Indonesia Preparedness to CDM Impmentation

Transcription

1 Indonesia Preparedness to CDM Impmentation The Kyoto Mechanism- Japan Carbon Investors Forum (METI-MOFA MOFA-MOE MOE Japan) Mita Kyoyo Kaigisho,, Tokyo, 24 March 2005

2 CURRENT STATUS Indonesia has ratified Kyoto Protocol : by Act No. 17/2004; Final stage of Indonesia DNA (KN- MPB) Finalization of Indonesia CDM Country Guide (incl. investor guide)

3 CDM Country Guide for INDONESIA (Contents) Social, economical and political information CDM related government authorities CDM project approval procedure and requirements Potential projects Laws and regulations

4 CDM POTENTIAL IN INDONESIA (Energy Sector) Since 1996, Indonesia has actively supported the Activities Implement Jointly (AIJ) mechanism useful experience; Based on NSS potential energy sector volume is MT CO 2 for the year

5 Indonesia Share on CDM market China 51% Latin America 5% Other Asian countries 12% India 12% Indonesia 2% Africa 10% Middle East 8%

6 CDM POTENTIAL IN INDONESIA (Energy Sector) (2) Renewable Energy/ Electricity Supply Sarulla Geothermal Field in North Sumatera Satar Messe, Manggarai,, Flores, East Nusa Tenggara PLN Yapen Selatan, Jayapura, Irian Jaya PLN East Nusa Tenggara and West Nusa Tenggara PLN Sulawesi Energy Efficiency Suralaya Power Generation Plant Waste Management / Fuel Switch P. Fajar Surya Wisesa, Bekasi,, West Java Ponorogo,, East Java Torgamba Palm Oil Plantation, North Sumatera Pangkalanbrandan,, North Sumatera Energy Conservation TBA, Central Java

7 CDM POTENTIAL IN INDONESIA (Forestry Sector) Potential volume in forestry sectors : 3, 020 MT CO 2 e The NSS attempts to explore issues and challenges in sink or land- use, land-use change and forestry (LULUCF) sectors. The current LULUCF component, is funded by AusAID,, which will be deal with the implementation of the CDM Total CDM bolume is 36 Mt Co2 per year which provide 6% of market share Mha land os potential in the forest carbon projects The allocation of the area for the forest carbon projects were Regreening (3. 2Mha), Agroforestry (12. 7 Mha), Community forestry (9. 8 Mha), Forest Plantation known as HTI (1. 9 Mha), Reforestration known as Reboisasi (4. 9 Mha)

8 CDM POTENTIAL IN INDONESIA (Other Sectors) INDUSTRY SECTOR : still in the process of identifying the potential projects one cement project is being developed for PCF TRANSPORTATION SECTOR: big potential but still in the process of identifying appropriate potential projects one urban buses project is preparing the PDD and looking for potential buyers AGRICULTURE SECTOR: still in the process of identifying the potential projects

9 Indonesia DNA Name: KN-MPB (Komite National- Mekanisme Pembangunan Bersih) Basic Principles: efficient, rigorous, easy access, low cost, accountable and transparent; Expectedly Established by Ministerial Decree (March 2005);

10 Indonesia DNA Name: KN-MPB (Komite National- Mekanisme Pembangunan Bersih) Basic Principles: efficient, rigorous, easy access, low cost, accountable and transparent; Expectedly Established by Ministerial Decree (March 2005);

11 Basic functions of KN-MPB PDD Approval Letter at national level consists of: Stating that the country s s participation in a CDM project activity is voluntary Stating that the project activity assists the country in achieving sustainable development (based on national criteria and indicators) Stating that the project have fulfilling related national environmental regulation such as environmental impact assessment Stating that stakeholders comment have been taken into account

12 Structure of KN-MPB National Committee on Climate Change KN - MPB Secretariat Experts Stakeholder Forum Technical Team

13 Members of KN-MPB Permanent members (from government related agencies), i. e. Ministry of Environment, Ministry of Energy and Mineral Resources, Ministry of Forestry, Ministry of Foreign Affairs, Ministry of Domestic Affairs, Ministry of Transportation, Ministry of Industry, Ministry of Agriculture; and Ministry of National Development Plan. Non-Permanent members : representatives from NGO, experts, relevant business association (KADIN) and local government association (APEKSI/ APKASI).

14 Approval process in the KN-MPB Recommendation from technical committee and expert (when necessary) Decision to be made based on consensus in 6 (six) working weeks.

15 Approval process in the KN-MPB Evaluati on by Expert 5 days Stakeholder Forum / special meeting 1 day website C & I - SD website 1 day 21days Project Proponent PDD received by Secretariat Internal Meeting KN-MPB Evaluatio n of Technical 21 Team days Report received by Secretariat Meeting for Approval Yes Letter of Approval KN-MPB Project Proponent No Evaluati on by Expert 5 days 5 days Evaluation by Sectoral Tech l Team PDD doesn t criteria 3 mo Data in PDD needs to be completed 1 x PDD needs to be revised

16 KN-MPB MPB s working mechanism Daily tasks of DNA will be conducted by the Secretariat. Thus, the Secretariat shall be lean and has small overhead costs. Promotional Function handled by the Secretariat If needed, the Secretary will hire a consultant to collaborate with the Sectoral Technical Team to carry out technical evaluation. Board will give the final approval.

17 CDM Capacity Building KLH has been conducted public awareness and capacity strengthening program: Relevant central government; Local government; Private sector; Project developers;

18 CDM Working Groups Objective: To support acceleration of CDM implementation in sectoral institutions; Governmental institutions: MoEMR; MoFr; State Owned Companies: PT. PLN; Indonesia Industrial Chamber of Commerce (KADIN); NGO Groups

19 Future Challenges Policy issues: PSC (Product Sharing Contract) in the area of gas flaring; Tax and incentives in financial sector; Project development with interested buyers: VROM-The Netherlands: BCPA MoU signed for 2 Mton; Current status: selection of consultant; JBIC (Japan Bank for International Cooperation): MoU under review Further Development: First stage: Cooperation with Japan (or other donor countries) to assist Indonesia in seeking potential projects by conducting massive movement in conducting feasibility studies and developing PINs in several different type of projects (such as: agriculture; forestry); Second stage: development of selected potential projects from good PINs to PDDs. In line with the above efforts, assistance in facilitating good condition for CDM implementation in Indonesia. Capacity building program needs to be continuously strengthened.

20 Arigato gozaimasu