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Session 1 Guidelines for projects under Article 6 of the Kyoto Protocol First UNFCCC workshop on implementation of Article 6 projects under the Kyoto Protocol Moscow 26-27 May 2004. www.unfccc.int UNFCCC secretariat. Overview. What is JI? Why two tracks for JI?

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Session 1

Guidelines for projects under Article 6 of the Kyoto Protocol

First UNFCCC workshop on implementation

of Article 6 projects under the Kyoto Protocol

Moscow

26-27 May 2004

www.unfccc.int

UNFCCC secretariat


Overview
Overview

What is JI?

Why two tracks for JI?

What characterizes track 1 and track 2?


Cooperative mechanisms

Convention(Art. 3.3, 4.2 (cooperate, jointly))

AIJ under the pilot phase

Kyoto Protocol Art. 6, 12 and 17

3 Mechanisms

JI

ET

CDM

project based

System with GHG emission limitations


What is ji
What is JI?

  • Emission reductions (ERU) are achieved by one Annex Party through projects in another such Party.

  • These project based investments shall provide emission reductions, or an enhancement of removals by sinks, that are additional to any that would otherwise occur.

  • Projects starting as of year 2000 are eligible as Article 6 projects if they meet requirements of guidelines. ERUs shall only be issued for crediting period after the beginning of year 2008.

  • ERUs bankable to a max of 2.5% of assigned amount pursuant to art. 3.7 & 3.8 of that Party (art.7.4);

  • Art. 6 LULUCF projects = Art. 3.3 and 3.4;

  • Legal entities to be authorized by Parties


Why two tracks for ji
Why two tracks for JI?

  • Two “worlds” :

    • Party meets AIP participation requirements for emissions trading (Art. 17) -> use of national JI requirements (Track 1: “ET like”)

    • Party does not meet such requirements -> obligation to use “verification procedure” with international oversight (Track 2: “CDM like”)

  • A Party eligible to follow Track 1 may elect to use the verification procedure under of Track 2.

    More detail on eligibility criteria in next session 4



Track 1
Track 1

  • Key role for host Party

    • Have designated focal point for approving projects

    • Have determined national guidelines for:

      • Approving projects

      • Monitoring

      • Verification

    • Shall make directly or through secretariat information on projects publicly available

    • Meet participation requirements

  • No international guidelines regarding approving projects, baseline defintion, monitoring, verification etc.


Track 2
Track 2

Key role for international oversight

  • By A6SC:

    • Accredit independent enties (AIE)

    • Determine:

      • Baseline and monitoring methodologies

      • Verification

    • Request review of decision of AIE

  • By AIE:

    • Determination Art. 6 projects

    • Determination of emission reductions


Track 2 determination requirements
Track 2 – Determination requirements

AIE to check whether project design:

  • Has been approved by Parties involved;

  • Emission additionality: would not have occurred in the absence of the project;

  • Baseline and monitoring plan in accordance with Art. 6 guidelines (Appendix B);

  • Analysis of environmental impacts.


Art 6 project activity cycle
Art. 6 project activity cycle

Ex0

A6SC&COP/MOP

Accreditation/Designation

AIE

PP

Design

AIE

Determination

A6SC*

PP

Monitoring

PP=project participants; AIE= accredited independent entity

A6SC= article 6 supervisory committee

ERU= emission reduction unit

0 Any private or public body that has been accredited by A6SC and designated by COP/MOP

* An automatic step unless a review is requested within 60 days by one Party involved or three A6SC members

** An automatic step unless a review is requested within 15 days by one Party involved or three A6SC members

AIE

Determination

A6SC**

ERU


Track 2 how does accreditation work
Track 2- How does accreditation work?

VERIFICATION PDD

VERIFICATION ERUs

Ex

Accreditation

List of accredited independent entities (AIE)

A6SC

AIEx


Track 2 verification procedure
Track 2 - Verification procedure

Criteria for baselines, monitoring and crediting lifetime (Appendix B)

Submits project design doc.

PP

Automatic

within 45 days

Determination made public through UNFCCC secr.

Project implementation

AIEx

Rejects if not conform

with criteria

PP

Unless review by A6SC is requested by a Party involved or 3 of A6SC members

DataURF

PDD made public - comments within 30 days by Parties, stakeholders or UNFCCC accredited NGOs

AIEx

Determination on verified ERUs made public through UNFCCC secr.

Unless review by A6SC is requested by a Party involved or 3 of A6SC members

AIEx= Accredited independent entity

Automatic

within 15 days

A6SC= Article 6 Supervisory Committee


Concluding remarks
Concluding remarks

  • Framework

  • Work to define the detail of national guidelines

  • Work to define the detail of track 2 guidelines of procedures.

  • Experience of CDM -> also specific work

    • Meth LULUCF other than afforestation and reforestion

    • Accreditation

    • Issuance and transfer of ERU

    • Development of URF


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