RCREEE Member States: from the first movers for the NAMAs 16-17 November 2011

1. Programme of Activities:
Roles and responsibilities of involved
institutions
Matthias Krey, Perspectives GmbH
16.11.2011
Training Course “Existing CDM Potential and
Perspectives for Carbon Finance in RCREEE
Member States beyond 2012”,
Cairo, Egypt, 16. November 2011
www.perspectives.cc · info@perspectives.cc © 2011 Perspectives GmbH

2. Programme of Activities (PoA):
Coordinating Entity
 A PoA shall be proposed by the coordinating or managing entity
which shall be a Project Participant
 authorized by all participating host country DNAs involved
 identified in the modalities of communication as the entity which
communicates with the EB, including on matters relating to the
distribution of CERs.
 PPs of the PoA shall make arrangements with the coordinator or
managing entity, relating to communications and distribution of
CERs.
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3. Coordinating Entity is the Focal Point
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4. Steps to set up the PoA
Capacity Business
PoA Idea PoA PIN
Building Model
Attracting
Setting up Develop Implement
Stakeholders &
CE Structures PoA PoA
Investors
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5. The optimal PoA design…
…transparently explains what the PoA wants to achieve
…enables CPA developers to easily participate in the PoA
…sets up a business plan that is manageable and realistic
…defines in a clear way who receives the emission reductions (ownership)
…points out the responsibilities for conducting the monitoring
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6. Questions to be answered
What are the main objectives of the PoA?
 e.g. extending the scale of a certain measure (energy efficiency)
What institutions need to be involved?
 Coordinating entity, service provider, funding institution
What is the planned scope of the PoA?
 Annual CER volume, No. of CPAs, regions, pieces of equipment
What is the target group of the PoA?
 CPA developer (private or public entities, technology provider, households)
 End-user (households, farmers, utilities, technology provider)
What are the required capabilities and capacities?
 CDM expertise, commercial expertise, man power, monitoring
 How can the monitoring procedures be conducted most transparent?
 Who has the capabilities to perform the monitoring?
 Who is responsible for the different monitoring processes?
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7. Programme of Activities (PoA):
Set up option I
PoA Coordinating Entity and only „external“ CPA developers
 Promotion of PoA to attract potential CPA-developer
 High administrative and management related tasks for CE (e.g. train the trainer!!!)
 Guidance for CPA developer (e.g. higher transparency, reduced administration)
PoA Coordinating Entity
UNFCCC
PoA-DD Generic CPA-DD
DOE
CPA 1 CPA 2 CPA 3 CPA X
DNA
CPA 1 CPA 2 CPA 3 CPA X
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8. Programme of Activities (PoA):
Set up option II
PoA Coordinating Entity is the only CPA developer
 Overcoming the small-scale threshold and reducing time until CER issuance
 Reduced risks for subsequent CPAs compared to stand-alone projects
 Reduced administrative and management tasks required
PoA Coordinating Entity
UNFCCC
PoA-DD Generic CPA-DD
DOE
CPA 1 CPA 2 CPA 3 CPA X
DNA
CPA 1 CPA 2 CPA 3 CPA X
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9. DNA related challenges
 Fairly limited or almost no experience with PoAs
 sometimes even limited experience with CDM
 In many cases no clear procedure for approving PoAs LoA
 Difficult for international PoAs involving more than one host country
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10. DOE related challenges
 A fairly limited number of DOEs started to validate PoAs
(liable for erroneous inclusion of CPAs)
 Situation has improved and liability issue is about to be solved VR
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11. Summary
Choose the right set up and institutional arrangements
 Develop a solid and transparent business plan
 Identifying an appropriate Coordinating Entity (CE) is vital
 Interdependencies (put in place incentive schemes)
 Necessity of “Train the trainer”
Enable reliable processes
 Define responsibilities
 Consider capabilities of involved institutions
 Testing of processes (e.g. initial verification)
 Define implementation and monitoring plan with back-up options
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12. Many Thanks for
Your Attention!
Matthias Krey, Perspectives GmbH
16.11.2011
Training Course “Existing CDM Potential and
Perspectives for Carbon Finance in RCREEE
Member States beyond 2012”,
Cairo, Egypt, 16. November 2011
www.perspectives.cc · info@perspectives.cc © 2011 Perspectives GmbH