64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol GOVERNMENT OF THE REPUBLIC OF ALBANIA Hydrochlorofluorocarbon Phase-out Management Plan (HPMP) Lead Implementing Agency: UNIDO Cooperating Implementing Agency: UNEP National Executing Agency: Ministry of Environment, Forestry and Water Management, National Ozone Unit HCFC Phase-out Management Plan for the Republic of Albania 1 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Table of content Item Project Cover sheet Executive Summary I. Introduction I.1 Background information I.2 ODS policy/legislative/regulatory and instrument framework I.2.1 Status of ratification of Amendments to the Montreal I.2.2 ODS legislation/regulations I.3 Stakeholders I.4 ODS phase-out programme I.4.1 Enterprises converted to an HCFC technology I.4.2 Refrigeration servicing sector II. HCFC consumption II.1 Methodology and validation II.2 HCFC consumption data (a ) Consumption data for each HCFC (as pure and blend) (b) HCFC imported by each registered importer (c) The estimated HCFC baseline for compliance (2009) and estimated consumption for 2010 (d) The starting point for aggregate reduction in HCFC consumption (e) Availability of HCFC, HCFC blends and alternative chemicals and their current prices II.3 Sector distribution of HCFC II.3.1 HCFC–based manufacturing sector II.3.2 Refrigeration servicing sector III. Phase-Out Strategy III.1 Overarching strategy (a) Policy instruments needed to reduce the supply and/or demand of HCFCs etc (b)Coordination with other multilateral environmental agreements (c) Staged approach to reduce HCFC consumption to meet HCFC phase-ot targets as agreed by the Parties (d) Proposed levels of reduction in HCFC consumption and implementation time HCFC Phase-out Management Plan for the Republic of Albania Page 4 6 9 9 10 12 12 16 17 21 21 25 25 27 27 27 28 30 30 33 33 33 38 38 39 41 41 42 2 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol frames (up to 2030) based on the country’s actual needs and its current consumption status (e) Identification of main projects and activities required to completely phase out of HCFC consumption and their estimated (preliminary ) cost III.2 First stage implementation programme III.2 .1 HCFC Manufacturing sector III.2 .2 HCFC refrigeration servicing sector III.2.3 Other impacts on the environment including on the climate III.2.4 Co-financing IV. Project coordination and management (a) A clear indication of the roles and responsibilities of key government bodies (b)The designation of a government entity that would accountable for the overall management including financial and substantive elements for the implementation of the HPMP (c) The roles and responsibilities of the lead implementing agency and the cooperating implementing agencies in the management and implementation of the HCFC phase-out proposal (d) Specific action to ensure independent confirmation of the achievement of the performance targets specified in the HPMP Annexes Annex 1. Cost of the HCFC phase-out and time frame for implementation Annex 2. Relevant sources of information Annex 3. Draft Agreement HCFC Phase-out Management Plan for the Republic of Albania 44 44 44 44 50 51 52 52 52 53 53 54 55 59 61 3 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol PROJECT COVER SHEET COUNTRY NAME LEAD IMPLEMENTING AGENCY CO-OPERATING IMPLEMENTING AGENCY ALBANIA UNIDO UNEP SUBMISSION OF COMPLETE DOCUMENTATION Document Yes/No Comments Yes Letter of transmittal Yes HPMP Yes Draft agreement MYA tables (on-line) Technical review (where N/A applicable) Yes Executive summary DATES OF RATIFICATION OF AMENDMENTS TO THE PROTOCOL Yes Copenhagen Beijing Comments: All Amendments of M.P. are ratified by Albanian Parliament Yes HCFC REGULATIONS IN PLACE Regulation Yes/No Comments Yes HCFC regulation Yes HCFC licensing system Yes HCFC quota system SUBMISSION OF ODS DATA REPORTS Report Yes/No Year reported data Comments Yes 2010 Country programme Yes 2010 Article 7 data Calculated HCFC baseline (ODP tonnes) Starting point for aggregate reductions in HCFC consumption (ODP tonnes) Explain any data discrepancies: 6.6 6.6 HPMP DOCUMENT Servicing only Yes Manufacturing only Servicing and manufacturing Yes Yes Freeze and 10% Freeze, 10% and 35% Main components included Yes Yes Overarching strategy Yes Strategy and action plan for stage I No Co-financing included Yes Impact on the environment Yes Implementation work programme and timeframe included Yes Implementation modalities (project monitoring unit) FUNDING Funding consistent with guidelines (servicing sector, cut-off date, second stage, HCFC-141b imported in polyols, cost effectiveness, technology upgrade, foreign ownership, export to non-Article 5 countries) Funding of last tranche requested at the last year of implementation: Priority given to manufacturing over servicing sector (if applicable) Justification for not addressing first HCFC-141b (if applicable) Yes Yes Not applicable Yes Key Acronyms HCFC Phase-out Management Plan for the Republic of Albania 4 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Acronyms NOPIU HCFC CFC HFC MP ODS BA RMP TPMP HPMP VOC ODP GWP MLF MOP R&R UNIDO UNEP DCM EU MEFWA EC CEIA TEWI AC NPP, NPOP Ex.Com TOR Full name National Ozone Project Implementation Unit Hydrochloroflourocarbons Chlorofluorocarbons Hydrofluorocarbons Montreal Protocol Ozone Depleting Substances, tonnes Blowing Agent Refrigerant Management Plan Terminal Phase-out Management Plan (of CFC substances) HCFC Phase-out Management Plan Volatile Organic Compounds Ozone Depleting Potential Global Warming Potential Multilateral Fund Meeting of the Parties Recovery & Recycle United Nations Industrial Development Organization United Nations Environment Programme Decision of Council of Minister European Union Ministry Environment Forestry Water Administration Council of – Europe Centre for Environmental Impact Assessment Total Equivalent Warming Impact Air condition National Phase-Out Plan Executive Committee Terms of reference HCFC Phase-out Management Plan for the Republic of Albania 5 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Executive Summary The HCFC Phase-out Management Plan (HPMP) is developed to enable the Government of Republic of Albania to meet the obligations it has assumed as a Party of the Montreal Protocol under Decision XIX/6 of the Nineteenth Meeting of the Parties, accelerating the phase-out of the HCFCs in both Article 5 and non-Article 5 countries. This document is a part of policies of the Republic of Albania in the field of environmental protection specifically designed to address the issue of ODS (HCFC) consumption phase-out. Different Government Institutions have been involved in the development of the HPMP. The Ministry of Environment Forestry and Water Management has a legal obligation to create the policy of the Republic of Albania and to lead the national activities in the field of protection of the environment. Formulation of policies, strategies and action plans, creation of the legal framework and institutional network for their application, identification of roles and responsibilities of all parties involved, provision of financial resources, already constitute one of the main duties of the Ministry of Environment Forestry and Water Management. The NOPIU (NOU) is the principal national body responsible for the coordination of the country’s actions related to the ozone layer protection and facilitation of the HCFC phase-out. The inter sector national executive committee (Steering Committee) is involved in this process, where Ministry of Economy Trade and Energy (METE), Ministry of Finance, Ministry of Justice, National Customs Authority, National Taxation Authority, Regional Environmental Inspectors, Room of Industry and Commerce, Albanian Refrigerant Association, organizations, companies etc. are the stakeholders of the project. With the assistance of UNIDO/UNEP, Albania prepared a National ODS Phase-out Plan (NOPP) that allowed the country to phase out all remaining ODS use except HCFCs by 2008. UNIDO has been selected as the Lead Agency responsible for the preparation and the subsequent implementation of the HPMP. UNEP has been engaged as the Cooperating Agency principally responsible for the development and implementation of the noninvestment activities of the HPMP. The preparation of the HPMP was started with the country-wide survey on installed quantities and annual import/consumption of HCFCs in Albania. Based on the respective TOR a team of national consultants was recruited for the HCFC data collection. The base of data collection was the questionnaire developed by UNIDO. HCFC Phase-out Management Plan for the Republic of Albania 6 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Centre for Environmental Impact Assessment is the professional Albanian entity that has been selected by UNIDO to prepare the Albanian HPMP in close collaboration with the NOU. As part of the study, available information and data on consumption in smaller market sectors and in replacement markets were collected. This update was needed to establish the proposed import quota system, develop the phase-out action plan, to meet international obligations, to report data and to project future demand on HCFCs. The method used to develop supply and consumption estimates for these HCFCs across the major sectors involved: Gathering national statistics on import of refrigerants, equipment, products, companies involved, legislations etc. Collecting detailed data on distribution through contacts with industry suppliers. The supply chain of the substances is often one of the most important sources of information to get an overview as well as identifying the users of ODS substances. All importers should be listed with contact information and source of supply. Data collection on the installed quantities of HCFCs was conducted through the direct contacts with: Customs Administration, importers of equipment, ends users, service shops. Stakeholders can be identified through the survey of the supply chain but it is important to explore alternative ways to identify them to ensure that all sectors are well covered and to crosscheck information from the supply chain. Alternative sources to identify stakeholders can be manufacturers associations, trade organisations such as refrigeration associations etc. The inventory is necessary for the establishment of the new baseline for the country, based on the annual average HCFC consumption in 2009 and 2010 and the subsequent freeze from 2011-2013 and HCFC reduction during 2014-2015 (10% in two years). There is no production of ODS in the Republic of Albania, which means that the Import Export is equal to the consumption. Import of HCFCs is controlled by the import licensing system. The second step is to identify the users and collect information on the different sectors and their knowledge about the accelerated HCFC phase-out schedule and their readiness to cope with that. The third step is to identify measures that will facilitate a phase-out with a minimum cost to the society. HCFC Phase-out Management Plan for the Republic of Albania 7 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol The Plan has been developed in two staged approach. The first stage of the planned activities covers the period from the year 2011 to 2015 and the second stage is related to the period 2016 - 2040. The activities of the HPMP will be implemented through: Policy instruments (Bans on import, Import Quota System, Mandatory reporting by importers and exporters, Environmental taxes for import of ODS and ODS containing equipment). Projects (Training of involved stakeholders, Improvement of Refrigerant Recovery and Recycling scheme, establishment of the Waste Disposal Centre). Institutional strengthening (Preparation and implementation of policy instruments, preparation of project proposals, implementation of approved projects, awareness raising, etc.). The cost calculation and time frame of implementation are given in Appendix 1. The total cost of HCFC Phase-out in the Republic of Albania for the first phase is US$ 830,000 and total cost for two stages is US$ 1,858,000. HCFC Phase-out Management Plan for the Republic of Albania 8 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol I Introduction I.1 Background information Physical and demographical data Albania is a country in South-Eastern Europe, in the West of the Balkan Peninsula, between the geographical coordinates: 39 38' latitude and 42 39' longitudes. Albania is almost in the middle of Equator and the North Pole, and covers a surface of 28.748 km2. The climate on the coast is typically Mediterranean with mild, wet winters and warm, sunny, and rather dry summers. Inland conditions vary depending on altitude but the higher areas above 1,500 m are rather cold and frequently snowy in winter; here cold conditions with lying snow may linger into spring. The lowlands have mild winters, averaging about 7 °C (45 °F). Summer temperatures average 24 °C (75 °F). In the southern lowlands, temperatures average about 5 °C (9 °F) higher throughout the year. The difference is greater than 5 °C (9 °F) during the summer and somewhat less during the winter. Capital City - Tirana (since 1920) is also the most important city from financial capital point of view, with approximately 793 000 inhabitants, from 3.182 000 inhabitants of Albania. The urban population is 60% and rural population 40%.More than 95% of population are connected to the electricity grit. Socio-Economical Data Political System - Parliamentary Republic Albania is a member of the United Nations, NATO, the Organization for Security and Co-operation in Europe, Council of Europe, World Trade Organization , and one of the founding members of the Union for the Mediterranean etc. Albania formally applied for EU candidate membership on 28 April 2009. Albanian economy is considered as Trade Economy in transition. The private sector occupies the major part of GDP. Albania's economy has improved substantially over recent years and has outperformed many other countries in the region. According to the Bank of Albania, in 2008, income per capita was $3,675, expected to reach $4,000 in 2009. In recent years the Albanian economy has improved, and infrastructure development and major reforms in areas such as tax collection, property laws, and business climate are proceeding well. The EU remains, by far, Albania’s main trading partner, providing 60.7% of Albania’s imports and receiving 79.7% of exports for 2008. The currency in Albania is “LEK”. Official exchange rate in October 2010 is 1 Euro = 139 LEK. HCFC Phase-out Management Plan for the Republic of Albania 9 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol I.2 ODS policy/legislative/regulatory and institutional framework The Ministry of Environment Forests and Water Administration has a legal obligation to build up, upgrade and compile the environmental policy of the Republic of Albania and to lead the national activities in the field of protection of the environment and careful using/exploitation of spatial and natural resources. Formulation of policies, strategies and action plans, creation of legal framework and institutional network for their application, identification of roles and responsibilities of all involved, provision of financial supportive resources, already constitute one of the main duties of MEFWA. The Albanian government is elaborating with the appropriate policies led by the need to reduce demand for HCFC. NOPIU (NOU) has already scheduled the preparation of a legal and regulatory framework in order to achieve accelerated phase-out of HCFCs. Table 1 Institutional framework related to HPMP, in Albania Institutional Framework in Albania Specific action Status The budget of HCFC Phase-out and local In preparation company are approved Type of action Prepare country program for HCFC phase-out Institutional Institutional strengthening project Phase IV The Agreement strengthening project is approved between UNEP and Phase IV MEFWM under the preparation Establish ozone unit Ozone Focal Point to follow compliance In operation with Montreal Protocol, etc Cooperate with all stakeholders and interested parties Implementation of Phase Out Plan Steering Committee representatives established with Ongoing Prepare the annual schedule, reporting etc. Ongoing on ODS Phasing out Plan Some of the principal environmental legislation are: Law No.8897, dated 16.05.2002 “On Protection of Air from pollution” Environmental taxes for ODS and ODS containing equipment import, Law No.8934, dated 05.09.2002 “On Environment Protection” Law Nr 8990dated 23.01.2003 “On environmental impact”. Law Nr 8053 dated 30.06.1999 concerning the right to access to official documents. HCFC Phase-out Management Plan for the Republic of Albania 10 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Law Nr 8652dated 