Transcript Why is small-scale CDM important?

Links between renewable
energy, energy efficiency &
CDM
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Sustainable Development Solutions
PACE Centre
Outline
•Why are renewable energy & energy efficiency important?
•Why is CDM important?
•Why is small-scale CDM important?
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Sustainable Development Solutions
PACE Centre
Why are renewable energy & energy efficiency
important? -1
South Africa –
• needs to reduce dependency on finite fossil fuels and questionable oil
rich nations
• is a GHG intensive country
• has existing RE targets
• is likely to confront its own targets under Kyoto beyond 2012
• confronts major challenges in extending infrastructure and services to
the entire population
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Sustainable Development Solutions
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Why are renewable energy & energy efficiency
important? - 2
• The poor are most vulnerable to accelerated climate change
• Current climate change projections have the potential to undermine
other poverty alleviation efforts
• South Africa is well endowed with renewable energy
• Both Renewable Energy & Energy Efficiency represent new sectors
with considerable growth potential
The promotion of renewable energy & energy efficiency is therefore
not merely environmentally sound but also economically sensible to
ensure security of supply and sustainable development
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Sustainable Development Solutions
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Why is CDM important?
Contributes to
reducing GHG
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Provides additional
revenue for RE &
EE
Conduit
for
technolog
y transfer
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Why is small-scale CDM important? - 1
DEFINITIONS
“Small-scale CDM”

Marrakesh Agreements, as stated by the Community Development Carbon
Fund ~
•
Renewable energy projects = not exceeding 15 megawatt (MW) in rated capacity
•
Energy efficiency projects = not exceeding 15 gigawatt hours (GWh) per year in savings
•
“Other” projects = activities with not greater than 15,000 tons per year of direct CO2eq
emissions

Practically ~
•
Lack of ability to absorb normal transaction costs
•
Less environmentally harmful, and may therefore not require as stringent regulation
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Why is small-scale CDM important? - 2
•Lowest marginal cost of abatement
•Greatest impact on poverty
•Compatible with a number of ongoing LED activities
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Sustainable Development Solutions
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