UnFCCC (2005) collected and synthesized information notified by non-Schedule I parties Most non-Schedule I parties belonged to the low-income group, very few of which were considered average incomes. :Most of the parties contained information on sustainable development policies. Sustainable development priorities identified by the non-Annex I parties included the fight against poverty and access to education and basic health care. :6 Many non-contracting parties in Schedule I are working to amend and update their environmental legislation to integrate global concerns such as climate change. :7 For these projects, developing countries received emission credits that they could sell or sell to developed countries, allowing industrialized countries to increase their CO2 emissions during this period. In fact, this function has helped industrialized countries continue to emit intensive GHG emissions. The World Bank (2010)  stated that the Kyoto Protocol had had little impact on controlling global emissions growth. The treaty was negotiated in 1997, but by 2006 energy-related carbon dioxide emissions had increased by 24%.  The World Bank (2010) also stated that the treaty had provided only limited financial assistance to developing countries to help them reduce their emissions and adapt to climate change.  Each Schedule I country is required to submit an annual report on the inventory of all anthropogenic greenhouse gas emissions from well sources and distances under the UNFCCC and the Kyoto Protocol. These countries designate a person (called the “designated national authority”), who establishes and manages his or her inventory of greenhouse gases. Almost all non-Schedule I countries have also established a designated national authority to manage their Kyoto commitments, in particular the “CDM process.” It defines the GHG projects they wish to propose for accreditation by the CDM Steering Committee.
November 18, 2004 – The Russian Federation ratifies the protocol. Under the Kyoto Protocol, 37 industrialized countries and the European Community (the 15-member European Union-15 at the time of the Kyoto negotiations) are committed to binding greenhouse gas emission targets.  The targets apply to the four greenhouse gases of carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), sulphur hexafluoride (SF6) and two groups of gas, fluorocarbons (HFC) and hydrofluorocarbons (PFCs).  The six GHGs are converted to CO2 equivalents to determine emission reductions.  These reduction targets are in addition to industrial gases, chlorofluorocarbons or CFCs treated under the 1987 Montreal Protocol on ozone-depleting substances. July 23, 2001 – Negotiators from 178 countries meet in Germany and agree to adopt the protocol without U.S. participation. One of the arguments in favour of flexibility mechanisms is that they can reduce the costs borne by Schedule I parties to meet their Kyoto commitments.  Criticisms of flexibility included, for example, the ineffectiveness of the Emissions Trading System in promoting investment in non-fossil energy sources and the negative impact of CDM projects on local communities in developing countries.
 The formal duration of loans for joint implementation (MOC) was aligned with the first commitment period of the Kyoto Protocol and did not begin until January 2008 (Carbon Trust, 2009, p.