1. Sustainable Development: Cooperation in FEALAC Sustainable Development: Cooperation in FEALAC October ，２００ 7 Economy and Society WG Delegation of Japan ECO/2007/14

2. FEALAC and the Sustainable Development The 4 th Economy and Society WG concluded that sustainable development, especially the Clean Development Mechanism, should be one of its core programmes…. The 4 th Economy and Society WG concluded that sustainable development, especially the Clean Development Mechanism, should be one of its core programmes….Why?How?

3. International framework on climate change United Nations Framework Convention on Climate Change  Goal: Stabilization of greenhouse gas concentrations in the atmosphere  opened for signature at the World Summit in 1992 and came into force in 1994.  concluded by 188 nations and the European Union. Kyoto Protocol  obliged developed countries etc. to reduce GHG emissions by assigned percents compared to their 1990 levels in 5 years from 2008,  adopted in Kyoto in Dec. 1997. Commitment to reduction of GHG emissions （ compared to their 1990 levels ） Japan － 6 ％ US － 7% EU － 8% Commitments of all parties  To develop a national inventory of anthropogenic emissions  To formulate a national programme to mitigate climate change, etc. Commitments of developed countries Report on policies and measures to reduce emissions to 1990 level. Commitments of developed countries to assist developing countries Financing, technology transfer, capacity building Canada － 6% Australia +8% Russia ±0%

4. Annex I Parties Reduction commitment (% of base year) base year) Annex I Parties Reduction commitment (% of base year) Annex I Parties Reduction commitment (% of base year) Australia8Portugal-8Lithuania-8 Austria-8Spain-8Poland-6 Belgium-8Sweden-8Romania-8 Canada-6Switzerland-8 Russian Federation 0 Denmark-8Turkey-Slovakia-8 Finland-8U.K.-8Slovenia-8 France-8USA-7Ukraine0 Germany-8Monaco-8 Greece-8Liechtenstein-8 Iceland10Kazakhstan- Ireland-8Belarus- Italy-8Bulgaria-8 Japan-6Croatia-5 Luxembourg-8 Czech Republic -8 Netherland-8Estonia-8 New Zealand 0Hungary-6 Norway1Latvia-8

5. Annex I Parties Reduction commitment (% of base year) base year) Annex I Parties Reduction commitment (% of base year) Annex I Parties Reduction commitment (% of base year) Australia8Portugal-8Lithuania-8 Austria-8Spain-8Poland-6 Belgium-8Sweden-8Romania-8 Canada-6Switzerland-8 Russian Federation 0 Denmark-8Turkey-Slovakia-8 Finland-8U.K.-8Slovenia-8 France-8USA-7Ukraine0 Germany-8Monaco-8 Greece-8Liechtenstein-8 Iceland10Kazakhstan- Ireland-8Belarus- Italy-8Bulgaria-8 Japan-6Croatia-5 Luxembourg-8 Czech Republic -8 Netherland-8Estonia-8 New Zealand 0Hungary-6 Norway1Latvia-8

6. 19902000 (2005) +8.1 % ▲6% Target Past actual emissions （％ ） Target Setting of the Plan The Kyoto Target Achievement Plan * One percent of the base year emissions is equivalent to 12.6 million ton-CO2 2010 6.5% reduction by additional domestic measures Removal by sinks (3.9%) Kyoto Mechanism (1.6%) Projected level by the current plan: +6.0% over the base year 12.0% ▲0.5% * 3 GHGs (CO2, CH4 and N2)

7. The Kyoto Mechanism Clean Development Mechanism Joint ImplementationEmission Trading Annex I Party [A] Annex I Party [B] Paymen t Annex I Party [ Ａ ] Investment Technology Annex I Party [A] Investment Technology Annex I Party [B] Emission Reduction Project Emission Reductions Non- Annex I Party[B] Emission Reduction Project Emission Reductions A market-based system that allow the flexibility for Annex I Parties to buy and sell emission reductions in order to honor the commitment. Emission reduction projects jointly implemented by entities within Annex I Parties. Emission reductions can be transferred to donor country to honor its commitment. Emission reduction projects jointly implemented between industrialized country and developing country. Emission reductions can be transferred to donor country to honor its commitment. These trades and projects can be carried out by private entities as well as parties. Emission reductions

8. CO 2 Emissions Source ： CO2 Emissions from Fossil Fuel Combustion, OECD ２００ 4 １９９０ Worldwide ： 26.58billion CO2 tonnes China 17.9% EU15 12.5% India 4.1% Other Asia 7.0% Middle East 4.5% Africa 3.1% Latin America 3.4% US 21.8% Japan 4.6% Russia 5.7% Others 15.4% Worldwide ： 21.34 billion CO2 tonnes

9. GHG Emission Estimate

10. CO 2 Emissions CO2 Emission per capita(2000 ） CO2 Emission per GDP(2000 ）

11. Targets of cooperation in FEALAC 1.Enhance finding/formation of CDM projects and transactions of Emission Reduction among FEALAC members. 2.Policy coordination in international fora.

12. CDM project finding and formation: Japan ’ s cooperation tools Network formation through Young Leaders Pogramme with experts in CDM Network formation through Young Leaders Pogramme with experts in CDM Technical cooperation by JICA & JETRO Technical cooperation by JICA & JETRO Finance by JBIC Finance by JBIC

13. CDM Projects (Registered or in process in UN) ＵＮＥＰ : CDM pipeline overview （ 2007) By Countries and Regions By Project Types China 48% India 17% Other Asia 11% Brazil 8% Other Latin America 5% Mexico 3% South Africa 4% Europe/Central Asia 0% Chile 2% MENA 2% HFCs ・ PFCs 26% Methane 18% N2O 12% Energy Efficiency 9% Biomass power generation 8% Hydro power 9% Carbon Conversion 7% Wind Power 6% Afforestation/Reforestation 0% Others 4% Other renewable energies 1%

14. CDM/JI Projects with Japan 98 Projects (CDM ; 93 JI ; 5) Total Reduction 48,114,000 t-CO2/y (approved as of January 17, 2007) Project type Countries and Regions

15. Policy Coordination in International Fora Progress in COP/MOP2 in Nairobi (November 2006) –Steps forward to include Carbon Capture and Storage in CDM projects –Enhancement of small-scale CDM projects to promote energy efficiency –Agreement to elaborate a new guidance on afforestation/reforestation

16. Strategic Lines of Cooperation in FEALAC  Explore further areas of mutual interest to seek major possibilities of cooperation.  Major contacts and exchanges among CDM experts of FEALAC Members.  Major effort to enhance works in CDM Executive Board in the areas of energy efficiency and afforestation/reforestation.

17. Thank you Gracias