Joint Implementation Projects Research Articles

Directions, experience and prospects for the implementation of carbon projects in Russia

At the moment, the problem of increasing greenhouse gas emissions is global, requiring prompt action to mitigate the effects of global climate change. In recent decades, there has been a clear correlation between global climate change and an increase in greenhouse gas emissions of anthropogenic origin. The strengthening of the climate agenda is leading to an expansion of activities in the field of developing ways to decarbonize, as a result, business and industry are considering various options for reducing emissions, in particular the implementation of carbon projects. The article summarizes the experience of implementing climate projects in Russia both in the first period of the Kyoto Protocol and under the current legislation. Climate projects implemented at enterprises of various industries in various areas are considered, including projects on energy efficiency, renewable energy sources, forest carbon projects. An overview of joint implementation projects in the following industries is presented: non-ferrous metallurgy, steelmaking, oil refining, energy, chemical industry, etc. Special attention is paid to the description of the prospects for the development of new natural and climatic projects related to wetlands, aimed at the restoration and secondary watering of peatlands. Taking into account the fact that the ability of wetlands in general and peatlands in particular to sequester and store carbon has been sufficiently studied, and Russia has the world's largest peat reserves, it is therefore advisable to use the potential of wetlands for the development and implementation climate projects with subsequent issuance and sale of carbon credits on the national or international markets.

Applying the international esco concept to energy saving projects in the energy production sector in northwest Russia

The economy of the Russian Federation and its growth rate currently depend greatly on thecountry's fuel and energy industry and actual development of the business. To maintain theenergy production at least at the present level, capacity must be increased by several gigawattsannually. This sets up an extensive need for investments. One effective solution to theproblem is the realization of energy saving investments, which have very high potential inRussia.The EU project FRESCO (I 0/2003-12/2005), administered by Lappeenranta University ofTechnology, studies the possibilities to promote Finnish energy business in Northwest Russia.The project examines the ESCO concept that is proposed and anticipated to be a potentialfinance tool in energy saving projects in the target area. The international ESCO businessaims at finding solutions to the following problems: the lack of investments, undevelopedtechnology in use, ineffective energy systems, bureaucracy and risks.Potential and feasible ESCO project targets in energy production include a new pre-furnacefor utilization of bio fuels, a new economizer and a boiler automation upgrade. In the nearfuture - when markets exist - the ESCO concept could also be a finance tool in utilizing wastein energy production. For example bio waste from sawmills has significant potential as fuelfor local boilers.Through energy efficiency projects, greenhouse gas em1ss10ns can also be reduced. Theinternational climate policy brings in its own possibilities to finance energy investments andclimate projects. Russia ratified the Kyoto Protocol in February 2005 and can therefore takepart in international emissions trading in 2008 if the country observes the provisions of theProtocol concerning emission reduction units. Alternatives for carbon finance options couldbe, in addition to international emissions trading, Joint Implementation projects and GISprojects, in which so called "hot air" is utilized.

Современные тенденции и направления в развитии геодезии: прогноз на ближайшие пять-семь лет

Abstract: In recent years professional societies have been undergoing fundamental restructuring brought on by extensive technological change and rapid evolution of geospatial science. Almost all professional communities have been affected. Communities are embracing digital techniques, modern equipment, software and new technological solutions at a staggering pace. In this situation, when planning financial investments and intellectual resource management, it is crucial to have a clear understanding of those trends that will be in great demand in 5–7 years. This paper reviews current scientific and practical activities of International Federation of Surveyors, analyzes and groups the most relevant topics brought up at their scientific events, forecasts most probable research and practical trends in geodesy and geoindustry, outlines topmost leading countries and emerging markets for further detailed analysis of their activities, types of scientific cooperation and joint implementation projects.

RESEARCH AND PRACTICAL TRENDS IN GEOSPATIAL SCIENCES

In recent years professional societies have been undergoing fundamental restructuring brought on by extensive technological change and rapid evolution of geospatial science. Almost all professional communities have been affected. Communities are embracing digital techniques, modern equipment, software and new technological solutions at a staggering pace. In this situation, when planning financial investments and intellectual resource management, it is crucial to have a clear understanding of those trends that will be in great demand in 3-7 years. This paper reviews current scientific and practical activities of such non-governmental international organizations as International Federation of Surveyors, International Cartographic Association, and International Society for Photogrammetry and Remote Sensing, analyzes and groups most relevant topics brought up at their scientific events, forecasts most probable research and practical trends in geospatial sciences, outlines topmost leading countries and emerging markets for further detailed analysis of their activities, types of scientific cooperation and joint implementation projects.

