Transcript The Southsouthnorth Project

The CDM and Local
Sustainable Development
The CDM Point of Departure
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CDM is the first multi-lateral trade mechanism
insisting on Sustainable Development in article
12 of KP “…assist Parties not included in Annex
1 in achieving Sustainable Development and
contributing to the ultimate objective of the
Convention….”
CDM assists Annex 1 countries in meeting their
emissions reduction targets in return for income
for credits derived from projects that contribute
to sustainable development
Assessment of CDM objectives
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An accredited DOE verifies the reduction
in emissions resulting from a CDM project
activity
The determination of the SD contribution
is left to the host country government.
Is the CDM delivering on SD?
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Slack SD rules to attract CDM related FDI
Current CDM pipeline dominated by high
yield (HFC, CH4,N2O) low abatement cost
projects, with low SD contribution.
Renewable energy, energy efficiency, etc.
are marginalised as uncompetitive in CDM
market.
Current overview
Project
Status
Tonnes CO2e
Landfill Gas
PDD
3,204,032
Hydro-electric Power
PIN
215,512
Fuel Switching
PIN
203,064
Landfill Gas
PDD
1,009,200
Industrial Energy Efficiency
PIN
12,400,000
N2O Reduction
PIN
4,360,000
Fuel Switching
PDD
518,840
Thermally Efficient Housing
PDD
44,024
Total Tonnes CO2e reduced between 2005 & 2012
21,954,672
Kuyasa Thermal Efficiency in Lowincome Housing: Project Scope
Retrofit 2309 low-cost houses in
Kuyasa, Khayelitsha with:
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Insulated ceilings,
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solar water heaters and
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CFL’s (energy efficient lighting)
Thermal Efficiency Upgrade
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The Kuyasa project pre-empts a rise in domestic electricity use in low
income urban areas in South Africa through the installation of renewable
energy and energy efficiency interventions
This required the establishing of a baseline that takes into account the
suppressed demand for energy services as a result of energy poverty and
lack of energy infrastructure
The registerstration of the project as a CDM project will enable it to access
carbon revenues to subsidise the capital expenditure. Its Gold Standard
rating ensures a premium ito the price it is able to command.
The project has numerous benefits including reduced expenditure on space
heating, water heating and lighting, a reduction in respiratory health
impacts, and the creation of employment opportunities
BENEFITS
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Alleviates energy poverty through
access to affordable, renewable
energy and energy efficiency
measures
Saves R600/hh/annum in energy
costs: reduced expenditure on space
heating, water heating and lighting,
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Creates over 100 person years
employment
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Improves health conditions
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Improves local air quality
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Reduces peak energy demand
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reduction in respiratory health
impacts
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Benchmark for replication
internationally
Project Benefits
South Africa
Western Cape
City of CT
Kuyasa
The Public Sector and CDM
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Financial barriers: the need for bridging
finance and working with public mony in a
speculative environment
Legal & institutional: legislation, bureaucracy,
inflexibility, lack of capacity to manage risk
Dedicated Resources: climate change action
vs. development objectives
Policy vacuum: NCCRS not translated to the
local level.
Ensuring SD in CDM
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Project Developers: Maximise southern benefits
through selection of projects, choice of investors (CER
buyers), and timing transactions.
DNA: Establish robust SD criteria, in line with country
dev. priorities for project appraisal. Provide effective and
enabling framework for project approval.
Public Sector and Public Sector Partnership: How
do we incentivise the private sector to undertake
emissions reductions in renewable energy and energy
efficiency in sectors crucial to SD
Civil Society: Vigilance in appraisal of DNA decisions
Thank you,
[email protected]
Website:
www.southsouthnorth.org
www.cdmguide.com