Validation and Verification of CDM projects

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Validation and Verification of CDM projects SGS Climate Change Programme Gareth Phillips Global Product Manager

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Validation and Verification of CDM projects. SGS Climate Change Programme Gareth Phillips Global Product Manager. Contents. Brief introduction to SGS Track record in the CDM Key steps in the validation and verification process Approved methodology (and impact of review of methodologies) - PowerPoint PPT Presentation

Transcript of Validation and Verification of CDM projects

Page 1: Validation and Verification of CDM projects

Validation and Verification of CDM projectsSGS Climate Change Programme

Gareth Phillips

Global Product Manager

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Contents

Brief introduction to SGS

Track record in the CDM

Key steps in the validation and verification process Approved methodology (and impact of review of

methodologies) Draft PDD Final PDD and letters of Authorisation and Approval Unilateral CDM Request for Registration Requests for review

Initial (preliminary) verification (optional)

Annual (periodic) verification

Conclusions

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Introduction to SGS Worlds largest inspection, verification, testing and

certification organisation 30,000 employees in 140 countries Including offices in Egypt, Morocco, Tunisia, Algeria, Syria,

Lebanon, Yemen

Offer a very wide range of services designed to facilitate trade.

Independent. No manufacturing, trading or financial interests. No consulting services.

Accredited UK ETS, EU ETS, CCAR, CCX…….

Provisional DOE for CDM in scopes 4,5,6,9,10,11 and 12. Witnessing for Scope 13 underway. Project for Scopes 1,2 and 3 in the pipeline.

Submitted the first request for registration of a CDM projects

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Track Record in CDM

Gujarat Fluorochemicals Ltd project in India submitted for registration on 1/9/4. Registration due 27/10/4

Very large project - 3 million CERs/year * 10 years

Involved site visit in order to verify historic emissions and confirm compliance with local regulations

Undertaken by Lead Assessor from Europe, Local Assessor from India

Undertaken validation of approx. 30 CDM / JI projects

Currently delayed by lack of approved meths

Initial verification of 4 potential CDM projects (3* Brazil; 1 Guatemala) - experience from UK and EU ETS verification

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Key steps in the validation process - Methodologies

Use of approved baseline and monitoring methodologies Work is proceeding slowly largely because the CDM EB

chose a bottom-up approach Currently, AM0001 is suspended pending review Review may have an impact upon other methodologies as

well (check outcome of EB 16) If you can use one of the the consolidated methodologies

(renewable electricity to grid or landfill gas capture), or another approved one, please do so

Submitting your own methodology is slow, costly (time in particular), uncertain

Consolidated methodologies are not complete yet, because the consolidated tool for demonstration of additionality is not yet complete (check EB 16 for progress)

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PDD and Validation

Prepare draft PDD (using new template - version 2) Follow the guidance closely

Submit for validation

Following validation, address findings and submit final list of project participants, with letters of Approval AND Authorisation from Parties

Further guidance on contents of letters is expected - check EB16 and review the letters from other projects

Validator must give an affirmative statement of validation outcome e.g.

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Request for registration

DOE submits the a request for registration to CDM EB through a web-interface (only two projects to date)

Request accepted when proof of payment is provided

Project undergoes 8 week review period. If there is no request for review, it is automatically registered.

Review is triggered by 3 requests from EB members or Parties involved.

If there is a request for review…… not sure how this will be addressed. Restart 8 week review? Repeat international SHC? Retrospective application of revisions to

methodologies?

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Project implementation and initial verification

Assuming the project is now registered….

Implement project and monitoring plan

Initial verification is not mandatory, but is recommended - checks that the monitoring system is operational and will gather the required information

May also be used for project commissioning

Includes work that is otherwise required during the first verification

Initial verification is built into the IETA CDM ERPA

Also required for World Bank / PCF / CFB projects

Result is an opinion that the project is ready to generate CERs

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Periodic (annual) verification

First verification is more demanding than the rest (unless initial verification has been undertaken)

Verification can be as frequent as desired - un-verified CERs represent unsold stock - cash flow implications

Also, important to ensure that necessary information continues to be collected

Beware - Accuracy / uncertainty is not addressed in methodologies - we expect measurement regimes to reflect best practice and calibration records must be available to confirm this!

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Conclusions

CDM is slowly gaining momentum

Most of the learning has been done

Prices for carbon are increasing - EU ETS is creating some demand

DOEs are increasing in number and scope of accreditation

CDM EB is at an important cross-roads - EB16 and 17 will be quite important meetings

Bring projects forward for registration

Make sure your meters are calibrated

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Thank you for your attention.

For further information on SGS:

email: [email protected]

[email protected]

[email protected]

Also brochures available