RESEARCH AND PRACTICAL TRENDS IN GEOSPATIAL SCIENCES

Abstract. In recent years professional societies have been undergoing fundamental restructuring brought on by extensive technological change and rapid evolution of geospatial science. Almost all professional communities have been affected. Communities are embracing digital techniques, modern equipment, software and new technological solutions at a staggering pace. In this situation, when planning financial investments and intellectual resource management, it is crucial to have a clear understanding of those trends that will be in great demand in 3-7 years. This paper reviews current scientific and practical activities of such non-governmental international organizations as International Federation of Surveyors, International Cartographic Association, and International Society for Photogrammetry and Remote Sensing, analyzes and groups most relevant topics brought up at their scientific events, forecasts most probable research and practical trends in geospatial sciences, outlines topmost leading countries and emerging markets for further detailed analysis of their activities, types of scientific cooperation and joint implementation projects.

The impact of surplus units from the first Kyoto period on achieving the reduction pledges of the Cancún Agreements

Countries with emission levels below their emission allowances have surplus Assigned Amount Units (AAUs) or other emission credits. Under the Kyoto Protocol, these surplus credits may effectively be carried from the first to a following commitment period. In the climate negotiations, various rules for carry-over and sale of surplus allowances have been put forward. This paper analyses the effect of these options on the reduction pledges for 2020, taking into account the estimated credits from the Clean Development Mechanism, Joint Implementation projects, and land-use activities for the first commitment period. For current Kyoto Protocol rules of unlimited carry-over of surplus allowances and limited carry-over of other credits, the environmental effectiveness of reduction pledges could be seriously undermined. For the group of countries that showed a willingness to participate in a second commitment period, it could imply that instead of an aggregated 2020 target resulting from the pledges of 18 to 28 % below 1990 levels by 2020, their emissions could return to business-us-usual emission projections. For the EU, a 30 % target by 2020 could imply higher emissions compared to a 20 % target, if surplus allowances would be used for achieving the 30 % but not for the 20 % target. Restricting the use of Kyoto surplus units to domestic use only, would limit the problem, but still seriously undermine the effectiveness of 2020 reduction targets.

Domestic offset projects in the built environment

Emission reduction activities in the European Union (EU) in- and outside the European Trading System (ETS) thus far have largely taken place separately. One possibility to combine the two is through linking Non-ETS offset project-based crediting schemes in the form of Joint Implementation or domestic offset (DO) projects with the EU ETS. Linking would allow non-ETS offset project-based CO2 credits to be traded within the ETS market. This paper discusses the merits and drawbacks of the implementation of a DO scheme in the built environment in the Netherlands. The built environment can be characterised as a sector with a great diversity and significant energy savings potential. Emphasis is paid on the modalities for estimating energy savings under DO projects. The authors discuss if next to existing EU, national or regional policies in the Netherlands, DO could spur initiatives in sub-sectors or market areas that are difficult to reach with conventional policy instruments. Thus, despite the existing policy framework in this sector, there could be still space for DO to reach the untapped energy savings potential. DO can support activities and technologies that are not covered by other policy instruments, either because they are not part of the instruments focus or are above the minimum requirements of the incumbent policy targets. It is expected that some lessons from this study in the Netherlands can be taken into account also by other countries facing similar market circumstances, which have implemented several policy instruments and are considering DO schemes as an alternative for capturing part of the untapped energy saving potential in their end use sectors. Another possible advantage of DO is that is has the potential to reduce public spending on existing policy goals, when it is considered in conjunction with existing public financing instruments. In order to tap into this potential, there are a series of hurdles in place, like additionality and the current CO2 price levels, while transaction and administration costs must be kept low.

