Kyoto Protocol

The Kyoto Protocol is one of the most important international agreements in the history of climate policy. Adopted in 1997 in the Japanese city of Kyoto, it was the first treaty to set legally binding greenhouse gas (GHG) reduction targets for industrialised countries, recognising that coordinated international action was needed to tackle climate change.

What is the Kyoto Protocol?

The protocol was adopted on 11 December 1997 at the third Conference of the Parties (COP3) of the United Nations Framework Convention on Climate Change (UNFCCC). It entered into force on 16 February 2005, once it had been ratified by enough countries to cover at least 55% of developed-country emissions. It set targets for 37 industrialised countries plus the European Community, reflecting their greater historical responsibility for emissions, while developing countries had no binding targets.

Targets and greenhouse gases

For the first commitment period (2008-2012), the goal was to cut the combined emissions of participating developed countries by an average of around 5% versus 1990 levels. The protocol covered the main greenhouse gases:

• Carbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O).
• Hydrofluorocarbons (HFCs), perfluorocarbons (PFCs) and sulphur hexafluoride (SF6).

These gases drive the greenhouse effect and global warming.

The flexibility mechanisms

Kyoto introduced market-based mechanisms to help countries meet their targets cost-effectively, and these shaped today's carbon markets:

• International emissions trading: countries that overachieved could sell surplus allowances, a forerunner of systems like the EU Emissions Trading System.
• Clean Development Mechanism (CDM): developed countries could earn credits by funding emission reduction projects in developing nations.
• Joint Implementation (JI): developed countries could earn credits from projects in other developed countries.

The Doha Amendment and a second period

In 2012 the Doha Amendment established a second commitment period (2013-2020), with new targets for the parties that signed up (notably the EU). The amendment entered into force on 31 December 2020, the very day the period ended, which limited its practical effect.

Criticism, the United States and the move to Paris

Kyoto faced important criticisms. It set no binding targets for major developing emitters such as China and India, and coverage was uneven. Crucially, the United States signed the protocol in 1998 but never ratified it; in 2001 it confirmed it would not do so, which significantly weakened the treaty. (This is different from a withdrawal, since the US was never legally bound.) With global emissions still rising, countries negotiated a new, universal framework: the Paris Agreement (2015), which sets targets for all countries and aims to limit warming well below 2°C, pursuing 1.5°C. The US later withdrew from the Paris Agreement, with that withdrawal taking effect again in January 2026.

Legacy

Despite its limits, the Kyoto Protocol established the principle of binding climate commitments and built the accounting and market tools, including methodologies behind the Greenhouse Gas Protocol, that companies still use to measure their carbon footprint today.

At Manglai we help companies measure, manage and reduce their carbon footprint in line with current climate goals. Discover how Manglai can help you.