Even in situations of uncertainty, early and credible commitments like "intended nationally determined contributions" (INDCs) serve as important signals for future climate cooperation. Given that situations and needs vary among countries, discussions on minimum participation rules can be expected to remain controversial among key players. Coordinated emission reductions through the linking of different emission trading systems reduce the price tag of global climate policy goals. Funding from industrialised countries for adaptation measures in developing countries - a potentially important part of a fair and effective global climate agreement - can be driven by the funders' own self-interest and motivated by international trade.
Reif, Christiane and Oliver Schenker (2015), The Road to Paris: Towards a Fair and Effective Climate Agreement?, ZEW policy brief No. 15-05, Mannheim. Download