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CD4CDM project overview


Title: CD4CDM project overview Last modified by: Juan Zak Created Date: 9/19/1996 2:42:02 PM Document presentation format: Overhead Other titles: Times New Roman MS P ... – PowerPoint PPT presentation

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Title: CD4CDM project overview

Capacity Development for the Clean Development
Mechanism Myung-Kyoon Lee www.uc

  • UNEPs Role in Climate Change
  • Capacity Building
  • Inventory of Capacity Building Activities
  • What the CDM is and how it works
  • Capacity Development for the CDM

UNEPs Role in Climate Change
  • Scientific Assessments
  • Analytical Tools and Guidelines
  • Public Awareness and Information
  • Capacity Building

Capacity Building

Agenda 21, UN 1992 Capacity building
encompasses the countrys human, scientific,
technological, organizational, institutional and
resource capabilities. A fundamental goal of
capacity building is to enhance the ability to
evaluate and address the crucial questions
related to policy choices and modes of
implementation among development options, based
on an understanding of environmental potentials
and limits and of needs as perceived by the
people of the country concerned. Art. 5 (b)
(c) of UNFCCC Art. 10 (e) of the Kyoto Protocol
Key Principles of CDM Capacity Building
  • Focus should be broad
  • Active participation of the private sector
  • Country-specificity
  • National ownership/sharing of benefits local
    incentives should be created.
  • A long time horizon is needed to build up human
    and institutional capacity in a wide range of
    areas including development, economic policies,
    environmental policies, social issues.
  • Build on earlier experiences from climate change
    studies in developing countries.

General Areas for Capacity Building
  • Scientific aspects of climate change
  • Estimating emissions of GHGs
  • Measurement techniques for methane and other GHGs
  • Economic analysis of projects including
    cost-benefit analysis
  • Environmental assessment of projects and policies
  • Social assessment of projects and policies
  • Risk and vulnerability assessment
  • Coastal zone planning
  • Development and implementation of adaptation
  • Development and implementation of mitigation
  • Analysis of the Kyoto Protocol instruments
  • Assessment of technology transfer options

Capacity Building Needs specific to the CDM
  • Developing eligible projects project design and
  • Assessment of projects based on national
    sustainable development criteria
  • Preparation of baselines
  • Financing
  • Monitoring
  • Requirements for verification and certification

Inventory of Capacity Building Activities (1)
  • National Strategy Studies (NSS)
  • - Launched in 1997 by the support from
    Switzerland, Australia, Germany and Finland in
    conjunction with the WB.
  • - the purpose is to provide assistance to host
    countries to develop their national approach to
    the utilization of the CDM and JI within their
    own particular set of opportunities and
  • - http//
  • UNIDO capacity building for Industrial CDM
  • - two independent programmes one in Africa and
    the other in Asia
  • - the common objectives are to increase the full
    range of national capacity and supportive
    policies required to provide an enabling
    environment for industrial CDM projects.
  • - http//
  • UNEP/RISØ Economics of GHG Limitations
  • - the main objective was to provide a
    methodology, an implementing framework and a
    reporting system for CC mitigation analysis,
    which countries can follow in meeting their
    reporting obligations under the UNFCCC.

Inventory of Capacity Building Activities (2)
  • - implemented by the ADB from 2001 with funding
    from the Netherlands and ADB
  • - the objective is to promote investments in
    renewable energy and energy efficiency
    technologies that will increase access to energy
    services by poor residents, as well as reduce GHG
  • - http//
  • CDM Susac (Start-up CDM in ACP-Countries)
  • - funded by EU and co-funded by UKs Foreign and
    Commonwealth Office.
  • - coordinated by the Institute of Energy
    Economics and the Rational Use of Energy.
  • - the main objective is to identify, develop,
    and promote 2-3 CDM projects in the energy sector
    in each of participating countries Senegal,
    Uganda, Zambia
  • - http//
  • UNEP/RISØ capacity building programme for the
  • - four African countries are participating
    Gambia, Ghana, Uganda, Zimbabwe
  • - the programme will analyze how identified
    projects could be organized, assessed, marketed,
    and implemented under the CDM.

