Capacity Building for Clean Development Mechanism Projects: A case study of Nepal

1. Capacity Building for Clean Development Mechanism Projects: A case study of Nepal Madan Koirala, Scientific Advisor Ministry of Environment, Science & Technology, His Majesty’s Government of Nepal 20 oct, 2005

2. Presentation Overview • Environment Sector Initiatives and Outlook • Organization Structure and Mandate • Prevailing Policy, Acts, Rules/Regulations • Multinational Environmental Agreements • UNFCCC and Kyoto Protocol • DNA Structurefor Nepal • CDM Project Approval Process • General Accomplishments 20 oct, 2005

3. Environmental Sector Initiatives • Establishment of the Ministry of Population & Environment, 1995; Restructuring as Ministry of Environment, Science and Technology, 2005 • Environment Protection Act (1997) and Environment Protection Regulation (1997) • Signatory of the various international environmental conventions/protocols ( Total 19: like Basel, Stockholm, Rotterdam, UNFCCC, Montreal etc.) • Recently accessed Kyoto Protocol • Publication of SOE (state of environment) report, SDAN and environmental journals 20 oct, 2005

4. Organizational Structure Minister Secretary PLANING AND ADMINISTRATION DIVISION SCIENCE AND TECHNOLOGY PROMOTION DIVISON Environment ADMINISTRATIVE AND HUMAN RESOURCE DEVELOPMENTSECTION ENVIRONMENT STANDARDS, MONITORING AND EVALUATION SECTION RESEARCH & DEVELOPMENT SECTION PLANNING, MONITORING AND EVALUATION SECTION TECHNOLOGY TRANSFER SECTION ENVIRONMENT IMPACT ASSESSMENT SECTION POLICY MAKING SECTION LEGAL SECTION INFORMATION TECHNOLOGY AND INFORMATION MANAGEMENT SECTION ENVIRONMENT PROMOTION AND INFORMATION SECTION FINANCIAL ADMIINSTRATION SECTION 20 oct, 2005

5. MOEST: Mandate • Formulation of Environmental Policies, Legislation, Rules and Standards • Environment Protection • Pollution Control • Flow of environmental information and awareness • Environmental Assessments • Focal point for international environmental commitments 20 oct, 2005

6. Prevailing Policy, Acts, Rules/Regulations POLICY • National Conservation Strategy 1988 • Nepal Environment Policy and Action Plan 1993 • Sustainable Development Agenda for Nepal 2003 ACTS/RULES • Environment Protection Act, 1997 • Environment Protection Rules, 1997 • Ozone Depleting substance consumption (and control) Rules 2000 • Sectoral Acts (forest, industry, water resource, transport, etc) • International Agreements (Basel, POPs, Montreal Prot. etc) 20 oct, 2005

7. Prevailing Policy, Acts, Rules/Regulations (contd.) STANDARDS • Nepal Vehicular Mass Emission Standards 2000 • Vehicular Emission Standards for (in use vehicle) • Industrial Effluent Standards: 9 specific and 3 generic • National Ambient Air Quality Standards PERMITS/REQUIREMENT • Environmental Impact Assessment of certain Development Projects • Initial Environmental Examination of Development Projects • Pollution Control Certificate for operating Industries • Import permission for certain commodities CONTROL • Banning of Polluting Vehicles (Vikram tempo, 2-stroke 3 wheelers) • Banning of Polluting Technology in industries (like Bull Trench Kiln, etc 20 oct, 2005

8. UNFCCC and KYOTO PROTOCOL • Nepal signed UNFCCC on 12 June 1992 and later ratified on 2nd May 1994 • Nepal has been regularly participating in COPs and other subsidiary meetings • Nepal’s contribution to global emission is0.025% only • Nepal became the party of Kyoto Protocol by submitting its instrument of Accession on September 16, 2005 • Climate Change Network Nepal (CCNN) to work in different avenues for increasing awareness about climate change and increasing capability of governmental and non-governmental institutions • ADB sponsored PREGA: DNA Setup, CDM Approval Process, generation of pipeline of CDM projects. 20 oct, 2005

9. Environmental Evaluation Section Ministry of Environment Science and Technology (MOEST) Chairman: Secretary, MOEST Members: MOF, MOFA, MOFSC, MOICS, MOLTM, MOLD, MOPPW, MOWR, MOAC, non-governmental organization, private sector, academic institution, banking sector Member-Secretary: Joint-Secretary, MOEST Environmental Standards and Monitoring Section National CDM Council DNA Secretariat (Environment Division) Environmental Promotion and Awareness Section Director: Joint-Secretary, Environment Division, MOEST Technical Experts Group DNA Structure 20 oct, 2005

10. 1 week 1 week 1 week Meets national criteria? Member-Secretary Initial Screening and forward to the technical experts group Secretariat of the DNA Receipt of assessment report and public comments No Project proposal (PDD) submitted by the project developer Assessment report and project PDD available for public comment Letter of No Objection Re-Evaluation Yes Secretariat of the DNA Review of PIN Member-Secretary Receipt of assessment report PIN Submission by project developer 4 weeks Letter of Approval issued by DNA Secretariat Evaluation by technical experts group CDM Project Approval Process 20 oct, 2005

11. Potential CDM Projects in Nepal • Biogas + Improved Cook Stoves • Electric Transportation (EVs, Trolley Bus, Electric Train) • Micro-Hydro + Solar Energy + Wind Energy • Methane Capture from land fill sites • Low emission brick kilns (VSBK) • Energy Efficiency • Hydropower for replacement of fossil fuels and for export to India • Forestation • 12 Projects under development at PIN, PDD, or Pre-feasibility level. 20 oct, 2005

12. General Accomplishments • Preparation of Initial National Communication to UNFCCC • Ratification of Kyoto • Establishment of DNA • National Strategy on CDM • Formulation and updating of national programs to mitigate the effects of climate change • Incorporating climate change considerations into national policies; • Cooperation in exchange of information related to the climate system, climate change and its consequences; • General public awareness raising towards climate change by encouraging the wider participation, (private sector, business communities, academe and NGO sector). 20 oct, 2005

13. Thank you ! 20 oct, 2005