Indonesian DNA and Lessons Learned

Transcription

1 Indonesian DNA and Lessons Learned SULISTYOWATI Assistant Deputy for Climate Change Impact Control Ministry of the Environment Japan Carbon Investor Forum Tokyo, Japan, March 2006

2 OUTLINES Basis of the CDM Implementation in Indonesia National Committee on CDM Indonesia s DNA on CDM Structure Membership Role Flowchart of National Approval Process Criteria and Indicators of Sustainable Development on CDM Approved Projects

3 CDM Implementation in Indonesia Legal Basis: UU No. 23/1997 about Environmental Management; UU No. 6/94 about Ratification of UNFCCC; UU No.17/04 about Ratification of Kyoto Protocol; PP No. 34/3003 about Forest Land Allocation, Forest Management Planning, and Land Use KepMenHut No.14/04 about CDM A/R Procedure President Regulation No. 5/2006 about National Energy Policy President Instruction No. 1/2006 about Supply & Utilization of Biofuel as alternative fuels Institutional Strengthening: Establishment of National Committee on Climate Change (KepMen LH No.53/03) Establishment of National Committee on the CDM (KepMen LH No.206/05)

4 National Committee on CDM (NC-CDM) CDM) Indonesian National Authority on CDM = Komisi Nasional Mekanisme Pembangunan Bersih (KN-MPB) Established through the Minister of Environment Decree of No.206/05

5 Organizational Structure and Supporting Element of the NC-CDM CDM Secretariat Members of the Commission Expert Group Technical Team Stakeholder Forum

6 Members of the NC-CDM CDM Ministry of Environment Ministry of Energy and Mineral Resources Ministry of Forestry Ministry of Foreign Affair Ministry of Industry Ministry of Transportation Ministry of Agriculture Ministry of Home Affair National Development Planning Board

7 Supporting Element of the NC-CDM CDM Technical Team Member Fix Member (Ministry Decree) Temporary Member (Appointed by the Chairman of NC-CDM) Secretariat (Appointed by the Chairman of NC- CDM) Ad hoc: Expert Group Stakeholder Forum

8 NC-CDM CDM functions Regulatory Function (mandatory) Granting recommendation to CDM project proposals that fulfills Indonesia's sustainable development criteria Tracking on the progress of nationally approved project on CDM EB Monitor and evaluate the implementation of the registered CDM Project Annual reporting to the UNFCCC Secretariat Promotional Function (optional) Facilitating communication between investors and project proponents as well as other stakeholders, Facilitating capacity building for Indonesian institutions to be able to propose and implement CDM projects, and Providing information on available CERs and/or CER potential to prospective buyers.

9 Procedure for CDM project approval 1. The Secretariat receives and checks that the application documents are complete 2. Internal Coordination Meeting between Members of the Commission to decide whether or not to assign Expert Advisors to perform an additional evaluation to the Project Proposal as second opinion. 3. The Commission assigns members of Technical Team to evaluate Project Proposals based on sustainable development criteria and indicators 4. Technical Team submits the Evaluation Report and Expert Advisors submit the Additional Evaluation Report to the Secretariat. Secretariat then passes both reports to the Members of the Commission 5. Members of the Commission make a decision whether the Project Proposal will be given Approval or Rejection in The National Commission Decisionmaking Meeting. 6. The Secretariat gives the Approval Letter from NCCDM to the Project Proponent

10 Criteria and indicators for assessing projects National criteria and indicators are categorised into four groups : Environmental sustainability, Economic sustainability, Social sustainability, and Technological sustainability.

11 Environmental sustainability Criteria: Practicing natural resource conservation or diversification Indicators: 1. Maintain sustainability of local ecological functions 2. Not exceeding the threshold of existing national, as well as local, environmental standards (not causing air, water and/or soil pollution) 3. Maintaining genetic, species, and ecosystem biodiversity and not permitting any genetic pollution 4. Complying with existing land use planning

12 Environmental Sustainability(2) Criteria: Local community health and safety Indicators: 1. Not imposing any health risk 2. Complying with occupational health and safety regulation 3. There is a documented procedure of adequate actions to be taken in order to prevent and manage possible accidents

13 Ecnomic Sustainability Criteria: Local community welfare Indicators: 1. Not lowering local community s income 2. There are adequate measures to overcome the possible impact of lowered income of community members 3. Not lowering local public services 4. An agreement among conflicting parties is reached, conforming to existing regulation, dealing with any lay-off problems

14 Social Sustainability Criteria: Local community participation Indicators: 1. Local community has been consulted 2. Indicator: Comments and complaints from local communities are taken into consideration and responded to Criteria: Local community social integrity Indicator: 1. Not triggering any conflicts among local communities

15 Technological Sustainability Criteria: Technology transfer Indicators: 1. Not causing dependencies on foreign parties in knowledge and appliance operation (transfer of know-how) 2. Not using experimental or obsolete technologies 3. Enhancing the capacity and utilisation of local technology

16 What are These Criteria and Indicators for? The national set of criteria and indicators will be used as the main tool in the evaluation process. Thus, all proposed projects will be evaluated by Members of the Commission, Technical Team and Expert Advisors based on the national criteria and indicator.

17 DNA National Approval States : The Project is developed voluntarily Supporting sustainability development in Indonesia AMDAL has been done for the project (for AMDAL mandatory projects) Public consultation has been done and public comments have been followed up DNA CDM does not have authority to: Decide project eligibility outside sustainability development aspects Evaluate project baseline and additionality Issue CERs

18 CDM Project Proposals that have been received National Approval Indocement Alternative Fuels Project Project Proponent: PT Indocement Tunggal Prakarsa, Tbk Total reduction GHG : tons CO 2 Crediting Period : 21 years ( ) Indocement Blended Cement Project Project Proponent: PT Indocement Tunggal Prakarsa, Tbk Total reduction GHG : tons CO 2 Crediting Period : 10 years ( ) CDM Solar Cooker Project Aceh Project Proponent: PT Petromat Agrotech Total reduction GHG : tons CO 2 Crediting Period : 7 years ( ) MNA Biomass 9.7 MWe Condensing Steam Boiler Project Proponent: PT Multimas Nabati Asahan Total reduction GHG : tons CO 2 Crediting Period : 10 years ( ) MSS Biomass 9.7 MWe Condensing Steam Boiler Project Proponent: PT Murini Sam Sam Total reduction GHG : tons CO 2 Crediting Period : 10 years ( ) Status: Validation Process Status: Validation Process Status: Registered Status: Validation Process (open for comments until 17 Feb 06) Status: Validation Process (open for comments until 17 Feb 06)

19 Conclusions On the basis of legal and institutional, Indonesia is ready to implement CDM Still need awareness raising and capacity building activities, especially for potential key players in CDM

20 Further Information: Deputy Assistant for Climate Change Impact Control Tel Fax climate@menlh.go.id Indonesia DNA: Internasional: Deputi III MENLH