Compost and the Clean Development Mechanism (CDM)

Transcription

1 Compost and the Clean Development Mechanism (CDM) ISWA Beacon Conference May 22, 2008

2 Presentation Topics Solid waste and greenhouse gas emissions CDM and the Kyoto Protocol CDM methodologies Application of CDM to composting Composting projects Conclusions

3 Solid Waste and Greenhouse Gas (GHG) Emissions Methane - Generated in anaerobic conditions in landfills - 21x global warming potential (GWP) of CO 2 Landfills - 12%+ global anthropogenic methane emissions - 4 th largest source of non-co 2 GHG emissions Compost - CO2 fromdecay of organic material consider neutral to atmosphere

4 CDM and the Kyoto Protocol Intergovernmental Panel on Climate Change (IPCC), 1988 UN Framework Convention on Climate Change (UNFCCC) - Voluntary program (1994), after Rio Earth Summit, to stabilize greenhouse gas (GHG) emissions Kyoto Protocol - Legally binding program to reduce GHG emissions - Ratified 2005; effective period through end of CDM - Provision for sale of emission reductions by developing countries to developed countries

5 CDM Process Carbon finance, payment for performance Methodologies to measure reduction in GHG must be approved by UNFCCC Conditions include - Baseline: GHG emissions in the absence of action. For compost project waste would go to a landfill and generate landfill gas (50% methane) - Additionality: GHG emission reduction that would be achieved with project o Barriers Investment, technical, common practice

6 Approved CDM Methodologies: Compost Large-scale - AM0025. Avoided landfill emissions (methane) from anaerobic decomposition of organic waste through alternatives, incl composting - AM0039. Avoided wastewater / landfill emissions (methane) from anaewrobic decomposition of wastes through co-composting - Related Tools 1. Tool for the demonstration and assessment of additionality 2. Tool to determine methane emissions avoided from dumping waste at a solid waste disposal site Small-scale - AMS-III.F. Avoidance of methane production from decay of biomass through composting (< 60,000 tco 2 e/yr)

7 CDM Methodology: AM0025 Meth. applies to avoidance of methane from landfill, including aerobic composting Project emissions - Electricity use - Composting: CH 4, N 2 O - Transport of compost to market Avoided emissions tied to landfill, as baseline condition - First order decay (FOD) model: waste composition, ambient temp. / precipitation, methane correction factor

8 Composition & Moisture Content Income Level Material Low Middle High Food 40-85% 20-65% 20-50% Paper 1-10% 15-40% 15-40% Recyclables 4-25% 5-26% 11-43% Fines 15-50% 15-50% 5-20% Moisture 40-80% 40-60% 20-30%

9 FOD Model Factors: k Value (Decay Constant)

10 Landfill Type FOD Model Factors: Methane Correction Factor Methane Managed Anaerobic 1.0 Managed Semi-aerobic 0.5 Unmanaged Deep > 5m 0.8 Unmanaged Shallow < 5 m 0.4 Correction Factor (MCF)

11 CDM Methodology: AM0039 Meth. Applies to co-composting of wastewater (anaerobic lagoons/storage tanks) and bio-organic waste (landfills) Applicabilty, wastewater - Monthly average ambient temperatures > 10 ºC - Wastewater depth > 1 m - Residence time of the organic matter 30+ days. Baseline conditions - Methane: wastewater, anaerobic lagoons or open storage tanks - Methane: decay of bioorganic solid waste in disposal sites - CO 2 : transportation of organic wastewater and bio-organic solid waste - CO 2 : fossil fuels used for energy requirements - CO 2 : grid electricity consumption

12 Tool: Demonstration and Assessment of Additionality Step 1: Identification of alternatives to the project activity consistent with current laws and regulations Step 2: Investment analysis Step 3: Barrier analysis Step 4: Common practice test

13 Tool: Determine Methane Emissions Avoided from Dumping Waste at a Solid Waste Disposal Site Follows the IPCC 2006 FOD Model Default values are provided - k - decay rate, varies by waste type - j - waste type: food, paper, wood, garden - DOC f - fraction of degradable organic carbon that can decompose - F - fraction of methane in landfill gas (default: 50%) - f - fraction of landfill gas recovered for flaring / energy - MCF - methane correction factor - GWP - gloabal warming potential (methane: 21 x CO 2 )

