International Climate Policy Case Study Sven Bode Design of JI projects under the Kyoto Protocol to reduce CO 2 emissions December 12/13, 2002, Zagreb Research Programme on International Climate Policy

International Climate Policy Baseline - Study Objective: not: elaboration of a perfect Project Design Document Get an idea about project-based mechanisms Define a reference scenario (baseline) Set system boundaries Ways to quantify project emissions and resulting emission reductions Consider monitoring  to make you think (assume first track JI project) Sven Bode

International Climate Policy Concept of project-based mechanisms Sven Bode Emission reduction Time Emissions t I = Project implementation Reference scenario Emissions after project implementation Emissions are quantified ex-post!

International Climate Policy Concept of project-based mechanisms Sven Bode Quantification of emissions (E): E = s * A s = specific emissions (e.g.: g CO 2 /kWh el ) A = Activity level (e.g. kWh el ) Quantification of emission reductions (R): R = E baseline - E project

International Climate Policy Baseline - Study Study 1 (morning session): Project within the private (household) sector Study 2 (afternoon session): Industry project Sven Bode  assume first track JI project! (baseline determination easier)

International Climate Policy Case Study I Situation: A private housing company is thinking about renovating several of their houses. It is planned to improve the insulation and to connect those buildings to the local district heating system and thus exchange the existing single room based coal Sven Bode

International Climate Policy Solving the problem... Determine a suitable specific emission factor Define an appropriate activity level Quantify baseline emissions Quantify project emissions and emission reductions Sven Bode Case Study I

International Climate Policy Possible solution 1) Determination of heat demand for norm climate conditions before renovation. This figure is generally calculated during the design of houses. Depending on the country, maximum values are established (kWh th /a). 2) Find out emission factor of fuel as for example coal, gas... (g CO 2 /kWh th ) 3) Calculate baseline emission (those that would have occured if the project had not taken place) Sven Bode Case Study I

International Climate Policy Possible solution 4) Determination of heat demand for norm climate conditions after renovation. This figure is generally calculated during the design of houses. Depending on the country, maximum values are established (kWh th /a). 5) Take emission factor from 2 (g CO 2 /kWh th ) 6) Calculate project emission (those that are actually emitted after the project had not taken place) 7) Quantify emission reduction. Sven Bode Case Study I

International Climate Policy Possible solution 8) One may take into account actual weather conditions during the crediting period: introduction of an adjustment factor Sven Bode Case Study I k = Number of heating degree days *) in the year analysed Number of heating degree days in the last 5 (10) years *) Heating degree days are generally recorded by (national) meteorological institutes

International Climate Policy Possible solution 1) Determination of heat demand for norm climate conditions before renovation. This figure is generally calculated during the design of houses. Depending on the country, maximum values are established (kWh th /a). 2) Find out emission factor of fuel as for example coal, gas... (g CO 2 /kWh th ) 3) Calculate baseline emission (those that occur if the project had not taken place) Sven Bode Case Study I