The LoA issuance process for a PoA, specific challenges

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THE PROCESS FOR THE LETTER OF
APPROVAL AND INNOVATION IDEAS FOR
POAs IN PERU
Eduardo Durand López-Hurtado
General Director
Department of Climate Change, Desertification and Water Resources
Ministry of Environment – Peru
Contents
I.
Institutional Approach to the CDM in Peru
II. Criteria and Approval Process for PoA-CDM
III. Advances in CDM Projects and PoA-CDM
IV. Innovation Ideas
I.
Institutional Approach of the CDM in Peru
•
The Ministry of Environment (MINAM) is the Designated National Authority
(DNA) in Peru, responsible for approving and issuing the approval letter
(LoA) of the country.
•
The National Environmental Fund (FONAM) is a private-public
organization, which promotes the carbon market in Peru. FONAM
elaborates the National Low Carbon Emission Portfolio, including the
Programme of Activities (PoA) under the CDM and voluntary market.
II. Criteria and Approval Process for CDM
Projects and PoA-CDM
•
By Directive N°002-2009-MINAM (Assessment Procedure for approval of projects to
reduce emissions of greenhouse gases and carbon capture), MINAM assesses
whether the "proposed project contributes to sustainable development in Peru“
•
The Letter of Approval is issued within twenty seven (27) days after the request for
approval from the project developer.
•
During the approval process a visit to the project site is required as well as an on-site
meeting with the relevant stakeholders. Afterwards, the approval decision depends
on the Ad-Hoc Committee, which is chaired by MINAM.
II. Criteria and Approval Process for CDM
Projects and PoA-CDM
Criteria to determine the sustainable development:
LEGAL
• Compliance with existing national legislation and sectorial policies.
ENVIRONMENTAL
• Compliance with environmental best practices defined in the contribution to emissions
reduction greenhouse gas emissions and fossil fuel use.
• Reduction of environmental pollution and negative health effects.
• Promoting biodiversity protection;
• Environmental sound use of land and water
• Proper management of solid waste and effluents; and ,
• other environmental benefits.
ECONOMIC
• Contribution to economic growth and competitiveness improvement of Peru.
• Measurable through investment generated by the project, wealth, employment and
technology transfer.
SOCIAL
• Maintaining and/or improving the quality of life of communities near the project
development.
• Measurable by the impact of social investment plan in the community, employment
generation and adequately remunerated, opportunities to facilitate gender equity and
improvement of local infrastructure.
1. Request for Approval
3. Convene the
Ad-Hoc
Committee.
2. Review of the
project by the
Sector Authority
4. Evaluation undertake by the
Ad-Hoc Committee
II.
Criteria and Approval
Process for CDM
Projects and PoA-CDM
Contributes to
sustainable
development?
NO
YES
5. Issuance of Letter of
Approval for DNA
6. Submission of the final version
of the validated PDD to MINAM
(project proponent)
Notification to the
project proponent
(non-Approval)
III. State of the CDM Projects and PoA-CDM in Peru
Currently, 86 CDM projects have National Letters of Approval. 64 are registered under
the CDM Executive Board, of which 13 projects have received CERs.
N° de Project
Hydro
51
Fossil fuel switch
6
Solid Waste
5
Biomass
4
Energy Efficiency
4
Cogeneration
3
Solar
5
Effluent
2
Wind
4
Reforestation
1
Chemical Industry
1
TOTAL
86
5%
Sectors
1% 1%
2%
Hydro
6%
Fossil fuel switch
Solid Waste
3%
Biomass
5%
Energy Efficiency
Cogeneration
5%
Solar
59%
6%
Effluent
Wind
7%
Reforestation
Chemical Industry
Source: MINAM
Note: 5 PoAs are considered within the 86 CDM Projects with LoA.
III. Advances in CDM Projects and PoA-CDM
Coordinating
/Managing
PoAType
Amount of
Reductions
(PoA) tonnes
CO2/annum
EcoRessources
Carbono S.A.C.
Wind
45,235
25/03/2013
ACM0002
Programme of activities to switch
from residual fuel oil to LPG in
manufacturing industries in Peru
Repsol YPF
Comercial del
Perú S.A.
Fossil
fuel
switch
291
17/12/2012
AMS-III.B.
EN BADEN Large-Scale Hydro
PoA in Peru
Cargbn BW Peru
S.A.C.
Hydro
36,222
14/11/2012
ACM0002
Inti Renewable Energy Program of
Activities
Energía Limpia
S.A.C.
Hydro
89,998
13/07/2012
ACM0002
Tunki Small Scale Hydropower
Program of Activities
EcoRessources
Carbono S.A.C.
Hydro
8,025
28/06/2012
AMS-I.D.
PoA title
Tepeu Wind
Activities
Programme
Source: MINAM, 2014.
of
Registration
Date
Methodology
IV. INNOVATION IDEAS: From PoAs to NAMAs
•
In Peru, some Nationally Appropiate Mitigation Actions (NAMAs) can take advantage from the
lessons learned during the PoA process development.
Study Case of PoA to NAMAs in Peru.
•
•
•
LECB Project will elaborate NAMAs and MRV for
construction materials sector.
With the support of Collaboration Regional Center and
UNFCCC a standardized baseline will be develop for the
construction material sector (brick, cement and steel). This
standardized baseline can be used as input for potential
NAMAs.
The “Energy Efficiency Program in Latin American
Artisanal Brick to Mitigate Climate Change (EELA)” is a
potential initiative to scale-up a PoA to a NAMA and would
take advantage from the standardized baseline. This
Program was recognized by Momentum for Change (*).
(*) http://unfccc.int/secretariat/momentum_for_change/items/7099.php
DESARROLLO NACIONAL SOSTENIBLE
APORTES DEL SECTOR
AMBIENTE AL PROCESO DE
DESARROLLO NACIONAL
PLAN BICENTENARIO
CRECIMIENTO
VERDE
COMPETITIVO E
INCLUSIVO
Plan Nacional de
Diversificación Productiva
Agenda Nacional de
Competitividad
Marco Macroeconómico
Multianual






Crecimiento Económico
Competitividad
Inversión catalizadora
Inclusión social
Conservación de RR.NN.
Innovación
CONTRIBUCIONES NACIONALES (iNDC)
CMNUCC
ENDB
Estrategia Nacional de
Diversidad Biológica
ENLCDS
Estrategia Nacional de
Lucha contra la
Desertificación y Sequía
PEBCC
Plan Estratégico de Bosques y Cambio
Climático
CNULD
Convención de las
Naciones Unidas para
la Lucha contra la
Desertificación
Estrategia Nacional ante
el Cambio Climático
NAP
Plan Nacional de Adaptación
CDB
Convenio sobre la
Diversidad Biológica
ENCC
PLANAA
Plan Nacional de Acción Ambiental
Convención Marco de
las Naciones Unidas
sobre Cambio
Climático
PLAN PERÚ:
Compromiso
Climático
NAMAS
Medidas
Nacionales
Apropiadas
de
Mitigación
Thank you
Muchas Gracias
Eduardo Durand López-Hurtado
General Director
Department of Climate Change, Desertification and Water Resources
Ministry of Environment – Peru
edurand@minam.gob.pe
www.minam.gob.pe
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