1. Joint Implementation A Parties and Buyers Perspective
Alexandra Amerstorfer
Austrian JI/CDM Programme
Joint Implementation
A Parties and Buyers Perspective
UNFCC Technical Workshop
on Joint Implementation
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2. Importance of Joint Implementation
Many Annex I countries have established or are planning to
establish acquisition programmes for ERUs and CERs
EU ETS and Linking directive gave a new impulse to the market,
demand has increased from private sector
Estimates exist for overall demand for project based credits,
but difficult to split into JI and CDM demand
Estimated supply 2.1 billion tonnes CERs and ERUs (88% CDM,
12% JI) until 2012 (Source: Point Carbon)
European companies and carbon funds most active buyers of CERs. Governments most active buyers of ERUs

3. Advantages of JI versus CDM
JI host countries established markets for many European companies
(higher additional economic benefit)
ETS: Daughter companies in JI countries provide opportunity for emission reductions
Track 1 less complicated than CDM, if requirements are met

4. Disadvantages of JI versus CDM
Double counting provision in Linking directive limits use of JI by
EU countries in new EU members
Some – not all – new MS have held up approval of JI projects
Risk of eliminating JI in EU MS by establishing very restrictive double counting rules?

5. How to compensate disadvantages of JI
Simplify JI by using Track 1 – still uncertain course for most of the
host countries
Give as soon as possible certainty about Track 2 – not restrict investments to Track 1 countries!
Establishment of Green Investment Schemes

6. Disadvantages of Track 1
JI Track 1 versus Track 2
Advantages of Track 1
Higher Flexibility
Lower Transactions costs
Baseline standardisation (multi-project baselines,...)
No Supervisory Committee "Risk"
Disadvantages of Track 1
Different standards are applied to projects (depending on Host
countries)
How binding are LoAs of Host Countries?

7. Disadvantages of Track 2
JI Track 1 versus Track 2
Advantages of Track 2
One single standard is applied to projects
Higher international credibility of the JI-projects
ERUs are not considered for the commitment period reserve
What do to if host country "looses" eligibility criteria for Track 1?
Disadvantages of Track 2
Uncertainty regarding Supervisory Committee Decisions (Accreditation of Independent Entities, Baseline and Monitoring Methodologies)
Time consuming development (adaption) of Guidelines

8. Expectations (1)
Implementation of a fast and efficient procedure for JI-projects!
Accreditation
Accreditation procedures for IEs
Acceptance of DOEs as IEs should be "easier" for them
Provisional acceptance of DOEs as IEs: impact on projects? - regulations for transition
"Early Mover" Projects
Adaption of the PDD to the new JISC-PDD?
Validation: Should be a difference if done by an accredited DOE or not
Timeframe and costs

9. Expectations (2) Baseline Setting Small Scale JI-Projects Ressources
Sectoral baselines – simple procedures
GIS as alternative?
Ressources
Costs/Fees
PROVIDE as MUCH SECURITY and CERTAINTY on
JI-PROCEDURES and REQUIREMENTS
as FAST as POSSIBLE to the MARKET!

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Alexandra Amerstorfer
Phone: ++43/(0)1/
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