31.07.2000 “ On organization and functioning of local governments”. Law Nr 9108 dated 17.07.2003 on Chemical substances and preparations. Law Nr 9537, date 18.05.2006 “ On the administration of hazardous waste” Law Nr 9983, date 08.09.2008 “FOR some changes and additions to the law Nr. 8934, date 5.09.2002 “On environment Protection” Law Nr 10050, date 24.12.2008 “FOR some changes and additions to the Law Nr.8990, date 23.1.2003 "On environment impact Assessment" Law Nr. 10266 date 15.04.2010 “ FOR some changes and additions to the decision Nr. 8897, date 16.05.2002 “Air protection from pollution” (approval by DCM KM Nr. 141, date 3.3.2010) Law Nr. 9379, date 28.4.2005 “On energy efficiency” Decision of Council of Minister Nr 249 dated 24.04.2003 concerning of the endorsement of applications for environmental licenses and information items in the environmental license. Decision of Council of Minister Nr 268 dated 24.04.2003 concerning of the environmental specialists on Environmental impact assessment and environmental auditing. Decision of Council of Minister Nr 103 dated 31.03.2002 concerning environmental monitoring in the Republic of Albania. Decision of Council of Minister Nr 559 dated 20.12.1993 on the setting up of regional agencies for protection of the environment at the prefectures. Decision of Council of Minister Nr.24, date 22.1.2004 “ On the activity of Environmental inspectorate” Albanian Parliament has ratified the biggest part of International Convention as: Convention on protection of ozone layer ratified by Law No. 8463 October 1999. Convention on Climate Changes (UNFCCC) ratified in 1994. Convention on control of trans-border transportation of hazardous waste and their disposal (The Basel Convention) ratified by Law No. 8216, dated 13.05.1997. Convention on Access to information, Public participation in environmental decision-making and Access to justice in environmental matters (The Aarhus Convention) ratified by Law No. 8672, dated 26.10.2000. Convention on Environmental Impact Assessment in the Trans-border Context (ESPOO, Finland) ratified on 04.10.199. Convention on protection of marine environment and coastal area of Mediterranean Sea (The Barcelona Convention) ratified by Lawn No. 8690, dated 26.10.2000. Convention on protection and use of water streams and international lakes (Helsinki 1992) ratified on 05.01.1994. Convention on Biological Diversity (Rio de Janeiro 1992) ratified on10.11.1996. Convention of preservation of wild animals’ migrant species ratified by Law No. 8692, dated 16.11.2000. HCFC Phase-out Management Plan for the Republic of Albania 11 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Convention on preservation of wildlife and natural European habitats ratified by Law No. 8294, dated 02.03.1998. Convention of Wetlands of international importance, in particular as habitats of water poultries (The Ramseur Convention) ratified on 29.03.1996 Convention of trans-border impact of industrial accidents ratified by Law 8216, dated 13.05.1997. Kyoto Convention Law Nr.9334, date 16.12.2004. Stockholm Convention “on Persistent organic pollution Law Nr.9263, date 29.7. 2004. Rotterdam Convention Law 10277, date 13.5.2010. Albania has a New Customs Legislation where the Integrated Tariff Code is included. This legislation is in accordance with the European Countries legislation. The System of Customs is undergoing the process of computerization of 90 % of all customs information. Customs system provides Risk profile, in which CFCs are in the red channel, by introducing harmonized system of tariff codes with ASYCUDA I.2.1 Status of ratification of amendments to the Montreal With the approval and effective application of the Constitution of the Republic of Albania, some principles and requirements for protection of environment such as the principle of the sustainable development and the public right of environmental information, became constitutional norms. Albania has ratified the Vienna Convention and the Montreal Protocol in October 1999 with the Law No. 8463, dated 03.10.1999 Official Paper on 10 page 310. Through the Law no. 9484, date 02.03.2006, the Albanian Parliament has approved the London Amendment of Montreal Protocol. Through the Law no. 9480, date 16.02.2006, the Albanian Parliament approved the Copenhagen Amendment of Montreal Protocol. The Albanian Parliament approved through the Law no. 9485 date 06.03.2006 the Montreal Amendment The Albanian Parliament approved through the Law no. 9485 date 06.03.2006 the Beijing Amendment. Official Journal of Government No 21 March 2006 Official Journal of Government No 22 March 2006 I.2.2 ODS Legislation/regulations The approval of the Council of Ministers' Decree Nr 453 date 23.06.2005 on “Taking the measures for the removal of the Ozone Depleting Substances"( Official Journal of the Republic of Albania, No. 56/2005) has fulfilled one of the main obligations of the Albanian Government toward the Montreal Protocol. Between others can be mentioned: Appendix 1 of the Decree No. 453, dated 23.06.2005, the list of ODS substances. HCFC Phase-out Management Plan for the Republic of Albania 12 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Appendix 2 of the Decree No. 453, dated 23.06.2005, the list of products that contain or are produce with ODS substances. Appendix 3 of the Decree No. 453, dated 23.06.2005, the equipment that using ODS substances. Appendix 4 of the Decree No. 453, dated 23.06.2005 Annual ODS import quotas during years 2003-2010. Appendix 5 of the Decree No. 453, dated 23.06.2005 Format of environment permission and the Guide for the Format of environment permission. Instructions for Special Data to be submitted for Issuing Permit for Imported Exported under Appendage 5 of the Decree No. 453, dated 23.06.2005 Format of environment permission and the Guide for the Format of environment permission., according to the Decree No. 453, the Minister of Environment adopted the Instructions for conditions to be submitted for issuing Permit for Imported-Exported under Appendage 5. Beside on the DCM 453 the most important issues are as follows: To phase out the production and consumption of all controlled uses of all ODS (exemption HCFC ) in accordance with the annual consumption limits set out in the table of the Agreement between Albania and the Ex. Com. The implementation of the import quota system of ODS, making their reduction until the import of ODS in 2009 to arrive zero as per the Agreement. The implementation of a licensing system of the activities, which are related to ODS. The implementation of monitoring system and the report regarding the activities related to ODS By this DCM in Albania are prohibited: Production ozone – depleting substances, products that contain subjects set out in Annex A, B, and E, the Montreal Protocol; Importation and dumping in the market, the export and transit of products containing of ozone – depleting substances and equipment that use defined in Annexes A, B, and E of the Montreal Protocol; using of ozone – depleting substances and products that containing these subjects, which are used in agriculture, to protect herbs; In this DCM are not included HCFC issues. The Guide No. 1 date 18.06.2007 “On control of import and export of ODS substances and the improvement of the Risk Profile for ODS Tariff Code”, signed by General Director of Customs Authority) gives more practical instruction how to implement the Council of Ministers' Decree Nr 453 date 23.06.2005. The Practical Manual of the substances, equipment and products (ODS refrigerants) gives the instructions that are available for customs officers how to operate in the border point. Decision (No. 290, dated 04.25.2010) “For some changes and additions to the decision No. 453 dated 23.06.2005 of the Council of Ministers”, (Official Journal of Government No 62 May 2010) Annex 1 List of Ozone – Depleting Substances HCFC Phase-out Management Plan for the Republic of Albania 13 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Annex 2 Products that Contain Ozone – Depleting Substances or are produced with them. Annex 3 Equipments that Use the Ozone – Depleting Substances Annex 4 Annual Quotas diagram HCFC imports together with their mixtures. Annex 5 Application Form and Format of Environmental Permit for Import of Ozone – Depleting Substances Annex 6 Mixtures that Containing Ozone – Depleting Substances and their Composition. Annex 1-6 are integral part of this decision. Based in this decision in Albania are prohibited (some of the most important article): Production ozone – depleting substances, products and mixtures that contain subjects set out in Annex A, B, C and E, the Montreal Protocol; Importing and marketing, the export and transit of products containing mixtures of ozone – depleting substances and equipment that use those defined in Annexes A, B ,C and E of the Montreal Protocol. Removal of air, ozone – depleting substances listed in Annex A, B, C and E of the Montreal Protocol; Importing ozone depleting substances, their products, equipment that contained such substances, from a country that is not a party to the Montreal Protocol. Using of ozone – depleting substances and products that containing these substances, which are used in agriculture, to protect herbs; Export ozone – depleting substances and products that contain them and used equipment, to a country that is not a party to the Montreal Protocol; Importing of ozone – depleting substances recycled or refined. Importing cooling equipment in use, defined in Annex 3, attached to this decision. Importing ozone – depleting substances included in Annex C, group 1 is allowed only on the basis of annual quotas set out in their diagram, approved for Albania. Importer of ozone – depleting substances provides labelling them in Albania. Shipping labels containing the name, chemical composition, the customs code, the symbol of danger sign in accordance with ISO international classification, information on health risks and environmental and safety requirements for storage conditions. The labelling is also total amount of packaging material, date of manufacture and expiry. Based in this decision in Albania are prohibited (some of the most important article): Production ozone – depleting substances, products and mixtures that contain subjects set out in Annex A, B, C and E, the Montreal Protocol; Importing and marketing, the export and transit of products containing mixtures of ozone – depleting substances and equipment that use those defined in Annexes A, B ,C and E of the Montreal Protocol. HCFC Phase-out Management Plan for the Republic of Albania 14 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Table 2 Action/Legislation status TYPE OF ACTION / LEGISLATION Ongoing (Yes/No) Since when (Date) 1 REGULATIONS: 1.1 Establishing general guidelines to control import (production and export) of ODSs 1.1.1 ODS import/export licensing or permit system in place for import of bulk ODSs Yes Jun-05 1.1.2 Regulatory procedures for ODS data collection and reporting in place Yes Jun-05 1.1.3 Requiring permits for import or sale of bulk ODSs Yes Jun-05 1.1.4 Quota system in place for import of bulk ODSs Yes Jun-05 1.2 Banning import or sale of bulk quantities of: 1.2.1 CFCs Yes Jun-05 1.2.2 Halons No 1.2.3 Other ODSs (CTC, TCA, methyl bromide) Yes Jun-05 1.3 Banning import or sale of: 1.3.1 Used domestic refrigerators or freezers using CFC Yes Jun-05 1.3.2 MAC systems using CFC Yes Jun-05 1.3.3 Air conditioners and chillers using CFC Yes Jun-05 1.3.4 CFC-containing aerosols except for metered dose inhalers Yes Jun-05 1.3.5 Use of CFC in production of some or all types of foam Yes Jun-05 1.4 Training and certification programmes 1.4.1 Requiring training of customs officers Yes Jun-05 1.4.2 Requiring training of refrigeration service technicians Yes Jun-05 1.4.3 Requiring certification of refrigeration service technicians Yes Jun-05 1.4.4 System for monitoring and evaluation of training programmes Yes Jun-05 1.5 Recovery and recycling of CFCs 1.5.1 Mandatory recovery and recycling of CFCs Yes Jun-05 1.5.2 Monitoring system for reporting on recovered and recycled CFCs Yes Jun-05 1.6 Other regulations (please specify)Amendments of D.C.of Ministers Nr 453 D.CM No 290 28.04.2010 In this DCM are included all issues of HCFC Yes 1.6.1 All Amendments of M.P are approved by Albanian Parliament Yes Feb-March06 1.6.2 Import licensing of pesticides Yes 1995 HCFC Phase-out Management Plan for the Republic of Albania 28.04.2010 15 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol ENFORCEMENT OF ODS IMPORT CONTROLS Registration of ODS importers (Yes/No) Yes Jun-05 A shared database on import quotas and actual imports between ozone office and customs (Yes/No) Yes Jun-05 Number of instances of unauthorized ODS imports stopped 0 Estimated quantity (in metric tonnes) and origin of unauthorized ODS imports (country) 0 Based on the above legislation Albania has introduced restrictions prohibiting: Production of ODS’ and their mixtures listed in Annexes A, B, C and E of the Montreal Protocol; Import, marketing export and transit of products and equipment containing ODS’ and their mixtures listed in Annexes A, B, C and E of the Montreal Protocol; Release to the air of ODS’ listed in Annex A, B, C and E of the Montreal Protocol; Import of ODS’, their products, equipment that contained such substances, from a country that is not a party to the Montreal Protocol; Use of ODS’ and products that containing them in agriculture to protect herbs; Export of ODS’ and products that contain them and used equipment, to a country that is not a party to the Montreal Protocol; Import of recycled or refined ODS’; Import of cooling equipment in use, defined in Annex 3, attached to this decision. Import of ODS’ included in Annex C, group 1 is allowed only on the basis of annual quotas set out in their diagram, approved for Albania. Import of ODS’ to Albania requires the respective labelling. Shipping labels should reflect the name, chemical composition, the customs code, the symbol of danger sign in accordance with ISO international classification, information on health risks and environmental and safety requirements for storage conditions. Labels should also indicate the total amount of packaging material, date of manufacture and expiry date. Imported ODS’ are allowed to enter the country only through the customs check points that have certified personnel and special equipment for detecting and identifying them provided by the National Ozone Unit. The list of the assigned check points is published by the Directorate General of the customs. I.3 Stakeholders International and national stakeholders were involved in the preparation of the HPMP. With the assistance of UNIDO/UNEP, Albania prepared a National Phase-out Plan (NPP) that allowed the country to phase out all remaining ODS use (except HCFCs) by 2009. HCFC Phase-out Management Plan for the Republic of Albania 16 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol With the support of UNEP and UNIDO, frequent Network Meetings and international and national workshops were arranged to discuss principal issues of HCFC phase-out including legislation, relevant ExCom decisions, directives, guide etc. in Ohrid, Tirana, Yerevan, Belgrade, Novi-Sad. These workshops were attended by a number of international consultants and national experts, who provided useful information about HCFCs, new technologies and alternatives, decisions, directives, guides and where all countries involved in this process had opportunity to share experience. To support the process the Albanian Government has approved the Decision of Council of Minister No 290 28.04.290 that covers all issues related to the HCFC phase-out such as: quotas, permits, licensing, monitoring, reporting, penalties etc. Albania is a potential EU candidate country. In this context MEFWA has developed an Action Plan for the preparation of the new legislation in environmental field to be implemented in the conformity with EU legislation. In this regard the role of the NOPIU (NOU) is to facilitate preparation and implementation of the HPMP. The inter-sector National Executive Committee (Steering Committee) was involved in this process too. Efforts of the team of national experts recruited by UNIDO for the data collection were supported by regional environmental inspectors, who verified relevant documentation of Regional Offices of Statistics and Taxation Offices as well as the inventory of the installed ODS capacity. Additional information was sourced from the Ministry of Finances, Juridical Department; General Directory of Customs, National Taxation Directory, INSTAT-Institute of Statistics, Business Register, Annual Structure Survey, data on economic activities of enterprises, data on import and export of goods, data on households’ assets, Chamber of Industry and Commerce, Albanian