1. NAMA for promoting use of Biogas Sudhir Sharma, Senior Advisor, Climate Change Second Capacity Building Workshop on LCD and NAMAs Da Son, Hai Phong, Vietnam, 16 – 18 December 2013

2. Basic questions The starting point for NAMA is that present environmental regulation requires establishment of anaerobic treatment facility resulting in development of methane emissions. This raises following questions – Does the existing system of open pond disposal on land meet the environmental regulation for disposal of waste in the water bodies? – what is the environmental regulation requirement for BOD and COD for disposal of waste in water bodies? – Does the anaerobic treatment based system result in waste treatment that meets the regulatory requirement for BOD and COD.

3. Scope of NAMA NAMA would cover only large farms to address the issue of use of biogas – because the small household farms already use the biogas generated for self consumption (heat and cooking?) – government strategy to use biogas energy as electricity generation resource, which is possible only on big size farms But how can the outcomes of the NAMA implementation achieve the larger goal of biogas generation and use in all animal waste based systems of all scales.

4. Scope of NAMA To generate electricity from the biogas for supply to grid Is not possible to look at other options – electricity generation for creating mini-grids where grid coverage has not reached – use of biogas as heating and cooking energy source – bottling of biogas – model where private person buys biogas from farm and produces electricity. Are there any technical or other challenges in using these options?

5. Baseline Important to consider the use of biogas in the baseline for example, – farms could use it for there own heat use, – safety requirements might require flaring of certain amount of gas

6. Further analysis on Barriers what are the regulations and specifications on the treatment of waste to meet required standards for disposal of waste in water bodies and what are the gaps. what are existing regulations and specifications of uplinking small RE projects to the grid and what are the gaps. review of similar policies and regulations in other countries to identify the required steps. what is the existing avenues for accessing finance by the pig farms and the costs of getting loans. analysis of present markets for small electricity generator sets and their terms of sales. As well as after sales service availability for the electricity generators. analysis of the present system for quality control and testing as well as approval of equipment for sale of electricity generators.

7. Work to strengthen activities for NAMA (March – June) Identification of key actors in the successful implementation for informing and consulting them on NAMA, e.g, EVN (MOIT), some of the local communities, for pig farmers. Based on analysis of grid connectivity of small RE projects identify the elements of regulation required in consultation with EVN. It is not to develop the full specification, but to identify the key elements along with EVN, which could be further developed in the first year of NAMA implementation. This will help shorten the adoption of regulation in the system. Financial analysis of models for use of biogas based to assess the viability and identify the support needed for meeting the cost. This is required to develop the financial estimates for implementing NAMA and also identifying various sources of funds. Consultations with banks and other avenues for loans to pig farmers for identifying key issues in extending loans, such as risk, viability of projects assessment, etc. to identify the possible ways of providing loans.

8. Other elements of NAMA Financial plan for NAMA implementation – estimate the cost of implementing the different steps, including a support mechanism for farms to be covered in the NAMA. – discussions with relevant stakholders to develop the different sources of finance – Vietnam government, banks, and what is needed from donors MRV plan Implementation plan and partners for implementation – with clear roles – MONRE and its clear role – MOIT, Directorate of Energy, and EVN – Ministry of Finance, Banks and other financial institutions – local committees for handling the funds for providing support. – Ministry or institution responsible for implementing and enforcing standards for equipments. – Importer/Manufactures associations – Farmers association – Technical institutes/civil society organization