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CD4CDM Review of Workshop 1 KITE, SSN & UNEP KITE ….innovating energy solutions…. Workshop 1-Review • Content – CDM Modalities and Procedures – CDM Project Appraisal – PIN Preparation – Testing for Additionality – Sustainable Development Impacts – DNA Structure and Approval Process The Kyoto Protocol • Adopted in 1997 under the UNFCCC • Set binding emission reduction targets for • • • developed countries – average of 5% below 1990 levels. Targets are to be achieved by 2008-2012 - “first commitment period”. 3 “Flexible Mechanisms” - Emissions Trading, - Clean Development Mechanism (CDM) - Joint Implementation (JI) Developing countries don’t have targets for the KITE “first commitment period”. ….innovating energy solutions…. How does CDM Work? Objective: – Assist developed countries (Annex 1) achieve compliance with KP targets – Assist developing countries achieve sustainable development • Greenhouse gases mix uniformly in the • atmosphere - so it does not matter where you reduce them Flexible mechanisms helps reduce cost of meeting targets and creates an incentive to maximize reductions • GHG gases: CO2, CH4, SF6, N2O,HFC, PFC KITE ….innovating energy solutions…. The CDM • Guiding principles – Voluntary participation – Real, measurable and long-term benefits related to mitigation of climate change – Reductions must be additional to any that would occur in the absence of projects activity “The COP was to elaborate modalities and procedures with the objective of ensuring transparency, efficiency and accountability through independent auditing and verification of project activities” KITE ….innovating energy solutions…. Modalities and Procedures of the CDM http://cdm.unfccc.int/Reference/Documents/cdmm p/English/mpeng.pdf • • • • • • • Definitions Role of the COP/MOP Executive Board Accreditation & Designation of Operational Entities Designated Operational entities Participation requirements Validation and registration KITE ….innovating energy solutions…. Modalities and Procedures of the CDM (cont’d) • • • • • • • Monitoring Verification and certification Issuance of CERs Appendix A: Standards for accreditation of Operational Entities Appendix B: Project design document Appendix C: Terms of reference for establishing guidelines on baselines and monitoring methodologies Appendix D: Clean development mechanism registry requirements KITE ….innovating energy solutions…. KITE ….innovating energy solutions…. The Additionality Tool -Steps • Start date • Identification of alternatives • Investment analysis • Barrier Analysis • Common Practice • Impact of registration as a CDM Project KITE ….innovating energy solutions…. DNA Approval-SD Criteria Social • Good Governance, Poverty reduction, Creating employment, Creating economic opportunities, Equitable access and utilisation of resources, Skill and expertise development, Access to affordable energy Economic • Promote economic growth, Promoting Investments, Provide macro economic benefits, such as foreign exchange generation, Equitable access and participation to economic opportunities Environmental • Improve local environment, Local air quality, Environmental health issues, Sustainable forests management, Development of environmental friendly KITE ….innovating energy solutions…. Ghana Approval Process Rejection/clarific ation Submission of Pin Develop project Review by Members of CDMGC/Ad-hoc committee Issue LOA LNO issued Review by CDMCG/AC Rejection/clarific ation Prepare PDD Submit verified PDD DNA Organizational Structure Minister MES EPA UNFCC Secretariat/ EB CDM Governing council AD Hoc technical Com. Project Developers Conclusion • Looks like a tough nut to crack • Yes,.. But it can be done if you have the right tools. • CD4CDM is about providing the right tools • Ultimately you decide how use it END