Carbon market and MDG Carbon Facility recent developments Matt Spannagle Carbon Technical Adviser Millennium Development Goals Carbon Facility Bureau for Development Policy United Nations Development Programme
1 UNDP MDG Carbon Facility 1 Recall: 15 million credits 28 to 44 projects (mid-point 36) To be sourced and reach ERPA in Projects vary by: Size Technology Geography MDG attributes Pipeline on-going development (not stop at end of 2009)
2 UNDP MDG Carbon Facility 2 Recall: MDG Impact Number of Countries Low High Low High Objective for UNDP’s Carbon Strategy Current CDM Market*
3 UNDP MDG Carbon Facility 3 What is in global pipeline? Region 2012 kt CO2 Number of projects Asia-Pacific 2,017,422 (78%) 2,419 (73%) LAC 400,939 (16%) 738 (22%) Africa 88,467 (3%) 47 (1%) Arab States 51,827 (2%) 56 (2%) Europe/CIS 18,027 (1%) 36 (1%) TOTAL 2,576,682 (100%) 3,296 (100%)
4 UNDP MDG Carbon Facility 4 What is in MDGCF ‘hard’ pipeline? Macedonia – animal & agricultural waste management and energy generation Yemen – landfill gas capture and destruction/use Rwanda – renewable energy Uzbekistan - reduction of natural gas leakage from compressor stations Ukraine – landfill gas Lugansk Albania – small hydro
5 UNDP MDG Carbon Facility 5 What is in the ‘soft’ pipeline? dynamic, based on ideas coming up Driven by CO/RTA updates - See Q3 report Many in soft pipeline will be discontinued/rejected (16:1) good regional spread – but getting to hard pipeline is the challenge!
6 UNDP MDG Carbon Facility 6 Pipeline development issues Areas of development Leads from capacity development projects in Africa, LAC & central asia partnerships/collaboration with other organisations Where UNDP looks good in more difficult countries (LDCs) in conjunction with national strategic policy priorities leveraging other UNDP work
7 UNDP MDG Carbon Facility 7 Pipeline development issues Opportunities coming up programmatic approach to reach community-level, smaller sites suppressed demand What are opportunities in YOUR country?
8 UNDP MDG Carbon Facility 8 Broader developments UN engagement & global politics UNDP Carbon market post-2012 CDM market post-2012 CDM EB tightening on additionality, new methodologies Sectoral approaches ‘positive lists’ Deemed approach REDD Voluntary market