CARBON PARTNERSHIP FACILITY 1

CARBON PARTNERSHIP FACILITY APRIL 2014 SELLER PARTICIPANT TRAINING

OVERVIEW OF PROGRAM AND CPA LEVEL MONITORING, PREPARATION OF MONITORING REPORTS AND VERIFICATION

CASE STUDIES AND EXPERIENCE SHARING - EGYPT VEHICLE SCRAPPING AND RECYCLING PROGRAMME OF ACTIVITY

CARBON PARTNERSHIP FACILITY 2

Training on CDM Operations Plans and Sub-ERPA Contracting

Presented by

Mr. Juha Seppaelae

Mr. Taisei Matsuki

Ms. Dina Kordy

01 April 2014

CARBON PARTNERSHIP FACILITY 3

Training on CDM Operations Plans and Sub-ERPA Contracting

Egypt Vehicle Scrapping and Recycling Program

Purpose of PoA is to support the enforcement of Traffic Law #121 (2008)

“owners of mass transport vehicles that are greater than or equal to 20 years old are noteligible for new operating licenses or license renewal. “

Mass transport vehicles include: taxis, microbuses and buses.

CARBON PARTNERSHIP FACILITY 4

Training on CDM Operations Plans and Sub-ERPA Contracting

Programme implementation scheme

CARBON PARTNERSHIP FACILITY 5

More number of stakeholders involved in PoA leads to difficulty in CDM monitoring

Roles and responsibilities for each stakeholder in CDM monitoring has to be clearly defined

Each stakeholders, such as, Ministry of Interior, Vehicle Manufacturers, Vehicle owners, etc. must be educated well on CDM monitoring

Training on CDM Operations Plans and Sub-ERPA Contracting

Programme implementation scheme

CARBON PARTNERSHIP FACILITY 6

In this PoA, the CME (Ministry of Finance) is the CPA implementer too. Hence, both PoA and CPA level monitoring must be done by MOF.

Best practice would be to assign regional level / CPA level CDM officers from within the MOF personnel itself.

Training on CDM Operations Plans and Sub-ERPA Contracting

Programme implementation scheme

CARBON PARTNERSHIP FACILITY 7

Training on CDM Operations Plans and Sub-ERPA Contracting

CDM registration details

Implemented by Ministry of Finance which is the Coordinating/Managing Entity

(CME)

PoA registered on 11 May 2011

Different CPAs are created for each type of vehicle in each governate

Until now, 3 CPAs have been registered for Greater Cairo region

CARBON PARTNERSHIP FACILITY 8

Training on CDM Operations Plans and Sub-ERPA Contracting

Programmme activities

1. Inspection of old vehicles for program eligibility

2. Surrendering and Scrapping old vehicles

3. Preparation of surrendered vehicles for temporary on-site

storage (liquids are drained and batteries are removed)

4. Distribution of subsidy for surrendered vehicles

5. Purchase of new vehicles from independent vendor

representatives

Contd….

CARBON PARTNERSHIP FACILITY 9

Training on CDM Operations Plans and Sub-ERPA Contracting

Programmme activities

6. Inspection of new vehicles

7. Licensing

8. Advertising procedures (optional)

9. Program security and monitoring

CARBON PARTNERSHIP FACILITY 10

Training on CDM Operations Plans and Sub-ERPA Contracting

Process flow diagram from perspective of the vehicle owner

MOF must prepare a list of documents needed from each vehicle replacements and must maintain the complete database.

CARBON PARTNERSHIP FACILITY 11

Training on CDM Operations Plans and Sub-ERPA Contracting

Monitoring responsibility and frequency

Parameter Monitoring frequency ResponsibilityFuel efficiency of project vehicle

Year 1 (2012), Year 4 (2015), Year 7 (2018) Vehicle model manufacturers

Number of project vehicles • Recorded after a vehicle joins the programme

• Reported monthly

Ministry of Interior

Average annual vehicle-km travelled by project vehicles

Once in a year through vehicle owners survey Independent consulting firm

MOF must hire a independent consulting firm to carry out the survey

CARBON PARTNERSHIP FACILITY 12

Training on CDM Operations Plans and Sub-ERPA Contracting

Monitoring responsibility and frequency

Parameter Monitoring frequency ResponsibilityActual age of the baseline vehicle at the time of joining the programme

• Once when a vehicle joins the programme

• Reported monthlyMinistry of Interior

National compliance rate of the Law

At the end of each monitoring period (annually)

Ministry of Interior / Ministry of Finance

Vehicle owner satisfaction Periodic QA/QC surveys among vehicle owners Ministry of Finance

Proper training shall be provided to Ministry of Interior as well on CDM monitoring and documentation requirements.

