TRANSPORT AND CARBON FINANCE · 2017-08-30 · Transport Methodologies Large scale: MRTS, BRT, HSR,...

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Dr. Jürg M. Grütter jgruetter@transportghg.com www.transportghg.com Matching Transport with Carbon Finance TRANSPORT AND CARBON FINANCE CONTENT GRÜTTER CONSULTING TRANSPORT PROJECTS & CDM EXAMPLES & LESSONS LEARNT TRANSPORT AND CARBON FINANCE

Transcript of TRANSPORT AND CARBON FINANCE · 2017-08-30 · Transport Methodologies Large scale: MRTS, BRT, HSR,...

Page 1: TRANSPORT AND CARBON FINANCE · 2017-08-30 · Transport Methodologies Large scale: MRTS, BRT, HSR, Freight (limited) plus under discussion Rail Small scale: cable car, biofuel production,

Dr. Jürg M. Grütterjgruetter@transport‐ghg.com

www.transport‐ghg.com

Matching Transport with Carbon Finance

TRANSPORT AND CARBON FINANCE

CONTENT

GRÜTTER CONSULTING

TRANSPORT PROJECTS & CDM 

EXAMPLES & LESSONS LEARNT

TRANSPORT AND CARBON FINANCE

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Design, planning and implementation of GHG transport projects worldwide since 1992 

Development, negotiation and monitoring of the 1st GHG reduction sales agreement of transport companies in Europe

The 1st approved CDM transport methodology 

The 1st registered CDM transport project

The 1st registered VCS transport project

Offices in Switzerland, China, India, Bolivia and partner offices in Mexico, Brasil, South Korea, and VietNam...

GRÜTTER CONSULTING

1st

1st

1st

1st

Current Carbon Finance Transport Projects of grütter consulting

GRÜTTER CONSULTING

80%

of all approved CDM transport Methodologies &  Projects worldwide !

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Transport Methodologies

Large scale:  MRTS, BRT, HSR, Freight (limited) plus under discussion Rail

Small scale:  cable car, biofuel production, electric/hybrid vehicles, various singular technology measures and soon efficiency methodology for fleets

Standardized baselines: Under preparation

Most useful: ACM0016 basically for metro/LRT AM0031 for BRTs New rail meth large scale Electric/hybrid vehicles New efficiency meth fleets

GRÜTTER CONSULTING

Meth Experience GC IScope Status / Client

Development of standardized baselines for transport On behalf of UNFCCC

BRT (Bus rapid transit) methodology Approved by UNFCCC as AM0031Mass Rapid Transit methodology (for metro, tram, LRT, BRT) consolidatedbased on a bus-lane methodology and a metro methodology both proposed bygrütter consulting

Approved by UNFCCC as ACM0016

HSR (High Speed Rail) Methodology Approved by UNFCCC as AM00101Plant-oil production for transport usage Approved by UNFCCC as AMS.III.TCable car methodology Approved by UNFCCC as AMS.III.URevision and reformulation of AMSIIIC for electric vehicles Approved by UNFCCC as AMSIIIC Vs 13

Methodology for efficiency improvements in fleets Under review at the UNFCCC as SSCMethodology for Rail Projects Under review at the UNFCCC as large scale

methodologyDevelopment of a transport methodologies for GHG reductions in transport-Fuel switch (biofuels, gaseous fuels)-Mode switch freight and passengers-Logistics improvements-Vehicle fleet optimization-Quarry optimizations incl. conveyor belts, tunnels etc-Eco-drive

Approved by Swiss government

GRÜTTER CONSULTING

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Scope Status / Client

Truck and mobile machinery efficiency methodology on behalf of CoOP Approved by the Government of British Columbia,Canada and under review at the VCS

Bike methodology on behalf of CityRide Under review at VCS

Methodology for assessment of CDM transport options UNDP, 2009

Reformulation of small scale CDM transport methodology for retrofit of vehicles

UNFCCC, 2009

Methodology for Transit Oriented Development (TOD) World Bank, 2008

Methodology for increasing metro ridership Metro Medellin, 2008

Methodology for increasing bus occupation rates World Bank, 2008

Methodology for ethanol-diesel usage Energenics, 2008

Methodology for improving efficiency of bus fleets World Bank, 2007

Report on potential small-scale CDM transport methodologies UNFCCC, 2007

Sourcebook on CDM and transport GTZ, 2007 (download: www.sutp.org)

Appraisal of potential small-scale CDM transport methodologies UNFCCC, 2007

Guideline for transport methodologies IADB, 2006

Review of more than 30 new methodologies proposed for CDM in the transport, energy and industrial sector (lead expert)

