Paris Agreement

Definition

The Paris Agreement is a legally binding international treaty on climate change that was adopted in 2015, aiming to limit global warming to well below 2 degrees Celsius compared to pre-industrial levels. It connects various global efforts to address climate change, requiring countries to set and meet their own greenhouse gas reduction targets, promoting accountability and transparency in their climate actions.

5 Must Know Facts For Your Next Test

1. The Paris Agreement was adopted on December 12, 2015, during the 21st Conference of the Parties (COP21) held in Paris, France.
2. As of now, nearly every country in the world has ratified the agreement, demonstrating a global consensus on addressing climate change.
3. The agreement operates on a system of 'bottom-up' participation where each country determines its own climate goals, known as Nationally Determined Contributions (NDCs).
4. One of the key features of the Paris Agreement is its emphasis on transparency and accountability, requiring countries to report on their emissions and progress towards their NDCs regularly.
5. The long-term goal of the agreement is to achieve carbon neutrality by mid-century, which means balancing emissions with removals to stabilize global temperatures.

Review Questions

• How does the Paris Agreement promote accountability among participating nations regarding their climate actions?
  • The Paris Agreement promotes accountability through its requirements for countries to regularly report on their greenhouse gas emissions and progress towards their Nationally Determined Contributions (NDCs). This transparency is crucial because it allows for the evaluation of each country's commitments and encourages nations to take more ambitious actions over time. By having a clear framework for reporting and peer review, countries are held accountable not only to each other but also to their citizens.
• Discuss the implications of Nationally Determined Contributions (NDCs) for businesses operating in different countries under the Paris Agreement.
  • Nationally Determined Contributions (NDCs) have significant implications for businesses as they outline each country's specific climate goals and strategies for reducing emissions. Companies must adapt their business strategies to align with these national targets, which may involve investing in cleaner technologies or changing operational practices. Additionally, businesses may face regulatory pressures or incentives based on their home country's NDCs, which could impact competitiveness and profitability in a rapidly changing market focused on sustainability.
• Evaluate how the Paris Agreement aligns with the broader goals of sustainable development and business strategies in the context of global economic challenges.
  • The Paris Agreement aligns closely with sustainable development goals by emphasizing climate action as a critical component of global stability and economic resilience. Businesses are increasingly recognizing that sustainable practices not only reduce environmental impacts but also present new opportunities for growth and innovation. By integrating climate action into their core strategies, companies can better navigate economic challenges such as resource scarcity and regulatory shifts while contributing positively to global efforts against climate change. This alignment fosters a resilient business model that is prepared for future uncertainties while supporting global sustainability objectives.

Related terms

Climate Mitigation: Efforts aimed at reducing or preventing the emission of greenhouse gases into the atmosphere, essential for achieving the goals set out in the Paris Agreement.

Nationally Determined Contributions (NDCs):

These are the pledges made by each country under the Paris Agreement that outline their planned contributions to reducing national emissions and adapting to climate change.

Green Climate Fund:

A fund established to assist developing countries in adaptation and mitigation practices to counter climate change, playing a crucial role in supporting the objectives of the Paris Agreement.