Green Transport and the Carbon Market. Making the connection. September 2011

Green Transport and the Carbon Market.Making the connection.

September 2011

© 2011 Deloitte Touche Tohmatsu Limited

The Agenda

• The Carbon Market

• State of Energy Report - City of Joburg

• Rea Vaya BRT and the Carbon Market

• Other Initiatives – SANERI’s Green Transport Centre

2

1. The Carbon Market

3

© 2010 Deloitte Touche Tohmatsu Limited

Climate Change & its effectsKyoto Protocol

• 5,2% reduction of 1990 levels betweens 2008 & 2012

• Developed Countries have to reduce to meet reduction target

• Developing Countries can reduce and get carbon credit income

‒ Assist developed countries to meet their targets

4

© 2010 Deloitte Touche Tohmatsu Limited.

Carbon Market

5Source: World Bank. State and Trends of the Carbon Market. 2011

© 2011 Deloitte Touche Tohmatsu Limited

CDM Process

Project Idea Note (PIN)

Letter of No Objection (LoNo)

Designated National Authority

(DNA)

CDM Executive Board (CDM EB)

Project Developer

Designated Operational Entity

(DOE)

Project Developer

Designated National Authority

(DNA)

Project Design Document (PDD)

Document DecisionBody

Optional

Project Registration Validation

Project Idea

?

Designated Operational Entity

(DOE)

Host Country Rules

Verification of actual

reductions

Letter of Approval (LoA)

6

© 2010 Deloitte Touche Tohmatsu Limited

Some Requirements for a Carbon Project

• Project with ER potential

BE - PE = ER

• 10 Methodologies

Bus Rapid Transit

Emission Reduction by low-greenhouse emission vehicles

Introduction of bio-CNG in transportation

• Additionality

Greater emission reductions will be a direct result of the project activity

• Sustainable Development

Economic

Social

Environmental

7

• Types

Compliance Market

Voluntary Market

2. State of Energy Report – City of Joburg

8

© 2011 Deloitte Touche Tohmatsu Limited

State of Energy Report – City of Joburg

9Source: State of Energy Report - City of Joburg 2008

3. Rea Vaya BRT and the Carbon Market

10

© 2011 Deloitte Touche Tohmatsu Limited

Rea Vaya and the Carbon Market

• Largest public transport project undertaken by the City

• Plan is to “roll out 122 km mainline BRT corridors served by 150 stations and 250 km formal feeder-routes...enabling access to 80% of City’s residents”.

• Voluntary market – VCS

• Over 380,000 CO2e p/a

11

4. Other initiatives

12

© 2011 Deloitte Touche Tohmatsu Limited

SANERI’s Green Transport Centre & Others

• Vehicle conversion to alternative fuels such as:

‒LPG

‒CNG

‒LNG

‒Bio ethanol

‒Bio diesel

‒Electricity

• Gautrain

13

© 2011 Deloitte Touche Tohmatsu Limited

Contact Details

Sizwe KuzwayoAssistant ManagerDeloitte | Sustainability & Climate Changeskuzwayo@deloitte.co.za011 209 6872

© 2011 Deloitte Touche Tohmatsu Limited

15