UNFCCC, since 2004

GRÜTTER CONSULTING

Meth Experience GC II

Projects  GC IProject Country StatusBRT TransMilenio Bogotá Colombia Registered as CDM ProjectCable Car Medellin Colombia Registered as CDM ProjectBRT Barranquilla Colombia Registered as CDM ProjectBRT Medellin Colombia Registered as CDM ProjectBRT MIO Cali Colombia Registered as CDM ProjectBRT Chongqing China Registered as CDM ProjectBRT Zhengzhou China Registered as CDM ProjectMetro Delhi India Registered as CDM ProjectMetro Mumbai 1 India Registered as CDM ProjectBRT Edomex Mexico Registered as CDM ProjectBRT Insurgentes Mexico Registered as CDM ProjectBRT Guadalajara Mexico Registered as CDM ProjectProduction of plant-oil for usage in transport Paraguay Registered as CDM Project

Westport LNG/CNG HDVs worldwide Registered as VCS projectBRT Johannesburg South Africa Registered as VCS projectMetro Seoul Line 9 Corea Registered as VCS projectVarious transport projects including:-Road to rail freight - Road to ship freight-Freight optimization measures - Fuel switch projects-Passenger transit projects - Vehicle fleet optimization-Building machine optimization measures

Switzerland More than 70 companiesregistered and selling emissionreductions

GRÜTTER CONSULTING

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Projects GC IIProject Country StatusMetro Mexico Line 12 Mexico In registration as CDM ProjectBRT Megabus Pereira Colombia In registration as CDM ProjectBRT Metrobus Line 2 to 21 Mexico In validation as CDM ProjectMetro Buenos Aires Argentina In validation as CDM ProjectLohia electric vehicles India In registration as CDM ProjectElectrotherm electric vehicles India In registration as CDM ProjectEKO electric vehicles India In registration as CDM ProjectHERO electric vehicles India In registration as CDM ProjectMetro Gurgaeon India In registration as CDM ProjectBharathi Freight road to rail India In validation as CDM ProjectMetro Mumbai Line 2 India In validation as CDM ProjectBRT Guatemala Guatemala In validation as CDM ProjectBRT Quito Ecuador In validation as CDM ProjectLRT/Metro Tunis Tunisia In validation as CDM ProjectMetro Incheon Line 2 Corea In registration as CDM ProjectMetro Busan Extension Line 1 Corea In registration as CDM ProjectMetro Daegu Line 3 Corea In registration as CDM ProjectEfficient truck fleets Manila Philipinnes PDD under developmentBRT Dhaka Bangladesh PDD under developmentKTX Corea Corea PDD under developmentEfficient bus fleets Korea PoA under developmentIR double tracking rail lines India PDD under development

GRÜTTER CONSULTING

TRANSPORT PROJECTS

TRANSPORT AND CARBON FINANCE

Electric/hybrid  vehicles

BRTs

Metros

LRTs

Cable‐Cars

Rail

...Eficiency Projects

and

CDM

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TRANSPORT PROJECTS & CDM

To be a BRT at minimum a bus‐only lane plus another feature such as closed stations or smart ticketing should be included

Not all BRTs reduce emissions

Try whenever to include feeders (AM0031)

ERs between 30,000 and 600,000 per annum

BRTs ‐ Core Issues

ERs are based on trip emissions pax would have caused in absence of the BRT

Additionality problematic except if LDC or 1st of its kind

Core data requirements next to FSR:

• SFC of modes (or use defaults)

• Occupation rate of modes (can also be indirect over trip distance)

Example: PDD ZZ

BRTs ‐ Core Issues

TRANSPORT PROJECTS & CDM

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Metros, LRTs, Cable‐Cars and CDM

TRANSPORT PROJECTS & CDM

Needs a lot of passengers to reduce sufficient emissions: see Busan

Must be new line. Less than 30km new metro is not worthwhile

Always much less pax than projected

ERs are based on trip emissions pax would have caused in absence of the MRTS but as indicator emissions per PKM and not per trip

ERs between 10,000 and 600,000 t per annum

Additionality very problematic except if LDC or 1st of its kind

Core data requirements next to FSR:

• SFC of modes (or use defaults)

• Occupation rate of modes

Example: PDD Tunis

Metros, LRTs, Cable‐Cars: Core Issues 

TRANSPORT PROJECTS & CDM

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Electric vehicles and CDM

TRANSPORT PROJECTS & CDM

Market: electric motorcycles and 3‐wheelers or hybrid fleets (min. 100 trucks/buses or 1,000 taxis, cars)

Needs a lot of vehicles Sensitive to grid factor. Max. grid factor of 0.8kgCO2/kwh –

otherwise electric vehicles have comparable emissions to gasoline ones

ERs between 10‐30,000 per annum ERs are based on relative emissions electric to gasoline 

(motorcycle) Additionality simple based on market penetration rate.  Core data requirement SFC of baseline vehicle Example: PDD Hero

Electric vehicles – Core Issues

TRANSPORT PROJECTS & CDM

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Rail and CDM

TRANSPORT PROJECTS & CDM

New meth for new rail tracks

Minimum 100km new track

Can be operated by diesel, electric, coal train

Freight or pax transport

Methodology not yet approved

Good potential and fairly large projects

Needs information on pax and types of goods transported

ER basically based on rail versus road

See example PDD IR

Rail Core Issues

TRANSPORT PROJECTS & CDM

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Efficiency Projects

TRANSPORT PROJECTS & CDM

Fleets: Easiest bus fleet

Efficiency improvements including ecodrive, tyres, hybrids, oils, etc

Dynamic baseline: comparable group of vehicles without measure is monitored and project is monitored; difference = ER

