CD4CDM Review of Workshop 1 ….innovating energy solutions…. KITE, SSN & UNEP

Workshop 1-Review Content 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 Adopted in 1997 under the UNFCCC Set binding emission reduction targets for developed countries – average of 5% below 1990 levels. Set binding emission reduction targets for developed countries – average of 5% below 1990 levels. Targets are to be achieved by “first commitment period”. Targets are to be achieved by “first commitment period”. 3 “Flexible Mechanisms” 3 “Flexible Mechanisms” - Emissions Trading, - Clean Development Mechanism (CDM) - Joint Implementation (JI) - Joint Implementation (JI) Developing countries don’t have targets for the “first commitment period”. Developing countries don’t have targets for the “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 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 Flexible mechanisms helps reduce cost of meeting targets and creates an incentive to maximize reductions GHG gases: CO 2, CH 4, SF 6, N 2 O,HFC, PFC GHG gases: CO 2, CH 4, SF 6, N 2 O,HFC, PFC ….innovating energy solutions….

The CDM Guiding principles 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” ….innovating energy solutions….

Modalities and Procedures of the CDM p/English/mpeng.pdf p/English/mpeng.pdf Definitions Definitions Role of the COP/MOP Role of the COP/MOP Executive Board Executive Board Accreditation & Designation of Operational Entities Accreditation & Designation of Operational Entities Designated Operational entities Designated Operational entities Participation requirements Participation requirements Validation and registration Validation and registration ….innovating energy solutions….

Modalities and Procedures of the CDM (cont’d) Monitoring Monitoring Verification and certification Verification and certification Issuance of CERs Issuance of CERs Appendix A: Standards for accreditation of Operational Entities Appendix A: Standards for accreditation of Operational Entities Appendix B: Project design document Appendix B: Project design document Appendix C: Terms of reference for establishing guidelines on baselines and monitoring methodologies Appendix C: Terms of reference for establishing guidelines on baselines and monitoring methodologies Appendix D: Clean development mechanism registry requirements Appendix D: Clean development mechanism registry requirements ….innovating energy solutions….

The Additionality Tool -Steps Start date Start date Identification of alternatives Identification of alternatives Investment analysis Investment analysis Barrier Analysis Barrier Analysis Common Practice Common Practice Impact of registration as a CDM Project Impact of registration as a CDM Project ….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 Good Governance, Poverty reduction, Creating employment, Creating economic opportunities, Equitable access and utilisation of resources, Skill and expertise development, Access to affordable energyEconomic Promote economic growth, Promoting Investments, Provide macro economic benefits, such as foreign exchange generation, Equitable access and participation to economic opportunities Promote economic growth, Promoting Investments, Provide macro economic benefits, such as foreign exchange generation, Equitable access and participation to economic opportunitiesEnvironmental Improve local environment, Local air quality, Environmental health issues, Sustainable forests management, Development of environmental friendly technologies, Improve local environment, Local air quality, Environmental health issues, Sustainable forests management, Development of environmental friendly technologies, ….innovating energy solutions….

Ghana Approval Process Submission of Pin Review by Members of CDMGC/Ad-hoc committee LNO issued Prepare PDD Submit verified PDD Review by CDMCG/AC Rejection/clarific ation Issue LOA Develop project

DNA Organizational Structure Minister MES EPA CDM Governing council Project Developers UNFCC Secretariat/ EB AD Hoc technical Com.

Conclusion Looks like a tough nut to crack Looks like a tough nut to crack Yes,.. But it can be done if you have the right tools. Yes,.. But it can be done if you have the right tools. CD4CDM is about providing the right tools CD4CDM is about providing the right tools Ultimately you decide how use it Ultimately you decide how use it

END