Legal Protection and (the Lack of) Private Party Remedies in International Carbon Emission Reduction Projects

The Kyoto Protocol has not only created carbon emission reduction obligations for industrialised countries, but also opportunities for the private sector to participate in its ‘flexible mechanisms’. Although the outcome of the Copenhagen Climate Change Conference may not have been what the carbon market was hoping for, market parties are still hopeful that a successor treaty to the Kyoto Protocol will include similar market mechanisms. One of the current Kyoto mechanisms is ‘joint implementation’, which allows private legal entities to engage in international emission reduction projects that generate tradable emission rights. Private parties can act as verifiers of the emission reductions achieved by such projects, or as buyers of the generated emission rights (such buyers may include utilities, energy and mining companies, as well as banks, traders and private investors). During the joint implementation project cycle, these private parties can become involved in several types of disputes with various counterparties. This article explores the legal remedies available to such private parties. Long-term private sector investment and contribution to the objectives of the Kyoto Protocol are more likely to occur in a stable regulatory environment, which requires a certain degree of legal protection, including proper access to justice in case disputes arise. This should also be taken into account in the post-Kyoto legal framework.

Development of coal mine methane concentration technology for reduction of greenhouse gas emissions

In coal mines in such countries as China and Russia, most of the coal mine methane (CMM) generated during mining is emitted to the atmosphere without any effective usage, because the methane concentration of CMM is relatively low and not allowed to be used as fuel for safety reasons. Methane is one of the greenhouse gases. Therefore, if it becomes possible to concentrate CMM to an acceptable level for use as fuel, this will greatly contribute to reduction of greenhouse gas emissions. With the aim of gaining approval as a greenhouse gas emission reduction of the clean development mechanism (CDM) or joint implementation (JI) project, we developed a CMM concentration system to apply the vacuum pressure swing adsorption (VPSA) technology using a high methane-selective adsorbent by Osaka Gas Co., Ltd. The pilot-scale plant of a CMM concentration system was installed in a coal mine in Fuxin City in the northeastern China and a demonstration test was commenced in December 2008. As the result, the pilot-scale plant successfully concentrated the raw material gas with a methane concentration of 21% and a flow rate of 1000 Nm3/h to 48%, which exceeded the target of the methane concentration performance (a 25% increase). The methane recovery rate reached 93%.

A Review of Kyoto Protocol Adoption in Russia: Joint Implementation in Focus

Russia’s role in ‘animation’ of the Kyoto Protocol was crucial. Its initial vacillation on ratification was predominantly due to political bargaining with the EU. Domestic economic rationales [i.e. impacts of emission trading and Joint Implementation (JI) projects] were important to a much lesser extent and environmental motives did not seem to play any role in the decision. Since the Protocol entered into force, there have been significant delays in complete establishment of policy implementation frameworks, which are necessary for Russia to start benefiting from JI and emission trading. Only recently, in 2007, have GHG inventories and a national registry been established and the responsibilities for implementation of the Protocol and JI among the government departments have been distributed only to a certain extent. Some constraints hindering JI projects, such as vague legislation, an unfavourable economic climate, lack of commitment to JI projects, corruption, xenophobia, state and agency ‘capture’ still remain.

Joint Implementation in Ukraine: national benefits and implications for further climate pacts

Ukraine has successfully established a domestic institutional system for approving Joint Implementation (JI) projects under the Kyoto Protocol, and has shown that the system is functional by issuing approval letters. Several JI projects are being implemented in Ukraine. Project developers widely regard Ukraine as the best host country for JI projects, although the project approval system is slow and bureaucratic. Barriers were identified by this study, but the drivers of JI in Ukraine are stronger, and Ukraine has emerged as a highly competitive JI host. JI is likely to provide some support to Ukrainian participation in the future international climate regime, especially as the government is calling for the continuation of JI or other similar mechanisms to be used as a tool to finance emission reductions. This article argues that the major contribution of JI in Ukraine relates to capacity building, and the readiness of the country to participate in international climate policies in the future, rather than the financial and social benefits of JI.

