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EPICO-MLI Discussion Paper: Perspectives on designing a climate club: Alliance-building to strengthen international climate cooperation

The concept of a climate club has found references in academic literature on club theory, predominantly highlighting the benefits of exclusivity and measures conferring trade benefits. In recent months, the topic has re-entered the political mainstream with a broader conceptualisation. Most notably, a Statement of the G7 countries under the presidency of Germany in June 2022 expressed the intention of establishing an international climate club that is open and cooperative, with aspirations ranging from coordinating ambitious and transparent climate mitigation policies, accelerating industrial decarbonisation, and boosting partnerships to promote the just energy transition.

A climate club in this iteration is still in a nascent stage, with several aspects requiring further concretisation. This paper offers insights on designing the climate club outlined in the G7 Statement, particularly with a focus on sectoral collaboration, cooperation with developing countries, and establishing synergies with the goals of the Paris Agreement.

This paper was written as part of a joint project between EPICO and the Macdonald-Laurier Institute in Canada, supported by the Konrad Adenauer Foundation Canada.

Read and download the discussion paper in English.

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