Oliver WALTER Kommunalkredit Public Consulting GmbH The Austrian JI/CDM Programme 14.09.2006 Austrian JI/CDM Programme 1
Programme Management Programme Management Kommunalkredit Public Consulting (KPC): - Implementing the Austrian JI/CDM Programme on behalf of the Austrian Ministry of Agriculture and Forestry, Environment and Water Management 14.09.2006 Austrian JI/CDM Programme 2
Kommunalkredit Public Consulting is managing the Austrian JI/CDM Programme Private company specialised in environmental consulting 100% subsidiary of Kommunalkredit Austria AG, an Austrian special purpose bank for public finance Appointed for management of the Austrian JI/CDM Programme by the Austrian Ministry of Agriculture,Forestry, Environment and Water Management Purchasing of emission reduction on behalf of the Austrian government 14.09.2006 Austrian JI/CDM Programme 3
Main aim and Means Main Aim Means Closing the gap between the Austrian Kyoto target and national emission reduction potential - Purchase of ERUs/CERs from JI/CDM projects - Investment in Carbon Funds and Facilities - Facilitate Project Development by funding projectrelated immaterial costs (PDD, Monitoring etc.) Purchasing Volume (2008-2012): 35 mill. t CO 2e Total Budget: 288 mill. 14.09.2006 Austrian JI/CDM Programme 4
Memoranda of Understanding MoU Competence: Aim: Contents: Austrian Federal Minister of Agriculture, Forestry, Environment and Water Management & Host Country Ministry Basic agreement on co-operation Facilitation of project implementation Prioritised project categories Basic agreement on transfer of CERs & ERUs MoU: 19 signed: Argentina, Bolivia, Bulgaria, China, Colombia, Czech Republic, Ecuador, Estonia, Hungary, Indonesia, Latvia, Mexico, Morocco, New Zealand, Peru, Romania, Slovakia, Tunisia, Vietnam. under negotiation/in preparation: Brazil, Chile, Russia, South Africa, Ukraine,... 14.09.2006 Austrian JI/CDM Programme 5
Eligible Project Categories Energy efficiency projects Combined heat and power installations Fuel switch to renewables or less carbon intensive fuels Renewable energy production plants (hydro, wind, biomass, biogas etc.) Avoidance or recovery of landfill gases Waste management measures Other industrial gases: N 2 O, HFC, SF 6 14.09.2006 Austrian JI/CDM Programme 6
124 Projects in Pipeline JI CDM Status June 2006: Project Pipeline: 124 projects - Invitation for Negotiations: 40 projects - Expression of Interest (PIN): 82 projects ERPA/finalised negotiation: 18 projects 14.09.2006 Austrian JI/CDM Programme 7
Austrian JI/CDM Programme Geographical distribution Geographical distribution 4% 33% 50% 7% 6% other ji countries central and eastern europe latin americ & carribean africa asia 14.09.2006 Austrian JI/CDM Programme 8
Call for Projects - Approval Procedure FIRST STEP: Project evaluation - PIN/PDD submission - Offer ERUs/CERs - LoNO/LoA SECOND STEP: Negotiations - Negotiations (price, delivery schedule, risk sharing, etc.) - Project approval & ERPA PROJECT IMPLEMENTATION: - Generation of ERUs/CERs - Transfer to Austria & payment Current: 4 th Call for JI/CDM Projects 14.09.2006 Austrian JI/CDM Programme 9
ERPA Negotiation Terms of Negotiations: - Term sheet: Initial position of the buyer/seller - Approach: Quick, flexible, meeting needs of both parties - Communication: Meetings, conference calls, site visits, etc. Scope of Negotiations: - Delivery of emission reductions (amount, emission reductions before 2008, additional emission reductions etc.) - Delivery default (incl. compensations and penalties) - Baseline risk - Payment - Price 14.09.2006 Austrian JI/CDM Programme 10
Support for Immaterial Costs (IC) Application Stage: - After Invitation for PDD - development Scope: - PDD dev. - Baseline Study - Monitoring Plan - Validation etc. Amount: - 50% of immaterial project costs with a cap on EUR 40,000. 14.09.2006 Austrian JI/CDM Programme 11
Specific Features & Benefits Rating AAA buyer Excellent relationships to governments and UNFCCC Flexibility within the tendering procedure Continuous approval and negotiation procedure Prepayment is possible (up to 30% of contract value) Possibility of financial support for PDD development, Baseline Study, Monitoring Plan, Validation, etc. No specific country restriction Establishment of long term relationships with reliable sellers 14.09.2006 Austrian JI/CDM Programme 12
Funds and Facilities Community Development Carbon Fund (CDCF)) Responsible institution: World Bank Project type: Small Scale CDM Projects Regional focus: Least developed countries Investment volume: 5 mill. US$ Austrian CDM Project Procurement and CER Sale Facility Responsible institution: Project type: Regional focus: Investment volume: EcoSecurities Small Scale CDM Projects Latin and South American countries 1,250,000 t CO 2e at a fixed price 14.09.2006 Austrian JI/CDM Programme 13
Austrian JI/CDM Programme Project Examples Technology Hydro Host Country Emission Reductions Purchased Joint Implementation Bulgaria 1,000,000 tco 2e (100%) Wind Biogas Wind N 2 O Decomposition Landfill Gas Estonia Hungary Hungary Hungary New Zealand 200,000 tco 2e (100%) 160,000 tco 2e (100%) 350,000 tco 2e (100%) 2,000,000 tco 2e (50%) 125,000 tco 2e (100%) 14.09.2006 Austrian JI/CDM Programme 14
Austrian JI/CDM Programme Project Examples Technology Landfill Gas Host Country Emission Reductions Purchased Clean Development Mechanism Brazil (16%) 1,500,000 tco 2e Landfill Gas Wind Hydro Hydro N 2 O Decomposition Biomass Biomass China China China Colombia Egypt India India (62%) 1,125,000 tco 2e (100%) 600,000 tco 2e (100%) 500,000 tco 2e (100%) 220,000 tco 2e (75%) 3,900,000 tco 2e (100%) 147,000 tco 2e (100%) 244,000 tco 2e 14.09.2006 Austrian JI/CDM Programme 15
Upcoming workshops and conferences 26-27 October 2006: Carbon Expo Asia, Beijing, China 06-17 November 2006: COP 12 and COP/MOP 2 in Nairobi, Kenya 25-26 January 2007: Austrian JI/CDM Workshop, Vienna, Austria 14.09.2006 Austrian JI/CDM Programme 16
Austrian JI/CDM Programme www.ji-cdm-austria.at 14.09.2006 Austrian JI/CDM Programme 17
www.ji-cdm-austria.at THANK YOU! 20.09.2006 SR6030-00-01 18