Relevant aspects for the implementation of PoAs

Relevant aspects for the implementation of PoAs

Bonn, March 21

UPM Umwelt-Projekt-Management GmbH

Relevant aspects for the implementation of PoAs

• Brief introduction of UPM and its PoA activities

• General Workflow of the PoA implementation

• Key aspects and case study

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Brief introduction of UPM and its PoA activities

UPM Umwelt-Projekt-Management GmbH Bonn, March 21 4

UPM Group is an efficient corporate network offering integrated one-stop-shop solutions for climate protection

UPM Environment Engineering Project Management

Consulting Co. Ltd.

Focus: CDM Project Development

Founding Year: 2008

Office: Beijing, China

General manager: Martin Dilger

Facts and Figures on UPM Group


Focus: Strategic Business Development

Founding Year: 1991

Office: Munich, Germany

General manager: Norbert Garbers

Local Cooperation Partners:

OASIS Science & Technology Co. Ltd., Beijing, Chengdu, China

Axis Environment Services, Karachi, Lahore, Pakistan


Our involvement in PoAs

• Currently two PoAs in the pipeline:

• Sichuan Rural Poor-Household Biogas Development Programme

• Installation of household biogas digesters for households with a small number or

pigs

• Utilization of the biogas in cook stoves

• Emission reduction from methane avoidance & coal replacement

• Submitted for registration in 02/2012

• Sichuan Animal Farms GHG Mitigation Programme

• Installation of mid-size biogas plants at animal farms

• Generation of electricity

• Emission reduction from methane avoidance and electricity replacement

• Onsite validation in March 03/2012

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General Workflow of the PoA implementation


Workflow for the PoA Implementation

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From: CD4CDM: A Primer on CDM Programme of Activities


Involved Stakeholders

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From: CD4CDM: A Primer on CDM Programme of Activities

• C/ME

• CDM consultant

• DNA

• DOE

• EB

• CER buyer

• Government authorities (local & national)

• Project owners

• Investors (Banks, CER Buyer, etc.)

• Technology providers

• Equipment distribution staff

• Monitoring staff

• Advertisement agency/staff

• Other affected entities e.g. grid companies, firewood dealers, etc.

• NGOs


Major tasks for a PoA implementation

• Development of PoA concept and setup of cooperation between CDM consultant, C/ME and local

implementers

• Development of GSP documents (PoA-DD, specific CPA-DD, generic CPA-DD)

• Training of local network

• Development of the local network for data collection & technology implementation

• Procedures to avoid double counting

• Data collection & management for future CPAs

• CPA Inclusion

• Data collection & management for CPA monitoring

• Document generation & management

Depending on existing infrastructure and type of project, each of the above steps is significantly

more complex than for a stand-alone CDM project.

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CDM Strategy and Documents

• Major elements of the CDM strategy are:

• Methodology

• Calculation of emission reduction

• Additionality

• Eligibility Criteria

• Strategy for EIA/Stakeholder Consultation: PoA or CPA level

• Future IT systems need to be considered during the writing of the CPA-DD template

• For these items, two principles apply:

• Be as specific as possible

• Be as vague as possible

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What means Vague/Specific?

• Vague

• All descriptions, calculations, criteria, etc. need to be vaguely enough to ensure that

no CPA is excluded due to too strict criteria

• PoA lifetime is 28 years. During that period, policies, government structures,

technologies, even borders might change

• Specific

• Clear and strict criteria simplify the post-registration workflow, sampling and inclusions

• DOE costs will be lower if all criteria are simple and clear

• Specific criteria reduce the risk of erroneous inclusion and liability for DOE

• Find the right balance!

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Key aspects and case study

• Procedures to avoid double counting

• Development of local network

• Data collection and management

• Document generation and management


Case Study: Sichuan Rural Poor-Household Biogas Development Programme

• Distribution of household biogas digesters in rural areas of Sichuan, China

• Existing governmental subsidy is insufficient for low-income families

• Lack of technical knowledge and qualified maintenance results in decreasing gas output of

existing digesters

• PoA provides additional income and free

technical support to low-income households

• Pig manure and other organic matter is fed into

digester, biogas can be used as cooking fuel

• Dramatically improved living conditions due to

• Reduced indoor air pollution

• Hygienic manure handling

• Odor reduction

• Improved fertilizer quality

• “Convenient” fuel – no collection, buying, etc.

• Reduces risk of accidents


Case Study: Sichuan Rural Poor-Household Biogas Development Programme

• Target for 2017: 1,000,000 household

• 200 CPAs

• Regular baseline surveys, annual monitoring surveys, 2,000 households each

• ~ 100 Rural energy offices

• 250 local data collectors

• Thousands of digester construction workers

• Gigantic workload for management, data

taking, processing & storage, onsite visits for

validation/verification, etc.

