Brazil and CDM. by Adriano Santhiago de Oliveira Ministry of Science and Technology Coordination on Global Climate Change

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Expert Meeting on Trade and Climate Change: Trade and Investment Opportunities and Challenges under the Clean Development Mechanism (CDM) 27-29 April 2009 Brazil and CDM by Adriano Santhiago de Oliveira Ministry of Science and Technology Coordination on Global Climate Change "The views expressed are those of the author and do not necessarily reflect the views of UNCTAD"

Brazil and CDM Current Status Expert Meeting on Trade and Climate Change: Trade and Investment Opportunities and Challenges under the CDM UNCTAD - Geneva, 27 th April 2009 Adriano Santhiago de Oliveira Ministry of Science and Technology Coordination on Global Climate Change

Session 1: CDM Current state of play and proposed reforms Is CDM a Success? SHORT ANSWER: YES - Win-Win Success; - Along with its significant contributions to the global climate system, CDM offers huge business potential; - Ensures real, measurable and additional emission reductions; - Transparency: All information is public; - Evolving with experience.

Measuring Success in Brazil National DNA Framework Interministerial Commission on Global Climate Change as DNA (Presidential Decrees July 1999 and January 2006) Composed of representatives from 11 Ministries Chair Minister of Science and Technology (MCT) Exec. Sec. MCT Vice-chair Minister of Environment (MMA); Commission meets every 2 months; 9 Resolutions.

Total of CDM Project Activities in the World 4350 Malaysia 3% China 36% Mexico 5% Brazil 8% India 28% China India Brazil Mexico Malaysia Indonesia Thailand Chile Philippines Rep. of Korea Viet Nan Colombia Israel Peru South Africa Argentina Honduras Sri Lanka Ecuador Guatemala Panama Émirats Egypt Pakistan Morroco Bolivia Costa Rica El Salvador Uganda Armenia Nicaragua Uzbekistan Cyprus Georgia Moldova Kenya Dominican Rep. Cambodia Singapore Paraguay Uruguay Bangladesh Cuba Jordan Mongolia Nigeria Azerbaijan Bhutan Nepal Tanzania Congo Côte d'ivoire Jamaica Macedonia Mali Senegal Tunisia Fiji Guyana Equatorial Guinea Lao P D R Madagascar Malta Mauritius Mozambique P. N. Guinea Qatar Kyrgyztan Tajikistan 06/2/09

1500 1250 1000 750 500 250 0 No. of CDM Project Activities 346 China In d ia Brazil Mexico Malaysia In d o n e s ia Tha ila nd Chile P h ilip p in e s Rep. of Korea Viet Nan Colombia Is ra e l Peru South Africa Argentina Honduras Sri Lanka Ecuador Guatemala Panam a Ém irats Egypt Pakistan Morroco Bolivia Costa Rica El Salvador Uganda Armenia Nicaragua Uzbekistan Cyprus Georgia Moldova Kenya Dom inican Rep. Cambodia Singapore Paraguay Uruguay Bangladesh Cuba Jordan Mongolia Nigeria Azerbaijan Bhutan Nepal Ta nza nia Congo Côte d'ivoire Jam aic a Macedonia Mali Senegal Tunisia Fiji Guyana Equatorial Lao P D R Madagascar Malta Mauritius Mozambique P. N. Guinea Qatar Kyrgyztan Ta jikista n

t CO2e 2.400.000.000 1.800.000.000 1.200.000.000 600.000.000 0 Emissions Reduction of CO2e (1º crediting period) 330.722.468 China In d ia Brazil Mexico Malaysia In d o n e sia Thailand Chile P h ilip p in e s Rep. of Korea Viet Nan C o lo m b ia Isra e l Peru South Africa Argentina Honduras Sri Lanka Ecuador Guatemala Panama Ém irats Egypt Pakistan M orroco Bolivia Costa Rica El Salvador Uganda Armenia Nicaragua Uzbekistan Cyprus Georgia Moldova Kenya Dom inican Rep. Cambodia Singapore Paraguay Uruguay Bangladesh Cuba Jordan Mongolia Nigeria Azerbaijan Bhutan Nepal Tanzania Congo Côte d'ivoire Jam aica Macedonia Mali Senegal Tunisia Fiji Guyana Equatorial Lao P D R Madagascar Malta M a u ritiu s Mozambique P. N. Guinea Qatar Kyrgyztan Tajikistan

