PP1-CCU CDM Compatibility Mode

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    Alternative Energy Promotion CenterMaking Renewable Energy Mainstream Supply to Rural Areas of Nepal

    Clean Development Mechanism (CDM)

    and Activities of Climate & Carbon Unit

    Prem Kumar PokhrelClimate & Energy Program Officer

    Climate and Carbon UnitAlternative Energy Promotion Center

    Orientation Workshop to DEEU/S, RRESC-Chitwan25 March 2012

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    International responses for Climate Change

    First Climate Conference in 1979: recognized climate change as a

    serious problem, endorsed a plan to establish World Climate Programunder joint responsibility of WMO, UNEP & International Council of

    Scientific Union

    Establishment of IPCC in 1988: by WMO & UNEP for providingtec n ca ata, orecasts c ent c ev ence or c mate c ange.

    Released 1st Assessment Report in 1990.

    UNFCCC: UN general assembly approved the start of treaty

    negotiations in December 1990. In 1992, UNFCCC was signed by 154

    countries in Rio summit.

    Alternative Energy Promotion Center

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    K oto Protocol Ne otiationMay 1992 Adoption of United Nations Framework Convention on Climate Change

    Mar 1994 Entry into force of UNFCCC

    Ado tion of the K oto Protocol CDM JI Emission Tradin

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    Introduction to CDM A project based mechanism

    Project must be in a developing country Kyoto Protocols only market incentive to mitigate

    emissions in developing countries

    Developed(Annex I) Country

    Dual objective

    Assist Annex I in meeting their targets throughoffset mechanism (Ceiling to reduce by 5.2% CarbonCreditsSalesProceedsbelow 1990 level)

    Assist non-Annex I in achieving sustainabledevelopment

    Project must provide emission reductions thatare additional to any that would occur in theabsence of the certified project activity

    Developing Country(GHG Reduction

    Project)

    Alternative Energy Promotion Center

    Making Renewable Energy Mainstream Supply to Rural Areas of Nepal

    CDM Executive Board tasked with supervision

    25 March 2012 4

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    Clean Develo ment Mechanism

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    CDM Pro ect C cleProject Design Document (PDD) / Project Information Note (PIN)

    Validation

    StakeholderHost Country ApprovalBaseline Studies

    Registration

    Implementation

    ,Public comment

    Monitoring and ReportingProject Participants

    Independent Third Party

    Verification

    Certification

    Designated Operational Entity

    CDM Executive Board

    Host country - DNA

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    Public/Stakeholders

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    CDM Pro ects Potential Sectors9. Metal production1. Energy industries

    10.Fugitive emissions from fuels(solid, oil and gas)

    (renewable / non-renewablesources)

    11.Fugitive emissions from

    production and consumption of

    HFC and SF6

    .

    3. Energy demand

    4. Manufacturin industries

    12.Solvents use

    13.Waste handling and disposal

    5. Chemical industries

    6. Construction

    14.Afforestation and reforestation

    15.Agriculture

    7. Transport

    8. Mining/Mineral production

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    Eli ible Greenhouse Gases for CDMGreenhouse Gas GWP K s/CER

    Carbon dioxide CO2 1 1000 Methane CH4 21 47.6

    .

    Per Fluoro Carbons PFC 9500 0.11

    Hydro Fluoro Carbons HFC 11700 0.08 .

    GWP Global Warming Potential

    Tradable Commodity:

    Certified Emission Reduction (CER) = 1000 kg CO2

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    Registered CDM Projects Country wise

    No. ofProjects

    China 1860

    India 800

    Brazil 201

    Mexico 136

    Vietnam 106

    Indonesia 75

    Nepal 6Others 646

    Total Projects 3936

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    CDM Pro ects eli ibilit All kinds of projects cannot be eligible for CDM, it should be

    a ona , ase nes ou e c ear an s ou ave

    contribution on sustainable development.

    ona y: or cro eve pro ec < - no nee oshow additionality for LDC

    us a na e eve opmen: e pro oco spec es a epurpose of the CDM is to assist Non-Annex I Parties inachieving sustainable development.

    CDM project activities must be hosted by the NA-I Parties

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    Concept of Emission Reduction and Additionality

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    The Additionalit Tool

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    Small Scale CDM Pro ects T e I ro ect activities: Renewable ener ro ect

    activities shall have a maximum output capacity of 15MW (or an appropriate equivalent)

    ype pro ect act v t es: nergy e c ency pro ect w creduce energy consumption, on the supply and/or

    demand side, shall be limited to those with a maximumoutput of 60 GWh/y (or an appropriate equivalent)

    Type III project activities: Other project activities

    emission reductions of less than or equal to 60 kt CO2equivalent annually

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    Pro ram of Activities PoA CDM

    o

    CPA 2

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    CCU & activities Levera e the carbon miti ation and climate chan e

    adaptation potential of existing and future RenewableEnergy technologies and programs.

    romote str ct eve renewa e energy- ase m t gat onand adaptation activities by overseeing and coordinating

    District Climate and Ener Plans (DCEPs).

    Support the Government of Nepal in formulating nationalpolicies as part of Low Carbon Development Strategy.

    Act as a knowledge center on clean energy, carbonfinance and climate change..

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    Activities Su ort to re are DCEP and uidelines in three

    pilot districts (Ilam, Makwanpur, Mustang) Renewable energy related CDM projects

    eve opment- ogas, cro- y ro

    ICS PoA

    Solar Home System PoA

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    AEPC CDM Pro ectsNameofProjects No.of

    systemsExpectedER/year

    ProjectProponent

    Statusbundled

    BiogasSupport

    Program

    Nepal

    Activity

    1

    9,708

    30,203tCO2e

    AEPC Registered&CERissuedBiogasSupportProgram NepalActivity2 9,688 31,875tCO2e AEPC Registered&CERIssuedMicrohydroPromotion 448 (428) 40,800tCO2e AEPC RegisteredBiogasSupportProgram NepalActivity3 20,254 51,086tCO2e AEPC RegisteredBiogas

    Support

    Program

    Nepal

    Activity

    4

    20,348

    50,363tCO2e

    AEPC Registered

    NepalBiogasSupportProgramPoA Annual

    20,000

    2.49tCO2e/pl

    ant/yr

    AEPC FinalstageofvalidationPromotionoftheImprovedCookingStove(ICS)

    Nepal

    Annual

    38,000

    113,128

    tCO2e

    AEPC Final stageofvalidationPromotion

    of

    the

    Improved

    Water

    Mills

    (IWM)

    Nepal

    8,000

    38,699tCO2e

    AEPC FinalStageof Validation

    ImprovedCookingStoveproject 22,930 28,000tCO2e CRT/N Registered

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    BiogasGoldStandardProject 7,500 WWF

    Nepal

    RegisteredunderVCS

    ICSCDMprojects 3projects 75000ICS SDC Undervalidation

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    Role of DEEU/S RRESC Monitoring of CDM projects developed by AEPC

    Awareness raising

    Integrate CC activities in district planning process

    Coordinate with related local GoN offices, NGOs and otherke stakeholders in lannin bud et allocation

    implementation & monitoring of CC activities

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    Reporting on CDM activities to AEPC

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    Contact:

    rem.po re aepc.gov.np

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