Transcript National Policy on Clean Development Mechanism in Sri

Clean Development
Mechanism
in
Sri Lanka
K.A.K. Kasturiarachchi
Global Affairs Division
Ministry of Environment and Natural Resources
Sri Lanka
Location of Sri Lanka
Introduction to the Climate Change
Activities
• Ratified UNFCCC in 1994
• First National Communication submitted
2000
• Green house Gas Inventory -1995
• 58 Studies are being conducted
• Center for Climate Change Studies
Established at Met. Department
Breakdown of overall GHG
emission in Sri Lanka – 1994
Green House Gas Source
and Sink Categories
CO2 (Gg)
CH4 (Gg)
N2O (Gg)
Total National Emission
(Gg per year)
33630.22
1098.375
162.8657
1. All Energy
5447.668
927.785
156.0257
2. Industrial Processes
300.55
……….
………..
3. Agriculture
………….
156.86
3.42
4. Land Use Change
and Forestry
27882
5. Other Sources
13.73
Source- Initial National Communication-2000-Under the UNFCCC
CDM & Sri Lanka
Important initiatives taken by Sri
Lanka
• Acceded the Kyoto Protocol on 3rd
September 2002.
• Established Designated National
Authority for the CDM project activities.
• Prepared a national framework policy
on CDM
• Establishment of two national CDM
study centers at two leading
Universities..
• National strategy study on climate
change (To be started soon).
Structure of the Designated National Authority
Secretary / Environment and Natural Resources
CDM Project
Developers
CDM Study
Centers
NGO’s
Climate Change
Secretariat-DNA
Government
Agencies
Private Sector
CDM Expert
Committee
CDM Project Development Process in Sri Lanka
1. Project developer identifies a project and prepares the project
Identification Note (PIN).
2. If possible identify a buyer to buy Certified Emission
Reductions (CERs).
3. Project developer submits the PIN to the DNA/CCS
4. DNA issues the letter of approval or project approval in
principle.
5. Once PIN is approved project developers prepare the PDD.
6. Project developer submits the Project Design Document
(PDD) to the DNA.
Cont…
7. Project developer pays PDD evaluation cost to DNA.
8. DNA submits the PDD to the CDM Expert Committee
for recommendation.
9. The Expert Committee send the PDD to a suitable
expert for review.
10. Expert Committee make recommendation to the
DNA.
11. DNA submits the Expert Committee
recommendation to the Secretary for approval.
12. DNA issue the host country approval.
Partners of the National Expert
Committee on CDM
• Ministry of Environment and Natural
Resources
• Ministry of Power and Energy
• Ministry of Agriculture
• Ministry of Science and Technology
• Ministry of Industries
• Forest Department
• Meteorology Department
• Universities
• Ministry of Transport and Highways
• Private Sector
• Non Governmental Organization
• Colombo Municipal Council
National Policy on Clean
Development Mechanism
• Objective
• To contribute to sustainable
development through developing and
establishing the institutional, financial,
human resources and legislative
framework necessary to participate in
Clean Development Mechanism (CDM)
activities under the Kyoto Protocol while
developing a mechanism for trading
“Certified Emissions Reductions” (CER)
and “Removal Units” (RMU) earned
through CDM activities.
Policy Principles
• Participation in CDM projects shall be in line
with existing sectoral policies.
• CDM projects shall have tangible national
impacts and will contribute to the national
sustainable development agenda.
• CDM will be used to encourage sector
investments in climate-friendly development
activities.
• CDM projects shall be designed so as to
contribute to the improvement of the
environment and the welfare of the society as
a whole.
• CDM Projects shall be encouraged to include
elements that would contribute to poverty
Policy Principles Cont.
• CDM Projects shall promote and encourage the inward
transfer of new, proven, affordable and relevant
technologies.
• CDM Projects that address National Environmental
issues will be especially encouraged.
• CDM projects shall be approved through a participatory
and transparent process that involves a detailed
assessment of their economic, social and environmental
benefits and their relevance to local needs and
priorities.
• CDM projects shall recognize the rights of the people of
Sri Lanka in relation to all emissions, exercised through
the Government of Sri Lanka.
• Applicants for approval of CDM projects will meet the
costs associated with the evaluation of their
POLICY STATEMENTS
• Institutional Framework
– The Ministry of Environment & Natural Resources National Focal Point for UNFCCC & the Kyoto
Protocol.
– The Climate Change Secretariat (CCS) -Designated
National Authority (DNA) for CDM activities.
– A National Experts Committee (NEC) - evaluate CDM
project and make recommendations to the Authority.