Refrigerant Association, Organizations/companies equipped with the refrigerators/air conditioners (cold storage, markets, hotels, offices, restaurants, food importers / exporters / transporters); Data collected by national experts and the provisions of the new DCM No 290 (especially HCFC import quotas for the years 2010-2040) were discussed during the two days workshop in November 13-14 2009, in Tirana attended by biggest national importers of refrigerants and other parties concerned. These data collected by national experts, new DCM No 290 and comments of participants and interested groups were further discussed during the workshop in 21-22 January 2010 arranged by NOPIU (NOU)/UNIDO and attended by representatives of MEFWM, Chamber of Industry and Commerce, Albanian Refrigerant Association, importers, enduser companies and other stakeholders. I.4 ODS Phase –out programme Albania has ratified the Vienna Convention and the Montreal Protocol in October 1999. With the technical assistance of Implementing Agencies (UNIDO and UNEP) the HCFC Phase-out Management Plan for the Republic of Albania 17 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol National Programme of Ozone and later the National Programme to phase out the Ozone Depleting Substances (NPP) was developed and approved in 2003 by the Executive Committee of the Multilateral Fund for the Implementation of the Montreal Protocol (Decision 39/43). Practical implementation of the approved NPP was supported by allocation of funding in the total amount US$ 653,125. As a part of NPP, the Executive Committee of the Multilateral Fund approved the implementation of some investment and non-investment projects. Under the NPP Albania committed itself to the following: Focusing the efforts to phase out the production and consumption of all controlled uses of all ODS in accordance with the annual consumption limits set out in the table of the Agreement between Albania and the Ex.Com; The implementation of the import quota system of ODS, making their reduction until the import of ODS in 2009 to arrive zero as per the Agreement. The implementation of a licensing system of the activities, which are related to ODS. The implementation of monitoring system and the report regarding the activities related to ODS. Further to the development of Ozone Country Program, Albania formulated its National Phase-out Plan covering Annexes A, B and E of ozone depleting substances. The sectors involved are service in refrigeration, industry, transportation, and agriculture. The plan aims to enable Albania to comply with 2010 target of the Montreal Protocol, the complete phase out of ODS listed in Annexes A, B and E. This plan was implemented during the period 2003-2010. The NPP is based on an update of the data collected through the preparation of Country Program. The prior sector identified in the Country Program is the refrigeration service sector. The baseline consumption is 40.8 tons ODP. Table 3 Annual ODS consumption limit by NPP for Albania with respect to the Montreal Protocol and actual annual consumption , in ODS tones 2003 68 2004 61.2 2005 36.2 2006 15.2 2007 6.2 55.54 42.041 36.573 15.19 4.08 2008 2.2 0 2009 2.2 0 Annual ODS consumption limit by NPP Annual consumption The National Ozone Unit (NOU) as the national focal point for the implementation of NPP was established on February, 2003. During the 7-years of existence the NOU in cooperation with UNIDO and UNEP as Implementing Agencies provided incite, coordinated and supported activities related to the implementation of investment and noninvestment projects. Special attention was focused on the training of technicians in good practices and the training of Custom officers and environmental inspectors. Last years special attention was paid to refrigerant recovery and recycling process. Recovery and recycling scheme has given the opportunity for service shops to be granted with HCFC Phase-out Management Plan for the Republic of Albania 18 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol equipment. Only one recycling centre was established in the country. The NOU plaid an important role in addressing institutional and legal aspects related to control and monitoring of the ODS import, export and consumption. Another seriously considered topic was the public awareness raising regarding the protection of the ozone layer. The public and interested parties were involved in the national action on ozone layer protection. For the first time for 2008 it was reported that consumption of CFC was 0. Lessons learned concerning CFC from the previous projects will be used for the phaseout of HCFC, such as: Legal framework – licensing system of permits and taxes; CFC Annual Import Quotas Monitoring and report Conversion of ODS technology in metal cleaning sector (with carbon tetrachloride and (methyl chloroform) to non ODS technology. Phasing out of CFC-12 in service refrigeration sector, reducing gradually CFC consumption putting annual import quotas (with training of customs officers and environmental inspectors) Terminal CFC Phase-out Management Plan was achieved through non – investment (training of customs officers and service technicians, vocation schools etc) and investment projects, delivery of R/R equipment , establishing and improving of refrigerants recovery and recycling scheme etc. HCFC Phase-out Management Plan for the Republic of Albania 19 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Table 4 List of the on-going and already completed projects Name of project Development of regulatory framework Institutional strengthening – Phase I/year1 Institutional strengthening – Phase I/ year 2 Institutional strengthening – Phase I/ year 3 Institutional strengthening – Phase II Institutional strengthening – Phase III Conversion of cleaning installation from CTC to PER at Energy Plant , Elbasan Training of Refrigeration technicians Training of Customs officers and Environmental Inspectors Workshop on methyl bromide Monitoring and Auditing The implementation of RMP ( including Recovery and recycling program) The Strengthening of the vocation School End users, retrofitting project Preparation of a HCFC phaseout management plan Total (MT of ODS) Number of project ODS Remarks phased out (MT) n/a Completed IM/4040/-02-08 n/a Completed IM/4040/-02-08 n/a Completed IML/5070-2390-2645 n/a Completed IML-5070-2947-2645221400 IML_5070-2602-2645221100 MP/Al/03/025 n/a Completed n/a Ongoing 6 Completed IM/4040-02-61-2239 12 Completed Im/4040-02-61-2238 14 Completed n/a n/a 36 Completed Completed Completed n/a Completed n/a n/a Cancelation Ongoing IML/5070-2446-2645223900 MPALB05001-17512007 MP/ALB/08/004 & MP/ALB/09/001 68 HCFC Phase-out Management Plan for the Republic of Albania 20 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol I.4.1 Enterprises converted to an HCFC technology The NPP was based on an update of the data collected through the preparation of Country Program - mainly the refrigeration and air conditioning sector including an update of the consumption estimates for the Annex A - Group I chemicals still in use in this sector. The considered chemicals included CFC-11, CFC-12, and R-502 (a mixture of HCFC-22 and CFC-115). No consumption of halons was identified in the fire-protection sector. The results of the data survey showed that no foam production in Albania was using ODS. There are two factories producing polystyrene foam as insulation material. However, they use water and methylenechloride (CH2Cl2) as the blowing agent. There is no production of ODS aerosols and solvents in Albania. The phase-out of ODS technology in the metal cleaning sector was achieved by substituting carbon tetrachloride with tethracarbonethylene while the import of methyl chloroform was banned. Before 1990 methyl bromide had been used for soil fumigation in greenhouses and for tobacco processing. By now the import of this substance has been prohibited and is not in use anymore. Albania has never produced HCFCs. These substances have always been imported. All consumption of the ozone depleting substances refers to import. There is no manufacturing sector using these substances in Albania. I.4.2 Refrigeration servicing sector The main consumer of the ODS’ is the servicing sector of refrigeration and airconditioning appliances. The end users are mainly service shops for industrial and commercial refrigerators and mobile/room air conditioners. The most installed quantities of refrigerants are in air-conditioning - split/unitary systems in; households, business premises, public buildings and trade shops. According to the statistics approximately 45% of equipment is charged with HCFC-22. Trainings The training programme for customs officers is part of Albania's National CFC-Phase Out Plan (NPP) with a comprehensive and integrated strategy to phase-out the use of ozone-depleting substances (ODS) in the refrigeration and air-conditioning sector. The main objective of the training programme is to provide the customs officers and relevant stakeholders with the necessary skills to monitor and control the imports and exports of ODSs and products (including equipment) containing them as well as detecting and preventing illegal trade. The first step - During years 2004-2005. HCFC Phase-out Management Plan for the Republic of Albania 21 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol The UNEP training manual “Customs Officers Training on Substances Depleting the Ozone Layer” was used during the workshops. The programme of workshop focused on identification of ODS was theoretically and practically based. Second Step - During 22 and 23 October 2007 (respectively in Vlora and Tirana) workshops for training of customs officers were arranged. The main topics were the DCM No. 453 date 23.06.2005 and the Guide for its implementation. The immediate result of the training workshop was 45 trained and certified customs officers from the main Albanian Customs Houses. Third Step - During 5 and 13 July 2010 (respectively in Tirana and Vlora) NOPIU (NOU) organised workshops for customs officers. The immediate result of the training workshop was the availability of 55 trained and certified customs officers from the main Albanian Customs Houses, the Customs Laboratory in Tirana, and the Customs Statistics Department in the General Customs Directory in Tirana etc. Also in this step the main focus was the DCM Nr 290 date 24.04.2010 and the Practical Manual for customs officers helping for the implementation of this decision. In total, 257 participants attended the training for customs-officers workshop and 215 was the number of certified customs officers and environmental inspectors. Table 5 Data on Workshops for customs officers Nr Workshops (Location) Date Main issues 1 Tirana (training trainers) Shkoder Pogradec Sarande Vlora Tirana Tirana October 2004 Handbook for 36 ODS -UNEP 07 -08 April 2005 14-15 April 2005 27-28 April 2005 20-21 April 2005 05-06 April 2005 13.12.2005 ,,_______,, ,,_______,, ,,_______,, ,,_______,, ,,_______,, DCM Nr date 23.06.2005 the Guide DCM Nr date 23.06.2005 the Guide DCM Nr date 23.06.2005 the Guide DCM Nr date 23.06.2005 the Guide 2 3 4 5 6 7 8 9 10 Tirana Tirana Vlora of 19.12.2005 (Env Inspectors) Nov .2006 (Env Inspectors) 22 October 2007 Number of participants 20 13 17 16 22 453 19 Number of certified customs officers 30 16 9 12 11 17 14 and 453 16 11 and 453 17 12 and 453 22 17 and HCFC Phase-out Management Plan for the Republic of Albania 22 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol 11 Tirana 23 October 2007 12 Tirana 05.07 2010 13 Vlora 13.07 2010 DCM Nr date 23.06.2005 the Guide DCM Nr 24.04.2010 Manual DCM Nr 24.04.2010 Manual 453 23 18 and 290 29 and 26 290 26 and 22 Total 257 215 The training programme of technicians was a part of the RMP for Albania. During this period of time 14 workshops for training of technicians from different districts of Albania were performed. From 436 participants (not only technicians), 350 technicians were certified. Table 6 Nr 1 2 3 4 5 6 7 8 9 10 11 12 Data on Workshop for technicians Workshops (Location) Tirana Date 9-12 2004 Main issues March Good practice in refrigeration Peshkopi , 19-20 Good practice Kukes etc September in 2005 refrigeration Shkoder, 6-7 October ,,_______,, Lezha etc 2006 Korca, 20-21 October ,,_______,, Pogradeci etc 2005 Berati , 4-5 November ,,_______,, Lushnja etc 2005 Gjirokaster 18-19 ,,_______,, etc November 2005 Tirana 16-17 ,,_______,, December 2005 Fieri , Vlora 14-15 January ,,_______,, 2006 Elbasani 21-22 January ,,_______,, 2006 Durresi 11-12 ,,_______,, February 2006 Tirana 18-19 ,,_______,, February2006 Tirana 11-12 March ,,_______,, Number of participants 46 Number of certified technicians 20 Trainers 31 26 31 26 32 28 27 22 22 17 31 26 37 32 34 29 26 21 41 37 30 26 HCFC Phase-out Management Plan for the Republic of Albania 23 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol 13 Tirana 14 Tirana Total 2006 27-28 shkurt R&R 2009 ” 6-7 Mars, R&R 2009 21 17 27 23 436 350 The “Train-the-trainers” programme and the training of teachers from vocational training schools on good practices in refrigeration, was part of a comprehensive approach to reduce the CFC consumption in the refrigeration servicing sector. The strengthening of the vocational training schools was essential to assure the sustainability of integrating good refrigeration practices into the school’s curricula. The long term expected results of the training program was to enhance good service practices in refrigeration systems, reduce and stop using CFCs. Into the school’s curricula of “Harry Fultz“ Institute, for the preparation of technicians, were included the programmes (theoretical and practical) for the preparation of high, medium and low level of technicians in the refrigeration sector. Theoretical and practical workshop held in Tirana on 12-14 June 2008 was attended by 22 participants attended from 4 vocational schools (“Gjergji Canco” –Tirana,”Adem Broci”-Shkoder, “Pavarsia” - Vlora, “Beqir Cela” –Durres ) and 12 trainers. The respective educational refrigerating unit and other equipment were provided for each of vocational schools. The long term expected results of the training program is to enhance good service practices in refrigeration systems, reduce and stop using CFCs. Table 7 Data on training program and subjects under different projects Training programmes Number of trainers for customs Number of customs officers trained Number of trainers for technicians Number of technicians trained Number of technicians certified Estimated CFC-12 reused with equipment funded by Multilateral Fund Number of funded recovery machines in operation Number of funded recycling machines in operation Implementation of phase out CFC and HCFC refrigerants Decrease emissions of hydrofluorocarbon (HFC) refrigerants 30 215 32 380 350 0 55 19 The training results has clearly showed that service technicians are playing a very important role in the implementation of plans for phasing-out CFC and HCFC refrigerants as well as in reducing emissions of hydrofluorocarbon (HFC) refrigerants. HCFC Phase-out Management Plan for the Republic of Albania 24 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol This goal can be achieved only by adoption of good practices in refrigerant management, in handling and working with refrigerants. Box 1 Baseline information of the survey on servicing sector Small with 1-2 technicians Medium up to 10 technicians Large with more than 10 technicians The estimated number of registered refrigeration service enterprises 154 45 7 206 On advice of national experts Tirana was selected for the establishment of the refrigerant recovery and recycling centre. In 2008, with the decision of Tirana Court, was created the Refrigerant Association. 