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Workshop on sharing best practices with conducting TNAs Bangkok, Thailand, 27-29 June 2007 The lessons learned and best practices with conducting the TNA of Viet Nam Mr. Nguyen Mong Cuong Research Center for Climate Change and Sustainable Development Outlines 1. Introduction 2. Technology needs assessment processes 3. Some lessons learned Conclusion 1. Introduction Viet Nam (8º27-23º23 N and 102º08-109º30 E) with the land area of 330,990 km2 located in Southeast Asia. Three quarters of the land is mountainous and hills with the elevation mostly from 100 to 1000m. The population of Viet Nam was 77,6 million (2000) with average annual growth rate of 1.36% It is predominantly an agricultural country with 74% of its population are involved in agriculture, 7.4 million ha of agricultural lands. The forest areas are 9.3 million ha, forest coverage increases from 27% in 1991 to 33.2% in 2000. The average annual GDP growth rate was 7.5% during 1990-2004. GDP per capita (2004) 560 USD Sectoral contribution to GDP (2000): Industry: 36.7% Services: 38.7% Agriculture, Forestry, Fishing: 24.5% Min istr y o f n a tur a l r eso ur c es a n d en v ir o n men t o f v iet n a m UN EP/GEF project "V iet N am: Expedited financing for measures for capacity building in priority areas (phase I I )" Technica l report on the identifica tion a nd a ssessment of technology needs for GHG emission reduction a nd clima te cha nge a da pta tion in Viet Na m Ha Noi, November 2005 1. Introduction (Cont’.) Viet Nam ratified UNFCCC on 16 November 1994 and Kyoto Protocol on 25 September 2002. MONRE was assigned by the GOV as a national authority for implementation of the UNFCCC & KP. INC has been submitted to UNFCCC on 2003; under phase II of INC project “The technical report on identification and assessment of technology needs for GHG emission reduction and climte change adaptation in Viet Nam“ has been submitted on 2005 2. Technology Needs Assessment processes • • • • The Project “Expedited financing for measures for capacity building in priority areas in Viet Nam (Phase II)” This project is a follow-up to the Initial National Communication project The Implementing Organization: International Cooperation Department (ICD) of the Ministry of Natural Resources and Environment (MONRE) Duration: July 2004 – September 2005 The objective of the project: enhance capacity and maintain the efforts to access and disseminate information related to climate change technologies. Three types of activity are required for effective TNA 1. Institutional arrangements for stakeholder engagement 2. TNA assessment processes 3. Implementation actions The institutional arrangement of INC Phase II project management Ministry of Natural Resources and Environment International Cooperation Department (ICD) Climate Change Country Team Climate Change Project Managers GHG inventory Group Mitigation Group Secretariat Staff Technical Expert Team V &A Group Identified a list of stakeholders who will sustain the implementation process Organization MONRE MOI MOST MPI MOFA MOF MARD MOT Provinces and cities Sub - bodies International Cooperation Dept. National Environment Agency Environment Dept. Dept. of Hydrometeorology National HMS Dept. of Energy & Petroleum Dept. of Science&Technology Dept. of Science&Technology of industry Dept. of Science&Technology of Agriculture & forestry Dept. of Science, Technology, Education and Environment Dept. of International organizations Dept. of International Cooperation Dept. of Agriculture Dept. of Forestry Dept. of Science &Technology Vietnam Register Role National Focal Point Agency Environment monitoring Environment management Hydrometeorology management Climate change monitoring Energy, RE management EE & ES management Science&Technology development in Industry Science&Technology development in Agriculture &Forestry Project validation Focal Point of foreign policies Financing policies, fund, finance incentives Agriculture, forestry and rural development Environment management in transport Gases pollution control of transport means Local management Identified sector industries, associations, and distributors involved Enterprises Sub bodies Role Dept. of Science& Technology New tech. introduction Regional Companies Elec. Transmission and distribution Dispatching Center Data Power plants End users Dept. of Science&Technology New tech. introduction Cement plants End users Dept. of Science&Technology New tech. introduction Steels plants End users Dept. of Science&Technology New tech. introduction Coal mines End users Dept. of Science&Technology