The Saeima has adopted and the President promulgated the following laws: the Republic of Latvia For participation in the Kyoto Protocol's flexible mechanisms in chapter I General provisions article 1. The terms used in the law, the law is applied in the following terms: 1) the Kyoto Protocol flexible mechanisms — the United Nations Framework Convention on climate change Kyoto Protocol (hereinafter referred to as the Kyoto Protocol), as provided for in article 6 projects to be implemented jointly, specified in article 12 of the clean development mechanism laid down in article 17 and the international emissions trading;
quantity-2) total greenhouse gas emissions, which the Republic of Latvia in accordance with the Kyoto Protocol first commitment period established from January 1, 2008 until 2012 or December 31 will determine the subsequent commitment period;
3) greenhouse gas emissions unit – unit that is identical to one tonne of carbon dioxide or a certain number of other greenhouse gases, which is expressed in the carbon equivalent, in the light of the relevant greenhouse gas global warming potential. Greenhouse gas emission units allocated in accordance with the Kyoto Protocol 6, 12 and 17 of the article and the law "on pollution" V1. Greenhouse gas emission units are assigned amount units, emission reduction units, certified emission reduction units, removal units, and emission quotas;
4)-assigned amount units under the Kyoto Protocol Member State greenhouse gas emission unit established under the Kyoto Protocol set out in this Member State greenhouse gas emission reduction or limitation commitments;
5) emission reduction units-unit granted in accordance with article 6 of the Kyoto Protocol and that is identical to one tonne of carbon dioxide or a certain number of other greenhouse gases, which is expressed in the carbon equivalent, in the light of the relevant greenhouse gas global warming potential;
6) certified emission reduction unit-unit granted in accordance with article 12 of the Kyoto Protocol and that is identical to one tonne of carbon dioxide or a certain number of other greenhouse gases, which is expressed in the carbon equivalent, in the light of the relevant greenhouse gas global warming potential;
7) Association unit – unit granted in accordance with article 6 of the Kyoto Protocol on the activities related to land use, land-use change and forestry, and which is identical to one tonne of carbon dioxide;
8) climate change financial instruments – resources, generated by State-owned units of greenhouse gas emissions in the Kyoto Protocol article 17 in accordance with the procedure prescribed by, and which are directed to the prevention of climate change in accordance with the principles set out in this Act and the priorities.
2. article. The purpose of the law the purpose of the law is to promote the prevention of global climate change, adaptation to climate change effects and contribute to the Kyoto Protocol in the Republic of Latvia for the greenhouse gas emission reduction obligations through the Kyoto Protocol's flexible mechanisms.
3. article. The scope of the law, the law States: 1) the basic principles of the Republic of Latvia for participation in the Kyoto Protocol's flexible mechanisms and participation in relevant institutions with this competency;
2) national greenhouse gas emissions per unit of sales funds planning, use, and administration procedures.
Chapter II international emissions trading unit of article 4. Quantity title is public property, which is the legal possessor of the Ministry of the environment.
5. article. Participation in the international trading of emission units (1), the Republic of Latvia may sell its assigned amount units that do not have, or potentially will be used to cover the Republic of Latvia emitted greenhouse gas emissions per unit of volume.
(2) upon receiving an offer of another country or on the initiative of the Ministry of the environment, the Cabinet of Ministers adopted a decision on the participation in international emissions trading and of units on the suspension of the country's greenhouse gas emissions.
(3) the Ministry of the environment addresses the negotiations in connection with the Treaty on emissions trading unit and prepare a contract. To be included in the draft Treaty rules on greenhouse gas emissions, the number of unit types, price and payment arrangements.
(4) the Cabinet of Ministers approved a draft Treaty on greenhouse gas emissions per unit of sales.
(5) the Treaty on greenhouse gas emissions trading unit signs the Environment Minister.
6. article. Greenhouse gas emission unit register (1) the Latvian environment, geology and Meteorology Agency greenhouse gas emission unit register opens accounts in the State-owned greenhouse gas emission accumulation of units.
(2) the Latvian environment, geology and Meteorology Agency, Ministry of the environment orders transferred to the greenhouse gas emissions per unit of the buyer according to the signed agreement on greenhouse gas emissions trading of sold units to national greenhouse gas emissions.
(3) procedures are established and maintained in a greenhouse gas emissions inventory national system of units, quality control and quality assurance procedures and actions, as well as reporting arrangements under the United Nations Framework Convention on climate change and the Kyoto Protocol requirements, the Cabinet of Ministers.
Chapter III financial instrument of climate change to article 7. Climate change planning in financial instruments (1) funds obtained by selling a State-owned greenhouse gas emission units are credited to the Treasury in the Government revenue account under the State budget revenue classification.
(2) in the State budget for the current year funding for climate change of the financial instrument for the implementation of the project, provide appropriate obtained in previous years and not used for this purpose funds around.
8. article. International emissions trading of units of funds resulting from (1) climate change means a financial instrument used to finance projects in agriculture, transport, energy, forestry, waste management, industrial and other sectors of the economy: 1) which have a significant impact on the national greenhouse gas emissions or at sais and contributing greenhouse gases and other pollutant emission reduction or limitation by the following measures: (a) improving energy efficiency) , b) renewable energy, particularly biomass, c) environmental technology development and use, which promotes energy efficiency or renewable energy, d) climate change reduction policy development and implementation, to ensure that the Kyoto Protocol commitments and actions of the Republic of Latvia in compliance with the use of the flexible mechanisms of the Kyoto Protocol, e) educational measures and scientific research that creates public awareness about climate change such measures, f) design and implementation to promote adaptation to climate change;
2) which greatly improves the quality of the environment, including reducing transboundary air pollution, water contamination and pollution dangerous to human health, increased carbon dioxide collection and storage options.
