1.Design an offset credit provision for the carbon pricing legislation Deliverable 1a: Provision that can be inserted in the act or supreme decree, as appropriate, specifying: -Eligible offset credit types oListing internationally recognised standards to be eligible oIncluding a placeholder provision for national standard oList of potential activity types: forest protection activities; abatement activities in the sectors not affected by the tax (non-CO2 gases), etc. Selection of eligible activities in order to generate co-benefits: environmental (e.g. local pollution), job creation, protection of vulnerable populations Reference to NDC 2030 targets/ priorities oSpecify alignment with Peruvian national registry, and with Article 6 (Paris Agreement) processes (international carbon markets) -Maximum use thresholds oDifferentiation by actor/sector Deliverable 1b: Short background paper providing rough estimations of likely impact on carbon pricing revenues prepared (in the initial phase) depending on differential between offset credit generation cost and carbon price level. 2.Review carbon pricing act or supreme decree proposal prior to discussion with Ministry of Environment and Ministry of Finance Deliverable 2: Commented version of draft received from the Commission including specific edits of legal text. 3.Long term climate finance and mitigation strategy outline prepared for Peru where to situate carbon pricing Deliverable 3: Short background document describing possible policy instruments were used in conjunction with a carbon price, assessing their alignment with the Peruvian NDC for 2030 and potential LTS-LEDS 2050 oFossil fuel subsidy reduction oEnergy efficiency regulation (demand side) for buildings, appliances, vehicles oMitigation subsidies (reverse auctions for renewable energy, small-scale feed in tariffs)