Session 2: CDM Project Cycle
Validation and Registration of CDM Projects
Training-Workshop to support the
“Uganda Municipal Waste Compost Programme”
21 - 24 Oct 2013, Mukono Municipality, Uganda
Nashib Kafle, Associate Programme Officer
UNFCCC secretariat, Sustainable Development Mechanisms programme
Outline
•
CDM Project Cycle
•
Project Design Document (PDD)
•
Baseline
•
Additionality
•
Monitoring
•
Validation process
•
Registration process
CDM Project Cycle
Step
Project design
Who’s responsible
Project Participant
Project Design Document (PDD) &
Host Country Approval
National approval
DNA
Project Design Document (PDD)
Validation
DOE
Validation &
Request for registration
Registration
Monitoring
Verification / certification
Issuance of Certified
Emission Reductions (CERs)
CDM EB
Project Design Document (PDD)
WHAT?
•
Document that describes about the project, project participants, baseline, additionality and
monitoring plan.
•
Prepared using the standard forms available in the UNFCCC CDM website.
WHO?
•
Project participant prepare the PDD
WHY?
•
PDD is the key document required for validation, registration and stakeholder
consultation.
•
DNAs may also review PDD when issuing letter of approval.
Elements of Project Design Document (PDD)
•
Section A: Description of project activity
•
Section B: Application of selected approved baseline and monitoring methodology
•
Section C: Duration and crediting period
•
Section D: Environmental impacts
•
Section E: Local stakeholder consultations
•
Section F: Approval and authorization
Appendices
•
Contact information of project participants, information on public funding, further details on
emission reduction calculations and monitoring
Key elements in PDD
Stakeholders and Environmental Impact
Monitoring
Additionality
Baseline
PDD
Baseline
•
Scenario that reasonably represents GHG emissions that
GHG emissions
would have occurred in the absence of the proposed
Without
CDM
Project
project activity
•
Difference between the baseline emissions and project
emissions (after implementation of CDM project) is the
emission reduction achieved by the project.
•
Emission
reductions
With
CDM
Project
Baseline is established on a project specific basis using the
approved methodology.
Time
Additionality
•
A CDM project is additional if GHG emission are reduced below those that would have
occurred in the absence of the registered CDM project activity
Prior consideration of CDM
New Project Activities
Existing Project Activities
(After 2 August 2008)
(Before 2 August 2008)
• PP must inform DNA and UNFCCC in
writing about the commencement of
project and intention to seek CDM status
• Demonstrate that CDM was seriously
considered in the decision to implement
the project activity
• Should be done within 6 months of project
start date
• Evidence may be contracts with
consultants, ERPA, submission of new
methodology etc.
• Not necessary if PDD is published before
project start date
• Assessment of real and continuing
actions
Additionality demonstration (1/2)
Large scale projects
•
Demonstrated using the Additionality tool
a) Investment analysis (e.g. simple cost, investment comparison, benchmark)
b) Barrier analysis (e.g. barrier that prevent the implementation of project activity)
c)
Common Practice analysis
Small scale projects
•
Project up to 15MW or energy saving of 60GWh/yr or methane avoidance/ destruction of less
than 60ktCO2/yr
•
Demonstrate using the barrier (e.g. investment, technological, prevailing practice etc.)
•
Projects in positive list of technologies are automatically additional

Solar technologies, offshore wind, wave, tidal – Up to 15MW capacity

Micro/pico hydro or wind or PV-wind hybrid or geothermal – Individual units up to 100kW

Biomass gassification/biogas – Individual units up to 100kW
Additionality demonstration (2/2)
Micro-scale project activities
•
Project up to 5MW or energy saving of 20GWh/yr or methane destruction of less than
20ktCO2/yr
•
Automatically additional if

Located in LDC/SIDS or special underdeveloped zone of the host country

Off grid project supplying energy to households/communities

Distributed energy generation (each system less than 1500kW and end users are
households/communities/SMEs)

Specific renewable energy technology/measures recommended by host country DNA

Isolated units (no larger than 5% of small scale threshold) where the
technology/measures are households/communities/SMEs
Monitoring
Objective of monitoring plan
•
Collecting and archiving all relevant data necessary for determining the baseline
emissions, project emissions and leakage
Elements of monitoring plan
•
Operational and management structure
•
Responsibilities and institutional arrangement for data monitoring. recording and archiving
•
Quality assurance and quality control (QA/QC) procedures
•
Uncertainty levels, methods and accuracy level of measuring instruments
•
Specification of the calibration frequency for measuring equipment
•
Sampling plan and method if sampling is used to monitor parameters
Monitoring Plan
Include all data, parameters and related information required by applied methodology
•
Parameters fixed ex-ante (no need to monitor)
•
Parameters to be monitored
Data / Parameter
Unit
Description
Source of data
Value(s) applied
Measurement methods and procedures
Monitoring frequency
QA/QC procedures
Purpose of data
Additional comment
Validation of CDM project activity
•
Process of independent evaluation of a project activity by Designated Operational Entity
(DOE) against the requirements of the CDM
•
DOE is either a domestic legal entity or an international organization accredited and
designated by the CDM Executive Board (EB)
•
Currently there are 42 DOEs accredited for different sectoral scopes.
Principles for validation and verification
•
Independence
•
Ethical Conduct
•
Fair Presentation
•
Due professional care
Key Elements of Validation
10.
Stakeholder
Consultation
9.
Environmental
Impacts
8.
Monitoring Plan
7.
Additionality
1.
Approval LoA
Key
Elements
of
Validation
6.
Baseline and Monitoring
Methodology
2.
Participation
3.
Sustainable
Development
4.
Compliance of
the PDD
5.
Project
Description
Validation Process
Submission of PDD to DOE
•
Publication of PDD in UNFCCC
website
DOE submits the Validation Report (with positive
validation opinion) and supporting documents through
dedicated interface on the UNFCCC CDM website
Desk Review of project activity
•
Site visit and Interviews
Draft of technical review
Feedback and clarifications
Receive responses
Secretariat issue unique reference number for the
submission and a statement of the registration fee due
•
No fee for project activities and PoAs hosted in LDCs
•
Upon receipt of payment, the secretariat schedule the
commencement of the processing of the request for
registration in accordance with secretariat's operation
Final Technical Review
Request for registration
plan
Registration of CDM project activity
•
Completeness Check (CC): Check the completeness and consistency of the documents
•
Information and Reporting Check (I&RC): Check in accordance with the I&RC
Checklist for request for registration published in UNFCCC CDM website.
•
Summary Note (SN): Secretariat prepare and send the summary note to CDM EB
Automatic Registration
58 days
7 days
23 days
Commencement
14 days
14 days
Summary
Note
preparation
Period to
Request for
Review
CC finalized
I&RC finalized
Request for Review
by a party involved in
CDM project or at
least 3 EB members
Thank you
Thank you