55 recovery units and 17 recycling units were delivered in 20082009. II. HCFC Consumption data II.1 Methodology and validation As part of the study, available information on HCFC consumption in smaller market sectors and in replacement markets was collected. This update was needed to establish the proposed import quota system, develop the phase-out action plan to meet international obligations, data reporting and to project future demand on HCFCs. The method used to develop supply and consumption estimates for these chemicals across the major market sectors included: Gathering national statistics on import of Annex A - Group I substances, as well as other regulated or potentially regulated chemicals Collecting detailed data on distribution through contact with industry suppliers. The main explored sources of information sources were: Institute of Statistics of Albania (INSTAT), Business Register, Annual Structure Survey, data on economic activities of enterprises, data on import and export of goods, data on household assets, Chamber of Commerce and Industry, Database of registered enterprises, free electronic search by keywords, registered exporters etc. Also key information and documentation sources were: General Directory of Customs, Private refrigeration/air conditioning sale/service enterprises, main suppliers, service agencies, technicians, refrigeration park (number, type), frequency of repair, initial charge and recharge, annual refrigerant consumption etc. Other important information sources were organizations/companies equipped with the refrigerators/air conditioners (cold storage, markets, hotels, offices, restaurants, food importers/exporters/transporters) etc. The methodology and validation of HCFC consumption data as a basic step to build up the HPMP was based on three main steps. HCFC Phase-out Management Plan for the Republic of Albania 25 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol The first step is considered understanding of the market and defining of how much HCFC is used in the country and in what sectors/applications; The second step was identification of the users and collection of information on the different sectors, as well as checking their knowledge on the future HCFC phase-out and their readiness for this development; The third step was the development of measures that would facilitate the phaseout with a minimum cost to the society. Experience from the CFC phase-out in developing countries and HCFC phase-out in developed countries shows that the upgrade of technology and competencies involved in-spite of initial investments can have positive side effects such as improved quality, decrease of failure rates and energy consumption in application such as refrigeration and air-conditioning. The supply chain of the substances is often one of the most important sources of information to get an overview as well as identifying the users of ODS substances. All importers have been listed with contact information. Customs data is another source of information as the customs HS-code can identify most of the HCFCs. Stakeholders can be identified through the survey of the supply chain but it is important to explore alternative appropriate ways to ensure that all sectors are well covered and to crosscheck information obtained from the supply chain. Alternative sources to identify stakeholders were manufacturers associations, trade organisations such as refrigeration associations etc. The main uses of the HCFC are service of refrigeration (66.2%) and commercial and transport sectors. The preparation of the HPMP was started with the country wide survey of installed quantities and annual consumption of HCFCs in the Republic of Albania. The Survey Methodology provides relevant information about installed quantities of HCFCs by sectors, annual consumption of HCFCs in the period 2006-2009 and forecast for their future demand. Collection and estimation of consumption data of HCFC in the Republic of Albania was based on the exploration of the following sources: General Customs Authority (import of HCFC, equipment, products); Data collected through the field survey by national experts contracted by UNIDO, and data gathering by NOPIU (NOU); Statistical annual publications; National Ozone Unit. The survey is based on the "UNIDO Data Collection Questionnaire for the Preparation of HCFC Phase-out Management Plan" and follows the chain of ODS supply from the time when chemicals ordered/imported into Albania and passed to distributors and consumers Collection of data of installed quantities of HCFC was conducted through the direct contacts with Customs Administration, importers of equipment, end users and service shops. HCFC Phase-out Management Plan for the Republic of Albania 26 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol II.2 HCFC consumption data (a ) Consumption data for each of HCFC (as pure and blend) During years 2006-2009 the HCFC consumption was increased from 40 to 97.37 Mt respectively. Table 8 Annual consumption of HCFCs in Mt/year Substance Year 2006 Year 2007 Year 2008 HCFC-22 40 46.34 74.5 (ODP=0,055) Year 2009 97.37 Table 9 Annual consumption of HCFCs in ODPt/year Substance Year 2006 Year 2007 Year 2008 HCFC-22 2.2 2.548 4.0975 (ODP=0,055) Year 2009 5.355 The largest volume of HCFC refrigerant consumed is R-22, which is used in airconditioning and commercial refrigeration service sector.During these years blends containing HCFC were also imported. These are R-406 A ; R-409A ; R-502. Table 10 The consumption of blends that contain HCFC in the year 2008 and 2009, in Mt/year Substance Year 2008 Year 2009 R-502 (R-22/R-115; 48.8/51.2%) 1.261 1.401 R-406A (R-22/R-290/R-142b; 55/4/41%) 17.94 20.12 R-409A (R-22/R-124/R-142b; 60/25/15%) 0.86 0.92 Total 20.1 22.4 ( b) HCFC imported by each registered importer Based on the data of the monitoring project, the verification was made in lieu of the companies engaged in large-scale importing and using the ODS and other refrigerants, listed in the table below. Table 11 The companies engaged in large-scale importing the refrigerants No. Name of Administr Contacts HCFC Phase-out Management Plan for the Republic of Albania 27 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol the Company ator Sokol Kullolli 1 Frigoalb 2 “SOFI Gaz” 3 KEDO 4 Agim Mitri Agim Mitri 5 Arjan Hafizi Arjan Hafizi Krenar Dobi Pajtim Seitaj Address Tel Fax Rr. M.Gjollesha, Tirane /422224 06 4.3 Km Highway Tirane Fier Magazina ne dalje te Fierit , tek blloku i magazinave Ka dyqan ne Tirane tek UNAZA E RE Shkoder / Mobile 06920414 36 06820466 60 06921504 79 06822503 87 Table 12 The list of each Refrigerant (HCFC) imported in Mt/year by registered importers (in the year 2008) No. Name of the Company R-22 R-502 R-406 A R-409 A 1 Frigoalb 30 0.561 6.94 2 “SOFI Gaz” 3.3 2 3 KEDO 20 0.4 5 0.86 4 Agim Mitri 16.4 0.3 4 5 Arjan Hafizi 4.8 Total import Mt/year 74.5 1.261 17.94 0.86 “Sofi gaz”-Tirana, is an Italian Company which cooperates with an Albanian company. They import from Italy refrigerants, with a good quality. This Company sells refrigerants and different kind of gases as O2, nitrogen, acetylene etc. “Mitsubishi” private company, inTirana, owner of which is Mr. Sokol Kullolli. He buys refrigerants in China, Italy, Germany etc. Pajtimi-Seitaj- Fier, sells Chinese refrigerants and spare parts. He sells everything in gross. He has a big activity with China. The quality of HCFC was conform standard. Agim Mitre, Fier sell refrigerant which are bought in Dubai, Those are Indian refrigerats. ( R22, a few R-406 and very few R502). Arjan Hafizi, Shkoder, in the north of Albania .He imports mainly R22 (c) The estimated HCFC baseline for compliance (i.e., average of the HCFC consumption in 2009 and the estimated consumption for 2010, measured in ODP tonnes) Article 7 data on HCFC consumption and the data on the identified consumption of blended refrigerants containing HCFCs are provided below. HCFC Phase-out Management Plan for the Republic of Albania 28 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Year Article 7 data, HCFC consumption, ODP tones* Data on consumption of blended refrigerants containing HCFCs, ODP tones Total HCFC consumption, ODP tones 2006 0 - 2007 2.5 - 2008 4.1 1.1 2009 5.4 1.24 0 2.5 5.2 6.6 * reported data cover only pure HCFC-22 refrigerant consumption With respect to the above and the expected 2010 consumption of pure HCFC-22 refrigerant at the level of 6.6 ODP tones the estimated baseline for compliance will be 120 Mt. By DCM No. 290, dated 04.28.2010, “For some changes and additions to the decision No. 453 dated 23.06.2005 of the Council of Ministers”, Importing ozone–depleting substances included in Annex C, group 1 is allowed only on the basis of annual quotas set out in the diagram 4, approved for Albania and reflected in the table 13 below. Table 13 Diagram 4 the annual import quotas (including mixture that contain HCFC) during the years 2010-2040, in Mt/year Years 2010 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2040 Quantity of HCFC Imported Mt/year Reduced quantity of HCFC imported Mt/year 120 108 100 95 90 85 78 70 65 60 50 39 29 0 12 8 5 5 5 7 8 5 5 10 11 10 The DCM No. 290, dated 04.28.2010 declares that: -During the years 2010-2013 the quota for the imported HCFCs will be the same. The year 2010 is estimated as the HCFC baseline for compliance, and is 6.6 ODP tones (120 Mt) -In the year 2015 the imported quantity of HCFC will be reduced by 10% as compared to 2013. -In the year 2020 35% reduction of HCFC consumption will be achieved as compared to 2010 that is for the estimated HCFC baseline for compliance. By 2020 while allowing 0.5% for servicing during the period 2020 – 2030 67.5% reduction by 2025. Phase-out by 2030, while allowing an annual average of 2.5% for servicing during the period 2030 - 2040 (d ) The starting point for aggregate reduction in HCFC consumption Decision 60/44 requests: HCFC Phase-out Management Plan for the Republic of Albania 29 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol (c): To establish the starting points for aggregate reductions in HCFC consumption, for those Article 5 countries that submit projects in advance of their assessed baseline, at the time of submission of either the HCFC investment project or the HPMP, whichever is first submitted for the consideration of the Executive Committee; (d) to allow Article 5 countries to choose between the most recent reported HCFC consumption under Article 7 of the Montreal Protocol at the time of the submission of the HPMP and/or the investment project, and the average of consumption forecast for 2009 and 2010, in calculating starting points for aggregate reductions in HCFC consumption; (e) to adjust the agreed starting points for aggregate reductions in HCFC consumption in cases where calculated HCFC baselines based on reported Article 7 data are different from the calculated starting point based on the average consumption forecast for 2009 2010. The country has selected the latest estimated HCFC consumption in 2010 as a starting point. This is 6.6 ODP tones, which is the equivalent of 120 metric tones of HCFC-22. There is no consumption of HCFC-141b in Albania and no adjustment related to the import of pre-blended polyols has been done. By DCM No. 290, dated 04.28.2010 is declared that: -During the years 2010-2013 the same quota for HCFC imported will be applied. In the year 2014 it will be reduced by 5% of quantity of HCFC imported in compares with 2013. In the year 2015 it will be reduced by 10 % of quantity of HCFC imported in compares with 2013. The year 2014 is the starting point for aggregate reduction in HCFC reduction. In the year 2020 will be 35% reduction of HCFC consumption to compare with 2010 that is estimated HCFC baseline for compliance. During the period 2020 – 2030 consumption for servicing sector will be reduced with 0.5%/year, catching 67.5% of reduction in 2025. Phase-out by 2040, while allowing an annual average of 2.5% for servicing during the period 2030 – 2040. (e) Availability of HCFC, HCFC blends and alternative chemicals and their current prices The challenges to phase out HCFCs as refrigerants are similar to those encountered in the phase-out of CFCs. In Albania, the biggest HCFC use will be as refrigerants in the refrigeration and air-conditioning sector (66.2%). The larger volume HCFC product is HCFC-22 in air-conditioning and commercial refrigeration sector. Smaller volumes are “service blends”. There is a strong focus on development of solutions with low Total Equivalent Warming Impact (TEWI) which include the Global Warming Potential (GWP) of the refrigerant as HCFC Phase-out Management Plan for the Republic of Albania 30 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol well as the indirect effect caused by energy consumption of the system. The challenge is to ensure that energy efficiency and cost is acceptable on a system level when necessary precautions for safety and design have been taken into consideration. The development is on-going on global levels and it is important that Government of Albania follows this development. So alternatives with a minimal impact on environment are introduced when they can be used cost effectively in a safe and energy efficient way. HCFC-22 alternatives are available for all applications and a replacement is possible in new systems at relatively low cost. But there are significant challenges to phase out HCFCs in existing systems without interruption of the economical recovery which is focused on areas that are today dependent on the use of HCFCs. The HCFC-22 consumption is expected to grow in the coming years unless measures are introduced to prevent this scenario. Alternatives are available but at a higher initial cost and not all sectors are familiar with the use of these alternatives. There is no ideal refrigerant that can replace any of the ODS without considerations to the system and application. The alternatives (in particular to HCFC-22) require specific competencies as they have technical differences that must be understood for successful use. The alternatives mostly used to replace CFCs as well as HCFCs are HFCs. As the HFCs have a significant Global Warming Potential (GWP) they should not be selected if there are alternatives with low or zero GWP that can be used at acceptable cost without negative consequences for safety, reliability and energy efficiency. Unfortunately, the HCFC alternatives with 0 ODP and low GWP are associated either with safety risks or complex technical issues. Therefore, the most common alternatives still are the HFCs. Hydrocarbons are good refrigerants but their flammability results in special requirements and have limited their penetration in the market beyond domestic refrigeration. In domestic appliances and low charge plug in units (for example drink coolers and display cases) iso-butane (R600a) has gained a significant market in Albania. During the year 2008 14.22 Mt. of R600a was imported. The R-600a consumption is expected to grow in the coming years. In some markets where flammability was seen as a bigger obstacle than GWP the sectors moved to R-134a. As the HFCs are not compatible with traditional refrigeration oils, the introduction of HFC normally requires a change to ester-oils. For the time being the Albanian offers R507, R-502, R 404a, R-407C, R409A, R-410A, R-134a and R600a refrigerants. The most established R-22 drop-in alternative is R-417A but lately R-422A, R-422D and R-423A have been launched to offer alternatives tailored for specific R-22 applications. HCFC Phase-out Management Plan for the Republic of Albania 31 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Before the 90s the ammonia was widely used in commercial and industrial refrigeration in Albania. The use of ammonia now is very limited. In larger installation ammonia has always had a strong position and is expected to be even more competitive in the future. Carbon dioxide has a negligible GWP but will operate under significantly higher pressure than the traditional refrigerants and can not be used in existing equipment. The applications with most experience in Europe are low temperature commercial refrigeration with a “cascade system” with ammonia or HFC in the high stage. On the European market HCFC-22 often is replaced with HFCs (R-407C and R-410A) in unitary/split air conditioners, with HFC-134a/R-404A/R-507 in transport refrigeration and commercial equipment. Large-scale industrial refrigeration installations use ammonia and R-404A while central air-conditioning systems often use HFC-134a/R-407C/R-410A and sometimes ammonia. HFCs are available for all applications. In larger installation ammonia has always had a strong position and is expected to be even more competitive in the future. For some supermarkets and low temperature industrial applications carbon dioxide has been used with satisfactory results. Table 14 refrige rant Quanti ty Mt Price U$ kg Import of alternative refrigerants in Albania (data from the survey of national experts) for the year 2008 and price of refrigerant U$ kg R507 35 Table15 R502 R507 R404A R406A R407C R409A R410A 17.94 9.841 0.86 1.261 0.455 15.678 19 23 9 9 R134a 2.808 HC 600a 14.220 29 37 6 35.000 Summary of the dominating trend of alternatives for new installations on the European market today. Sector HCFC alternatives 1 Industrial Refrigeration Ammonia, R-404A, R-717 2 Commercial Refrigeration HFC-134a, R-404A, R-507, CO2, , R744, R-290, R-1270 3 Air conditioning R-407С, R-410А, HFC-134a 4 Household Isobutane, (HFC-134a) 5 Transport Refrigeration R-404A, HFC-134a Comparing the data in Tables 14 and 15 it is clearly seen that the general trend of the market in Albania is the same as that of the European market. II.3 Sector distribution of HCFC HCFC Phase-out Management Plan for the Republic of Albania 32 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Three chemicals, namely HCFC -22, HCFC-141b, HCFC -142b consists of more