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Capacity Development Work plan for the Clean Development Mechanism in Uganda

Capacity Development Work plan for the Clean Development Mechanism in Uganda. ROLES AND COMPOSITION OF THE DESIGNATED NATIONAL AUTHORITY (DNA). Presented by: Enock Mugyenyi- Uganda Management Institute. ROLES, ACTIVITIES & SKILLS REQUIRED OF THE (DNA). RATIONALE FOR INSTITUTIONAL ANALYSIS.

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Capacity Development Work plan for the Clean Development Mechanism in Uganda

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  1. Capacity Development Work plan for the Clean Development Mechanism in Uganda ROLES AND COMPOSITION OF THE DESIGNATED NATIONAL AUTHORITY (DNA) Presented by: Enock Mugyenyi- Uganda Management Institute

  2. ROLES, ACTIVITIES & SKILLS REQUIRED OF THE (DNA)

  3. RATIONALE FOR INSTITUTIONAL ANALYSIS • CDM is about investments with different Institutions having a role to play according to their expertise. • However, in an environment of scarce resources there is need to situate CDM in the existing Institutional framework rather than creating a completely new Institutional framework. The intention is to have a cost-effective Institutional framework which is sustainable.

  4. GENERIC MODELS FOR DNA Theoretically, there are five models for DNA. They include: • A single government department model • A two-unit model • Inter-departmental government model • Foreign Direct Investment - Piggyback and • Outsourcing model

  5. CHARACTERISTICS AND FUNCTIONS OF A SINGLE GOVERNMENT DEPARTMENT MODEL • One department or Ministry undertakes all the activities of the DNA - most likely the environment department/climate change unit. • The department or Ministry acts as a secretariat and would invite technical experts from other government agencies/ministries upon demand to evaluate/analyse and validate CDM projects/investments.

  6. The secretariat would then prepare a project design document (PDD) and report to the EB (refer to CDM cycle). • The secretariat (the environment agency) would ultimately be responsible for approval of the CDM projects. • The secretariat would be responsible for marketing and promoting CDM by designing CDM promotion material and furnish the FDI office and other relevant stakeholders.

  7. Structure Executive Board Environment Ministry/Agency DNA Secretariat TECH experts (Energy) TECH experts (Agriculture) TECH expert (forestry)

  8. CHARACTERISTICS AND FUNCTIONS OF A TWO-UNIT MODEL • Activities of the DNA are split into two. Development of Projects Part 2 Capacity Building Out reach promotion Technical and economic assessments Part 1 Evaluation Approval Registration Policy development

  9. The first part could be located in department responsible for climate change and second part in many places as an independent unit. • The separation into two parts helps to avoid possible conflicts of interest in the process of project formulation and approval.

  10. CHARACTERISTICS AND FUNCTIONS OF INTER-DEPARTMENTAL MODEL • Entails establishing a structure which allows all the relevant government departments to be integrated into DNA as permanent members. • The ministry of Environment would act as co-ordinator but approval of projects would be undertaken by all departments. • A committee to operationalise the approval of projects would be set up.

  11. The co-ordinating Institution would act as the registration office and would receive proposals on behalf of DNA. • The co-ordinating Institution would communicate with other DNA members and also with the EB but upon agreement within DNA

  12. Structure EB DNA Environment Agency/ Ministry Energy Ministry Agriculture Forestry

  13. FOREIGN DIRECT INVESTMENT (FDI) PIGGYBACK MODEL • Most countries have a FDI Institutional framework which promotes foreign investment and typically comprises of a promotion office and an approval or implementation office. • This Institution receives projects from foreign investors and using a pre-structured criteria evaluates and approves projects.

  14. The criteria for approving projects largely reflects the national development priorities. • The FDI framework could be adapted for CDM and used as the DNA. • The investment office would thus receive and approve projects from various areas using its established system. • Given the special aspect of CDM, concerning GHG emission reduction, the relevant technical experts would be sourced by the investment office when a CDM project is submitted to assist in validating the GHG reductions.

  15. The FDI office would then prepare the project design document (PDD) and communicate with the EB. • Naturally, the FDI office would promote CDM along with its other investment promotion activities.

  16. Structure EB FDI Office DNA GHG tech experts

  17. CHARACTERISTICS AND FUNCTIONS OF OUTSOURCING MODEL • Host countries may choose to outsource the bulk of DNA services to a private agency. • The agency would evaluate the projects and validate them. • The agency would report to a government environment agency which would then communicate approval to the EB.

  18. THE ROLES AND COMPOSITION OF DNA

  19. ACTIVITIES FOR ESTABLISHING A DNA • Hold a consultative workshop to identify DNA coordinating Institution and composition • Identify legal and regulatory implications of the DNA • Develop operational guidelines for functioning of the DNA • In depth review of DNA members to identify capacity gaps and develop specific implementation plan to capacitate them • Organise targeted series of sensitisation and training workshops for DNA members

  20. Develop CDM promotion manuals and other aids • Conduct periodic reviews of DNA to strengthen capacity • Develop guidelines for approval/registration of CDM projects • Establish a list serve for the DNA members

  21. Thank You!

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