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Methodological Approaches and Tools to Assess the Sustainability of CDM Projects

Methodological Approaches and Tools to Assess the Sustainability of CDM Projects. Christoph Sutter, sutter@up.umnw.ethz.ch Indian cell: 98180 95366. Contribution to Sustainable Development is explicit goal of the CDM.

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Methodological Approaches and Tools to Assess the Sustainability of CDM Projects

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  1. Methodological Approaches and Tools to Assess the Sustainability of CDM Projects Christoph Sutter, sutter@up.umnw.ethz.ch Indian cell: 98180 95366

  2. Contribution to Sustainable Development is explicit goal of the CDM "The purpose of the clean development mechanism shall be to assist Parties not included in Annex I in achieving sustainable development…“ (Kyoto Protocol, Art.12) Clear sovereignty of host country „... it is the host Party’s prerogative to confirm whether a clean development mechanism project activity assists it in achieving sustainable development“ FCCC/CP/2001/13/Add.2 Decision 17/CP.7 How to assess the projects? Evaluation / approval of the first CDM projects by non-Annex 1 countries already began…but clear procedures / methodologies are often lacking. CDM and Sustainable Development

  3. Technology Lists Negotiated Targets Guidelines Thresholds (Weighted) Criteria Finding the Balance Tools to assess Sustainability of CDM projects

  4. Technology lists Example: CERUPT

  5. Negotiated Targets Example: Colombian Wind Power Project , PCF • Well defined “Institutional and Communitary Strengthening Plan“. Indicators to be monitored. • Payment of a) Emission Reduction price AND b) premium if the Social Plan is implemented • “If the plan is not implemented, the project entity enters into default. In this case the project entity has a cure period, if the default is not cured, PCF can stop payments.”Source: C. Steck / K. Newcomb, October 2002

  6. Guidelines Example: Indian Guidelines “The following aspects should be considered while designing CDM project activities: Social well-being: The CDM project activity should lead to alleviation of poverty by generating additional employment, removal of social disparities and contributing to provision of basic amenities to people leading to improvement in their quality of life …” Followed by statements covering ”Economic well-being”, “Environmental well-being” and “Technological well-being” Source: Indian Ministry of Environment and Forests, 2002

  7. Thresholds Example: The Carbon Label, WWF • Does the project contribute to the mitigation of Global Climate Change? • Does the project contribute to local environmental sustainability • Does the project contribute to net employment generation? • Does the project contribute to the transfer of new skills?Source: WWF International, 2002

  8. (Weighted) Criteria Example: Multi criteria decision tool, ETH Zurich

  9. (Weighted) Criteria Sustainability Criteria: Objective tree Sustainable Development Social Environmental Economic Global Environment Local Environment Stakeholder Participation Energy / Mineral Resources Soil Resource Employment Generation Improved Service Availability Microeconomic Efficiency Water Resource Air Resource Capacity Development Local Economy Equal Distribution Sustainable Technology Transfer Public Budget

  10. (Weighted) Criteria Weighting of Criteria: Pairwise Comparison x x x  Sustainability preferences of individuals

  11. (Weighted) Criteria Sustainability Weights: Survey South Africa

  12. Comparison of approaches Selected Thresholds Technology lists Guidelines Negotiated Targets (Weighted) criteria

  13. Discussions about the method and potential CO-OPERATION are most WELCOME! Next steps (Dec 02 - Jan 03) Sustainability mapping of Indian stakeholders Indian case study: Biomass project

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