New tech. introduction Petro companies End users Dept. of Science&Technology New tech. introduction Paper & pulp Mills End users State owned at National level ENV Cement Corporation VINA Steel VINACoal PetroVietnam VINA Paper Identified sector industries, associations, and distributors involved (cont’) Enterprises Sub bodies Role Other Entities Provincial level Companies - Domestic companies Private sectors End users End users - Foreign invested companies - Joint venture companies - State banks Finance Financing - Private and foreign banks - Funds Foreign counterparts - Carbon funds - Investors - Carbon buyers Co-project developers Criteria for technology needs assessment Code Key criteria A Environment protection B Economic development C Good social impacts D Technology Development Sub- criteria Criteria content A1. GHG reduction potential The study is specialized in GHG reduction technologies A2. Local environment Reduction of solid waste, liquid waster quality and air pollution A3. Biodiversity and Mineral, water, land, forest and bioresource conservation resources B1. Initial investment Specific investment - Low investment per product B2. Payback period High IRR B3. Low O&M cost and National circumstance intensive C1. Good impacts to Improving local education, health care, socioeconomicjob creation, poverty reduction, etc. development of locals C2. Less barrier on Good public acceptance and participation prevalence practice, psychology C3. Contributions to science Better tech. transfer, localization, & technology capacity manpower development. D1. Advanced but Mature commercialization. No second established tech. hand and high adaptability D2. Appropriate tech ( but Effective deployment, O&M, exploitation established) D3. Up scaling tech. Easy apply and dissemination Key priorities sectors for technology needs Sectors 1. Energy production and refining of fuel ( including power generation) 2. Industry 3. Transport 4. Household & Service 5. Agriculture 6. Forestry Sub-sector’s activities 1. Energy production; 2. Energy transmission and distribution; 3. Production, refining, storage and transportation of oil and gas; 4. Fugitive gas and gas recover; 5. Renewable energy application 1. Ferric and non-ferric metallurgy; 2. Building materials production; 3. Ore-free mineral products; 4. Chemical industry; 5. Food industry; 6. Textile Road; Railways; Water transport Usage of electrical energy and heat 1. Rice cultivasion; 2. Manure management; 3. Residues 1. Reforestation; 2. Afforestation No of Technologies reduction GHG emissions have been analyzed Items Sectors Energy 1.Electricity generation 2.Industry 3.Household and Services 4.Transportation Non-energy 1. Agriculture 2. Forestry No. of technologies 23 20 9 9 10 14 Priority Technologies identified in the project Energy 1.Solar heating technology 2.Small and medium hydropower 3.Grid-connected biomass-fired for electricity generation 4.High efficiency fire - chamber technologies for coal - fired thermal power plants. 5.Combined cycle gas turbines 6.Switching from oil, coal fired to gas in the thermal power plants. 7.Clean Coal technology 8.Oil field associated gas recovery and utilization 9.Reduction the electricity loss in transmission and distribution Industry 1. Change from west to dry process in cement production 2. In brick production: Vertical shaft brick kiln; and Dry cellar and tunnel fire one uninterrupted channel in brick production 3. BOF exhaust gas recovery device; BOF: basic Oxygen Furnace 4. Raw material preheated for electric arc furnace Household and services 1.Compact lighting technology using compact lamp 2.High energy efficiency air conditioner, EER>10BTU/W 3.Using central air conditioning systems 4. Biogas for cooking and electric generation Transportation 1. Implementing the road map of exhaust gases standards for road transport means 2. Constructing and operating the public railway system 3. Developing the public transport system (bus), limiting the number of motto-scooter/motorcycle in the big cities 4. Using LPG for the transport means in Vietnam Agriculture 1. Water management from rice field 2. Livestock feed processing and modification 3. Rational application of fertilizer Forestry 1. Forest conservation, reforestation, afforestation 2. Mechanization of timber processing and logging 3. Forest fire reduction Some adaptation technologies to Climate change on sectors of Agriculture, Water resources, Coastal zone management has been analyzed, however it is primary and has not comprehensive due to lack of data, information and expertise's. One Example: GHG reduction technologies in steel production Identification of technologies Technology Saving Investment Age 1. DC arc furnace use water to cool the furnace wall 5-10% electricity 40-50% electrodes Data not avail. 