CARBON PARTNERSHIP FACILITY 13

Training on CDM Operations Plans and Sub-ERPA Contracting

Vehicle database management

Driver Information: Name, Mobile number, Telephone number

Financial Incentive Data: Cheque number, Cheque date

Bank Data: Bank letter date, Bank name, Branch

Scrapped Vehicle: Vehicle type, Model year, fuel type, License number, Engine

number, Chassis number

New Vehicle: Vehicle type, Fuel type, Engine number, Chassis number, License

number, License date, Scrapping certificate number

Database shall be created on CPA basis in each region

CARBON PARTNERSHIP FACILITY 14

Training on CDM Operations Plans and Sub-ERPA Contracting

Example vehicle database

CARBON PARTNERSHIP FACILITY 15

Training on CDM Operations Plans and Sub-ERPA Contracting

Vehicle database management

• Database must be maintained by Ministry of Finance (MOF) - CME

• Quality control must be undertaken by CDM-Project Manager (PM)

• Project implementation data must compiled in database every month

• CDM-Project Manager (PM) must coordinate with vehicle manufacturers, Ministry

of Interior for data collection

• MOF must hire third party consultant to carry out monitoring surveys and compile

the survey results

CARBON PARTNERSHIP FACILITY 16

Training on CDM Operations Plans and Sub-ERPA Contracting

Key responsibilities in CDM monitoring

Ministry of Finance - Coordinating and Managing entity (CME)

• Oversee PoA management and on-site scrapping site management;

• Designate CDM Project Manager (CDM-PM)

• Maintain registered project database

• Arrange baseline survey

• Arrange annual vehicle owner survey

• Assess implementation outcomes and data quality, diagnoses the errors and

mistakes and improves the program implementation

• Manages comments and complaints from vehicle owners and drivers (via hotline

and periodic survey)

CARBON PARTNERSHIP FACILITY 17

Training on CDM Operations Plans and Sub-ERPA Contracting

Key responsibilities in CDM monitoring

Ministry of Interior (MoI)

• Provide land for scrapping site

• Manage initial vehicle inspection

• Manage scrapping of surrendered old vehicles

• Manage licensing of new vehicles

• Provide data necessary for calculating the compliance rate

CARBON PARTNERSHIP FACILITY 18

Training on CDM Operations Plans and Sub-ERPA Contracting

Key responsibilities in CDM monitoring

Other participating entities

Participating Banks

Participating Auto Dealers

Insurance Company

Participating Advertising Entities

Contractual agreement of MOF with all above entities must be properly stored and would be verified by DOE.

CARBON PARTNERSHIP FACILITY 19

Training on CDM Operations Plans and Sub-ERPA Contracting

Sampling Plan for Project Emissions Monitoring

A. Estimation of fuel efficiency

Manufacturers will test their vehicles as follows:

• One vehicle and fuel type per model used to conduct analysis

• Test duration must be one week (7 days from Sat to Friday), 10 hours per day.

• Seasonality adjustment need to be considered during the test (by switching ON A/C

during the testing period)

• Initial and final odometer readings will be noted down in a log sheet

• Total amount of fuel consumed during the test period is noted

“Test must be conducted for every three years”

CARBON PARTNERSHIP FACILITY 20

Training on CDM Operations Plans and Sub-ERPA Contracting

Sampling Plan for Project Emissions Monitoring

B. Average annual vehicle-km travelled

• Through a vehicle owner survey conducted annually

• Survey parameter will include:

Program participation start date

Average weekday distance travelled (km/day)

Average weekend distance travelled (km/day)

Odometer reading

• To be carried out by a third party consulting firm

Carefully study the sampling population, sample size and methods before the survey.

CARBON PARTNERSHIP FACILITY 21

Training on CDM Operations Plans and Sub-ERPA Contracting

Egypt Vehicle Scrapping and Recycling Program

THANK YOU