An Introduction Eric Zusman MRV Training Class November 26, 2013

Transcription

1 Climate and Transport: An Introduction Eric Zusman MRV Training Class November 26, 2013

2 Outline 1. Sustainable Low Carbon Transport 2. Climate Finance and Transport 3. MRVing Transport NAMAs

3 1. Sustainable Low Carbon Transport

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5 Transport: a very important piece Source: Pacala and Socolow, 2005

6 A puzzle that has been difficult to solve Changes (%) in greenhouse gas emissions by source category in the EU, Source: European Environment Agency, 2011

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11 Government solutions often promote motorization

12 Many drivers are behind this trend

13 Much of Asia is growing out not up Source: Perera and Permani, 2012

14 Energy subsidies help lock in these trends

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16 Co benefits Mitigate Greenhouse Gas License Plate Schemes Public Transport Upgrades Co benefits Economic Social Environmental

17 Economic Social Environmental Mitigate Greenhouse Gas License Plate Schemes Public Transport Upgrades Co benefits

18 Four Options Do nothing: business as usual Invest in roads and infrastructure Control transport demand (road pricing, license plate schemes) Improve public transport (buses, metros, and subways)

19 1.A 2.S. 3.I

20 Improve

21 Improve Standardized Comparison of International Fuel Economy and GHG Standar MILES PER GALLON (All countries converted to CAFE test UNITED STATES EUROPE JAPAN AUSTRALIA CANADA CHINA CALIFORNIA S. KOREA Dotted line: Proposed or contested Solid lines: Enacted CHINA AUSTRALIA CANADA S. KOREA EUROPEAN UNION JAPAN CALIFORNIA + 16 STATES UNITED STATES Source: Passenger Vehicle Greenhouse Gas and Fuel Economy Standards: A Global Update, International Council on Clean Transportation, 2007

22 Avoid Toyama: the first compact city in Japan Source: Visit Toyama (Toyama City)

23 Sticky Rice Ball Planning Hospital Home Leisure Shopping Station Home School Station Stick:Public transport system Rice dumplings:pedestrian areas around transport system Work Source: Visit Toyama (Toyama City)

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25 In Asia: Potential to Shift Source: UITP

26 Key Messages Transport will have a big impact on climate change But transport is first and foremost about development There is a reason sustainability comes before low carbon This is the same reason we need to turn over the approach to co benefits ASI nicely summarizes key elements of a sustainable low carbon transport strategy Many parts of Asia are in a good position to introduce these elements There is a potential to get support from the international climate regime

27 2. Climate Finance and Transport

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29 In 1994, would begin a series of COP meetings

30 What does a meeting in Warsaw have to do with transportation in your city?

31 The Kyoto Protocol (1997) Commits Annex I parties to targets and timetables Average 5% off 1990 levels by Basket of six GHGs

32 The Kyoto Surprise (1997)

33 The CDM in Theory

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35 CDM Barriers Low revenue relative to investment Investment often led by public sector Multiple small sources Transaction costs

36 Key messages The Kyoto protocol was developed out of the UNFCCC It employed a top down approach with targets and timetables for Annex 1 countries Though the CDM was more bottom up in orientation It did not fit well with the transport sector

37 3. MRVing Transport NAMAs

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39 The Bali Action Plan 1(b)(ii): Nationally appropriate mitigation actions (NAMAs) Finance Capacity building Technology in a measurable, reportable and verifiable (MRV) manner

40 The Copenhagen Accord (2010 ) NAMAs Immediate financing 30 USD billion Unilateral 2020 Green Climate Fund 100 USD billion per year M Supported Finance Capacity building R Credited Technology V

41 How can transport get access to a greater share of climate finance. Billion dollars Green Climate Fund Voluntary pledge of 10 billion dollars between Scaling up to $100 billion dollars by

