US-China Partnership for Climate Action Presentation to USAID

1. US-China Partnership for Climate Action Presentationto USAID March 2010

2. WRI’s Focus Areas: • Creating sustainable enterprises and opportunities • Protecting the climate system • Protecting the earth’s living systems • Empowering people and strengthening institutions ISC’s Focus Areas: Environmental management/ Resource efficiency Effective local climate action Institutional development Citizen engagement and community mobilization Advocacy & Leadership Public-private partnerships

3. ISC’s Work in China:Guangdong Environmental Partnership BUSINESS– Expands pool of qualified environment, health & safety managers to increase compliance and meet energy efficiency targets GOVERNMENT – Strengthens provincial/municipal environmental governance and enforcement capacity COMMUNITIES – Develops community-based energy efficiency initiatives SCHOOLS – Educates the next generation in sustainable development

4. WRI’s Climate work in China:Building Understanding and Capacity • Promoting Technology Development • Carbon Capture and Storage Regulatory Guidelines in partnership with Tsinghua University • Renewable Energy Deployment • Promoting a Global Agreement • Technology Deployment Case Studies to inform the International Agreement • MRV and the China Context • Disseminating and implementing GHG Protocol standards and tools • To inform the design of effective business and Government programs and policies to combat climate change

5. PCA Program - Goals Achieve significant, meaningful and lasting reductions in GHG emissions in China, by: • building the capacity of high-emitting industries, the power sector, and selected cities, to: • measure and reduce GHG emissions • take energy efficiency actions. To be:

6. PCA Program - Overview Three-year, $6 million cooperative agreement 1:1 additional private leverage is anticipated • Programdesigned to address priorities of the US-China cooperation on energy and climate: • Improving energy efficiency and conservation • Quantifying and reducing GHG emissions • Key Expected Outcomes: • Significant GHG emissions reductions • Innovative public-private partnerships • Platform for scaling-up, replicating, & sustaining successes

7. PCA Program - Key Elements • USAID led cooperation initiative • Public-private partnership • Focus on scaling up energy efficiency and GHG measurement/mitigation • Three program components: Industries, Power Sector, Cities • Two Provinces: Jiangsu, Guangdong

8. Two of China’s Industrialized Provinces Jiangsu Guangdong

9. PCA Program - Targets Targets: >6.6 M tons of CO2 equivalent reduced >17.2 TWh of energy saved >Equivalent to removing all 120,000 taxis in Beijing and Shanghai from the street for 3 years GHG Emission Reduction GHG (x106 MtCO2e)

10. PCA Program - Partners & Supporters Funders: Implementing Partners:

11. Component 1: Industry: Clean Energy & GHG Accounting • Train >4,000 factory managers per year in EE & GHG management; • Field test, customize and disseminate new GHG Protocol standards & tools; • Establish a national certification protocol to include EE/GHG in collaboration with the Ministry of Human Resources & Social Security. Combine training resources of ISC’s EHS Academies in Guangdong and Jiangsu with WRI’s global leadership in GHG accounting & measurement to:

12. Component 2:Power Sector: Driving Energy Efficiency • Establishing DSM, public finance, and behavior campaigns by sharing leading US utility practices; • Scaling-up the Efficiency Power Plant model in terms of dollars invested and TWh of capacity; • Building capacity in industrial sectors to identify and secure EE/RE financing. Leverage existing projects in the power sector by:

13. Component 3: Cities: Low-Carbon Urban Development Promoting low-carbon urban development by building capacity for effective local climate and energy action by: • Training and mentoring cross-agency teams; • Focusing on scaling-up building retrofits, cutting vehicle traffic, systematic GHG accounting and integrated solutions; • Linking Chinese practitioners with U.S. counterparts and leading global practitioners; • Building capacity of three Chinese partners to serve as learning and networking hubs.

14. Expanding Public-Private Partnerships • Chinese Government/Policymaking bodies • US DOE, US EPA, State Department, Commerce • Strategic and Economic Dialogue • International NGOs • Private foundations • Multinational companies • Multilateral donors • Energy efficiency counterparts in the U.S.

15. Key Milestones To Date • Program office established and registered, program team in place, engaged key international and Chinese implementing partners • Secured the support of senior provincial government agencies in Guangdong and Jiangsu • Conducted workshops in Beijing and Guangzhou to document Chinese input to draft GHG Protocol Standards for Products and Supply Chains • Developed comprehensive, 4-day cross-industry GHG accounting training course for Chinese enterprises • Identified and vetting 6 finalist candidates for EHS Academy in Jiangsu • Established agreement with Southern China Grid company to implement Green Action Plan, scale up Efficiency Power Plant • On track to implement first Climate Leadership Academy for Chinese cities in July 2010

16. Challenges/Opportunities • Chinese Government Support & Sensitivities • Needs are Massive and Immediate • USG Coordination

17. Questions?