The Clean Development Mechanism (CDM) is the entry point for developing countries (non-Annex I) into the Kyoto Protocol on Climate Change. The mechanism was established under Article 12 of the Kyoto Protocol adopted by the Third Conference of the Parties to the Framework Convention on Climate Change on December 11, 1997.

The dual goals of the CDM are to promote sustainable development in developing countries, and to allow industrialized countries to earn emissions credits from their investments in emission-reducing projects in developing countries. To earn credits under the CDM, the project proponent must prove and have verified that the greenhouse gas emissions reductions are real, measurable and additional to what would have occurred in the absence of the project.