US-China Partnership for Climate Action Presentation to USAID March 2010

2 ISC’s Focus Areas: Environmental management/ Resource efficiency Effective local climate action Institutional development Citizen engagement and community mobilization Advocacy & Leadership Public-private partnerships WRI’s Focus Areas: Creating sustainable enterprises and opportunities Protecting the climate system Protecting the earth’s living systems Empowering people and strengthening institutions

ISC’s Work in China: Guangdong Environmental Partnership BUSINESS – Expands pool of qualified environment, health & safety managers to increase compliance and meet energy efficiency targets GOVERNMENT – Strengthens provincial/municipal environmental governance and enforcement capacity COMMUNITIES – Develops community-based energy efficiency initiatives SCHOOLS – Educates the next generation in sustainable development

WRI’s Climate work in China: Building Understanding and Capacity Promoting Technology Development –Carbon Capture and Storage Regulatory Guidelines in partnership with Tsinghua University –Renewable Energy Deployment Promoting a Global Agreement –Technology Deployment Case Studies to inform the International Agreement –MRV and the China Context Disseminating and implementing GHG Protocol standards and tools –To inform the design of effective business and Government programs and policies to combat climate change

5 PCA Program - Goals Achieve significant, meaningful and lasting reductions in GHG emissions in China, by: building the capacity of high-emitting industries, the power sector, and selected cities, to: – measure and reduce GHG emissions – take energy efficiency actions. To be:

6 PCA Program - Overview Three-year, $6 million cooperative agreement –1:1 additional private leverage is anticipated Program designed to address priorities of the US-China cooperation on energy and climate: –Improving energy efficiency and conservation –Quantifying and reducing GHG emissions Key Expected Outcomes: –Significant GHG emissions reductions –Innovative public-private partnerships –Platform for scaling-up, replicating, & sustaining successes

7 PCA Program - Key Elements USAID led cooperation initiative Public-private partnership Focus on scaling up energy efficiency and GHG measurement/mitigation Three program components: Industries, Power Sector, Cities Two Provinces: Jiangsu, Guangdong

8 Guangdong Jiangsu Two of China’s Industrialized Provinces

9 PCA Program - Targets Targets: >6.6 M tons of CO 2 equivalent reduced >17.2 TWh of energy saved >Equivalent to removing all 120,000 taxis in Beijing and Shanghai from the street for 3 years GHG Emission Reduction GHG (x10 6 MtCO 2e )

10 PCA Program - Partners & Supporters Implementing Partners: Funders:

11 Component 1: Industry: Clean Energy & GHG Accounting Train >4,000 factory managers per year in EE & GHG management; Field test, customize and disseminate new GHG Protocol standards & tools; Establish a national certification protocol to include EE/GHG in collaboration with the Ministry of Human Resources & Social Security. Combine training resources of ISC’s EHS Academies in Guangdong and Jiangsu with WRI’s global leadership in GHG accounting & measurement to:

12 Component 2: Power Sector: Driving Energy Efficiency Establishing DSM, public finance, and behavior campaigns by sharing leading US utility practices; Scaling-up the Efficiency Power Plant model in terms of dollars invested and TWh of capacity; Building capacity in industrial sectors to identify and secure EE/RE financing. Leverage existing projects in the power sector by:

13 Component 3: Cities: Low-Carbon Urban Development Training and mentoring cross-agency teams; Focusing on scaling-up building retrofits, cutting vehicle traffic, systematic GHG accounting and integrated solutions; Linking Chinese practitioners with U.S. counterparts and leading global practitioners; Building capacity of three Chinese partners to serve as learning and networking hubs. Promoting low-carbon urban development by building capacity for effective local climate and energy action by:

14 Expanding Public-Private Partnerships Chinese Government/Policymaking bodies US DOE, US EPA, State Department, Commerce Strategic and Economic Dialogue International NGOs Private foundations Multinational companies Multilateral donors Energy efficiency counterparts in the U.S.

15 Key Milestones To Date Program office established and registered, program team in place, engaged key international and Chinese implementing partners Secured the support of senior provincial government agencies in Guangdong and Jiangsu Conducted workshops in Beijing and Guangzhou to document Chinese input to draft GHG Protocol Standards for Products and Supply Chains Developed comprehensive, 4-day cross-industry GHG accounting training course for Chinese enterprises Identified and vetting 6 finalist candidates for EHS Academy in Jiangsu Established agreement with Southern China Grid company to implement Green Action Plan, scale up Efficiency Power Plant On track to implement first Climate Leadership Academy for Chinese cities in July 2010

16 Challenges/Opportunities Chinese Government Support & Sensitivities Needs are Massive and Immediate USG Coordination

Questions?