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Validation and registrationVerification and issuance

Technical Workshop on CDMParamaribo, 20 June 2008

Adriaan Korthuis

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Contents

Validation Registration Verification Issuance

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Project development

PROJECT IDEA CONSTRUCTIONFINANCINGFEASIBILITY STUDY

MAKE PDD

OPERATION

REGISTERVALIDATE ISSUE CERsVERIFY

STAKEHOLDER COMMENTS

TEST ADDITIONALITY

USE OR MAKE METHODOLOGY

NEGOTIATE ERPASELECT BUYERPREPARE PIN and TERM SHEET DELIVER CERs

CDM / JI DEVELOPMENT

PHYSICAL PROJECT DEVELOPMENT

COMMERCIAL DEVELOPMENT

STAKEHOLDER COMMENTS

MONITOR

LETTER OF APPROVAL

GENERATE CERs SELECT BUYER SELL AND DELIVER

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Validation: check of the PDD by a Designated Operational Entity (DOE), Document review

– Check of the PDD– Check of the underlying documents

Site inspection– Check if PDD reflects real situation– Check if monitoring plan is implemented– Interview local stakeholders

International stakeholder comments on PDD – 30 days– Publish PDD on website UNFCCC

Check monitoring and QA/QC procedures

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What does the validator look for? Additionality Application of the methodology Identification of the baseline scenario Accuracy, completeness and suitability of

monitoring plan Adequacy of local stakeholder consultation Analysis of the environmental impacts Completeness of the PDD

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CLs, CARs and FARs

CL: Clarification Request– Presented information is insufficient or not transparent.

Project participant has to provide additional information

CAR: Corrective Action Request– Mistake has been made– PDD does not reflect real situation– Emission reductions overestimated– Project participant has to change PDD

FAR: Forward Action Request– Recommendation of validator to check aspects of project

implementation during verification

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Registration: acceptance by the EB of the project as being a CDM Project Activity

DOE submits Request for Registration to UNFCCC Secretariat:– PDD– Validation report– Letter of Approval Host Country– Letters of Approval Annex I countries, if applicable

Pay Registration Fee (through the DOE):– USD 0.10 per CER for the first 15,000 CERs of annual average forecast– USD 0.20 per CER for any consequent CER

After check for completeness, documents are published on UNFCCC web

Parties and EB members can request review If no review is requested: automatic registration after eight

weeks If review is requested: EB will discuss request in its next

meeting. If they decide to review, a commission of the EB will investigate the project and report. EB will decide to register, or reject the project, based on the review report

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Project development

PROJECT IDEA CONSTRUCTIONFINANCINGFEASIBILITY STUDY

MAKE PDD

OPERATION

REGISTERVALIDATE ISSUE CERsVERIFY

STAKEHOLDER COMMENTS

TEST ADDITIONALITY

USE OR MAKE METHODOLOGY

NEGOTIATE ERPASELECT BUYERPREPARE PIN and TERM SHEET DELIVER CERs

CDM / JI DEVELOPMENT

PHYSICAL PROJECT DEVELOPMENT

COMMERCIAL DEVELOPMENT

STAKEHOLDER COMMENTS

MONITOR

LETTER OF APPROVAL

GENERATE CERs SELECT BUYER SELL AND DELIVER

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Verification: check of the monitoring report by a Designated Operational Entity (DOE)

Desk review– presented data– Monitoring plan and monitoring methodology– QA/QC system

Site inspection– Check if project is in accordance with PDD– Interviews with key personnel– Cross-check of real data with monitoring report– Check monitoring equipment

CLs, CARs and FARs Finalisation of verification report

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What does the verifier look for? Compliance of real situation with PDD Correct implementation of the monitoring plan Monitored parameters Calculations Monitoring procedures, including calibration of

instruments

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If monitoring is not in compliance

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Issuance: the CDM Executive Board issues CERs to registry accounts of project participants

DOE submits Request for Issuance to EB:– Monitoring report and supporting documents– Verification report– Certification statement– “Issuance instruction” by Project Participants

Pay Share of Proceeds– USD 0.10 per CER for the first 15,000 CERs per year– USD 0.20 per CER for any consequent CER

After completeness check, documents are published on UNFCCC web

Parties and EB members can request review If no review is requested: automatic registration after

15 days Review: comparable to validation process

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Contact details

Adriaan Korthuis Phone +31 10 217 5993 E-mail a.korthuis @ climatefocus.com

www.climatefocus.com