than 99% in the total consumption of all HCFC in article 5 countries. These chemicals are used as pure chemicals or in mixture form. The remaining consumption of HCFC is used in specialized application in the aerosols, fire extinguisher and solvent sectors. Data base used for this information is ensured from NOPIU (NOU). II.3.1 HCFC – based manufacturing sector The data and information obtained through the country wide survey by UNIDO experts show that there is no use of HCFCs in the foam production in Albania. Two factories producing polystyrene foam as isolation material use water and Methylenechloride (CH2Cl2) as blowing agent. As it is mentioned before, in Albania the production of aerosols and solvents does not exist. There is no production of domestic refrigerators and air conditioning equipment in Albania. Table 16 Nr Firm 1 2 3 Manufacturing companies Activity Production capacity m3/year ALBAFOA polystyrene M foam 600 In Tirana EVROFOA polystyrene M foam 12400 m3 In Tirana Aerosols 4 Solvent 5 polyurethane spray foam Comments Number of employers 17 40 Albania hasn’t such industry Albania hasn’t such industry Albania hasn’t such industry II.3.2 Refrigeration servicing sector Table 17 Substance HCFC-22 HCFC -22 consumption in refrigeration servicing sector in M/tones Year 2006 Year 2007 Year 2008 Year 2009 40 46.34 74.5 97.37 HCFC Phase-out Management Plan for the Republic of Albania 33 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol (ODP=0,055) Table 18 Year 2003 2004 2005 2006 2007 2008 2009 Table 19 Year 2005 2006 2007 2008 Table 20 Equipment Room a/c HCFC consumption in refrigeration servicing sector M/tones, year 2003- 2008 Pure R22 % HCFC-22 Other/blend Total 42.2 32.6 74.8 56.4 43 31.5 74.5 57.7 48.1 33.4 81.5 59.0 40 34.2 76.8 52.0 46.34 34.7 81.2 57.0 74.50 32.2 106.7 69.8 97.37 83.9 181.27 53.7 Number of imported room AC units Number of units 24,191 36,980 46,340 71,350 Number of refrigeration equipment in the country, 2008 no. HCFC based annual HCFC annual HCFC units in consumption, year consumption, operation 2008 M/tonnes year 2008,in % 220,081 22.01 29.54. Mobile AC unitsRefrigerated and/or cooled transportation equipment: Busses, Trains, Trucks, Ships, Containers Chillers Others-public and private sector Domestic & light commercial refrigeration Commercial and industrial refrigeration systems TOTAL 56,782 12 16.10 5 9.94 6.71 13.34 437,949 12.25 16.44 2,926 13.3 17.85 74.5 100 HCFC Phase-out Management Plan for the Republic of Albania 34 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Table 21 List of HCFC importers/exporters No. Name of Company Address, contact details Mr. Sokol Kullolli, Rr “Muhamet Gjollesha” Tirane and 1 Mitsubishi company Shkoder Tel 0692041436 SOFIGAS Company 2 4.3 Km Highway Tirane Tel 0682046660 3 4 5 KEDO company Mitre company Hafizi Company 6 Tomor Shehu shpk 7 ESPEM GRAND Table 22 No. 1 2 3 Mr.Pajtim Seitaj, Magazinat Industriale ,Fier 0692150479 Tel Mr.Agim Mitre, Magazinat industriale, Fier Mr. Arjan Hafizi, Qender Shkoder, Prane xhamise Tel 0682250387 Mr. Tomor Shehu, Magazinat , Lagja Apollonia,Fier Mr. Ferdinand SAKO, Rr Hyseni ,Nr 146, Fier List of main HCFC distributors Name of Address, Company contact details Geographic area of coverage Tirana, Shkodra North Tel 0692150479 Albania and Mitsubishi Tirana Tirana Tel Midle 0682046660 Albania Sofi Gas KEDO 4 Mitre Company 5 Hafizi Company 6 Fredi Rapaj 7 Xhelal Rapaj 8 Astrit Fier Tel Central and 0692150479 South Albania Fier Central and South Albania Shkodra North Tel 0682250387 Albania Tel 0682656655 Middle Fier Albania TEl; 0682656655 ,Durres Tel Central Albania East and Types of HCFC distribut ed R22, R406, R 409 R22, R406, R409 R22, R406, R409 R22, R406, R409 R22, R406, R409 R22, R406, R408 R22, R406, R409 R22, HCFC Phase-out Management Plan for the Republic of Albania Main industrial sectors served Commercial and cooling rooms Commercial and cooling rooms Commercial and cooling rooms Commercial and cooling rooms Commercial and cooling rooms Commercial and cooling rooms Commercial and cooling rooms Commercial Importer (yes/no) Sokol Kullolli Krenar Dobi Pajtim Seitaj Agim Mitre Arjan Hafizi Fredi Rapaj Xhelal Rapaj Astrit 35 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Gega 9 Oris Klima shpk 10 Tomor Shehu shpk :0692024513, Fier, Rruga Pashko Vasa Tirane Tel 0692046699 Lagja Apollonia Fier Tel;068208553 6 central Albania R406, R409 Tirane R22 - Central and south Albania R22, R406; R408, R409 HCFC Phase-out Management Plan for the Republic of Albania and cooling Gega rooms Commercial Ismail and cooling Bardhi rooms Commercial Tomor and cooling Shehu rooms 36 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Table 23 No. 1 2 3 4 Companies that import refrigerators and air conditioning units Name of the Company DELONCHI – LIVING (Air Cond. Ref) ELETROLUX (Ref.) SHARP CCS (Ref.) ELEKTRO SHTEPIAKE REXHINA (Ref.) Administrator Contacts Address Tel/Fax Mobile V. SKERMA Rr. Sami Frasheri, Nr.5 00 355 4 26 52 41 - Agim BEDO Agim BEDO Rr. Pjeter Bogdani Rr. M.Shyri 55/1 00 355 4 27 04 48 00 355 4 24 06 39 - Ylli AHMETAJ Rr. Muhamed Gjollesha 00 355 4 23 28 65 - Rr. Hajdar Hidri 6/1 00 355 4 26 27 96 00 355 4 27 44 59 - - 00 355 68 22 37 516 00 355 4 25 51 37 00 355 4 25 18 91 00 355 69 21 62 189 - 5 ALB SECURITY (Ref.) Mirban BILARI 6 ARISTON (Ref.) Arben BEQIRI 7 8 9 ARVETA (Air Cond.) CANDY (Ref.) DERVIS (Ref. Air Cond.) Second Hand Refrigerators ELOKTRO-SHTEPIAKE IDEA (Ref. Air Cond.) JONION (BOSCH) NEPTUN ELEKTRO SHTEPIAKE (Ref.) NEPTUN ELEKTRO SHTEPIAKE (Ref.) NEPTUN ELEKTRO SHTEPIAKE (Ref.) SONY (Ref.) ESEM GRAND (Air Cond.) ILVA ELEKTRIK (Air Cond.) KLIK – AIR – KOND DEGINA (Air Cond.) PATRIK CLIMA (Air Cond.) MITSUBISHI MITSUBISHI MITSUBISHI MITSUBISHI GONXHE (Air Cond.) 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Rr. Ferid Xhajko - 00 355 69 21 95 093 Ymer KACACI Arjan Baholli Gezim MANAJ Rr. Ferid Xhajko Rr. M. Gjollesha Rr. Sulejman Delvina 00 355 25 51 37 - 00 355 68 21 84 117 00 355 68 20 26 345 00 355 68 21 57 831 Zamir MANE Rr. M. Shyri 00 355 4 23 51 17 - Zamir MANE Rr. Zonja Curre 00 355 4 37 49 53 - Zamir MANE Rr. Bulevardi Zogu I 00 355 4 23 51 17 - Toni MEKE Rr. M. Shyri - 00 355 69 24 07 098 Rr. At Gergj Fishta 00 355 4 24 32 55 - Petrit PEQINI Rr. M. Gjollesha 00 355 4 26 87 13 - Genci – Turi Perlat SALA Rr. Unaza Rr. M. Shyri 00 355 4 26 77 22 00 355 68 21 66 809 00 355 69 20 77 777 Rr. M. Shyri - - Rr. Konferenca e Pezes Rr. Sami Frasheri Rr. Qemal Stafa Rr. M. Gjollesha Rr. Siri Kodra Kombinati i Tekstileve (behind MKZ) Bulevardi Zogu I Bulevardi Zogu I Shkolla e Ndertimit - 00 355 69 20 42 004 00 355 69 20 42 004 00 355 69 20 42 004 00 355 69 20 42 004 - - 00 355 69 25 21 831 - - Fredi CARA Fredi CARA Fredi CARA Fredi CARA Kliti NANO Arben KORCA Companies that install refrigerators and air conditioning units Name of the Company 2 3 4 5 6 EPSEN GRAND Cond.) DEGINA (Air Cond.) UNAZA (Petrela) DEGINA (2) PATRIK KLIMA FUXHI ELEKTRIK 7 AST ELEKTRONIC 8 CCS 9 10 11 NIKOLLA sh.p.k SHKALLA MITSUBISHI 1 Bledar TIRANA FISHTA CEKU CEKU Table 24 No. Bledar TIRANA Hekuran SHKOZA Rr. Ali Demi (Shkolla 1 Maji) Rr. M.Gjollesha Rr. Ali Demi Rr. Kavajes Administrator (Air Petrit SALA Petrit SALA Ilia FAJA Jovan BAJDOSI Genc LISKENDAJ Robert NIKOLLA Nazmi Shkalla Fredi CARA Contacts Address Tel/Fax Mobile Rr. At Gjergj Fishta 00 355 4 24 32 55 - Rr. M. Shyri KLIM – AIR Rr. M. Shyri 00 355 4 27 34 72 00 355 69 20 77 777 00 355 68 21 66 809 00 355 69 20 77 777 - - 00 355 68 20 29 370 Rr. M. Gjollesha - 00 355 69 20 90 500 Rr. Hasan Tahsin Rr. M. Shyri 00 355 4 22 29 99 - 00 355 69 20 32 762 00 355 69 20 89 229 00 355 69 20 42 004 Rr. M. Gjollesha Rr. Sami Frasheri Grand Hotel HCFC Phase-out Management Plan for the Republic of Albania 37 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Table 25 Companies installing industrial/commercial refrigerators and air conditioning systems No. Name of the Company Administrator 1 FRIGORIFERI Sokol MEQEMEJA 2 K.M.U. Ligor LENCU 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 EXPO - MILK AJKA VAGOR BANANE ANION C SALLAMI BIRRA “NUOVA” BIRRA “PRINC” ISH UZINA TRAKTORI BIRRA BIRRA BIRRA BIRRA KAON BIRRA REI 2000 BIRRA STAR 2002 BIRRA YSBERISH Igli GZAMI Petraq GRAMI Llazi ANGJELI Llazi ANGJELI Luan LEKA 18 BIRRA YSBERISH 19 20 BIRRA TIRANA BIRRA UNSON Brunilda FERRA Bektash MECE Bajram ALIA E. BIBA Luan DRENOVA Artan STROKA Bardhi HADO Contacts Address Rr. 3 Deshmoret (Kombinati Ushqimor) Rr. 3 Deshmoret (Kombinati Ushqimor) Kombinati Ushqimor Vaqarr Perballe Arkives Shteterore Yrshek Autoshkolle F. Qesarat F. Linze Rr. Mihal Grameno Qyteti Studenti Ish SMT Tirane Ish Kombinati “Misto Mame” Kamez Rr. Konferenca e Pezes Rr. Elbasanit Sh.a. Aldin GJUBOVIA Ysberish Rr. Qemal Stafa (porcelan) Tel/Fax Mobile - - - - 00 355 4 37 44 14 - 00 355 68 24 56 604 00 355 69 28 03 610 00 355 69 21 41 754 Base line information of the survey on servicing sector III. HCFC Phase-out Strategy The HPMP describes the overall strategy that will be followed by the country to meet the complete phase-out of HCFCs and includes all sectors. This includes policy instruments to reduce supply of HCFCs, and a plan for implementation of alternatives for new and existing equipment and products. The HPMP takes into account the climate impact of the alternatives, and will be coordinated with chemical management and energy policies. Alternative refrigerants and regulations on HCFCs have special attention in the HPMP. Technical options are being developed to lower refrigerant charges in equipment, thereby decreasing refrigerant emissions, and cooperating for the responsible use of all alternatives. Due to technological development and adoption of sustainability policies, it is predicted an increase of natural refrigerant applications. An important objective is applying to refrigerants the general concept of 4R principle: Reduce the use, Recovery, Recycling and Reuse. This can be achieved through technology development, making systems more hermetic and with lower refrigerant charge and through good practices on refrigerant management. III.1 Overarching strategy Dominant use of HCFCs (R-22) in Albania is in refrigeration and air-conditioning sector which represents more than 60% of the HCFC amount in the country. According to the HCFC Phase-out Management Plan for the Republic of Albania 38 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol last Survey, there is a trend on increasing import of the split and unitary air-conditioning systems containing HCFC-22. This import increases the installed capacity of HCFC-22 in the country. The Strategy and Plan for the HCFC Phase-Out in the country needs to take into consideration relevant MOP and Ex.Com. Decisions related to the following: Account to the existing guidelines for country programmes Staged implementation of HPMPs within overarching programmatic strategy for A5 countries up to 2040 with options and flexibility Acceleration of the phase-out of HCFCs with higher ODP. Phase-out schedule for HCFC according to decision XIX/6 – Article 5 countries. (a) Policy instruments needed to reduce the supply and/or demand of HCFCs, such as import quotas, price controls, ban on imported HCFC–based equipment, ban on imported HCFC-141b-preblende polyols, restriction to specific non-HCFC alternatives. Albania has never produced HCFC. These substances have always been imported. All consumption of the ozone depleting substances refers to import. As it is mentioned earlier, there is no HCFC consumption in manufacturing sectors. By Decision of Council of Minister No. 290, dated 04.25.2010 in Albania: Production ozone–depleting substances, products and mixtures that contain subjects set out in Annex A, B, C and E, the Montreal Protocol are controlled; Importation and marketing, the export and transit of products containing mixtures of ozone–depleting substances and equipment that use defined in Annexes A,B,C and E of Montreal Protocol are controlled. Importing ozone–depleting substances included in Annex C, group 1 is allowed only on the basis of annual quotas Importing ozone–depleting substances permitted only at customs that have certified personnel and special equipment for detecting and identifying them. By the same DCM, it is allowed to use the ozone depleting substances only by physical and legal persons licensed and certified by Environmental Permits. Albania has an appropriate licensing system for HCFCs. Import quotas and permits, price control through environmental taxes for HCFCs and HCFC containing equipment, ban on import of HCFC containing equipment and new HCFC installations are included in the Decision of Council of Minister No. 290, dated 04.25.2010. The import of HCFC refrigerant will be banned (after publication in the official Journal No 62 2010). Also the import of products containing HCFC refrigerant will be banned (after publication in the official Journal No62 2010). The import of HCFC containing equipment will be banned (after publication in the official Journal No 62 2010). HCFC Phase-out Management Plan for the Republic of Albania 39 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol The import of HCFC refrigerant will be possible only with the environmental quotas permission fixed every year as mentioned in the diagram 4 of the Decree of C.M No290. (after publication in the official Journal No 62 2010). The basic aim of the Decree of C.M. No 290, dated 04.25.2010 is to improve “Risk Profile”. The existing harmonized system of tariff codes with ASICUDA addresses the risk profile by including CFCs in the “red channel”. With respect to HCFCs the system is to be upgraded by including in the red channel HCFC import quotas, the list of refrigerant importers for each year etc. The Environment Action Plan of MEFWM envisages the review of legislation (in 2014-2015) as follows: The approval of Regulation (EC) No 842/2006 of the European Parliament and of the Council of 17 May 2006 “on certain fluorinated greenhouse gases”. Ban of importing and placing on the market of non –refillable containers. “Shipment-specific” permit that specifies the quantity which the importers are allowed to bring into the country as a single shipment. Extending existing import/export licensing system for ODS to include HFCs and HFC-containing mixtures The Combined Nomenclature (CN) customs classification system will cover all HFCs. Mandatory HCFC logbooks to include entity importers/exporters, HCFC users, who place HCFCs in the market and those entities who recover, recycle or reclaim HCFCs ( there are no ODS destruction facilities in the country) etc. Make the recovery of HCFCs from containers (at the end of their life), from equipment (before disassembling and during servicing or maintenance, if appropriate) and from products (if technically possible) mandatory. Ensuring that the companies servicing MAC in such vehicles do not refill them if a leakage was found until a repair is made (Directive 2006/40 - art. 6.3 ) Mandatory recovery of controlled ODS contained in product/equipment other than above if technically and economically feasible.1005/2009 – art. 22(4) Licensing system extended to include HFCs and HCFCs – containing mixtures. Mandatory registration of importers of product/equipment containing/relying on controlled ODS.1005/2009 art. 18(2) Establishing training and certification system for personnel involved in leakage checking (if 3g of F-gas or more), recovery of F-gases, installation and conservation or maintenance of stationary RAC equipment containing F-gases and for companies involved in installation and conservation or servicing of such equipment 842/2006 – art. 5 and 303/2008 Harmonization of definitions (ODS) 1005/2009 – art. 3 Treatment of ODS and F-gases recovered from products or equipment as hazardous wastes. Waste Directive 2008/98 Training or awareness rising: Training of customs and environmental officers Training and certification of refrigeration technicians Awareness rising of stakeholders HCFC Phase-out Management Plan for the Republic of Albania 40 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol (b) Coordination with other multilateral environmental agreements, in particular those related to climate change and chemical management The national environmental legislation will be incomplete if it does not take into account all international environmental conventions, protocols and agreements in which the Republic of Albania is a party of through signing, adherence and ratification. This has to be emphasized because according to Article 122 of the Constitution of the Republic of Albania, international conventions ratified by law from the Assembly and published in the Official Journal are integral parts of the national legislation and prevail over the national laws that are contrary to them. Below is the Regulatory framework related to the Ozone layer protection and other Conventions where the Republic of Albania is a party: Convention on protection of Ozone layer ratified by Law No. 8463. Convention on Climate Changes (UNFCCC) ratified in 1994. Convention on control of trans-border transportation of hazardous waste and their disposal (The Basel Convention) ratified by Law No 8216, dated 13.05.1997. Kyoto Convention Law Nr.9334, date 16.12.2004. Stockholm Convention “On Persistent organic pollution+” Law Nr.9263, date 29.7. 