CDM implementation in Korea

Gyungae HaCenter for Climate Change Mitigation

ProjectsKorea Energy Management Corporation

October 19-21 2005, AIT, Thailand

ContentsCurrent statusDNA in KoreaApproval Criteria Approved projectsLessons learned

Current status Republic of Korea signed the convention

in December 1993 and the Kyoto protocol in November 2002

The government approves two CDM projects by October 2005 HFC decomposition project in Ulsan (MOCIE,

MOE) & N2O emission reduction in Onsan (MOCIE, MOE)

Currently, the government is reviewing a wind power project

Another two projects(wind power & tidal power) are in the validation stage

Structure of DNAInter-Ministerial Committee on UNFCCC

Chair: Prime MinisterMember: related Ministry and government agency

Vice-ministerial Committee on UNFCCCChair: Deputy minister of government policy coordinationMember: related Ministry and government agency

Working group of director-generals on UNFCCC

Chair: economic policy coordinator of the office for government policy coordination

Member: office of government policy coordination, MOFAT, MOST, MAF, MOCIE, MOE, MOMAF and other related ministries and offices

Working group of CDM Review Committee

Member: related Ministry and government agency

CDM Review Committee

MOFAT: Ministry of Foreign affair and TradeMOST: Ministry of Science and TechnologyMAF: Ministry of Agriculture and ForestryMOCIE: Ministry of Commerce, Industry and EnergyMOE: Ministry of EnvironmentMOMAF: Ministry of Maritime Affair and Fisheries

To apply for the approval of a CDM Project, a project developer shall submit the following documents to the Industrial Policy Coordination and Energy Division in the Office of Government Policy Coordination

Application form CDM PDD Approval letter from Annex I or Validation report Document which certifies Annex I investment Approval letter from the Executive Board on baseline

and monitoring methodologies (if applicable) Environmental Impact Assessment report (if

applicable)

Required Documents for the approval

Procedure for CDM approval in Korea

Project participa

nts

CDM Review Committee

Responsible Ministry or Ministries

Submit application documents for approval letter

Circulate the application documents within the committee and appoint a ministry or ministries for reviewing q proposed CDM project through the consultation of related ministries

Responsible ministry or ministries submit(s) the review document to the committee and ask(s) the office of government policy coordination to held a meeting of the committee for final decision

Issues an approval letter based on the result of the final meeting of the committee

Approval criteria A CDM project shall contribute to national

sustainable development; Emission reductions attributable to a CDM

project shall be additional to any that would occur in the absence of the proposed project;

A CDM project shall assess its impact on environment, transportation and disasters if applicable;

Environmentally sound technologies and know-how shall be transferred;

A CDM project shall comply with relevant policies and regulatory regimes.

Priority areas in a revised procedures

Energy Efficiency improvement Renewable energy

Renewable energy potential in Korea

Methane recovery and utilization in landfills

Source Potential

PV 38 TWh

Wind 93 TWh

Small Hydro 3.9 TWh

Geothermal n.a.

Biomass 2.3 mil.TOE/year

Approved projects

HFC decomposition project in Ulsan The project is in the Ulsan plant which

produces HCFC 22 and HFC 23 as an inevitable by-product of the HCFC 22. This project installs HFC 23 collection and decomposition process equipment. The project will contribute 1.4million CO2 ton per year Main ministries : MOCIE & MOE Supporting bodies: KEMCO for MOCIE & EMC for

MOE The project has been approved by the

committee as the first CDM project in Korea.

N2O emission reduction in Onsan The project is in Rhodia plant at Onsan

which produce adipic acid(C6H10O4), main constituent of nylon. The project will install a facility to convert the nitrous oxide from adipic acid unit into nitrogen based on the process of thermal decomposition. Main ministries : MOCIE & MOE Supporting bodies: KEMCO for MOCIE & EMC

for MOE KEMCO held a expert meeting for reviewing the

project.

Lessons learned Difficulties in applying the concept of its

contribution to the SD into the reviewing process Different perspective of the concept of SD

according to a ministry

Problems with monitoring to ensure that approved CDM projects continue to meet established sustainable development criteria and technology transfer issues

Lessons learned Need for measures to promote energy efficiency

improvement projects and new & renewable energy projects

Note) 1000won = 1US$

Building a network of CDM DNAs for sharing their experience, criteria and procedure (ex. in UNFCCC website)

CO2 reductions(CO2 ton)

Reduction costs(won/CO2ton)

Waste heat recovery 128,305 22,623 Energy efficiency

improvement851,893 109,520

Fuel switching 77,660 5,241 PFC reduction 5,785,225 331

LFG recovery 754,190 62,865 New & renewable energy 198,380 1,034,157

Thank you

Any comments and questions are welcomed to:hga@kemco.or.kr