The World Bank’s Carbon Finance Business: Joint Implementation Experience - PowerPoint PPT Presentation

Slide1 l.jpg
Download
1 / 18

  • 253 Views
  • Updated On :
  • Presentation posted in: Travel / Places

The World Bank’s Carbon Finance Business: Joint Implementation Experience. UNFCCC JI Workshop Moscow, May 26-27, 2004. Benoît Bosquet, World Bank Carbon Finance Business. Contents. World Bank and Climate Change World Bank Carbon Finance Products Current JI Projects Lessons Learnt from JI

Related searches for The World Bank’s Carbon Finance Business: Joint Implementation Experience

I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.

Download Presentation

The World Bank’s Carbon Finance Business: Joint Implementation Experience

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Slide1 l.jpg

The World Bank’s

Carbon Finance Business:

Joint Implementation Experience

UNFCCC JI Workshop Moscow, May 26-27, 2004

Benoît Bosquet, World Bank Carbon Finance Business


Contents l.jpg

Contents

  • World Bank and Climate Change

  • World Bank Carbon Finance Products

  • Current JI Projects

  • Lessons Learnt from JI

  • Potential Future JI Projects

  • AAU Greening

  • Next Steps for Russia


World bank and climate change l.jpg

World Bank and Climate Change

  • World Bank’s mission is poverty reduction

  • WB endorses IPCC predictions

  • Climate change, a “global public bad”, affects the poorest the most

  • Private-public initiatives needed to mitigate climate change

  • Take advantage of Kyoto flexible mechanisms

  • Develop core CDM/JI market

  • Expand “carbon finance” into small projects

  • Demonstrate implementation of carbon sinks

  • Build capacity of Host Countries


World bank carbon finance products l.jpg

World Bank Carbon Finance Products

Total funds under management, April 2004: ~ US$410 million

Prototype Carbon Fund. $180 million (closed).

Multi-shareholder. Multi-purpose.

Community Development Carbon Fund. $39.5 million (open).

Multi-shareholder. Small-scale CDM energy projects.

BioCarbon Fund. $12.5 million (open).

Multi-shareholder. JI and CDM LULUCF projects.

Netherlands Clean Development Facility. $125-180 million.

Netherlands Ministry of Environment. CDM energy projects.

Italian Carbon Fund. $35 million (open).

Italian Multi-shareholder. Multipurpose.

Netherlands JI Facility

Netherlands JI Facility. $60 million with IFC (under negotiation).

Netherlands Ministry of Economic Affairs. JI projects.


Current ji projects pcf l.jpg

Current JI Projects (PCF)

  • Bulgaria Sofia and Pernik District Heating

  • Bulgaria Svilosa Biomass

  • Czech Energy Efficiency and Renewable Energy

  • Hungary Pannonpower

  • Latvia Liepaja Solid Waste Management

  • Poland Stargard Geothermal

  • Romania Afforestation of Degraded Agr. Land


Bulgaria sofia and pernik district heating l.jpg

Bulgaria Sofia and Pernik District Heating

  • Energy efficiency improvements (pipes, pumps, substations)

  • 1,241,000 t CO2e (2005-2012)

  • Pre-2008 credits under discussion: AAU greening

  • Baseline study, pre-validation

  • Project submitted for Approval

  • Contract under negotiation


Bulgaria svilosa biomass l.jpg

Bulgaria Svilosa Biomass

  • Switch from heavy fuel oil to wood residue biomass in 13 MW boiler at wood pulp plant

  • 450,000 t CO2e (2004-2012)

  • Pre-2008 credits approved (1 t CO2e = 1 AAU)

  • Baseline study, pre-validation, contract, initial verification, start of generation


Czech energy efficiency and renewable energy l.jpg

Czech Energy Efficiency and Renewable Energy

  • Umbrella agreement for several energy efficiency and renewable energy projects

  • Contracts with intermediaries: CEA, SEF

  • 2 district heating projects in Decin and Rozmital approved and validated: 212,000 t CO2e (2004-2012)

  • More projects under preparation, incl. Hydro

  • Pre-2008 credits approved (1 t CO2e = 1 AAU)


Hungary p cs heat and power l.jpg

Hungary Pécs Heat and Power

  • Switch from coal to biomass (wood chips) for co-generation (65 MWth and 49 MWe)

  • Pannonpower will supply heat to the city of Pécs and electricity to the grid

  • 1,193,000 t CO2e (2008-2012)

  • Baseline study, pre-validation, contract


Latvia liepaja solid waste management l.jpg

Latvia Liepaja Solid Waste Management

  • Recovery of landfill gas for electricity production

  • 388,000 tCO2e (2004-2014)

  • Pre-2008 credits approved (1 t CO2e = 1 AAU)

  • Baseline study, pre-validation, contract


Poland stargard geothermal l.jpg

Poland Stargard Geothermal

  • 13 MW geothermal project

  • 300,000 tCO2e (2004-2012)

  • Pre-2008 credits approved (1 t CO2e = 1 AAU)

  • Baseline study

  • Contract under negotiation


Romania afforestation l.jpg

Romania Afforestation

  • Afforestation of 6,000 ha of degraded state-owned agricultural land

  • 855,000 t CO2e (2003-2017)

  • Pre-2008 credits approved (1 t CO2e = 1 AAU)

  • Baseline study, pre-validation, contract, initial verification, start of generation, first ER delivery


Lessons learnt from ji a l.jpg

Lessons Learnt from JI (a)

  • Competitive market (more than CDM)

  • Fewer projects than anticipated (only 10% of PCF):

    • Financing constraints in some countries

    • What is the project approval process?

    • Need to be creative for remunerating pre-2008 reductions: hybrid between Art.6 and 17 (“AAU Greening”), but controversial with some governments

    • Will there be enough headroom?


Lessons learnt from ji b l.jpg

Lessons Learnt from JI (b)

  • Apply Track 2: waste of money?

    • “CDM process” is still heavy, especially methodology approval: too project-specific, not generic enough

    • Focus on additionality not needed: Host Country could sell ERs as ERUs or AAUs

  • EU accession countries: how will JI coexist with EU ETS?

  • Move to Track 1 desirable

    • No need for establishing additionality, but

    • Multiple standards, depending on Host Country

  • JI (and CDM) window of opportunity is closing due to long lead times


Potential future ji projects biocf netherlands ji icf l.jpg

Potential Future JI Projects (BioCF, Netherlands JI, ICF)

  • Czech Republic: try Track 1 approach on portfolio of projects

  • Romania: N2O reduction, afforestation

  • Poland: Biomass, biodiesel, afforestation

  • Russia: Fuel switch, coal bed methane capture, energy efficiency

  • Ukraine: Coal bed methane capture, forest management


Aau greening l.jpg

AAU Greening

  • “Project-based Art.17”, “early credits” and/or “late credits”

  • Sale of AAUs by Host, with reinvestment of revenues into climate-friendly projects (energy efficiency, carbon sinks, etc.)

  • Sale of AAUs to raise capital and service debt

  • Discussed with several Governments

  • More palatable to buyers than straight Art.17

  • Seller rebuilds its AAUs


Next steps for russia to sell l.jpg

Next Steps for Russia to Sell

  • Ratification of the Kyoto Protocol

  • JI or AAU Greening

  • To deal with the World Bank carbon funds:

    • Sign Memorandum of Understanding: who represents Russia?

    • Sign Host Country Agreement (if pre-2008 credits to be sold)

  • Endorsement/Approval of projects (many proposals received)


Slide18 l.jpg

www.carbonfinance.org


  • Login