Core issue is if these measures really reduce SFC

Additionality relatively simple with market penetration rate

Monitoring relatively complex  

Efficiency Projects – Core Issues

TRANSPORT PROJECTS & CDM

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POAs Not really much advantages but far more complex also legally Perhaps for efficient fleets

NAMAs Still unclear if and how Similar discussions since years with sectoral approach, programmtic 

approach etc…. Problems of benchmark, geographical scope etc are significant

TRANSPORT PROJECTS & CDM

STANDARDIZED BASELINES Regional scope e.g. LDC and Asia (except India, China, Indonesia) Pre established number for baseline; guideline gives path to determine 

baseline factors Additionality based on benchmark Indicators:  gCO2/pkm ; gCO2/tkm ; gCO2/km

EXAMPLE: BRT Zhengzhou

City of 3.5 million people

BRT including feeders has around 2 million passengers per day

32 km of ring trunk road exclusively for buses used by 12 BRT routes

130 feeder routes

400 trunk and around 3,000 feeder buses

The Project

On trunk routes articulated diesel buses On feeder routes large diesel, CNG, 

some diesel‐hybrids and electric battery buses

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Uses AM0031

The project was registered 06/2011 (2nd registered transport project in China after BRT Chongqing, also by GC)

1st issuance of CERs end 2012

Around 200,000 tCERs per annum

Problems: 

• Validation took 2 years due to validator (Germanischer Lloyd)

• Data collection for monitoring, especially fuel consumption, at start not easy due to lack of QA

Success: operational, generates credits, growing in size

EXAMPLE: BRT Zhengzhou

CDM

EXAMPLE:Metro Delhi

City of 14 million inhabitants

Project includes only phase II

102 km of metro with 11 lines

Around 1.1 million passengers per day

Passengers take metro instead of car, taxi, rickshaw, bus

The Project

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Uses ACM0016 The project was registered 06/2011 (1st metro project 

worldwide) Since 08/2011 fully operational all lines 1st issuance of CERs end 2012 Around 500,000 tCERs per annum Problems: 

• Validation 1st TUEV North and after 1 year changed to SQS as TUEV North was completely incapable of even writing CLs or CARs. SQS then validated.

• Costly monitoring (survey, leakage)

Success: operational, generates credits, growing in size

EXAMPLE:Metro Delhi

CDM

• Electric scooters in all over India

• Speed range of scooters: 25‐60 km/h

• Distance range: 40‐100 km

• Power: 250‐1,800 Watt

• 2,000‐3,000 sold scooters per month per project (gasoline around 400,000 scooters per month)

• Even with grid of 0.9kg CO2 /kWh in India electric scooters are still more efficient that gasoline ones in terms of CO2 emissions

• Baseline: gasoline scooters

• Market share electric scooters in India: < 1% (additionality base)

The Project

EXAMPLE: Electric Scooters

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Uses AMSIIIC (small scale)

First electric vehicle projects worldwide

4 projects around producers (Hero, EKO, electrotherm, Lohia)

In registration all 4; around 30,000 tCERs per annum per project

1st issuance of CERs end 2013

Problems: • Validation 1st TUEV North: TUEV was not capable of a report after around 

3 years; Complaint to UNFCCC; Icontec then validated.

• Needs a lot of scooters, especially in India due to high grid factor

Success:Projects finally in registration

CDM

EXAMPLE: Electric Scooters

EXAMPLE: Rail

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

1950 1960 1970 1980 1990 2000 2005

road

rail

Mode share passenger transit India

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The Projects• High Speed Rail

– KTX Korea Seoul Mokpo– 300km/h operating speed– 232 km new line– Without KTX many passengers would have used the plane

• Conventional rail– Double tracking in India including various lines– Line Daund – Gulbarga is double tracking of 235km– Diesel and electric part– Passenger and freight – 50% of freight is cement– 10 million tkm per day freight– 30 million pkm per day passenger– Around 60 trains per day

EXAMPLE: Rail

• HSR:– Methodology approved by UNFCCC– PDD under development– Around 200,000 tCERs per annum– Operational 2016– Difficulty: additionality

• Conventional Rail:– Made on behalf of ADB– Methodology under discussion at the UNFCCC; expected approval 

end 2012– Daund line around 450,000 tCERs per annum– Difficulty: data baseline on road transport– Success: large impact of project– Rail is if based on diesel or electric far more efficient than road

CDM

EXAMPLE: Rail

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Thank you very much !

TRANSPORT AND CARBON FINANCE

• Dr. Jürg M. Grütter• jgruetter@transport‐ghg.com• www.transport‐ghg.com