UN warns funding shortfall is delaying Article 6.2 infrastructure, international registry to launch by year-end
By Article 6 Network
The UN climate secretariat has warned that funding constraints are delaying key Article 6.2 infrastructure, including the systems needed to check countries’ reporting and carry out technical reviews. The international registry is still expected to launch by the end of 2026. The shortfall threatens the transparency backbone that gives ITMOs their credibility, just as transactions start to scale.
The UNFCCC secretariat has said limited funding is slowing development of core Article 6.2 infrastructure, notably the tools for checking the consistency of country reports and running technical expert reviews. The international registry, which countries without their own registry can use to record and track ITMOs, is expected to go live by year-end.
The Article 6.2 infrastructure has several parts. The Article 6 database records corresponding adjustments, ITMO transfers and emissions balances. The centralised accounting and reporting platform (CARP) publishes the information Parties submit. The international registry serves countries that lack their own. An interim version of CARP is already live. In January 2026, the UNFCCC announced that development of the Article 6 registry infrastructure had begun, under a contract awarded through a UNDP-led procurement. It covers the Article 6.2 international registry and the PACM registry.
Funding has been a long-standing issue. A 2023 secretariat paper estimated development costs of about €1.7 million for the international registry, €702,000 for the Article 6 database and €667,000 for CARP, with ongoing operating costs on top. A May 2026 technical paper prepared for SBI 64 compared options for funding the infrastructure, processes and capacity building, including core budget, supplementary contributions, and user or usage-based fees.
Signals to watch
- Transparency backbone at risk: Consistency checks and technical expert reviews are what turn bilateral deals into credible, internationally verified ITMOs. Delays mean more transfers happen before full UN checks, which raises integrity and reputational risk for buyers relying on reviewed outcomes.
- Registry launch matters for late movers: Countries without national registries, especially least-developed countries and small island states, depend on the international registry to take part. A launch by year-end would open the door for new hosts. Further slippage would hold back supply from these countries.
- User fees are likely coming: With core budgets under strain, expect Parties to consider charges for registry use, transactions or reviews. Developers and buyers should factor potential infrastructure fees into ITMO transaction costs.
- Buyer countries may step in: Major buyers such as Switzerland, Japan, Singapore, Sweden and Norway have a direct interest in reliable infrastructure. Watch for supplementary contributions announced around COP31 to close the gap.
- COP31 decision point: Parties are expected to take up the sufficiency and stability of Article 6.2 funding. A durable funding model would reduce operational risk across the market. Continued ad hoc funding would keep delays and uncertainty in place.
Sources:
- UNFCCC – Development of Paris Agreement Article 6 registry infrastructure begins
- UNFCCC – Technical paper on funding Article 6.2 infrastructure (FCCC/TP/2026/2)
- UNFCCC – Options for funding Article 6.2 infrastructure (2023 technical paper)
- Clifford Chance – COP30 report on Article 6
