UN board to kick off debate on CDM's future
Paryavaran Mitra
UN board to kick off debate on CDM's future
ENDS Europe
Friday 30 September 2011
The UN executive board overseeing the clean development mechanism (CDM) will launch a wide-ranging stakeholder consultation in Durban this year on a post-2012 reform of the scheme, it announced on Friday following a meeting in Ecuador.
The scheme is undergoing regular changes through decisions made at CDM board meetings and further guidance agreed by UNFCCC parties each year. For example, climate negotiators in Cancún said carbon capture and storage (CCS) projects should be covered by the CDM. They also agreed measures to speed up project approval.
However, the CDM's credibility as a mechanism able to deliver carbon reductions in developing countries has been seriously undermined in recent years, prompting calls for profound reforms. The initiative announced by the board this week recognises the need to address these problems and involve its "harshest critics" in the debate.
In a press release, CDM board chair Martin Hession highlighted several success stories, including a project in the Ecuadorian capital Quito, generating certified emission reductions from the capture and flaring of landfill methane.
"The carbon markets are at a crossroads in terms of interest and confidence," he said. "Now is the time to reassess the CDM's true potential, and build on the momentum that is so obvious when you visit an enthusiastic CDM host country like Ecuador".
The markets want clarity on the CDM's fate after 2012. Although it is not tied to Kyoto's first commitment period, which expires at the end of next year, the absence of binding targets could jeopardise the supply of carbon credits. To provide some reassurance, the EU – a major buyer – has said it will continue to use the scheme.
Another outcome of this week's meeting is the adoption of three standards on the registration of programme of activities as a single CDM project. The standards on eligibility criteria, additionality and multiple methodologies will help boost these projects.