2004. Rotterdam Convention Law 10277, date 13.5.2010. Convention on Access to information, Public participation in environmental decision-making and Access to justice in environmental matters (The Aarhus Convention) ratified by Law No. 8672, dated 26.10.2000. Convention on Environmental Impact Assessment in the Trans-border Context (ESPOO, Finland) ratified on 04.10.1991 Law No.9108, dated 17.07.2003 “On Chemical Substances and Preparations”. The DCM 290 “On the amount collected ozone – depleting substances that can not been recycled, treated under the provisions provided by law no. 9108”, date. 17.07.2003 "On chemical substances and preparations." One of the main objectives of the HCFC Phase-out is to achieve synergies by minimisation of impact of alternatives on the environment, in particular climate change. In this context the NOU is collaborating with Environmental and Forestry Agency, Unit of Climate Change and POPs project. (c) Staged approach to reduce HCFC consumption to meet HCFC phase-out targets as agreed by the Parties Following is the accelerated Phase-out schedule for HCFCs according to decision XIX/6 for Article 5 countries against the baseline level (the average of the HCFC consumption in the yeas 2009 and 2010): Freeze in 2013 10 reduction by 2015 HCFC Phase-out Management Plan for the Republic of Albania 41 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol 35% reduction by 2020 67.5% reduction by 2025 Phase-out by 2040, while allowing an annual average of 2.5% for servicing during the period 2030 - 2040 For Albania, the first stage of the strategy covers the freeze of HCFC consumption in 2010- 2013 and 10% reduction of HCFC consumption in 2015. The First stage 20102015 is elaborated in details The Second stage will cover the period 2016-2040 (but is elaborated up to 2030). Acceleration of the HCFC phase-out will be implemented during the first stage; namely freeze by 2010, 5% reduction in 2014 and 10 % reduction in 2015. (d) Proposed levels of reduction in HCFC consumption and implementation time frames (up to 2030) based on the country’s actual needs and its current consumption status. The estimated baseline consumption of HCFCs is 120 Metric tones. This amount takes into consideration also HCFCs in mixtures. Reduction time frame is provided in Table 26. Table 26 Approved levels of reduction in HCFC consumption and implementation time frames Years 2010 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2040 Approved levels of HCFC consumption and implementation time frames Approved levels of reduction in HCFC consumption and implementation time frames 120 108 100 95 90 85 78 70 65 60 50 39 29 0 12 8 5 5 5 7 8 5 5 10 11 10 Allowed annual import quota for HCFCs (principally R-22) for the year 2011-2013 will be 120 tones. Annual import quotas during the years 2014 and 2015 will be respectively 114 and 108 tones in 2015. Annual import quota for HCFCs after 2015 till 2025 will be gradually reduced from 108 to 39 tones as reflected in the diagram. Allowed annual import quota for HCFCs after 2025 till 2040 will be gradually reduced with average 2.5% every year compared to the previous year from 39 to 29 tones as reflected in the diagram. In 2030 import quota for HCFC will be 34.125 tones. HCFC Phase-out Management Plan for the Republic of Albania 42 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol HCFC phase-out plan takes in consideration the gradual reduction of HCFC as depicted in Fig. 1. Fig 1 HCFC import quota reduction during the period of time 2010-2040 in MT HCFC reduction during 2010-2040 quantity during the years,Mt 140 120 100 80 Proposed levels of reduction in HCFC consumption 60 40 20 0 2000 2020 2040 2060 years Table 27 HCFC reduction until the year 2030 N0 Stage 1 2 3 First stage Second stage Total Periode of time, years 2010-2015 2016-2030 2010-2030 HCFC redution ,in Mtonnes 19 69 88 There will be import of pure HCFC-22 and HCFCs contained in the mixed refrigerants such as R-406A and R-409A. However, the ODP value of R-142b (0.065) is close to that of HCFC-22 (0.055) and the ODP value of HCFC-124 (0.022) is smaller than HCFC22 one. Assuming that the HCFC import is only HCFC-22, the present country quota contol will be sufficient to maintain compliance till 2030 as indicated in the graph below. HCFC Phase-out Management Plan for the Republic of Albania 43 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol MP obligation and allowed quota HCFC Consumption, ODP tonnes 7 6 5 4 3 2 Max MP obligation 1 Actual import (2006-2010) and quota 2030 2024 2022 2020 2018 2016 2014 2012 2010 2008 2006 0 year (e) Identification of main projects and activities required to completely phase out HCFC consumption and their estimated (preliminary) cost On the bases of the HCFC consumption data analyses and with account to the experience obtained through implementation of the ODS phase-out activities it is planned to achieve the complete phase-out of HCFCs by implementing a number of investment and noninvestment projects described in details in the following chapter. III.2 First Stage implementation program Noting that at the time of approval the HPMP funding will be provided only for implementation of its first stage, the proposed projects and estimated costs are based on the previous experience in the implementation of similar ODS Phase-out activities. III.2.1 HCFC manufacturing sector As mentioned earlier the existing manufacturing sector (foam production only) does not use HCFCs. Therefore, the HPMP does not include any projects addressing the phaseout of HCFCs in this sector. III.2.2 HCFC refrigeration servicing sector As the HCFC consumption in Albania has been identified only in the servicing sector, the HPMP, stage one, envisages to follow the same types of interventions that have been HCFC Phase-out Management Plan for the Republic of Albania 44 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol implemented under RMPs TPMPs and NPPs. Experience from training and capacity building already funded under CFC phase-out is to be utilized for the consumption reduction and gradual phase-out of HCFCs in the sector. The estimated costs of implementation are split in operating costs and investment costs and staged annually till 2015 and beyond (see the Draft Agreement in Annex 3). The proposed HCFC phase-out activities will be implemented through different investment and non-investment projects described in details below. 1.1 Project title – Training of refrigeration service technicians Subproject A: Training of stakeholders involved in implementation of the HCFC phase-out. Justification: Training and certification programme was designed as part of HPMP in order to train refrigeration service technicians and end users on using alternative nonHCFC refrigeration technologies; Recovery, Recycling and Reusing of HCFC refrigerants minimizing the need of virgin refrigerant. The energy efficiency and climate benefits of “natural “refrigerants and low GWP HFC are to be taken into account compared with HCFC and high-GWP HFC. Issue – Additional training actions should be implemented to update the knowledge level of technicians, trainers, end users etc. in order to maintain their capability in respect of present guidelines, changes etc. related to the service sector. An important point remains their information about existing and improved legislation. This can only be achieved with the adoption of good practices in refrigerant management, in handling and working with refrigerants. Topics Legislation Ban on non-refillable HCFCs containers Ban on new HCFCs installations HCFCs emission control measures Mandatory HCFCs and Equipment logbooks. Ensuring that the companies servicing MAC in such vehicles do not refill them if a leakage was found until a repair is made (Directive 2006/40 - art. 6.3 ) Mandatory recovery of controlled ODS contained in product/equipment other than above if technically and economically feasible1005/2009 – art. 22(4) Mandatory registration of importers of product/equipment containing/relying on controlled ODS.1005/2009 art. 18(2) Establishing training and certification system for personnel involved in leakage checking (if 3g of F-gas or more), recovery of F-gases, installation and conservation or maintenance of stationary RAC equipment containing F-gases HCFC Phase-out Management Plan for the Republic of Albania 45 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol and for companies involved in installation and conservation or servicing of such equipment 842/2006 – art. 5 and 303/2008 Harmonization of definitions (ODS) 1005/2009 – art. 3 Treatment of ODS and F-gases recovered from products or equipment as hazardous wastes. Waste Directive 2008/98 All these topics will be addressed in the agenda of theoretical and practical training workshops. Trained technicians will be registered and will receive the respective certificates. Project Cost -Cost estimate for the training of technicians is 60,000 USD Project Time Frame - Time of the implementation is 2011-2013. Subproject B: Training of the customs officers and environmental inspectors Justification - Appropriate training of customs officers and environmental inspectors will ensure effective trade and border controls and prevent illegal trade of HCFCs and HCFC containing equipment/products. Issues – the same as of the subproject A above. Topics Legislation Import quotas for HCFCs Import / placing on the market bans or licensing with regard to products and equipment containing /relying on HCFCs Permits for each HCFCs shipment. “Shipment-specific” permit that specified the quantity which the importers allowed to bring into the country as a single shipment. HCFCs emission control measures. Special requirements for labelling of HCFCs containers. Requirement for proof of origin for HCFCs shipments. All these topics will be included in the agenda of theoretical and practical training workshops for customs officers and environmental inspectors. Practical Manual for the customs and other literature will be used during the workshops. Trained customs officers and environmental inspectors will be registered and will receive respective certificates. Project Cost - Cost estimate for the training of customs officers and environmental inspectors is 30,000 USD. Project Time Frame - Time of the implementation is 2011-2012. HCFC Phase-out Management Plan for the Republic of Albania 46 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Subproject C – Training at Vocational schools Justification - Additional training is needed to improve the level of education of the future refrigeration service technicians on the use of basic instruments and good practices applied in the sector. Objective of this project is to improve curricula of the Vocational Schools for the preparation of technicians with contemporary knowledge. Project Cost - Cost estimate for the project at Vocational schools is 40,000 USD Project Time Frame - Time schedule for the implementation is 2014. 1.2 Project title - Improvement of Recovery and Recycling scheme (R&R) Justification – To decrease the import and consumption of virgin HCFC refrigerants the established R&R center needs to be reinforced through the supply of additional sets of equipment and tools. Project Cost - Cost estimate for the improvement of Recovery and Recycling scheme (R&R) is 150,000 USD The total cost for refrigeration servicing sector (first stage) is 280,000 USD. 1.3 Project title - Establishment of Waste Disposal Centre and collection of ODS Justification - Albania does not have the ODS destruction facility. To treat the unwanted ODS in the environmentally sound manner the project foresees establishment of the Waste Disposal Centre for dismantling of old equipment, recovery and storage of ODS refrigerants. The phase-out of HCFCs will result in the accumulation of waste (old equipment and unwanted ODS substances). The legal bases for the project is the Waste Directive 2008/98 on “Treatment of ODS and F-gases recovered from products or equipment as hazardous wastes”. Project Cost - Cost for the establishment of Waste Disposal Centre for the first stage is estimated at 200,000 USD Project Time Frame - Time of the implementation 2013-2015 1.4 Project title - Institutional strengthening Justification: This project was started as “Development of regulatory framework” for Phasing out Ozone Depleting Substances in Albania in 2001-2002. The National Ozone Unit in the Ministry of Environment was established in 2003 and nominated as a national focal point for implementation and coordination of MP programs and projects. Continues HCFC Phase-out Management Plan for the Republic of Albania 47 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol financial support under the IS project will be essential for the smooth implementation of the HPMP. Issues – Implementation of policy instruments and awareness raising. Policy instruments: - ban on import of HCFC containing equipment( including mixtures) - Annual import quota for HCFCs; - licensing system. - Environmental taxes for import of ODS and ODS containing equipment; - Mandatory reporting by importers/exporters; Topics A - Review of existing legislation in 2014 - 2015 as: The approval of Regulation (EC) No 842/2006 of the European Parliament and of the Council of 17 May 2006 “on certain fluorinated greenhouse gases”. Ban on imports of new ODS with certain exemptions 1005/2009 – art. 24 Ban of importing and placing on the market of non –refillable containers. “Shipment-specific” permit that specified the quantity which the importers allowed to bring into the country as a single shipment. HCFCs emission control measures. Extending existing import/export licensing system for ODS to include HCF and HCF-containing mixtures. Establishing training and certification system for personnel involved in leakage checking (if 3g of F-gas or more), recovery of F-gases, installation and conservation or maintenance of stationary RAC equipment containing F-gases and for companies involved in installation and conservation or servicing of such equipment 842/2006 – art. 5 and 303/2008. B – Introduction of the Combined Nomenclature (CN) customs classification system to cover all HCFCs. Mandatory HCFC logbooks where will be included entity importers/exporters, HCFC users, who place HCFC in the market and those entities who recover, recycle or reclaim HCFCs (there are no destruction facilities in the country) etc. Make the recovery of HCFCs from containers (at the end of their life), from equipment (before disassembling and during servicing or maintenance if appropriate) and from products (if technically possible) mandatory. Ensuring that the companies servicing MAC in such vehicles do not refill them if a leakage was found until a repair is made - Directive 2006/40 - art. 6(3) Mandatory recovery of controlled ODS contained in product/equipment other than above if technically and economically feasible - 1005/2009 – art. 22(4) Treatment of ODS and F-gases recovered from products or equipment as hazardous wastes Waste Directive 2008/98 Harmonization of definitions (ODS) 1005/2009 – art. 3 HCFC Phase-out Management Plan for the Republic of Albania 48 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Awareness raising: publications and arrangement of technical seminars and workshops for various groups of stakeholders. Project time frame - Time schedule is 2011-2015 1.5 Project title - Monitoring and Coordination Justification – Monitoring of the different projects will help to ensure the coordinated implementation and track keeping of the activities that will be carried out under the HPMP and will also provide valuable lessons on the results that can be integrated into subsequent stages of the phase-out strategy. Project Cost - The cost is estimated at 50,000 USD Project Time Frame - Schedule time is 2011-2015 The tame frame and the costs of implementation of each project are reflected in table 28. Table 28 N0 1 2 3 4 5 Suggested project time frame and costs Activities /project Institutional strengthening Refrigeration service sector Monitoring and Coordination Establishment of Waste Disposal Centre and collection of ODS Total for the first stage Time frame 2011-2015 2011-2015 Estimated costs US $ 300,000 280,000 2011-2015 50,000 2013-2015 200,000 830,000 The estimated costs are split in operating costs for non-investment activities and investment costs and staged annually