Inventory of Capacity Building Activities (3)
  • The SSN (South-South-North) Project
  • - four countries Bangladesh, Brazil, Indonesia,
    and South Africa.
  • - This project is seen as a capacity building
    exercise for the project participants.
  • -
  • PLANER planning and strategies for
    implementation of the CDM of the KP in Latin
  • - funded by EC
  • - participants all from LA
  • - the objective is to co-operate with Central
    America Andean Community to strengthen the
    energy planning and policies for electricity
    generation with renewables through the
    application of the CDM.
  • UNDPs pilot programme for CDM capacity building
  • - includes Peru, the Philippines, and South
    Africa and is financed by Norway
  • - analyze possible areas for future CDM
    co-operation based on the national development
    plan identify and formulate possible CDM
    projects convene stakeholder consultations at
    the local level
  • - http//

What the CDM is How It Works (1)
  • Art. 12 of the KP
  • - the CDM is to assist Non-Annex I Parties in
    achieving SD, and to assist Annex I Parties in
    achieving compliance under Art. 3.
  • - the CDM could stimulate international
    investment and provide the essential resources
    for cleaner economic growth.
  • - the basic principle is developed countries
    can invest in low-cost abatement opportunities in
    developing countries and receive credit for the
    resulting emissions reductions, thus reducing the
    cutbacks needed within their borders.
  • Eligibility Criteria for Participation
  • - voluntary
  • - the establishment of a national CDM authority
  • - the ratification of the Kyoto Protocol
  • - additional criteria for Annex I countries
    establishment of assigned amount under Art. 3 of
    the KP a national system for the estimation of
    GHGs a national registry, an annual inventory,
    and an accounting system for the sale and
    purchase of emission reductions.

What the CDM is How It Works (2)
  • Eligible Projects
  • - energy efficiency (both end-use and supply
  • - renewable energy
  • - fuel switching
  • - agriculture (reduction of CH4 and N2O)
  • - industrial processes
  • - sinks project (only afforestation and
  • A Fast Track for Small Scale Projects
  • - renewables up to 15MW
  • - energy efficiency with a reduction of
    consumption either on the supply or the demand
    side of up to 15 GWh/year
  • - other projects that both reduce emissions and
    emit less then 15kt of CO2 equivalent annually


Source Introduction to the CDM, UCCEE, August
What the CDM is How It Works (3)
  • The Executive Board
  • - the supervisory board for the CDM (operated
    under the COP)
  • - accrediting Operational Entities
  • - maintenance of a CDM registry
  • - setting rules and modalities of the CDM
  • - manage account for CERs levied for adaptation
    and administrative expenses
  • - maintain a CER account for each non-Annex I
    Party hosting a CDM project.
  • Finance
  • - no diversion from ODA
  • - subject to share of proceeds 2 of CERs for
    adaptation fund
  • - levy for the CDMs administrative costs
  • - projects in LDCs are exempted from the levy
    for adaptation and administrative costs

What the CDM is How It Works (4)
  • Project Identification and Formulation
  • - the first step is to identify and formulate
    potential CDM projects which will bring real,
    measurable, additional emission reduction.
  • - a monitoring plan by either a project
    developer or a specialized agent
  • National Approval
  • - DNA screening by SD goals and policies
  • Validation Registration
  • - OE validates the project as a CDM.
  • - once validated, OE forward it to the EB for
    formal registration
  • Monitoring, Verification Certification
  • - a monitoring report by a project developer
  • - verification certification by OE
  • - issuance of CERs by the CDM registry

National Value and Benefits from the CDM
  • Benefits from the CDM
  • - for developed countries reducing abatement
  • - for developing countries contributing to SD
    through new investments and TT
  • - global benefits contributing to slowing down
    global warming and changing the development path
    in a more environment-friendly way
  • The CDM will contribute to a developing countrys
    SD through
  • - transfer of technology and financial resources
  • - sustainable ways of energy production
  • - increasing energy efficiency conservation
  • - poverty alleviation through income and
    employment generation
  • - local environmental ancillary benefits
  • Therefore, carbon abatement and sustainable
    development goals can be simultaneously pursued.

