Switzerland and Norway Sign Landmark Strategic Article 6.2 Agreement on Carbon Removals, with significant implications for Israel
29 June 2025
This week, Switzerland and Norway signed a bilateral agreement under Article 6.2 of the Paris Agreement — and while its initial scope is modest, its strategic signaling power is anything but.
This is the first agreement between two industrialized countries to govern the mutual transfer of mitigation outcomes (ITMOs) relating to carbon dioxide removal (CDR) — not only for use beyond climate targets but for the achievement of their own NDCs.
As Article 3 and 5(1) of the agreement states:
“ITMOs may be used towards NDC achievement or for Other International Mitigation Purposes”.
“The international transfer and use of mitigation outcomes towards NDC achievement […] requires authorization by each Party”
This reflects an intentional strategic choice: Even high-capacity countries with unconditional reduction targets and high-ambition NDCs are opting to participate in the emerging carbon removal market as active buyers.
These are countries that could have waited. Instead, they’re laying the groundwork — identifying technologies, sectors, and partners they view as advantageous, and building practical infrastructure for future trade.
Each country plays to its strengths: Switzerland contributes its credibility on CDR integrity and governance; Norway leverages its 27+ years of experience in permanent CO₂ storage.
Both ministers highlighted the agreement’s symbolic nature — but here, symbolism reflects long-term strategy:
“This agreement is a pioneering step.” said Norway’s Minister of Energy.
“It strengthens innovation […] and is an opportunity for the economy.” said Switzerland’s Minister of Environment.
This development is especially meaningful for the countries currently undecided and sitting on the fence — those that aren’t “classic” buyers like Switzerland or Japan, nor obvious sellers like several states in the Global South.
In our work advising different actors located or operating in “mid-tier” and emerging economies –– we often hear that the feedback received from state officials is: “Let’s wait and see what the strong actors do.”
This agreement sends a clear global market signal from two central national actors: The international carbon mechanism is moving forward, and if you want to shape it or be a part of it, the time to engage is now.
For the press release >> click here
For the Agreement in English >> click here
