UPSC CSE Prelims 2008

Correct Option (A):

Statement 1 is correct. The Clean Development Mechanism (CDM) is one of the three flexible mechanisms established under the Kyoto Protocol, as outlined in Article 12. Its objective is to allow Annex-I (developed) countries to invest in greenhouse gas emission reduction projects in non-Annex-I (developing) countries. These projects generate Certified Emission Reductions (CERs), which Annex-I countries can use to meet a portion of their emission reduction commitments.

Incorrect Options:

Statement 2 is incorrect. The Clean Development Mechanism (CDM) explicitly involves projects implemented in non-Annex-I (developing) countries. Annex-I countries provide the investment and technology, while the emission reductions occur in developing nations, generating Certified Emission Reductions (CERs). Therefore, the claim that projects pertain only to Annex-I countries is factually inaccurate.

Given that Statement 1 is correct and Statement 2 is incorrect:

• Option 2 ("2 only") is incorrect because Statement 2 is false.
• Option 3 ("Both 1 and 2") is incorrect as Statement 2 is false.
• Option 4 ("Neither 1 nor 2") is incorrect because Statement 1 is true.