Capacity Development for the CDM (1)
  • Overview
  • Donor the Netherlands Ministry of Foreign
  • Implementing Agency UNEP Collaborating Centre on
    Energy Environment
  • Period Feb. 2002 Dec. 2005

Capacity Development for the CDM (2)
  • Main goals
  • generating a broad understanding of the CDM in
    the developing countries
  • developing institutional capability and human
    capacity of the developing countries to fully
    participate as equal partners with developed
    countries in the formulation and implementation
    of the Clean Development Mechanism (CDM).

Capacity Development for the CDM (3)
  • Participating countries
  • three countries each from four regions
  • Asia Cambodia, the Philippines, Viet Nam
  • Latin America Bolivia, Ecuador, Guatemala
  • ME NA Egypt, Jordan, Morocco
  • Sub-Saharan Africa Côte dIvoire, Mozambique,

Capacity Development for the CDM (4)
  • Country Selection Criteria
  • Ratification of the UNFCCC
  • Ratification/Signature of the KP
  • Existence of focal agency to the CC and KP
  • Existence of national policies to promote RE EE
  • GHG emission reduction potential
  • On-going activities of the CDM/AIJ
  • Existence of FDI framework
  • Political stability
  • Existing institutional and analytical capacity
  • Eagerness to participate in the CDM

Capacity Development for the CDM (5)
  • Main tasks
  • sensitizing government supports for the CDM
  • developing capacity of policy makers
  • establishing institutional framework for the CDM
  • strengthening capabilities of the public and
    private sectors
  • creating a pipeline of the CDM projects

Capacity Development for the CDM (6)
  • Implementation Strategy
  • UCCEE together with Regional Centres of
    Excellence and national institutions
  • Phase I (early 2003) completion of national work
  • Phase II (early 2003 Dec. 2005) implementation
    of national work plans
  • By means of studies, surveys, training courses,
    workshops, seminars, consultations, development
    of training materials and information

Capacity Development for the CDM (7)
  • Progress
  • Phase 1 is finishing 7 work plans
  • A CDM information booklet is being distributed
    and translated into relevant local languages
    including Korean and Japanese.
  • A project information folder will be finished.
  • National and Regional workshops
  • Analytical works such as background papers and
    training manuals are under development.
  • Advisory group invited (NL, WB, ADB, UNFCCC,.)
  • COP8 special event made

Capacity Development for the CDM (8)
  • Analytical works under development
  • CDM project guidance material
  • Baseline scenarios
  • Sustainable development impacts
  • Legal and institutional framework
  • Financial Aspect of the CDM

Capacity Development for the CDM (8)
  • Current Status
  • Asia two national workshops and a regional
    workshop completed
  • Africa two national and a regional workshop
    completed, Cote dIvoire to be decided
  • LA three national and one regional workshops
  • ME NA two national workhsops and a regional
    workshop completed, Jordan to be decided

Coordination with Other Institutions
  • Advisory Body
  • Invites other institutions working on capacity
    building for climate change UNFCCC, UNDP, UNIDO,
    WB, ADB
  • CF Assist-WB has shown a strong interest in the
    coordination of NSS program and ours use their
    outputs, inviting each other to workshops, share
    materials and tool kits
  • ADB is also ready to cooperate but need a little
    more concrete discussion

Observations Concluding Remarks
  • Different countries at different stages
  • All countries are keen on taking advantage of CDM
  • Synergies among participating countries desirable
  • Academic and practical approaches together
  • An opportunity not just for the CDM but for the
    long-term sustainable development of the nation