Rep. of Korea 4% Malaysia 2% Annual Emission Reduction (660 millions t CO2eq) China 51% Brazil 7% India 21% China India Brazil Mexico Malaysia Indonesia Thailand Chile Philippines Rep. of Korea Viet Nan Colombia Israel Peru South Africa Argentina Honduras Sri Lanka Ecuador Guatemala Panama Émirats Egypt Pakistan Morroco Bolivia Costa Rica El Salvador Uganda Armenia Nicaragua Uzbekistan Cyprus Georgia Moldova Kenya Dominican Rep. Cambodia Singapore Paraguay Uruguay Bangladesh Cuba Jordan Mongolia Nigeria Azerbaijan Bhutan Nepal Tanzania Congo Côte d'ivoire Jamaica Macedonia Mali Senegal Tunisia Fiji Guyana Equatorial Guinea Lao P D R Madagascar Malta Mauritius Mozambique P. N. Guinea Qatar Kyrgyztan Tajikistan 06/2/09

t CO2e 350.000.000 300.000.000 250.000.000 200.000.000 150.000.000 100.000.000 50.000.000 0 Annual Emissions Reduction of CO2e 43.344.655 China In d ia Brazil Mexico Malaysia In d o n e sia Th a ila n d C h ile P h ilip p in e s Rep. of Korea Viet Nan C o lo m b ia Isra e l Peru South Africa Argentina Honduras Sri Lanka Ecuador Guatemala Panama Ém irats Egypt Pakistan M orroc o Bolivia Costa Rica El Salvador Uganda Armenia Nicaragua Uzbekistan Cyprus Georgia Moldova Kenya Dom inican Rep. Cambodia Singapore Paraguay Uruguay Bangladesh Cuba Jordan M o n g o lia Nigeria Azerbaijan Bhutan Nepal Tanzania Congo Côte d'ivoire Jam aica Macedonia Mali Senegal Tunisia Fiji Guyana Equatorial Lao P D R Madagascar Malta M a u ritiu s Mozambique P. N. Guinea Qatar Kyrgyztan Tajikistan

Number of Brazilian Projects by Sectoral Scope Renewable energy 51% Renewable energy Swine Fossil fuel switch Landfill Fossil fuel switch 13% Swine 15% Energy efficiency Waste Industrial process N2O reduction Fugitive emissions Reforestation

Emission Reductions on the First Crediting Period by Sectoral Scope in Brazil Swine 11% N2O reduction 18% Landfill 23% Renewable energy 47% Renewable energy Landfill N2O reduction Swine Fossil fuel swtich Energy efficiency Waste Reforestation Industrial process Fugitive emissions

200 160 120 80 40 0 Number of CDM project activities in Brazil by country parties 183 Unilateral UK Netherlands Japan Germany Spain France Sweden Canada Switzerland

Number of CDM Project Activities in Brazil by Country Parties Netherlands 9% UK 21% UNILATERAL 55% Unilateral UK Netherlands Japan Germany Spain France Sweden Canada Switzerland

Current status of projects (Brazilian DNA) Approved 209 Approved under conditions 1 Under review 4 New Submissions 2 DNA Total 216 To be submitted 130 Total 346

Current status of projects (EB)

CONCLUSIONS Current Success of CDM &/X Proposed Reforms (AWG-KP) - Amendment proposals not linked to Article 3, paragraph 9, of the Kyoto Protocol fall outside of the AWG KP mandate; - Many of proposals will jeopardize Environmental Integrity of KP; - Many of proposals can be dealt with under the CMP decisions on further guidance to CDM and there is no need to discuss them under AWG-KP; EVENTUAL REFORMS MUST BE FACED HEEDFULLY

http://www.mct.gov.br/ clima asanthiago@mct.gov.br