Submission to the UNFCCC AWG-LCA: Views on modalities and procedures for financing results-based actions and considering activities related to decision 1/CP.16, paragraphs 68-70 and 72.

The Environmental Defense Fund (EDF) welcomes the opportunity to present views from accredited observers on modalities and procedures for financingresults-based actions and considering activities related to decision 1/CP.16, paragraphs 68-70 and 72. This submission addresses recent critiques on the use of markets for the full implementation of results-based actions of the REDD+ mechanism established by the Cancun Agreements. EDF believes that a REDD+ system must use public and private sources of finance but that markets will play the biggest role in financing phase 3 results-based actions. We strongly support a REDD+ mechanism that compensates countries for reducing their national emissions below a historical reference level.