till 2015. All subprojects and activities are calculated as well as the total funding required. Table 29 summarizes the funding request for each tranche for the years 2011 – 2015 for each activity. Table 29 N0 Breakdown of costs for the Stage 1 implementation activities Activities /project Time frame First stage 20112015 Non Estimated costs USD HCFC reduction MT IA USD 000 Total Ist Stage 2011 2012 2013 2014 2015 480,000 12 110 105 HCFC Phase-out Management Plan for the Republic of Albania 85 110 70 480 49 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol N0 1 2 3 4 5 6 7 Activities /project Time frame Estimated costs USD investment projects Institutional Strengthening 20112015 300,000 UNEP Training of technicians Training of customs officers and environmental inspectors Vocational schools Monitoring and Coordination Investment project Improvement of Recovery and Recycling scheme (R&R) Establishment of Waste Disposal Centre and collection of ODS Total for the first stage HCFC reduction MT IA USD 000 60 60 60 20 20 60,000 UNEP 20 20112013 2011 30,000 UNEP 30 2014 40,000 UNIDO 20112015 50,000 UNIDO 350,000 7 Total Ist Stage 60 60 300 60 30 40 40 10 10 10 10 10 50 0 0 50 200 100 350 20132015 150,000 UNIDO 50 50 50 150 20132015 200,000 UNIDO 0 150 50 200 135 310 170 830 830,000 19 110 105 Time schedule of planned activities and time frame of implementation for the both stages of the HPMP is provided in Annex 1. III.2.3 Other impacts on the environment including the climate Albania is heavily dependant on electricity production by hydro resources. Residential sector is major consumer of energy in Albania. Climate change is likely to affect the major end uses as space heating, space cooling, water heating and refrigeration. It is expected to face an increased energy demanded for air conditioning in residential and service sector. In domestic appliances and low charge plug in units (for example drink coolers and display cases), iso-butane (R600a) has gained a significant market of the country. In 2008 14.2 M.tones of HC -600a was imported. HCFC Phase-out Management Plan for the Republic of Albania 50 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol One of the objectives of HCFC Phase-out is synergies - minimisation of impact of alternatives on the environment, in particular climate change. Action on HCFC is important in that these chemicals have an impact on both, ozone depletion and climate change. In terms of direct impact the most commonly–used HCFCs have ozone depleting potentials ODP. Equipment using HCFC consumes energy, which contribute to indirect global warming impact. In this context it is important also to improve and maintain the efficiency of RAC equipment over its entire life time. With the implementation of the first stage of HCFC Phase-out Management Plans the HCFC -22 will be reduced by 19 M.tones. Global Warming potential of 19 M.tones HCFC -22 is equivalent to 17.97 G.g. CO2 (where 1810 is Global Warming Potential of HCFC -22). On the tax system in the Republic of Albania the eco-tax for the carbon was applied for the first time in 2003. One of the measures to reduce impacts on the environment including the climate change is to review of existing legislation in 2015 as follows: The approval of Regulation (EC) No 842/2006 of the European Parliament and of the Council of 17 May 2006 “on certain fluorinated greenhouse gases. Make the recovery of HCFC from containers (at the end of their life), from equipment (before disassembling and during servicing or maintenance, if appropriate) and from products (if technically possible) mandatory. Leakage checking schedules for equipment containing 3kg or more ODS. Minimum qualification requirement for servicing equipments. Certification system of personnel and companies according to the regulation 842/2006. HCFC allowed for equipment maintenance or servicing only by the company that did the recovery or the company for which recovery was made.etc Review of existing legislation in 2015 will have impact on environment and climate change during in the second stage of the implementation of HCFC Phaseout Management Plan. In 2008 in Albania were imported 35 M.tones of HFC 134a, 15.7 M.tones R-404 a, 9.8 M.tones R-407 c and 2.8 M.tones R-410 a that have the tendency to be increase. These amounts have an impact on environment and climate too. III.2.4 Co-financing It should be noted that there is no need at present to include co-financing in the HPMP program. However, while no specific external co-financing sources have been identified, the NOU and IAs will continue to explore opportunities for potential mobilization of additional funds to ensure the successful implementation of the HCFC phase-out. HCFC Phase-out Management Plan for the Republic of Albania 51 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol IV Project Coordination and Management Plan (a) Roles and responsibilities (including requirements) of key government bodies Different Government Institutions have been involved in the preparation of HPMP and will be responsible for the implementation of various projects through coordination of planned activities directly related to the area of their competence. Key Governmental Bodies The Ministry of Environment, Forestry and Water Administration has a legal obligation to create the policy of the Republic of Albania and to lead the national activities in the field of protection of the environment. Formulation of policies, strategies and action plans, creation of legal framework and institutional network for their application, identification of roles and responsibilities of other stakeholders involved, provision of financial supportive resources, already constitute one of the main duties of the Ministry. The NOPIU (NOU) is the principal national body responsible for the coordination of the country’s actions related to the protection of the Ozone layer. Thus, the NOU will play a key role in the implementation of the HPMP at the national level. The inter sector national executive committee (Steering Committee) comprising National Customs Authority, National Taxation Authority, Regional Environmental Inspectorate, Chamber of Industry and Commerce, Albanian Refrigerant Association, organizations, companies etc. will participate in the implementation of the HPMP activities to the maximum possible extent by providing advice and recommendations in the area of their competence and responsibility. Other Government Institutions such as the Ministry of Energy, Trade and Economy – (METE ), INSTAT-Institute of Statistics, NRC-National Register Centre of business, information on economic activities of enterprises, etc. will be involved mainly as a source of information and statistical data. (b)The designation of a government entity that would accountable for the overall management including financial and substantive elements for the implementation of the HPMP Ministry of Environment, Forestry and Water Administration is designated as a government entity that would be accountable for the overall management including financial and substantive elements for the implementation of the HPMP. Planned activities addressed to the Government Institutions are: policies, strategies and action plans creation of legal framework and institutional network for their application. financial support awareness rising HCFC Phase-out Management Plan for the Republic of Albania 52 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol The National Ozone Unit of the Ministry of Environment, Forests and Water Administration is designated as a national focal point for implementation and coordination of Programmes related implementation of the Montreal Protocol. Therefore, it will continue to play this role over the period of HPMP implementation. (c) The roles and responsibilities of the lead implementing agency and the cooperating implementing agencies (where applicable) in the management and implementation of the HCFC phase-out proposal. As the Lead Implementing Agency, UNIDO will be responsible for the overall implementation of the HPMP as well as the monitoring and coordination of various activities with the NOU and the Cooperating Implementing Agency, preparation of progress reports and requests for the annual tranches. UNEP, as the Cooperating Implementing Agency, will be responsible for the implementation of the IS project, other non-investment components of the HPMP as well as respective reporting to the LA and the NOU. (d) Specific action to ensure independent confirmation of the achievement of the performance targets specified in the HPMP, including a periodic evaluation to be included in the Monitoring and Evaluation Work Programme of the Fund. Through the Monitoring and Coordination Project the Lead Implementing Agency will ensure independent confirmation of the achievement of the performance targets specified in the HPMP. HCFC Phase-out Management Plan for the Republic of Albania 53 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Annexes HCFC Phase-out Management Plan for the Republic of Albania 54 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Annex 1 Cost of the HCFC phase-out and time frame for implementation The cost of planned activities and projects are estimated on the basis of previously implemented projects and information from producers of equipment for the first stage as well as the following stages till 2040. Activities /project Time frame STAGE I Non –investment projects 2011 to I. Institutional 2015 strengthening project Legislation Annual import quota for 2010 HCFC: HCFC to Estimated be costs US $ phased-out (Mt) 300.000 Implementing Agency UNEP - Ban of import of HCFC 2010 containing equipment and new HCFC installations. - Ban of import of non- 2015 refillable HCFC containers - Mandatory reporting by 2010 importers/exporters. - Environmental taxes for 2010 import of ODS and ODS containing equipment Review of existing 2015 legislation in 2014 - 2015 to be in conformity with EU legislation Awareness raising 2011- Issue of brochures 2015 - Organization of technical seminars and workshops - Public awareness HCFC Phase-out Management Plan for the Republic of Albania 55 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Activities /project Time frame II. Refrigeration servicing sector 1.Training of technicians 20112013 HCFC to Estimated be costs US $ phased-out (Mt) Implementing Agency 60,000 UNEP 30,000 UNEP 40,000 UNIDO -training workshops in 12 districts of the country: -to reduce the HCFC consumption in the refrigeration and airconditioning -to enhance good service practices in the refrigeration. - to raise knowledge on alternative refrigerants and technologies -Legislation -Certification 2. Training of customs 2011 officers and environmental inspectors -implementation of Albanian legislation new -improvement of the risk profile in the customs system and EU -Regulation, directives -Use of identifiers for refrigerants -Certification 3. Vocation schools 2014 -to improve curricula of the Vocation School. - to train technicians with contemporary knowledge. -Certification HCFC Phase-out Management Plan for the Republic of Albania 56 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Activities /project Time frame III. Monitoring and Coordination Total non- investment projects 20102015 HCFC to Estimated be costs US $ phased-out (Mt) 50,000 12 Implementing Agency UNIDO 480,000 Investment projects 1.Improvement of Recovery and Recycling scheme (R&R) 20132015 150,000 UNIDO 20132015 200,000 UNIDO -Delivery of additional 60 sets of R&R equipment -Technical assistance - Legislation awareness Legislative initiatives for non-HCFC technologies and refrigerants including climate change issues -The recycled quantities of refrigerants -reports to the NOPIU recycled quantities of refrigerants 2.Establishment of Waste Disposal Centre and collection of ODS Total investment projects 7 Total, stage I 19 STAGE II 2016 to 1. Institutional support 2040 and policy instruments - Annual import quota for HCFC - Awareness raising - Issue of brochures -Organization of technical 350,000 830,000 360.000 HCFC Phase-out Management Plan for the Republic of Albania UNEP 57 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Activities /project Time frame seminars and workshops - Public awareness 2. Waste Disposal Centre – 20162040 collection and destruction 2016 to 3. Monitoring and 2040 Coordination Total, stage II Total cost for the HCFC phase-out HCFC to Estimated be costs US $ phased-out (Mt) Implementing Agency 500.000 UNIDO 168.000 UNIDO 1.028.000 1,858,000 HCFC Phase-out Management Plan for the Republic of Albania 58 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Annex 2 RELEVANT SOURCES OF INFORMATION DECISION of Council of Minister No. 453 23.06.2005 On the list of devices that use ozone – depleting substances, which stopped to produced to imported, and rules and procedures of replacing the ozone – depleting substances in existing equipments" DECISION of Council of Minister No. 290, dated 04.25.2010 FOR some changes and additions to the decision No. 453 dated 23.06.2005 of the Council of Ministers "On the list of devices that use ozone – depleting substances, which stopped to produced to imported, and rules and procedures of replacing the ozone – depleting substances in existing equipment Official Journal of Government No 56 5 July 2005 Official Journal of Government No 21 March 2006 Official Journal of Government No 22 March 2006 Official Journal of Government No 62 May 2010 Regulation ( EC ) No 842/ 2006 of the European Parliament and the Council of 17 May 2006 on certain fluorinated greenhouse gases REVISED COUNTRY PROGRAMME REPORT FORMAT, year 2006,2007,2008,2009 MEFWA, WWW.moe.gov.al Akte ligjore etj 2010 Albanian Environmental legislation.B.Mediaj 2008 Workshop Report Train the Trainers Workshop on Good Practices in Refrigeration Tirana, Albania, 9-12 March, 2004 Follow – up Report of Workshop for Customs Officers Monitoring & Control of ODS Imports / Export Albania April - May 2005 Follow – up Report of Workshop for Customs Officers Monitoring & Control of CFC Imports / Exports for the prevention of illegal trade ALBANIA 22-23 October – 2007 Workshop Report Train of the Technicians on Good Practices in Refrigeration -Albania, 2006 Regional Ozone Network for Europe & Central Asia-Tirana, Albania 25-28 March 2008 Survey on HCFC consumption and estimated future consumption. K.Berglof- Jan 2008 Manual for Refrigeration Servicing Technicians UNEP HCFC Policy&legislative options .A guide for developing countries. The first National Communication of Albania to the UN Framework Convention on Climate Change ,Tirana ,July 2002 HCFC Phase-out Management Plan for the Republic of Albania 59 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol The second National Communication of Albania to the UN Framework Convention on Climate Change ,Tirana , 2006 HCFC Phase-out Management Plan for the Republic of Albania 60 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Annex 3. Draft Agreement AGREEMENT BETWEEN THE GOVERNMENT OF ALBANIA AND THE EXECUTIVE COMMITTEE OF THE MULTILATERAL FUND FOR THE REDUCTION IN CONSUMPTION OF HYDROCHLOROFLUOROCARBONS 1. This Agreement represents the understanding of the Government of Albania the (“Country”) and the Executive Committee with respect to the reduction of controlled use of the ozone depleting substances (ODS) set out in Appendix 1-A (the “Substances”) to a sustained level of 6.6 ODP tonnes prior to 1 January 2020 in compliance with Montreal Protocol schedules with the understanding that this figure is to be revised one single time in 2011, when the baseline consumption for compliance would be established based on Article 7 data, with the funding to be adjusted accordingly, as per decision 60/44. 2. The Country agrees to meet the annual consumption limits of the Substances as set out in row 1.2 of Appendix 2-A (the “Targets and Funding”) in this Agreement as well as in the Montreal Protocol reduction schedule for all Substances mentioned in Appendix 1-A. The Country accepts that, by its acceptance of this Agreement and performance by the Executive Committee of its funding obligations described in paragraph 3, it is precluded from applying for or receiving further funding from the Multilateral Fund in respect to any consumption of the Substances which exceeds the level defined in row 1.2 of Appendix 2-A (maximum allowable total consumption of Annex C, Group I substances) as the final reduction step under this agreement for all ODS specified in Appendix 1-A, and in respect to any consumption of each of the substances which exceeds the level defined in row 4.1.3 (remaining eligible consumption). 3. Subject to compliance by the Country with its obligations set out in this Agreement, the Executive Committee agrees in principle to provide the funding set out in row 3.1 of Appendix 2A (the “Targets and Funding”) to the Country. The Executive Committee will, in principle, provide this funding at the Executive Committee meetings specified in Appendix 3-A (the “Funding Approval Schedule”). 