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43 Example of a NAMA

44 Multilateral Bilateral Climate Funds UNFCCC Kyoto Protocol UN-agencies World Bank GEF CIFs The EU European Investment Bank African Development Bank Australia Brazil Germany Carbon Finance Unit AusAID BNDES BMU Guyana Multiple donors Japan JICA Norway NORAD UK DFID DECC US BFI USAID Development Finance Institutions GCF $$$$$ GEF Trust Fund GEF4( ) $$$ GEF5( ) $$$$ LDCF $ SCCF $ AF $ UN REDD $ CTF( ) $$$$ SCF ( ) $$$$ PPCR $$ FIP $$ SREP $ FCPF $ PMR $ GCCA $ GEEREF $ CBFF $ Fund IFCI MAI FA ICI GRIF FSF ICFI ICF GCCI Sub-regional and national $42.7b Largest National Development Banks Sub-regional development banks; (Development Bank of Latin America); Smaller players, like the Mexican Nacional Financiera (NAFIN) Amount in 2011/2012 (USD million) AF: Adaptation Fund CBFF: Congo Basin Forest Fund CIFs: Climate Investment Funds CTF: Clean Technology Fund FCPF: Forest Carbon Partnership Facility FIP: Forest Investment Program GCCA: Global Climate Change Alliance GCF: Green Climate Fund GEEREF: Global Energy Efficiency and Renewable Energy Fund GEF: Global Environment Facility LDCF: Least Developed Countries Fund PMR: Partnership for Market Readiness PPCR: Pilot Program on Climate Resilience SCCF: Special Climate Change Fund SCF: Strategic Climate Fund SREP: Scaling Up Renewable Energy Program UN REDD: United Nations Collective Program on Reducing Emissions from Deforestration and Forest Degradation Fund type General Mitigation Adaptation REDD+ Fund size <$500M $ $500M-$1B $$ $1B-$2B $$$ $2B-$10B $$$$ $10B- $100B $$$$$ BFI AusAID: Australian Agency for International Development BNDES: Brazilian Development Bank BMU: Federal Ministry for Environment, Natural Conservation and Nuclear Safety JICA: Japan International Cooperation Agency NORAD: Norwegian Agency for Development Cooperation DFID: Department for International Development DECC: Department of Energy and Climate Change USAID: US Agency for International Development Fund IFCI: International Forest Carbon Initiative MAI: Mata Atlantica Initiative FA: Amazon Fund (Fundo Amazonia) ICI: International Climate Initiative GRIF: Guyana REDD+ Investment Fund Fund type FSF: Fast-Start Finance ICFI: International Climate and Forest Initiative General ICF: International Climate Fund GCCI: Global Climate Change Initiative REDD+ Bilateral Agence Francaise de Development and Proparco (AFD) KfW Entwicklungsbank and DEG (KfW) Japan International Cooperation Agency (JICA) Overseas Private Investment Corporation (OPIC) $3.9b $1.5b $2.4b $75.2b $11.3b Multilateral $21.2b The World Bank Group Regionally oriented agencies, like AfDB and ADB Entities without a banking basis, like the EU Government budgets $16b Carbon market revenues $2b Carbon taxes $7.3b General tax revenues NE $364b $14b $350b Adaptation Mitigation (including REDD+) Actually, many sources of climate finance; all will require some form of MRV Private sector Commercial institutions $36b Other intermediaries Profit-driven investment banks Venture capital funds Carbon brokers and funds Private equity funds Banks and insurance companies Infrastructure funds $2.4b Private sector actors Corporate actors Institutional investors Project developers Households $268b $230b Note: Figures are expressed in USD billions for the latest year available (2011 or 2012). Sources: CPI, 2012; Caravani et al, 2012; Lattanzio, 2013c

45 MRV is not new 1999 ASIF Transport NAMAS 1950 Detroit Area Transportation Study Jules Dupuit 1980 Executive Order Flood Control Act

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48 Applications: the next big challenge 12,000,000 Number of Vehicles (Jakarta) 10,000,000 8,000,000 6,000,000 4,000,000 Motorcycle Bus Truck Passenger car 2,000,000 0 Metro Traffic Police Tax Revenue Office Source: Suhadi, 2010

49 Key messages The Bali Action Plan began to change the nature of the climate change regime It allowed countries to pledge their own actions or NAMAs Some of these will qualify for support from international institutions MRV will be a requirement for what could be increasingly diverse sources of finance