Improving and demonstrating efficiency in CDM processes

1. Improving and demonstrating efficiency in CDM processes 7th Joint Coordination Workshop Bonn, Germany, 12 March 2011 Conor BARRY

2. Improving efficiency|Overview • Vision • Problem statement • Focus areas • Project cycle • Methodology process • Standardization and simplification • Monitoring performance • Assessing and reporting compliance • Analyzing system-wide performance • Enhancing training

3. Improving efficiency| Vision • Objectives: • To ensure that the mechanism is operated in a manner that can issue validly requested CERs in a timely manner (< 3 months) • To ensure that the mechanism is well positioned for a scaled-up and sustainable contribution to post 2012 mitigation actions • Vision: • All actors in the mechanism have clarity regarding their role and are sufficiently informed and empowered to fulfill this role

4. Improving efficiency| Problem statement The CDM process has been developed in a highly organic manner with roles evolving rapidly over time.

5. Improving efficiency| CDM project cycle • Current registration and issuance processes have placed a heavy emphasis on the Executive Board’s oversight, directly or through the secretariat • The responsibility of the DOE has been diminished through this direct oversight of input quality • Renewed emphasis to be placed upon the DOE’s role, while maintain effective oversight • Timelines to be reduced where possible

6. Improving efficiency| CDM Methodology process • The existing methodology approval and revision process has been designed primarily to support the “bottom-up” development process • Focused on the concept that the submitter should define the problem and propose the solution • In reality the “approval system” has become increasingly more solutions focused • This shift in focus is being accelerated and will need to be reflected in revised procedures and processes

7. Improving efficiency| Standardization and simplification • To improve and simplify PoA regulations on demonstration of additionality and definition of eligibility criteria for inclusion of CPAs in a PoA • To finalize guidance on the use of the first-of-its-kind barrier and the assessment of common practice; • To continue to simplify modalities for demonstrating additionality (microscale); • Examine alternative approaches to the demonstration and assessment of additionality; • Standardized baselines.

8. Improving efficiency| Monitoring performance: Reporting compliance • Current status of submissions to be publicly reported for all processes in real time • Compliance with established timelines to be reported at each Executive Board meeting

9. Improving efficiency| Analyzing performance • DOE performance monitoring • Indicates levels of compliance with existing rules • Two fold use: • To assess the performance of DOEs • To assess problem areas within the existing framework of rules • The secretariat is also actively commitment to continuous analysis and improvement of its own operations

10. Improving efficiency| Enhancing training • Existing training, calibration and capacity building initiatives will be maintained (VVM workshops, DNA training etc) • The consolidation of project cycle rules will be utilized to provide a framework for future training initiatives, including online courses and face to face interactions • A series of training packages to facilitate understanding of new rules and regulations will be developed