Thematic Fiche no. 9: ACP-EU Energy Facility Projects with CDM Potential
This Thematic Fiche is looking into the possibility for projects under the ACP-EU Energy Facility to earn carbon credits under the Clean Development Mechanism. Although all energy efficiency and / or renewable energy projects directly or indirectly contribute to reduction of emissions of green house gasses (the main objective of the Kyoto Protocol), there are a number of obstacles for having all ACP-EU Energy Facility projects approved as CDM projects.
The three main obstacles dealt with are:
First and foremost, most projects are already under implementation, or even implemented, and thus not meeting the main eligibility criteria that the project should not be implementable without CDM.
Secondly, projects that have reached financial closure often are not considered additional due to the fact that they have reached financial closure without CDM and, therefore, can seem to be implementable without CDM and thus are not additional.
Thirdly, the lack of an approved CDM methodology for calculating baselines may prove to be an obstacle unless the project proponent has the strength to undertake the required effort to develop and have approved such a methodology.
This fiche examines the obstacles for CDM approval and provide some examples of possibilities for different types of Energy Facility projects.
Click here to access the pdf version of the thematic fiche.