Cost of stabilizing GHG emissions. Focus on developing countries

The estimation of the costs and benefits of national climate change mitigation has acquired primary importance with the ratification of the Framework Convention on Climate Change (FCCC). The FCCC requires that each signatory prepare and complete inventories of greenhouse gases, and it calls for each party to formulate, implement, publish and regularly update national programs containing measures to mitigate climate change. In addition, it states that the developing countries may propose projects for financing with an estimate of the incremental costs and benefits of reducing emissions. Another article of the Convention notes that developing country parties may seek funds from developed coutries for climate change mitigation activities. The Convention thus requires the estimation of incremental costs, and of the amount of fund transfers required for stabilizing emissions growth.