CDM in the Philippines: Avoiding carbon emissions Achieving sustainable development Capacity Development for CDM (CD4CDM) Side Event COP 10, Bueños Aires, Argentina La Rural centro de exposiciones 11th December 2004 Contents I. Process • • • • II. DNA institutional structure National approval criteria Flowchart of the approval process Documentary requirements for the proposed project proponent Projects • • • • Bagasse cogen Waste to energy Wind power Reforestation I. Process: DNA in the Philippines Executive Order No. 320 • By the President of the Philippines • 25th June 2004 • Designating the Department of Environment and Natural Resources (DENR) as the National Authority for the Clean Development Mechanism Proposed SYSTEM FOR CDM NATIONAL APPROVAL PROJECT APPLICATIONS TECHNICAL EVALUATION COM. ENERGY/ ENERGY EFFICIENCY DENR Approving Authority CDM Steering Committee Review & Endorsement CDM SECRETARIAT TECHNICAL EVALUATION COM. WASTE MGMNT TECHNICAL EVALUATION COM. LULUCF Proposed CDM Steering Committee DENR (Chair) DOE DOST Private Sector NGO DENR = Department of Environment & Natural Resources DOE = Department of Energy DOST = Department of Science & Technology Proposed Philippine CDM National Approval Criteria 1) A Proposed Project shall be given national approval if it assists the Philippines in achieving sustainable development. 2) A Proposed Project shall be assessed using sustainable development criteria which are meaningful from a project level perspective and are in line with the Philippine Agenda 21. 3) A Proposed Project shall be evaluated using criteria for the three dimensions encompassing sustainable development: economic, environmental and social. Proposed Philippine CDM National Approval Criteria 4) Project level indicators, quantitative and/or qualitative shall be used to identify the sustainable development impacts of a Proposed Project. 5) Measures to mitigate significant negative impacts of a Proposed Project must be identified. 6) Methods to monitor the major sustainable development impacts of a Proposed Project must be identified. 7) The overall sustainable development impact of a Proposed Project must be positive. List of Sustainable Development Criteria A. Economic Dimension 1. Generates sustainable employment of local community 2. Provides livelihood and other economic opportunities in the community 3. Provides proper safety nets and compensatory measures for the affected minority 4. Uses cleaner, more efficient and environment-friendly technology List of Sustainable Development Criteria B. Environmental Dimension 1. Complies with environmental policies and standards 2. Provides local environmental benefits 3. Promotes sustainable use of natural resources 4. Protects and conserves local biodiversity List of Sustainable Development Criteria C. Social Dimension 1. Provides measures to alleviate poverty 2. Provides education and training which build the capacities of local stakeholders 3. Provides vulnerable groups access to local services 4. Promotes local participation in the project DNA Approval Processing Time (35 to 45 Working Days) Submission of application documents Verification / Confirmation 5 working days Payment of processing fee Endorsement to appropriate evaluation committee Assessment of project documents using the National Evaluation Protocol (NEP) Monitoring Form with revisions w/o revisions 15 working days 15 working days Resubmission of revised project documents Reassessment using the NEP Submission of an Evaluation Report Convening of the CDM Steering Committee Assessment of Evaluation Report Endorsement Report Reviewing and issuance of Letter of Approval or Disapproval Releasing of Letter of Approval or Disapproval and recording of all processed documents 5 working days 10 working days 10 working days Documentary requirements for proposed project proponent 1. Project Application Document (PAD) More than a PIN but less than a PDD 2. Sustainable Development Impact Assessment (SDIA) 3. Documentation of Stakeholders’ Consultation Downloadable from www.klima.ph/cd4cdm II. Projects News flash!!! • 1st ERPA for the Philippines signed, 9th December 2004 • 25 MW Wind Farm Project Northern Luzon Biggest wind farm in Southeast Asia 15 wind turbines • CER Buyer: WB Prototype Carbon Fund 356,000 tCO2e for 10 years NORTHWIND POWER PROJECT 25 MW Bangui Bay, Ilocos Norte Bagasse Cogeneration Plants – Grid Connected First Farmers Sugar Mill (30 MW) Estimated emission reduction of 54,457 to 133,466 tCO2e annually Victorias Sugar Mill (50 MW) Estimated emission reduction of 258,583 tCO2e annually Bogo-Medillin Sugar Mill (25 MW) Estimated emission reduction of 35,400 tCO2e annually Baseline Scenario: First Farmers Sugar Mill CO2e Emissions CO2 emissions reduction 54,457 to 133,466 tCO2 annually Years Project Proponent: First Farmers Sugar Mill Name Jose Maria Zabaleta, Jr. Company Bronzeoak Philippines Inc. Address Suite 1207, Security Bank Centre, 6776 Ayala Avenue, Makati City 1226, Philippines +63-2-752-0050 to 51 / +63-2-892-9238 jzabaleta@venturefactors.com Phone/ Fax E-mail Waste to Energy Project Central Azucarera de Tarlac (CAT) Distillery Waste to Energy Plant Methane capture from waste water 2 MW power plant for use by the sugar mill Estimated emission reduction potential of 54,000 tCO2e annually Baseline Scenario: Central Azucarera de Tarlac (CAT) Distillery Waste to Energy Plant CO2e Emissions CO2 emissions reduction 54,000 tons of CO2 annually Years Project Proponent: CAT Distillery Waste to Energy Project Name / Title S. West Stewart, Managing Director Company Philippine BioSciences Co., Inc (“PhilBIO”) Address 19th Floor Unit C Strata 100 Building Emerald Avenue Ortigas Center Pasig City 1605, Philippines Phone numbers +63-2-638-6092 / +63-2-6382074 E-mail philbio@philbio.com.ph Wind Power North Luzon Wind Power Project (Phase I) Total installed capacity of 42 MW Estimated emission reduction potential of 78,300 tCO2 annually Aims to address the power supply shortfall projected for the Luzon grid by 2008 Benefits the whole province of Ilocos Norte Baseline Scenario: North Luzon Wind Power Project CO2 Emissions CO2 emissions reduction 78,300 tons of CO2 annually Years Project Proponent: North Luzon Wind Power Project Name / Title Benjamin Lim, Manager (Planning and Control Division) Company PNOC – Energy Development Corporation Address PNPC Complex, Merritt Road Fort Bonifacio, Makati City, Philippines Phone +63-2-893-6001 E-mail lim@energy.com.ph Wind Power San Carlos Wind Farm Total installed capacity of 30 MW Estimated emission reduction potential of 39,694 tCO2 annually (2006) and 52,685 tCO2 annually (starting 2007) Baseline Scenario: San Carlos Wind Farm CO2 Emissions CO2 emissions reduction 39,694 tCO2 (2006) 52,685 tCO2 (starting 2007) Years Project Proponent: San Carlos Wind Farm Name / Title Ruth Yu-Owen, President Company San Carlos Wind Power Corporation Smith Bell Building, 2294 Pasong Tamo Ext., 1231 Makati City, Philippines +63-2-816-7668 / +63-2-815-0199 ruthowen@smithbell.com.ph Address Phone/ Fax numbers E-mail Carbon Sequestration Tanay Micro Watershed Project Reforesting 70 ha of private land Establishing 25 ha of agroforestry farms in public land Sequestering 5,000 to 12,000 tCO2 from the atmosphere in 20 years Project Proponent: Tanay Watershed Project Name / Title Company Address Phone/ Fax numbers E-mail Adelina Santos-Borja, Chief, Research & Development Laguna Lake Development Authority Rizal Provincial Capitol Compound, Pasig City, Philippines +63-2-637-7581 / +63-2-637-9746 lennieborja@yahoo.com Maraming salamat! • Roberto C. Yap, Ph.D. Environmental Economist klima Climate Change Center Manila Observatory Philippines Tel +63 2 426-6144 Fax +63 2 426-6070 rcyap@ateneo.edu www.klima.ph/cd4cdm