Transcript Outline

Session 2: CDM Project Cycle Validation and Registration of CDM Projects

Training-Workshop to support the “Uganda Municipal Waste Compost Programme” 21 - 24 Oct 2013, Mukono Municipality, Uganda

Nashib Kafle, Associate Programme Officer

UNFCCC secretariat, Sustainable Development Mechanisms programme

Outline

• CDM Project Cycle • Project Design Document (PDD) • Baseline • Additionality • Monitoring • Validation process • Registration process

CDM Project Cycle

Step Project design National approval Validation Registration Monitoring Verification / certification Issuance of Certified Emission Reductions (CERs) Who’s responsible Project Participant DNA DOE CDM EB Project Design Document (PDD) & Host Country Approval Project Design Document (PDD) Validation & Request for registration

Project Design Document (PDD)

WHAT?

• Document that describes about the project, project participants, baseline, additionality and monitoring plan. • Prepared using the standard forms available in the UNFCCC CDM website.

WHO?

Project participant

prepare the PDD

WHY?

• PDD is the key document required for validation, registration and stakeholder consultation.

• DNAs may also review PDD when issuing letter of approval.

Elements of Project Design Document (PDD)

• Section A: Description of project activity • Section B: Application of selected approved baseline and monitoring methodology • Section C: Duration and crediting period • Section D: Environmental impacts • Section E: Local stakeholder consultations • Section F: Approval and authorization Appendices • Contact information of project participants, information on public funding, further details on emission reduction calculations and monitoring

Key elements in PDD

PDD Stakeholders and Environmental Impact

Baseline

• Scenario that reasonably represents GHG emissions that would have occurred in the absence of the proposed project activity

GHG emissions

• Difference between the

baseline emissions

and

project emissions

(after implementation of CDM project) is the

emission reduction

achieved by the project.

• Baseline is established on a project specific basis using the approved methodology.

Emission reductions

Without CDM Project With CDM Project

Time

Additionality

• A CDM project is additional if GHG emission are reduced below those that would have occurred in the absence of the registered CDM project activity Prior consideration of CDM New Project Activities (After 2 August 2008) • PP must inform DNA and UNFCCC in writing about the commencement of project and intention to seek CDM status • Should be done within 6 months of project start date • Not necessary if PDD is published before project start date Existing Project Activities (Before 2 August 2008) • Demonstrate that CDM was seriously considered in the decision to implement the project activity • Evidence may be contracts with consultants, ERPA, submission of new methodology etc.

• Assessment of real and continuing actions

Additionality demonstration (1/2)

Large scale projects

• Demonstrated using the

Additionality tool

a) b) c) Investment analysis (e.g. simple cost, investment comparison, benchmark) Barrier analysis (e.g. barrier that prevent the implementation of project activity) Common Practice analysis

Small scale projects

• Project up to 15MW or energy saving of 60GWh/yr or methane avoidance/ destruction of less than 60ktCO2/yr • Demonstrate using the barrier (e.g. investment, technological, prevailing practice etc.) • Projects in

positive list

of technologies are

automatically additional

   Solar technologies, offshore wind, wave, tidal Biomass gassification/biogas – Up to 15MW capacity Micro/pico hydro or wind or PV-wind hybrid or geothermal – Individual units up to 100kW – Individual units up to 100kW

Additionality demonstration (2/2)

Micro-scale project activities

• Project up to

5MW

or energy saving of

20GWh/yr

or methane destruction of less than

20ktCO2/yr Automatically additional

if  Located in LDC/SIDS or special underdeveloped zone of the host country  Off grid project supplying energy to households/communities  Distributed energy generation (each system less than 1500kW and end users are households/communities/SMEs)  Specific renewable energy technology/measures recommended by host country DNA  Isolated units (no larger than 5% of small scale threshold) where the technology/measures are households/communities/SMEs

Monitoring

Objective of monitoring plan • Collecting and archiving all relevant data necessary for determining the baseline emissions, project emissions and leakage Elements of monitoring plan • Operational and management structure • Responsibilities and institutional arrangement for data monitoring. recording and archiving • Quality assurance and quality control (QA/QC) procedures • Uncertainty levels, methods and accuracy level of measuring instruments • Specification of the calibration frequency for measuring equipment • Sampling plan and method if sampling is used to monitor parameters

Monitoring Plan

Include all data, parameters and related information required by applied methodology • Parameters fixed ex-ante (no need to monitor) • Parameters to be monitored Data / Parameter Unit Description Source of data Value(s) applied Measurement methods and procedures Monitoring frequency QA/QC procedures Purpose of data Additional comment

Validation of CDM project activity

• Process of independent evaluation of a project activity by

Designated Operational Entity (DOE)

against the requirements of the CDM •

DOE

is either a domestic legal entity or an international organization

accredited and designated by the CDM Executive Board (EB)

• Currently there are

42 DOEs

accredited for different sectoral scopes.

• • • •

Principles for validation and verification

Independence Ethical Conduct Fair Presentation Due professional care

Key Elements of Validation

10.

Stakeholder Consultation 9.

Environmental Impacts 1. Approval LoA 2.

Participation 3. Sustainable Development 8.

Monitoring Plan

Key Elements of Validation

7.

Additionality 6. Baseline and Monitoring Methodology 4. Compliance of the PDD 5. Project Description

Validation Process

Submission of PDD to DOE Publication of PDD in UNFCCC website Desk Review of project activity Site visit and Interviews Draft of technical review Feedback and clarifications Receive responses Final Technical Review Request for registration • DOE submits the

Validation Report

(with positive validation opinion) and supporting documents through dedicated interface on the UNFCCC CDM website • Secretariat issue unique reference number for the submission and a statement of the registration fee due • No fee for project activities and PoAs hosted in LDCs • Upon receipt of payment, the secretariat schedule the commencement of the processing of the request for registration in accordance with secretariat's operation plan

Registration of CDM project activity

Completeness Check (CC):

Check the completeness and consistency of the documents •

Information and Reporting Check (I&RC):

Check in accordance with the I&RC Checklist for request for registration published in UNFCCC CDM website.

Summary Note (SN):

Secretariat prepare and send the summary note to CDM EB

Automatic Registration 58 days 7 days 23 days 14 days 14 days Commencement CC finalized Summary Note preparation Period to Request for Review I&RC finalized Request for Review

by a party involved in CDM project or at least 3 EB members

Thank you Thank you