Capacity & Technology Needs Assessments for Industry in ASEAN Dr. Peter Pembleton Project Manager Project 08/12/2018

Programme objectives 3 phases Phase I: Identify needs—background studies (UNIDO$) Phase II: Develop programme to submit to donors / donor agencies—preparatory assistance(UNIDO$) Phase III: Programme implementation—learning-by-doing COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Programme framework Identifying and prioritizing * 07/16/96 Programme framework Identifying and prioritizing CDM mitigation options Implementation of CDM projects Mobilizing stakeholders’ participation Identifying and prioritizing CDM capacity needs Creation of ‘national support programs’ Always I - III III - IV COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002  *

Phase I Asia Background studies COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Team Indonesia: Johansyah Salim, former Indonesia Chamber of Commerce Malaysia: Ahmad Hj Mohd Sharkan, Petra Perdana Bhd. Philippines: Alice Herrera, DOST/ITDI Thailand: Sitanon Jesdapipat, Chulalongkorn University Vietnam: Nguyen Duc Minh, Research Centre for Energy and Environment Financing: Dr. Josef Janssen, St. Gallen University & Alan Dale Gonzales, AIT/COGEN CTA: Dr. Pim Kieskamp, Asian Development Bank COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Country assignments Review CC/CDM past & ongoing activities & determine extent of industrial involvement / benefit from assistance + find out what past & ongoing industrial activities relevant to CC/CDM as basis for preliminary study on foundations for determining SD criteria constraints to CDM adoption—capacity needs appropriate stakeholders & gaps industrial CDM opportunities—technology needs (energy intensive industry) !Results are not national statements! COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Approach taken Country-driven Bottom-up, multi-stakeholder, learning-by-doing process Public-private partnerships Mobilizing private sector & local capacity ‘Integrated’ approach based upon long-standing UNIDO experience industrial development, technology, investment promotion & capacity building Supports sustainable industrial development Matches most elements of UNFCCC ‘frameworks’ on technology transfer & capacity building COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Main conclusions COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

CDM project areas Indonesia Malaysia Philippines Thailand Vietnam Pulp & paper Tapioca/starch/palm oil Malaysia Motor vehicles Cross-cutting technologies Philippines Cement Iron & steel Thailand Power production Vietnam COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Indonesia Large coal deposits but natural gas pricing (in US$) is a handicap to fuel switching Waste management can be an energy efficiency measure in several industries Lack of information flow on CDM National CDM-related processes must move forward COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Malaysia Large-scale information & awareness campaign required Policy framework needed Institutional structures/facilities should be established Capacity for project development lacking COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Philippines Past activities insufficient for wider public beyond UNFCCC FPs Industrial sector still “in the dark” & therefore reluctant to embark on CDM Recommends series of awareness-raising seminars & workshops Financial constraints are a major barrier to implementation of energy efficiency measures CDM may help tip the scales COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Thailand Critical need to strengthen CC authorities Laws & regulations need revision 3 groups of country barriers Financial, market/policy & capacity Several ‘CC/CDM’ barriers COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Vietnam Industry will soon become biggest emitter of GHGs Many barriers need to be removed Laws & regulations need revising Institutional structure should be changed Integrated programme should be developed Assistance in urgently needed COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Next-step outputs Barrier removal strategies ‘Integrated’ capacity building programme Regional & national components Participation of relevant (sub-) regional bodies ‘Invite’ other countries Portfolios of potential industrial CDM projects Public-private partnerships Network & knowledge base COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Financing studies industrial projects under the CDM Large scale General options (short-, medium- & long- term instruments) FDI & ODA Project finance (off balance sheet) Enhancing bankability through CDM Guidelines Financing initiatives & carbon funds Capacity building needs COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Financing studies industrial projects under the CDM Small scale Regulatory & policy frameworks (RE & EE) Financing routes & schemes Barriers, risks & experiences Options for small scale project financing Case studies 6.0 MW Rice Husk-Fuelled Power Plant 2.0 MW Landfill Gas Power Generation Plant Wind Hybrid System COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

EGM Industry & the CDM in Asia Bangkok, 10-12 December 2001 COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

EGM The EGM covered: Country case studies Observer programmes MRI/Japan; CCT/Thailand; ASEAN Centre for Energy; ADB; UNDP; TAPCG/Philippines; Cogen/AIT; CRL Energy/NZ; WWF CDM Project Issues Financing large & small-scale industrial CDM projects Development of industrial CDM projects Potential industrial CDM projects from the region COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

UNIDO/MRI Forum CDM and Kyoto Protocol: Opportunities for Japan in Asia Tokyo, 25-25 June 2002 COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

UNIDO/MRI Forum 1st public-private sector dialogue in Japan (policymakers, academia, private sector, finance sector) 20 speakers, 300 participants Main objectives to: familiarize Asian industrialists with the CC negotiations, the Kyoto Protocol and CDM discuss CDM-related opportunities & issues in Asian industry identify specific opportunities for developing the CDM from an Asian industrial investors’ perspective. COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

Discussion highlights Lots of opportunities in the region Already private sector transactions ‘Rules of the game’ need finalizing PPPs needed Learn-by-doing (include academia & IGOs) Market issues efficiency & integrity price government policy degree of regulation COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002 

http://www.unido.org/knitt/files/ … More information http://www.unido.org/doc/310797.htmls & http://www.unido.org/knitt/files/ … Indonesia: BIBL/RASI_17-51_report.pdf Malaysia: BIBL/ RASI_17-52_report.pdf Philippines: BIBL/ RASI_17-53_report.pdf Thailand: BIBL/ RASI_17-54_report.pdf Vietnam: BIBL/ RASI_17-55_report.pdf Financing: BIBL/ RASI_11-53_report.pdf & BIBL/ RASI_UNDP-report.pdf Bangkok meeting: MEET/RAS-MTG2_report.pdf Tokyo meeting: MEET/UNIDO_MRI5.pdf (full report) COP8 side event: Climate Change Issues and CDM opportunities in Asia, 31st October 2002