1990 12-13% 1MUS$ 1000kg/hr 1979 While reduction 1% humidity, saving 18,000Kcal/Tcoal 18MUS$ 3.2MT/year 1983 250Mcal/Tsteel 18MUS$ 250T/hr 1962 70Mcal/T 8MU$ 150T/shief 1981 10-30% 0.25MUS$/pair 1990 7. Ladle heating apparatus with regenerative burners 56% 1.2MUS$ 1990 8. Energy saving operating electric arc furnace 13% Data not avail. 1980 2. High frequency melting furnace 3. Drying and humidity control equipment for refine coke oven 4. BOF exhaust gas recovery device BOF: Basic Oxygen Furnace 5. Raw material preheated for electric arc furnace 6. Heating furnace with regenerative burners One Example: GHG reduction technologies in steel production Technology needs Assessment Technology 1. BOF exhaust gas recovery device. BOF: basic Oxygen Furnace 2. High frequency melting furnace 3. Raw material preheated for electric arc furnace 4. Drying and humidity control equipment for refine coke oven Tech. parameters Energy saving 80kWh/t 12.5% 70Mcal/t 306 MCal/t coal Cost 18 MUSD/ 200t per hour 1MUSD/ 1t per hour 8MUSD/ 150t per batch 18 MUSD/ 3Mt/year 2005-25 accumulated CO2 reduction of whole sector, MtCO2eq. Refurbishment Reduction cost USD/tCO2 Refurbishment 0.991 - 48.6 1.084 312.7 0.638 - 44.4 0.157 8.6 The barriers identified in TNA processes Items Barriers analysis Inadequate access to technical and financial information and poor Information dissemination of information to technology users. Difficulty for small and medium firms to access technology information Insufficient level of public awareness for intensive activities on CC technology for GHG emission reduction Lack of information about potential market of technologies for investors Technological Inadequate infrastructure, lack of technical standards and supporting institutions, low technical capabilities and technology knowledge base... Lack of technological maintenance. Lack of human resources that can provide consultancy on TNA and technology transfer of climate change adaptation. Market Lack and absent of technology market on GHG reduction and CC adaptation. Institutional Inadequate legal, regulatory and institutional frameworks. Insufficient support at the local level for encouraging energy efficient projects, etc. Lack of joint stakeholder networking and planning Poor coordination among donors and within the country Financial Undeveloped system of environmental funds. Lack of financial, tax and tariff policies on EST transfer project. Deficiency of capital for updating technologies and environmental measures. Lack of involvement of national banks in EST technology transfer. 3.Some lessons learned + TNA will be most successful when they focus on technologies and actions that meet national development goals while also responding to climate change concerns, and when implementation actions complement existing development programs. + Effective TNA should actively engaged all key stakeholders, including government agencies, businesses, technical institutions, and international partners in the selection of technology priorities and design of actions to overcome barriers to technology implementation. + It is necessary to build or strengthen the human, scientific, technical and institutional capacity for identifying, designing, developing, monitoring, evaluating and hosting technological projects, including targeted research projects, for bilateral and multilateral funding + The main outputs of the TNA project will be the good and important input of Viet Nam’s SNC project, as expected result a draft action plan framework for the transfer and adoption of ESTs will be prepared during the implementation of SNC Conclusions + TNA help Viet Nam to identify their climate change adaptation technology transfer priorities and develop effective strategies to address them. It can be powerful instruments for focusing the attention of government agencies, the international donor community and private sector investors on a well-defined set of priority activities. + Strengthening the technical and financial support on TDT for reducing GHG emission and adaptation to CC from International and donor countries is necessary; and should be as part of commitments by developed countries. Thank you for your attention ! For more information please contact: Climate Change Project Office No.45 Tue Tinh Street, Ha Noi, Viet Nam Tel: 844 – 9743195; Fax: 844 – 9743200 Email: [email protected] or [email protected] Website: www.noccop.org.vn