• Close cooperation with local Rural Energy

Offices (SREO), Sichuan Biogas Society,

Chinese Academy of Agricultural Engineering

(CAAE)

• Core staff:

• 1 CDM Expert

• 2 Project Coordinators at C/ME

• 1 Project Coordinator at SREO

• 1 Statistical Expert at CAAE


Procedures to avoid double counting

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• No big issue for large facilities

• Big issue for distributed household projects

• Especially for independent networks & mobile equipment, this needs to be very strict

• Key questions:

• How to identify each device and ensure the operation can be monitored?

• How to clearly distinguish equipment from other PoAs in overlapping areas? (e.g.

Solar-Water-Heaters in South Africa)

• Two kinds of possible double

counting: internal (CPA-CPA) and

external (PoA-PoA)

• In our case:

• Monitoring Setup: Serial no. on

each digester

• Administrative setup: No other

digester distribution activities

in the targeted areas


Development of local network

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• Especially for PoAs that cover the wide distribution of household equipment, a large

network of trained contributors is required.

• Network used for different tasks: baseline/monitoring surveys, technology distribution,

after-sales-service, replacement of broken equipment, equipment training for end-user,

etc.), carbon revenue distribution (if applicable).

• Entire management of PoA needs to be determined in advance, to provide suitable.

training, (includes monitoring parameters/eligibility criteria/software/hardware, etc.)

• Network might be controlled or independent (paid staff or individual entrepreneurs).

• Sufficient incentives need to be defined and allocated for network to not collapse.

• Local aspects need to be considered when building up the network, e.g. social status,

gender, etc.

• Clear Management structure/hierarchy keeping enough flexibility to adjust

according to DOE/EB/etc. requirements


Data collection & management

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• Distributed PoAs need to establish reliable methods of data taking.

• Sufficient training needs to be provided to all involved personnel

• If possible, eligibility criteria should be checked/confirmed directly on data input

• Local habits/rules/regulations need to be addressed (e.g. localized software, internet connections

available, gender issues during studies/surveys, etc.)

• Especially for monitoring in difficult terrain, time is easy to be underestimated

• Since the databases store sensitive personal information, data security is a serious issue

• In our case:

• 250 data collectors need to be

informed about their individual tasks,

amount of data to be collected,

households to be visited, etc.

• Confirmation of communication

needed

• Individual communication, advice and

central data input not feasible

• Automated platform for

communication with local staff, task

description and data input needed



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Document generation & management

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• Especially for PoAs with a large number of CPAs, not only CPA-DDs and other inclusion

documents need to be streamlined, but even more important: Monitoring Reports

• For large distributed PoAs, standard software is not sufficient anymore

• Developers need to think about tailor-made software solutions to manage

communication, data storage, data processing, document generation, document printing,

etc.

From: Climate Focus: The Handbook For Programme of Activities

• In our case:

• 200 Monitoring Reports with individual ER

calculation, locations, number of

households, etc. need to be prepared at

the same time (1050 in case of 3S

Programme PoA in Brazil)

• Individual preparation time consuming and

fault-prone.

• Automated software for document

generation needed.

• Hard copies needed to apply for Host

Country LoAs for all 200 CPAs: 135,000

double-side printed A4 sheets.



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Conclusions

• PoAs involve numerous stakeholders that need to be synchronized

• PoAs need forward-looking planning to avoid unnecessary inapplicability of CPAs,

excessive workload, double counting

• PoA developers and C/MEs need to think about new ways of data/document

management, involving sophisticated IT and communication methods

• The developed systems and procedures are only partly applicable to other PoAs, high

degree of diversity between the programmes

• Governmental support is a necessity for developers

• A PoA has to be setup and managed like a new company, feasible to run for 28 years!

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How can DNAs facilitate the development of PoAs?

• Clear & transparent definition of expectations & requirements towards PoAs

• E.g. requirements on public involvement, transparent distribution of CDM revenues,

EIAs, LoA on PoA or CPA level, local data taking & statistics, etc.

• Support with surveys and processing of sensitive data

• Capacity building for local C/MEs

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UPM Umwelt-Projekt-Management GmbH Bonn, March 21 26

Thank you!


Norbert Garbers

Lamontstr. 11

81679 Munich, Germany

Phone: +49 89 41419690

Email: [email protected]

Web: http://www.upm-cdm.eu/

UPM Germany

UPM Environment Engineering Project Management

Consulting Co. Ltd.

Martin Dilger

Liangmaqiao Rd., Guangming Apartment 0708(B)

100125 Beijing Chaoyang District, China

Phone: +86 10 6468 0500 - 0

Email: [email protected]

Web: http://www.upm-cdm.eu/

UPM China

Relevant aspects for the implementation of PoAs

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