Published on October 10, 2007
Operation and Management of CDM Project in China : Operation and Management of CDM Project in China 6 Nov 2005, Montreal Li Liyan Deputy Director Office of National Climate Change Coordination Committee National Development and Reform Commission (NDRC) [email protected] [email protected] Measures for the Operation and Management of CDM Project in China : Measures for the Operation and Management of CDM Project in China General Rules Admission Requirements CDM Institutional Arrangement Project Procedures Revenue of CDM projects and others First released in June 2004 and then was amended and delivered/entered into force in Oct. 2005 General Rules : General Rules CDM project activities must be approved by relevant authorities under the State Council Priority areas for CDM projects are energy efficiency improvement, development and utilization of new and renewable energy, and methane recovery and utilization Implementation of CDM project activities shall ensure transparent, efficient and traceable responsibilities Open to all other types of projects as long as international rule allows Admission Requirements (1): Admission Requirements (1) CDM project activities shall be in line with China’s laws and regulations; meet sustainable development strategies/policies and other general requirements as requested by national economic and social development plans No new obligation shall be introduced for China other than those under the Convention and the Protocol Funds from developed country Parties shall be additional to the current ODA and their fund obligations under the Convention Admission Requirements (2): Admission Requirements (2) Project activity should promote the transfer of environmentally sound technologies Project owner shall be wholly Chinese enterprise or Chinese holding enterprise CDM project owner shall submit to the CDM Designated National Authority: Application form; PDD, certificate of enterprise status, as well as other relevant information like brief description of the construction project and descriptions of project financing China’s CDM Institutional Arrangement: China’s CDM Institutional Arrangement National Climate Change Coordination Committee National CDM Board -- NDRC, MOST, MOFa, MOFi, SEPA, CMA, and MOA. CDM Designated National Authority (DNA) —NDRC Roster of national CDM review expert Project Procedures : Project Procedures Application received Expert review National CDM Board meeting Approval letter The whole process will be around 2 months long. Revenue from CDM Projects : Revenue from CDM Projects Levies by the government: HFC23 65% NO2 30% Priority and others 2% The levies collected will be used for climate relevant activities. The detailed guideline will be set up by MOFi, in consultation with NDRC and others. Other revenue goes to the project owner Progress and Project Status : Progress and Project Status CDM capacity building activities 18 projects approved by the end of Nov. 2005 -- wind farm: 8; landfill gas: 3; small hydro: 2; cement : 1; and HFC-23: 4 100 around under development No objection letter: 11 For more information: http://cdm.ccchina.gov.cn Bottleneck and further need identification : Bottleneck and further need identification Domestically: PDD development -- awareness of the project owners -- technical/methodology experts Internationally: -- lack of methodologies -- higher transaction cost and the issue of price Need: Enhanced CDM capacity building activities: Training; local DOE; PDD development….