4. The Country will meet the consumption limits for each of the Substances as indicated in Appendix 2-A. It will also accept independent verification to be commissioned by the relevant implementing agency (IA) of achievement of these consumption limits as described in subparagraph 5(b) of this Agreement. 5. The Executive Committee will not provide the Funding in accordance with the Funding Approval Schedule unless the Country satisfies the following conditions at least 60 days prior to the applicable Executive Committee meeting set out in the Funding Approval Schedule: (a) That the Country has met the Targets for all relevant years. Relevant years are all years since the year in which the hydrochlorofluorocarbons phase-out management plan (HPMP) was approved. Exempt are years for which no obligation for reporting of country programme data exists at the date of the Executive Committee Meeting at which the funding request is being presented; (b) That the meeting of these Targets has been independently verified, except if the Executive Committee decided that such verification would not be required; HCFC Phase-out Management Plan for the Republic of Albania 61 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol (c) That the Country had submitted tranche implementation reports in the form of Appendix 4-A (the “Format of Tranche Implementation Report and Plan”) covering each previous calendar year, that it had achieved a significant level of implementation of activities initiated with previously approved tranches, and that the rate of disbursement of funding available from the previously approved tranche was more than 20 per cent; and (d) That the Country has submitted and received approval from the Executive Committee for a tranche implementation plan in the form of Appendix 4-A (the “Format of Tranche Implementation Report and Plan”) covering each calendar year until and including the year for which the funding schedule foresees the submission of the next tranche or, in case of the final tranche, until completion of all activities foreseen. 6. The Country will ensure that it conducts accurate monitoring of its activities under this Agreement. The institutions set out in Appendix 5-A (the “Monitoring Institutions and Roles”) will monitor and report on Implementation of the activities in the previous tranche implementation plan in accordance with their roles and responsibilities set out in Appendix 5-A. This monitoring will also be subject to independent verification as described in sub-paragraph 5(b). 7. The Executive Committee agrees that the Country may have the flexibility to reallocate the approved funds, or part of the funds, according to the evolving circumstances to achieve the phase down and phase out of the Substances specified in n Appendix 1-A. Reallocations categorized as major changes must be documented in advance in a Tranche Implementation Plan and approved by the Executive Committee as described in sub-paragraph 5(d). Major changes would relate to reallocations affecting in total 30 per cent or more of the funding of the last approved tranche, issues potentially concerning the rules and policies of the Multilateral Fund, or changes which would modify any clause of this Agreement. Reallocations not categorized as major changes may be incorporated in the approved tranche implementation plan, under implementation at the time, and reported to the Executive Committee in the tranche implementation report. Any remaining funds will be returned to the Multilateral Fund upon closure of the last tranche of the plan. 8. Specific attention will be paid to the execution of the activities in the refrigeration servicing sub-sector, in particular that: (a) The Country would use the flexibility available under this Agreement to address specific needs that might arise during project implementation; and (b) The Country and the implementing agencies involved will take full account of the requirements of decisions 41/100 and 49/6 during the implementation of the plan. 9. The Country agrees to assume overall responsibility for the management and implementation of this Agreement and of all activities undertaken by it or on its behalf to fulfil the obligations under this Agreement. UNIDO has agreed to be the lead implementing agency (the “Lead IA”). The Country agrees to evaluations, which might be carried out under the monitoring and evaluation work programmes of the Multilateral Fund or under the evaluation programme of any of the IA taking part in this Agreement. 10. The Lead IA will be responsible for carrying out the activities of the plan as detailed in the first submission of the HPMP with the changes approved as part of the subsequent tranche submissions, including but not limited to independent verification as per sub-paragraph 5(b). The HCFC Phase-out Management Plan for the Republic of Albania 62 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Executive Committee agrees, in principle, to provide the Lead IA with the fees set out in row 2.2 of Appendix 2-A. 11. Should the Country, for any reason, not meet the Targets for the elimination of the Substances set out in row 1.2 of Appendix 2-A or otherwise does not comply with this Agreement, then the Country agrees that it will not be entitled to the Funding in accordance with the Funding Approval Schedule. At the discretion of the Executive Committee, funding will be reinstated according to a revised funding approval schedule determined by the Executive Committee after the Country has demonstrated that it has satisfied all of its obligations that were due to be met prior to receipt of the next tranche of funding under the Funding Approval Schedule. The Country acknowledges that the Executive Committee may reduce the amount of the Funding by the amounts set out in Appendix 7-A in respect of each ODP tonne of reductions in consumption not achieved in any one year. The Executive Committee will discuss each specific case in which the country did not comply with this agreement, and take related decisions. Once these decisions are taken, this specific case will not be an impediment for future tranches as per paragraph 5. 12. The Funding of this Agreement will not be modified on the basis of any future Executive Committee decision that may affect the funding of any other consumption sector projects or any other related activities in the Country. 13. The Country will comply with any reasonable request of the Executive Committee, the Lead IA to facilitate implementation of this Agreement. In particular, it will provide the Lead IA with access to information necessary to verify compliance with this Agreement. 14. The completion of the HPMP and the associated Agreement will take place at the end of the year following the last year for which a maximum allowable total consumption has been specified in Appendix 2-A. Should at that time activities be still outstanding which were foreseen in the plan and its subsequent revisions as per sub-paragraph 5(d) and 7, the completion will be delayed until the end of the year following the implementation of the remaining activities. The reporting requirements as per Appendix 4-A (a), (b), (d) and (e) continue until the time of the completion if not specified by the Executive Committee otherwise. 15. All of the agreements set out in this Agreement are undertaken solely within the context of the Montreal Protocol and as specified in this Agreement. All terms used in this Agreement have the meaning ascribed to them in the Montreal Protocol unless otherwise defined herein. APPENDICES APPENDIX 1-A: THE SUBSTANCES Substance Annex Group HCFC-22 C I Starting point for aggregate reductions in consumption (ODP tonnes) 6.6 APPENDIX 2-A: THE TARGETS, AND FUNDING HCFC Phase-out Management Plan for the Republic of Albania 63 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol Row 1.1 Parameter/Year 2011 2012 2013 2014 2015 2016 2017 4.1.1 Montreal n/a n/a 6.6 6.6 5.9 5.9 5.9 Protocol reduction schedule of Annex C, Group I substances (ODP tones) Maximum 6.6 6.6 6.6 6.6 5.9 5.9 5.9 allowable total consumption of Annex C, Group I substances (ODP tones) Lead IA 10,000 10,000 60,000 270,000 90,000 110,000 110,000 (UNIDO) agreed funding (US$) Support costs 750 750 4,500 20,250 6,750 8,250 8,250 for Lead IA (US$) Cooperating IA 60,000 120,000 90,000 60,000 60,000 60,000 60,000 (UNEP) agreed funding (US$) Support costs 4,500 9,000 6,750 4,500 4,500 4,500 4,500 for Cooperating IA (US$) Total agreed 70,000 130,000 150,000 330,000 150,000 170,000 170,000 funding (US$) Total support 5,250 9,750 11,250 24,750 11,250 12,750 12,750 costs (US$) Total agreed 75,250 139,750 161,250 354,750 161,250 182,750 182,750 costs (US$) Total phase-out of HCFC-22 agreed to be achieved under this Agreement (ODP tones) 4.1.2 Phase-out of HCFC-22 to be achieved through previously approved projects (ODP tones) 4.1.3 Remaining eligible consumption of HCFC-22 (ODP tones) 1.2 2.1 2.2 2.3 2.4 3.1 3.2 3.3 2018 2019 2020 Total 5.9 5.9 4.3 n/a 5.9 5.9 4.3 n/a 110,000 110,000 110,000 990,000 8,250 8,250 8,250 74,250 60,000 60,000 60,000 690,000 4,500 4,500 4,500 51,750 170,000 170,000 170,000 1,680,000 12,750 12,750 12,750 126,000 182,750 182,750 182,750 1,806,000 6.6 0 2.3 APPENDIX 3-A: FUNDING APPROVAL SCHEDULE 1. Funding for the future tranches will be considered for approval not earlier than the second meeting of the year specified in Appendix 2-A. APPENDIX 4-A: FORMAT OF TRANCHE IMPLEMENTATION REPORT AND PLAN 1. The submission of the Tranche Implementation Report and Plan will consist of five parts: (a) A narrative report regarding the progress in the previous tranche, reflecting on the situation of the Country in regard to phase out of the substances, how the different activities contribute to it and how they relate to each other. The report should further highlight successes, experiences and challenges related to the different activities include din the plan, reflecting on changes in the circumstances in the country, and providing other relevant information. The report should also include information about HCFC Phase-out Management Plan for the Republic of Albania 64 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol and justification for any changes vis-à-vis the previously submitted tranche plan, such as delays, uses of the flexibility for reallocation of funds during implementation of a tranche, as provided for in paragraph 7 of this Agreement, or other changes. The narrative report will cover all relevant years specified in sub-paragraph 5(a) of the Agreement and can in addition also include information about activities in the current year; (b) A verification report of the HPMP results and the consumption of the substances mentioned in Appendix 1-A, as per sub-paragraph 5(b) of the Agreement. If not decided otherwise by the Executive Committee, such a verification has to be provided together with each tranche request and will have to provide verification of the consumption for all relevant years as specified in sub-paragraph 5(a) of the Agreement for which a verification report has not yet been acknowledged by the Committee; (c) A written description of the activities to be undertaken in the next tranche, highlighting their interdependence and taking into account experiences made and progress achieved in the implementation of earlier tranches. The description should also include a reference to the overall plan and progress achieved, as well as any possible changes to the overall plan foreseen. The description should cover the year specified in sub-paragraph 5(d) of the Agreement. The description should also specify and explain any revisions to the overall plan which were found to be necessary; (d) A set of quantitative information for the report and plan, submitted into a database. As per the relevant decisions of the Executive Committee in respect to the format required, the data should be submitted online. This quantitative information, to be submitted by calendar year with each tranche request, will be amending the narratives and description for the report (see sub-paragraph 1(a) above) and the plan (see subparagraph 1(c) above), and will cover the same time periods and activities; it will also capture the quantitative information regarding any necessary revisions of the overall plan as per sub-paragraph 1(c) above. While the quantitative information is required only for previous and future years, the format will include the option to submit in addition information regarding the current year if desired by the country and the lead implementing agency and An Executive Summary of about five paragraphs, summarizing the information of above sub-paragraphs 1(a) to 1(d). (e) APPENDIX 5-A: MONITORING INSTITUTIONS AND ROLES 1. The implementation and monitoring of this HPMP will be coordinated by the National Ozone Unit in cooperation with respective governmental bodies and also national experts recruited for particular tasks which would arose in the course of the project implementation. An independent chartered national auditing organization will be recruited to verify consumption. APPENDIX 6-A: ROLE OF THE LEAD IMPLEMENTING AGENCY 1. The Lead IA will be responsible for a range of activities. These can be specified in the project document further, but include at least the following: (a) Ensuring performance and financial verification in accordance with this Agreement and with its specific internal procedures and requirements as set out in the Country’s phaseout plan; HCFC Phase-out Management Plan for the Republic of Albania 65 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol (b) Assisting the Country in preparation of the tranche Implementation Plan and subsequent report as per Appendix 4-A; (c) Providing verification to the Executive Committee that the Targets have been met and associated annual activities have been completed as indicated in the tranche Implementation Plan consistent with Appendix 4-A. (d) Ensuring that the experiences and progress is reflected in updates of the overall plan and in future tranche implementation plans consistent with sub-paragraphs 1(c) and 1(d) of Appendix 4-A; (e) Fulfilling the reporting requirements for the tranches and the overall plan as specified in Appendix 4-A as well as project completion reports for submission to the Executive Committee. The reporting requirements include the reporting about activities undertaken by the Cooperating IA; (f) Carrying out required supervision missions; (g) Ensuring the presence of an operating mechanism to allow effective, transparent implementation of the Tranche Implementation Plan and accurate data reporting; (h) Co-ordinating the activities of the Cooperating IA, and ensuring appropriate sequence of activities; (i) In case of reductions in funding for failure to comply in accordance with paragraph 11 of the Agreement, to determine, in consultation with the Country, the allocation of the reductions to the different budget items and to the funding of each implementing or bilateral agency involved; (j) Ensuring that disbursements made to the Country are based on the use of the indicators; and (k) Providing assistance with policy, management and technical support when required. 2. After consultation with the Country and taking into account any views expressed, the Lead IA will select and mandate an independent organization to carry out the verification of the HPMP results and the consumption of the substances mentioned in Appendix 1-A, as per sub-paragraph 5(b) of the Agreement and sub-paragraph 1(b) of Appendix 4-A. APPENDIX 6-B: ROLE OF COOPERATING IMPLEMENTING AGENCY 1. The Cooperating IA will be responsible for a range of activities. These activities can be specified in the respective project document further, but include at least the following: (a) Providing policy development assistance when required; (b) Assisting the Country in the implementation and assessment of the activities funded by the Cooperating IA, and refer to the Lead IA to ensure a coordinated sequence in the activities; and HCFC Phase-out Management Plan for the Republic of Albania 66 64th Meeting of the Executive Committee for the Implementation of the Montreal Protocol (c) Providing reports to the Lead IA on these activities, for inclusion in the consolidated reports as per Appendix 4-A. APPENDIX 7-A: REDUCTIONS IN FUNDING FOR FAILURE TO COMPLY 1. In accordance with paragraph 11 of the Agreement, the amount of funding provided may be reduced by US $2,500 per metric tonne of consumption beyond the level defined in row 1.2 of Appendix 2-A for each year in which the target specified in row 1.2 of Appendix 2-A has not been met HCFC Phase-out Management Plan for the Republic of Albania 67