1. Applying ISO 14064 Greenhouse Gas Management Standards to RGGI’s Offset Program Jay Wintergreen jtw@firstenvironment.com Presented by Presented at Regional Greenhouse Gas Initiative Stakeholder Meeting Hartford, Connecticut May 2, 2006 ISO 14001 CERTIFIED

2. Overview of ISO 14064 International Organization for Standardization (ISO) – Non-governmental organization that coordinates 140 member countries’ national standard bodies in development of standards for technical or management issues ISO 9000 (quality) & ISO 14000 (environmental management) Development of ISO 14064 – Began in 2002 with identification of need for harmonization of diverse GHG programs proliferating at international, national, regional and local levels – Included over 11 international negotiation meetings and the efforts of experts representing over 36 countries – The ISO 14064 standard was released for use in March 2006 – ISO 14065 is expected to be completed by September 2006

3. ISO 14001 CERTIFIED Structure of the ISO 14064 Standard Part 1: GHG Inventories –Specifications for the quantification, monitoring and reporting of entity emissions and removals Part 2: GHG Projects –Specifications for the quantification, monitoring and reporting of project emissions and removals Part 3: Verification –Specifications and guidance for validation, verification and certification Source: ISO FDIS 14064, Part 2

4. ISO 14001 CERTIFIED Key Considerations regarding ISO 14064 ISO 14064 Parts 1&2 are generally consistent and compatible with respective WBCSD/WRI GHG Protocol modules – ISO 14064 identifies the what GHG Protocol provides the how and why – ISO 14064 can be audited GHG Protocol provides choices ISO 14064 is designed to be policy and sector neutral – Provides foundation upon which additional requirements can be layered Additionality, quality thresholds, etc.

5. ISO 14001 CERTIFIED Benefits of Using ISO 14064 for RGGI Offset Program Incorporation of best practice Consistency between project types Consistency in performance of verification Decreased transaction costs Potential to facilitate linkages with other programs – Canadian GHG Offset Program – UNDP Climate/Millennium Goals Program

6. ISO 14001 CERTIFIED Summary of Recommendations Suggest the application of ISO 14064 Part 2 to RGGI offset projects Propose the use of ISO 14064 Part 3 for the offset verification process Propose that ISO 14065 be used in establishing accreditation requirements for RGGI offset verifiers

7. ISO 14001 CERTIFIED Contact Information First Environment Corporate Headquarters 91 Fulton Street Boonton, New Jersey 07005 Tel: 1.800.486.5869 jtw@firstenvironment.com www.firstenvironment.com Offices in California District of Columbia Illinois Georgia Mississippi New York Puerto Rico Ontario, Canada