1. Estonia’s strategies regarding Joint Implementation and Green Investment Scheme Eve Tamme Estonian Environment Information Centre

2. Contents Estonia’s JI strategies Risk management JI vs GIS in Estonia Prices UNFCCC Technical Workshop on JI Bonn 13-14.02.2007

3. Historical CO 2 emissions Estonia is HOST country in JI UNFCCC Technical Workshop on JI Bonn 13-14.02.2007

4. Estonia’s JI strategies JI is one way to promote and support energy efficiency, renewable energy etc Due to double counting issue in EU ETS difficult to implement totally new projects –Projects included in JI set-asides in NAP2 can be implemented To use Track 1 when eligibility requirements are met –Mainly for possibility to use domestic verifiers  less costs for project developers UNFCCC Technical Workshop on JI Bonn 13-14.02.2007

5. Designated JI Focal Point Ministry of the Environment Narva mnt 7a, 15172, Tallinn, Estonia Ms Karin Radiko Environmental Management and Technology Department Ambient Air and Radiation Safety Bureau Phone: +372 6262 977 Fax: +372 6262 801 E-mail: Karin.Radiko@envir.ee UNFCCC Technical Workshop on JI Bonn 13-14.02.2007

6. Risks for participating lay mainly on project developers –ERPA Draft Electricity Market law –Sets limits for how much electricity can be sold to the grid No risk assessment conducted or mitigation tools developed by country –Problems with transactions are not foreseen at the moment (as long as GHG trading registry is online) –No problems with surplus AAUs, due to recalculations in our GHG inventory we are even more below our Kyoto target Risk management UNFCCC Technical Workshop on JI Bonn 13-14.02.2007

7. JI procedure is much more complicated than GIS –JI procedure quite firmly guided by UNFCCC Only Track 1 gives some flexibility –GIS can be developed by country itself taking into account domestic circumstances, administrative network etc – NO NEED FOR STRICT GUIDELINES!! Parties involved will make sure that the system is well regulated and risks minimised JI vs GIS in Estonia UNFCCC Technical Workshop on JI Bonn 13-14.02.2007

8. Prices in JI have usually been between 4 and 10 EUR per ton of CO2 eq As the system is getting stronger and for new projects crediting period starts sooner the average price will probably rise –Track 1 is more flexible Prices in GIS should be higher as much less risks are involved –Not all countries with surplus AAUs will implement GIS –Post 2012 commitments (2020, 2050) huge targets when comparing to Kyoto... Possible need to transfer AAU-s to the next periods for compliance Prices UNFCCC Technical Workshop on JI Bonn 13-14.02.2007

9. Thank You! CONTACT: Eve Tamme Eve.Tamme@ic.envir.ee +372 673 7582 Estonian Environment Information Centre Climate and Ozone Bureau www.keskkonnainfo.ee