Kyoto Protocol's emission trading mechanisms could become redundant after 2020

The next climate conference to be held in Madrid in December has the challenge of deciding how markets can be deployed in the service of climate. The Clean Development Mechanism (CDM), a product of the Kyoto Protocol, is one such market instrument that can help industry as well as climate. Along with China and Brazil, India is a leader in CDM since its inception in 2007. A number of small and medium projects in the field of energy efficiency and renewable energy, set up in India in the last two decades, owe their origin to the financing support available from CDM. Unfortunately, its future hangs in balance.