Morten Pedersen Deputy Programme Director Danish Environmental Protection Agency Climate Change Division

Denmark - an ’early mover’ Denmark among the first countries to actively support and make use of the flexible mechanisms. Marrakech Accords adopted in We want to help create a market for private investments in JI and CDM. The Danish government allocated the first funds for JI in May mill. Euro. From mill. Euro for JI and CDM every year. Additional funds available for capacity building in host countries.

Danish Procurement Programme for JI DanishCarbon.dk: 8 contracts tonnes CO 2, 2 mill tonnes CO 2 as options. 4 are implemented and generating emission reductions. 2 Contracts without LOA 1,21 Mill tonnes CO 2 Expected for Indirect contracts 2.85 to 3.7 mill. tonnes CO 2. So far one contract in JI-countries under the NEFCO Testing Ground Facility.

DanishCarbon.dk JI-projects under development. Have received LoE / LoI. PDD developed or under elaboration A number of projects have been determined.

Biomass Energy in Romania 720,000 tons CO 2 e

Biomass Energy in Romania Implemented in Five Towns

Biomass Energy in Romania Total investment: 15,1 mill. USD. Baseline: Replaces fossil fuels, reduces methane emissions by using sawdust instead of dumping. Determined by SGS. Main barrier: Securing financing, establishing baseline for methane emissions, securing daily monitoring. Status: Implemented, first verified emission reductions delivered. Determined by DNV.

The project hosts Project hosts are making investment decisions and taking a lot of risks. Important that project hosts feel confident that the flexible mechanisms are successful. Without trust in the financial contribution from the mechanisms a lot of good projects will not happen. Rules and procedures must be both simple and stable to help build this trust.

Recommendations for further work of JISC Important to create flexible and efficient rules. Learn from the experience of CDM. These rules are widely known and used. Fair definition and treatment of ’early movers’. The treatment of ‘early movers’ will set the mood for future decisions about JI projects.

Recommendations for further work of JISC The Independent Entities will have a key role in JI. Important to have a credible accreditation procedure. But also important not to make the procedure to bureaucratic. Recommend a fast-track accreditation for companies that are already accredited as DOEs under the CDM. Not necessary to have separate accreditations for determination of PDDs and of monitoring reports.

Conclusion Impressed with the work of the JISC so far. High degree of commitment. Very ambitious work-programme for this year. Important to come to decisions and to find flexible solutions. High hopes for the future work of JISC!

For further information Please contact: Morten Pedersen