on forest management. ICELAND called for including restoration of degraded land. GRENADA suggested giving a negative credit to countries when sinks are destroyed. Article 4, as adopted by COP-3, contains 6 paragraphs setting out the rules for Annex I Parties who have agreed to jointly fulfill their commitments under Article 3. Paragraph 1 states that Annex I Parties shall be deemed to have met their commitments provided that their total combined aggregate anthropogenic carbon dioxide equivalent emissions of GHGs listed in Annex A, do not exceed their assigned amounts calculated pursuant to their QELROs in Annex B. The respective emission level allocated to each of the Parties shall be spelled out in an agreement. SWITZERLAND, supported by the US, said that GEF should be established as the permanent FCCC financial mechanism. The G-77/CHINA referred to the provision of financial resources and the transfer of technology as fundamental to implementation of the Convention by non-Annex I Parties. He pointed out that both were developed countries' obligations under the Convention and should not be used to push developing countries to accept new commitments or to accept a market-based approach under the protocol. The PHILIPPINES mentioned problems experienced with implementing agencies and said that they should be more aware of decisions taken by the GEF Council. INDIA, BHUTAN, BANGLADESH and KIRIBATI highlighted the importance of obtaining GEF financing for national communications. The US said GEF had made an effort to meet the needs of FCCC Parties and expressed disappointment that the review of the financial mechanism had not concluded. He also pointed to the need for finding innovative sources of financing involving the private sector. The GEF's report was noted.

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It is now four years since that weekend and we both have long since graduated. We both later went for our graduate degrees, but at different universities. My girlfriend and I stayed together for another year, but eventually we broke up. I have since started dating another woman and we are engaged to be married. She actually is my ex-girlfriend's teammate who I mentioned in the story. We have been dating for about a year now and are still friends with my ex. Dr. Johny Lahure (Luxembourg), on behalf of the EU, rejected differentiation that makes targets weaker. Instead, it must guarantee comparable commitments for major economies at least. Flexibility resulting in environmentally detrimental loopholes is unacceptable. He supported: the "three plus three" gas proposal; trading along with strong targets and domestic action, monitoring, sanctions and market safeguards; and JI with rules and safeguards. He said mandatory, internationally coordinated P&Ms are indispensable. Suggestions that developing countries should take up new commitments are not helpful to the negotiations and contrary to the Berlin Mandate. Mobilizing new and additional resources through the financial mechanism could foster voluntary limitation of developing country GHG emissions. Paragraph 3 indicates that the agreement shall remain in operation for the duration of the commitment period specified in Article 3. On 5 December, delegates accepted an offer by ARGENTINA to host COP-4 and subsidiary body meetings, from 2-13 November 1998, in Buenos Aires.AGBM Chair Ral Estrada Oyuela (Argentina) noted that there were many unresolved issues regarding QELROs and delegates must decide at some point the number of gases to be included in the protocol. He proposed that delegates work from the presumption that the protocol would cover six gases: carbon dioxide (CO2), nitrous oxide (N2O), methane (CH4), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs) and sulphur hexafluoride (SF6). The Chair's draft presented in the 9 December COW covered emissions of CO2, CH4, NO2 from 1990 levels, for the commitment period between 2006 and 2010. COP-4 was to adopt an annex to the Protocol establishing reduction commitments covering HFCs, PFCs, and SF6 with a linkage between the two baskets. continuing transfers and acquisitions of ERUs while questions of implementation are resolved, should they arise, provided that units are not used by a Party to meet commitments under Article 3 until any issue of compliance is resolved. The final text on Article 12 defines the clean development mechanism (CDM). Its purpose is to assist non-Annex I Parties in achieving sustainable development and contributing to the FCCC objective, and to assist Annex I Parties in achieving QELROs. Non-Annex I Parties will benefit from project activities resulting in certified emission reductions, and Annex I Parties may use the certified reductions "to contribute to compliance with part of their" QELROs, as determined by the MOP. Yay," she exclaimed happily before kissing me, "Now we have to start getting you ready if we want to win the costume contest."