These questions were examined at an ICTSD/UNCTAD side event on the linkages between the climate change regime and trade rules. Presentations addressed the climate/trade interface, including relevant issues arising from the current Doha Round of trade negotiations. They explored windows of opportunity in the international trading system for promoting climate policy, as well as possible obstacles.

To kick off, the side event provided a general background on the interaction between the climate and trade regimes, focusing on energy pricing and related border-tax adjustments, standards and subsidies in this sector, as well as on emissions trading. The potential for promoting sustainable forms of energy was examined in the context of the Doha Round, which opens opportunities for liberalising trade in environmental goods and services at an accelerated pace.

Two case studies brought the issues down to a more concrete level. First, the role of the CDM in promoting economic diversification and the transfer of climate friendly technologies was addressed. Second, a presentation zoomed in on the potential of biofuels. The side event wrapped up with a discussion.