(2) Treasury supports climate change financial instruments execution of payment according to the law on budget and financial management and the law on the State budget for the current year.
9. article. Climate change and the financial instrument for the implementation of the principles of the management of climate change, financial instruments management and implementation is, taking into account the guidelines of the European Union for State aid and international principles of good practice for management of environmental protection expenditure, including: 1) transparency;
2) traceability;
3) environmental efficiency;
4) economic efficiency;
5 financial prudence.)
10. article. Climate change financial instruments management and implementation (1) the Ministry of the environment's climate change financial instrument budget programs, artist and performs the following functions: 1) prepares for climate change of the financial instrument and the current annual work plan;
2) organise design contests, assess projects according to the legislation on climate change for the implementation of the financial instrument for the project evaluation criteria and grant funding to these projects;
3) supervise project implementation and financing agreement;
4) draw up and submit to the Treasury payment order;
5) collects information on those projects that receive funding from the climate change of the financial instrument;
6) prepare and up to the current year's April 1 shall be submitted to the Cabinet of Ministers information report on climate change financial instrument transactions last year, including the financial implementation and on environmental quality improvements made in implementation of the relevant projects.
(2) climate change, the implementation of the financial instrument and the costs of the inspection reports of the climate change resources of the financial instruments.
(3) the cabinet shall determine:

1) climate change implementation of the financial instrument for the project application to the call for proposals, evaluation criteria and application, review, approval, and funding arrangements;
2) climate change, the financial instrument for the implementation of projects funded, reporting and verification procedures.
11. article. Improvement of the quality of the environment and the use of financial examination of climate change within the framework of the financial instrument (1) implementing the project, which received funding from the climate change of the financial instrument, in accordance with the legislation on climate change for the implementation of the financial instrument for the Environment Ministry to provide reports on the implementation of the project resulted in the improvement of the quality of the environment and the use of funding granted.
(2) information on project implementation, financial leverage and the improvement of the quality of the environment is accessible to the public.
(3) the Ministry of the environment of the project implementing the inspection reports and, on the basis of them, prepare this law, article 10, first paragraph, paragraph 6 of that report.
12. article. Climate change Advisory Council of the financial instrument (1) climate change, the financial instrument of the Board (hereinafter the Board) activities aim to support the climate change funds of the financial instrument for transparency and compliance with the objectives and requirements of the law, as well as to involve representatives of public financial instruments for climate change management and monitoring of implementation.
(2) in order to improve the climate for the effective implementation of the financial instrument, the Advisory Council for the current year financial and work plan and provide a proposal to the Ministry of the environment.
(3) Advisory Board on its own initiative, the Ministry of environment also examine other issues related to climate change in the management of financial instruments or implementation.
(4) the Advisory Council by-laws approved by the Cabinet of Ministers.
(5) the Advisory Council Chairman is Minister of environment to the Minister of the environment or designated representative. Advisory Council include: 1) one representative of the Ministry of environment, the Ministry of Economy, Ministry of agriculture, Ministry of transport, Ministry of education and science, and regional development and local government ministries;
2) two representatives that the rotation of one year delegates of the society and Foundation operating in this law article 8 first paragraph of sectors;
3) two environmental Advisory Council has delegated to the Association or Foundation, the aim of which, in accordance with the Statute is the protection of the environment.
(6) the Advisory Council can also participate in the meetings of the Treaty on emissions trading of parties delegated unit representatives according to the conditions of the contract.
(7) the members of the Advisory Forum on the participation in the work of the Advisory Forum shall not be remunerated.
(8) the Advisory Council personnel approved by the Minister of the environment. The work of the Board is provided by the Ministry of the environment.
Chapter IV the Kyoto Protocol's project mechanisms of article 13. The Kyoto Protocol's project mechanisms (1) implementation of the Kyoto Protocol's project mechanisms is the Kyoto Protocol, as provided for in article 6 projects to be implemented jointly and article 12 of the Kyoto Protocol in the clean development mechanism. The Kyoto Protocol's project mechanisms is the implementation of actions related to such projects and the approval of the application, implementation and monitoring of the project.
(2) in the Republic of Latvia registered foreign legal persons submitted to the Kyoto Protocol's project mechanisms of approval under the Republic of Latvia and other countries concluded a memorandum of understanding on joint projects of the Kyoto Protocol mechanisms.
14. article. Competence of the Cabinet of the Kyoto Protocol's project mechanisms in the implementation of the Cabinet determines: 1) the procedures for implementing the Kyoto Protocol's project mechanisms;
2) arrangements granted under the Kyoto Protocol emission reduction units, certified emission reduction units, removal units and assigned amount units;
3) order in which the European Union emission trading scheme used in emission reduction units and certified emission reduction units.
Transitional provisions 1 the Cabinet until May 1, 2008. manages this law, article 10, third paragraph of article 12, and quarter the provisions referred to in article 14.
2. This law, article 10 paragraph 6 of the first subparagraph shall enter into force on 1 January 2009.
The law adopted by the Parliament in the 2007 on 8 November.
President Valdis Zatlers in Riga V 2007 November 29, editorial comment: the law shall enter into force on 13 December 2007.