– A national CDM study Centre - advising project
proponents and the CCS on all issues on CDM.
– The Ministry shall establish an Emissions Trading
Exchange (ETX).
Criteria
• The CCS through NEC shall ensure that
the project developers follow the guidelines
of the IPCC and the UNFCCC
• Government shall not be held responsible
for delivery of the CER and RU contracted
by CDM projects.
• CDM projects shall be subject to the
Environment Impact Assessment (EIA)
process and other applicable laws, as
relevant.
Eligibility
• CDM Project proposals shall be
evaluated based on their feasibility
and national benefits.
• Proponents of CDM projects shall be
entities incorporated in Sri Lanka
• Small CDM projects - Bonn
Agreement adopted at the (COP-6).
CDM Sectoral Opportunities
The key sectors for the
implementation of CDM projects
• Energy
• Industry
• Transport
• Waste Management
• Agriculture
• Forestry Management
• Plantations
• The government may decide priority
sectors for CDM projects from time to time.
Proposed CDM project Proposals and
Concept Papers in Sri Lanka
Project Proposal
•
•
•
•
•
Bambarabatu Oya mini hydro power plant3.2MW-Vidullanka Limited.
50MW Wind power plant at puttalamLargerwey Windturbine International.
Colombo Organic Waste Treatment PlantBiolan (pvt) Ltd.
20MW Wind power plants in NarakkalliyaSenok Trade Combine Ltd.
Mini hydro power projects- Eco-power Ltd.
a) Alupola, Badulu Oya, Weli Oya, Arattana13.3MW
b) Magal Ganga – 9.9MW
c) Hapugastenne & Hulu Ganga – 13.55MW
Concept Papers
• Power Generation and Manufacture of Coconut
Shell Charcoal – 8MW by Sri Recogen Limited.
• Availing to Carbon Credit for Proposed Denro
and Hydro Power Project- 6MW by Lanka
Transformers, Ltd.
• Reduction of Carbon Emission, Environmental
Improvement, and Community Development
through briquetting of saw dust in the Lunawa/
Bolgoda area- by Coast Conservation
Department, Central Environmental Authority,
Seth Sevana Foundation.
• Carbon Trading for Rubber Growers – Rubber
Research Institute.
• Disposal of Solid Waste Generated in the City
of Colombo – by Free Lanka Plantation.
PINs submitted for approval
 Wind power plant by Senok Trade Combine Ltd.
 Mini Hydropower Project by Free Lanka (pvt) Ltd
 Atabage small hydropower project
 Gatembe small hydropower project by
Environment Management Lanka (pvt) Ltd.
 Wind power plant by Largerway Wind Turbine International in
partnership with the Central Finance Company Ltd.
 Power Generation & Manufacture of coconut shell charcoal
Cont…
 Reduction of carbon emission,
Environmental Improvement &
community Development through
briquetting of saw dust in the lunawa /
Bolgoda area by Coast Conservation
Dept., Central Environmental Authority,
Seth sevana Foundation.
Cont…
 Availing to Carbon Credit for proposed
Dendro and Hydro power project by
Lanka Transformers Ltd.
 Biomass Power Plant by Energeon
Power (pvt) Ltd.
 300MW Wind power projectDAVIDS & M
Engineering (pvt) Ltd.
Request for approval from EB
• Mini hydro power projects- Eco-power
Ltd.
a) Alupola, Badulu Oya, Weli Oya,
Arattana- 13.3MW
b) Magal Ganga – 9.9MW
c) Hapugastenne & Hulu Ganga –
13.55MW
Further Measures
Needed
Future Programme
• Trainning and Capacity Building in Private
and Public Sector
• Setting up the minimum requirements for
CDM projects
• Clear guidelines on priority areas for
projects
• Producing a list of non-eligible activities
• Development of Baselines for Various
Sector
Future Programme Cont..
• Setting up an infrastructure for
promoting and handling CDM projects
• Developing a full programme to
promote and actively seek out CDM
projects.
• Efficient and transparent procedures
for processing project applications.
• Procedure for registering and
monitoring in-country project
activities,
Future Programme Cont..
• Procedures for authorizing
verification organizations that
validate and certify CDM projects.
• Clear guidelines on the selection,
• Information about project and
financial opportunities to incountry project developers.
• Identify promising project types
and associated social, economic
and environmental impacts.
Possible challenges, CDM & Sri
Lanka
 Over Estimating the CDM Potential.
 Over Estimating the CDM Revenue.
 No Market access
 Approval Procedures Not Acceptable to Private Sector
 Lack of knowledge.
 No easy access to new information.
 Fear of adopting new technologies.
Thank you