1. Carbon Finance at EBRD: IGOs’ perspectives
Technical workshop on Joint Implementation
Bonn, 9/10 March 2006

2. EBRD’s role in the Carbon Market
project financing based on Carbon Credit sales
develop market
mobilise donor funds for project preparation:
e.g. CDM project preparation facility in Central Asia and Caucasus
policy dialog with Governments (if necessary)
intermediary purchasing carbon credits for the account of buyers
Netherlands Carbon Fund (2003)
aim on Bulgaria, Romania, Ukraine and Russia
Multilateral Carbon Credit Fund (“MCCF”): 2006
jointly with EIB
public and private window

3. EBRD pipeline: potential for JI
Bulgaria:
6 projects
4.3 million tonne CO2e
Romania
7 projects
4.4 million tonne CO2e
Large potential for Energy Efficiency
Energy Audits Program
Ukraine
6 projects
5.3 million tonne CO2e
Russia (co-operation with NEFCO and IFC)
7 million tonne CO2e
Potential for many more

4. Market and prices Price determined by supply and demand CER prices:
Higher prices: more projects
CER prices:
€ 4 start 2005
€ 9 end of 2005
Potential, but JI market is restricted by:
ETS, EU directives
Approval procedure (Russia and Ukraine)
Lack of rules and guidelines (JISC)
As a result: Limited competition and lower prices

5. What would improve JI market
quick
preparation of project: at least 6 months
certainty
project preparation: EUR ,000 (PDD, Validation, legal DD);
additionality only known at end of project preparation;
CDM guidelines: Barrier approach
simplified and standardised procedure;
country Carbon Emission Factor (Bulgaria: NEK CEF);
sector baselines

6. Small Scale Potential, but difficult Example: Project portfolio
6 projects: 2 hydro, 1 biomass, 2 CHP in industry, 1 efficiency improvement (400,000 EURs)
Different stage of development
Start preparation start 2004
Cost for preparation
PDD under validation
Hope to contract in April
CDM EB approved SCC procedure is not simplified