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Result Break-out Session 1: CDM Market Developments. Marc Stuart. CDM-ASEAN. Disclaimer
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Result Break-out Session 1:CDM Market Developments Marc Stuart CDM-ASEAN Disclaimer This document has been produced with the financial assistance of the European Community. The views expressed herein are those of CDM-ASEAN Project and can therefore in no way be taken to reflect the official opinion of the European Community.
Market Conditions: 3 Models of Project Development Local Companies doing direct participation 3rd Party Developers MNC For More Complex CDM Procedure, MNCs predominant; Less Complex, Local Smaller Developers Transaction Issues: Project Finance, DNA Approval, Technical Understanding of PDD Process
Can ASEAN countries distinguish themselves in the CDM Process? Positive Aspects: Promote local development expertise, OE participation, Local Financial Institutions Negative Aspects: Pricing Floors, Credit Sharing Agreements Experiences in Various Countries Different project drivers Differences in Approach to DNA Differences in local financial institution participation
Buyers of CDM Still a buyers’ market Price Volatility will still occur in future as swings occur between supply & demand Still in future, some pricing foundation may occur with entry of EU ETS for 2005-2007 (up to 100 MM tons per annum) For Future Discussion ASEAN financial institutions, some with regional presence, should be educated to the project enhancement aspects of CDM