14 CDM Methodology: AMS-III.F Meth. applies to avoidance of methane from landfill through composting (< 60,000 tco 2 e/yr) Applicable, co-composting wastewater and solid biomass waste Emission reduction calculated: Tool for determining emission avoided from dumping the waste at the solid waste disposal site Project activity emissions consist of: - CO 2 incremental transport distances between (i) Collection points of biomass and the composting site (ii) Collection points of wastewater and composting site (iii) Composting site and the soil application sites. -CO 2 from fossil fuel energy used by project activity

15 Sample ER Calculations: AM0025 Scenario, Base Conditions - Waste quantity: 750 tons per day - Organic fraction: 64% o Food (55%) & Paper, Wood, Garden (3% each) - Degradable Organic Carbon, Fraction: Methane Correction Factor: Compost Efficiency: 95% - Crediting period: 7 yrs

16 Sample ER Calculations: AM0025 Total ERs: 7-yr Crediting Period Temperature / Precipitation Temperate (MAT< 20 o C) Tropical (MAT>20 o C) Wet (MAP>1,000 mm) 476,500 tco 2 e 695,000 tco 2 e Dry (MAP<1,000 mm) 214,350 tco 2 e 281,150 tco 2 e

17 World Bank Founded 1944 for post-war reconstruction Role to alleviate poverty in developing countries Organization Int l Bank for Reconstruction and Development (IBRD) International Development Association (IDA) International Finance Group (IFC) Multilateral Investment Guarantee Agency (MIGA) Int l Centre for Settlement of Investment Disputes (ICSID)

18 World Bank, Carbon Finance Initiated carbon finance program 1999 to stimulate market Trustee of 11 Funds / Facilities for governments and firms Carbon Finance Unit contracts to purchase emission reductions for Fund / Facility members Carbon financee contributes to sustainable development and reduction in climate change

19 World Bank: Carbon Finance Project Cycle Project Idea Note (PIN) Letter of Intent (LOI) Project Design Document (PDD) Validation Emission Reduction Purchase Agreement (ERPA) Registration / Verification / Certification

20 World Bank: CDM/Compost Projects (May 2008) Status Number of Projects ERPA 2 CFD 2 PIN 4 On-Hold 1 TOTAL 9

21 CDM and Composting (May 2008) Status No. of Projects Registered Projects 1, 2 8 Registration Pending 0 Validation Pending 3, 4 71 TOTAL AM0025 / AM0039 / AMS-III.F 2 / 0 / 6 2. Municipal Waste / Agricultural Waste 3 / 5 3. AM0025 / AM0039 / AMS-III.F 9 / 24 / Municipal Waste / Agricultural Waste 11 / 60

22 Conclusions Composting projects have been dominated by agricultural waste For municipal solid waste, CDM focus has been on landfill gas recovery (existing disposal sites) Growing interest in compost to avoid methane generation Recent decisions of CDM EB has made composting less financial rewarding, especially in areas with dry climates

23 Thank You Charles Peterson: Zarina Azizova:

24 Additional Information World Bank s Carbon Finance Unit website on Carbon Finance UNFCCC's CDM website - AM0025, Avoided emissions from organic waste through alternative waste treatment processes 1ZSNL3UX7IKRZFTRZ92XUYKK AM0039Methane emissions reduction from organic waste water and biorganic solid waste using co-composting MS56VWLFM0GE6S01W8TS5TTP

25 Additional Information (Continued) Tool for the demonstration and assessment of additionality ditionality_tool.pdf Tool to determine methane emissions avoided from dumping waste at a solid waste disposal site AMS-III.F. Avoidance of methane production from decay of biomass through composting 6BN7GD231AN3DVLG1EPPYXUK

26 Additional Information (Continued) 2006 IPCC Guidelines for National Greenhouse Gas Inventories, Volume 5: Waste