Transcript Diapositiva 1

MINISTERIO
DE MEDIO AMBIENTE
Spanish Policy on flexible
mechanisms
Rebeca Sainz
Spanish Climate Change Bureau
Ministry of Environment
JI WS, Bonn February 2007
MINISTERIO
DE MEDIO AMBIENTE
INDEX
oecc
Oficina Española
de Cambio Climático
• 1. Spain – Basic compliance scenario &
strategy.
• 2. Spanish Instruments.
• 3. Views on JI.
• 4. Other Initiatives.
• 5. Conclusions.
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MINISTERIO
DE MEDIO AMBIENTE
Basic COMPLIANCE SCENARIO AND
STRATEGY
+ 24% of 1990 emissions
oecc
Oficina Española
de Cambio Climático
RD 1866/2004, NAP 2005-07
+ 15% Kyoto Protocol objective
+ 2% LULUCF activities
+ 7% International credits = 100Mt
+ 37 % 1990 emissions
NAP 2 (2008-2012)
+20 % International credits =
289 Mt CO2
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MINISTERIO
DE MEDIO AMBIENTE
Overall strategy
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Oficina Española
de Cambio Climático
• The Kyoto target would be reached jointly.
• Overall strategy to use the Kyoto Protocol
Flexible mechanisms:
– Establishment of the institutional framework.
– Design of a multilateral and bilateral approach
with NAI and AI countries.
– Evaluation of the existing financial tools for
the acquisition of credits.
– Enhancement of cooperation with private
sector and financial institutions.
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SPANISH INSTRUMENTS
MINISTERIO
DE MEDIO AMBIENTE
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Oficina Española
de Cambio Climático
INSTITUTIONAL ARRANGEMENTS

Law 1/2005, 9 march, transpose
2003/87/EC and Linking Directive



Directive
Establishment of the DNA (CDM & JI)
Procedure
Def. and recognition of international credits
INTERNATIONAL COOPERATION
AND
PUBLIC
SECTOR PARTICIPATION
– Establishment “Iberoamerican Climate Change
Network (RIOCC).” 21 countries
– Signature of MOUs with 19 host countries :
Argentina, Brasil, Colombia, Morocco, Mexico, Panama,
Uruguay, Dominican Republic, Bolivia, Ecuador, Chile, Costa
Rica, Paraguay, Guatemala, Peru, Honduras, El Salvador,
Nicaragua and China.
Some more under negotiation
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MINISTERIO
DE MEDIO AMBIENTE
FINANCIAL INSTRUMENTS
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Oficina Española
de Cambio Climático
Agreement for 40 Mt (205 M €)
• Spanish Carbon Fund (34 MT)
+ 50 M € Open to private sector
(installations under the Law 1/2005)
• BioCarbon Fund (2MT)
• Participation CDCF (4MT)
• CF Assist (5M€).
Priorities: Renewables, energy efficiency,
waste management.
Agreement for 9 Mt CO2 :
Iberoamerican Initiative for Carbon
Purchase will be held in credits through
CDM projects exclusively in the Latin
America and Caribbean region.
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MINISTERIO
DE MEDIO AMBIENTE
FINANCIAL INSTRUMENTS
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Oficina Española
de Cambio Climático
Multilateral Carbon Credit Fund
35 mill. € (~ 42% sovereign window)
What? ERUs, CERs, EUAs
Where? Countries in transition
GIS window: under consideration
Asia Pacific Carbon Fund
30 mill. USD
CERs
Asia- Pacific Region
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MINISTERIO
DE MEDIO AMBIENTE
Views on JI
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Oficina Española
de Cambio Climático
• Room for the 3 market based mechanisms!!
 JI
- Incredible Take off!! ( Thank you, JISC!)Institutional
framework settle down
- Technology transfer
- ERU market has a lot of potential (Russia, Ukraine)
- A lot of potential in non EU ETS sectors
but,
- higher delivery risks.
- higher transaction costs (Vs ETS).
- until now, higher uncertainty (Vs CDM)
There is a future for JI!:
non-CO2 gases, LULUCF
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Views on JI
MINISTERIO
DE MEDIO AMBIENTE
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Oficina Española
de Cambio Climático
JI Eligibility requirements:
- Focal point designated - Interministerial
Committee.
- National guidelines: under development (RD).
 Investing in JI
- Through multilateral financial institutions (WB,
MCCF)
- Priority projects: Renewable energy, energy
efficiency, waste management.
- Bilaterally: Several MOUs in progress
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MINISTERIO
DE MEDIO AMBIENTE
Other initiatives
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Oficina Española
de Cambio Climático
• Supporting initiatives under JI.
(through contributions to JISC).
• Technical cooperation programmes.
• Cross-cutting instruments to promote investments in JI
& CDM:
- Viability Study funds
- Consultancy funds.
- Financing lines, Credit lines
• Other multilateral Funds.
• Increasing bilateral relationships with host countries
(through bilateral agreements)
• Debt conversion agreements: new clause related to Kyoto
Protocol (Ecuador and Uruguay).
• GIS, also a good complement.
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Final thoughts
MINISTERIO
DE MEDIO AMBIENTE
oecc
Oficina Española
de Cambio Climático
- Room for 3 market based mechanisms: make
the best of each of them.
- Project-based transactions are essential for
the evolution to low-carbon economies
- JI should evolve applying the lessons learnt
from CDM.
- Rules are now there: time to make JI
“practically” happen.
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MINISTERIO
DE MEDIO AMBIENTE
oecc
Oficina Española
de Cambio Climático
Thank you for your attention !
For additional information
 Spanish Climate Change Bureau
www.mma.es/oecc
 Rebeca Sainz
[email protected]
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