Carbon sequestration after pine afforestation on marginal lands in the Povolgie region of Russia: A case study of the potential for a Joint Implementation activity

According to the Kyoto Protocol, a Joint Implementation project is a mechanism whereby one industrialized country can finance a greenhouse gas-reducing project in another country. The investors in the project can, in return, claim credits for the reduction in carbon (C) emissions and carbon sequestration. The purpose of this case study was to investigate the potential for carbon sequestration from such projects. The study covers afforestation with Scots pine on unforested land (burnt areas, cleared spaces, gaps, etc.) in the Povolgie region of Russia. Three scenarios were compared: (1) no afforestation (baseline scenario); (2) afforestation with pine, and carbon sequestration only considering above-ground tree biomass; (3) afforestation with pine, but accounting for carbon sequestration in all pools. On average, carbon sequestration in the above-ground tree biomass could be around 80 t C ha−1 during 50 years of pine (Pinus sylvestris L.) plantation growth with 54 t C ha−1 in equilibrium storage. A considerable amount of carbon will be bound in the lower layer of the pine forest stand (24 t C ha−1), which is usually underestimated in afforestation Joint Implementation projects, and wood-based products (35 t C ha−1). Sequestered carbon in equilibrium storage is allocated in the following proportions: 46% in pine stands, 21% in the lower level and 33% in wood-based products. To extend the carbon sequestration, harvested wood should be used to manufacture products for long-term use. The results indicate good potential for such projects in the investigated territory in a long-term perspective, in compliance with international costs for sequestered carbon.

Eco-efficiency approach for global warming in the context of Kyoto Mechanism

This study discusses an approach to measuring and improving the economic and ecological efficiency of Kyoto Mechanism projects. The approach consists of Global Warming Eco-Efficiency (GWEE), Clean Development Mechanism (CDM) & Joint Implementation (JI) Environmental-Efficiency (EE) and CDM & JI Economic-Productivity (EP). The GWEE indicator is based on the ratio of the value added of a system to its global warming influence in order to measure the eco-efficiency of a product in terms of the global warming issue. In addition, CDM & JI EE and CDM & JI EP are proposed to measure the environmental and economic performances of CDM and JI projects, respectively. While EE is defined as the ratio of the Certified Emission Reductions (CER) obtained from a CDM project or Emission Reduction Unit (ERU) from a JI project to total global warming influence relevant to the CDM or JI implemented, EP is defined as the ratio of the total of CER profit (and ERU profit) and the sales revenue to the costs of the CDM (and JI) implemented. Then, the feasibility of these indicators is examined through a case study for the power generations in the field of alternative energy.

The Private Sector and the Implementation of the Kyoto Protocol: Experiences, Challenges and Prospects

This article emphasizes the critical importance of the private sector to the success of the efforts to mitigate climate change. Analysing the progress and experiences gained so far, this article concentrates on the role of the private sector in the operationalization of the Kyoto Protocol's three flexible mechanisms, namely Joint Implementation (JI), the Clean Development Mechanism (CDM) and international emissions trading. The article illustrates in detail the various tasks performed by private actors during the CDM and JI project cycles, and contemplates their possible participation under Article 17 of the Protocol on international emissions trading. While identifying some challenges, the article argues that the Kyoto Protocol's flexible mechanisms have succeeded in finding innovative ways of involving the private sector in climate change mitigation and that the post‐2012 climate regime should build on these experiences.

Kyoto protocol and the possibilities for reducing greenhouse-gas emissions in the Russian metallurgical sector

The most complete picture of the potential for reductions in greenhouse-gas emissions for a given plant or production process can be obtained by taking an emissions inventory in accordance with the internationally approved methodology. Ural Steel was one of the first plants to realize the possibilities of joint implementation projects. With the participation of specialists from Camco International and the National Organization for the Support of Carbon Absorption Projects (in Moscow), Ural Steel prepared a plan to expand and modernize its electric steelmaking shop. The modernization is to include the introduction of a high-productivity continuous caster, which should significantly reduce the material and energy content of rolled-product manufacturing. That will in turn reduce GHG emissions by 3,164,700 tons CO2-equivalent from 2008 to 2012. In other words, this project will reduce emissions by an average of 632,000 tons of CO2-equivalent each year.

Integrating Joint Implementation Projects for Energy Efficiency on the Built Environment with White Certificates in The Netherlands

In this paper we analyze policy interactions between two innovative climate and energy policy instruments, namely White Certificates (WhC) and Joint Implementation (JI) that target at energy efficiency improvement and reductions of Greenhouse Gas (GHG) emissions. We have selected The Netherlands and Bulgaria as a case study given that the former has a cumulated experience in energy efficiency policies and the latter for a growing potential in JI projects as a host country. Based on a method of analyzing policy interactions, we demonstrate how a possible design of such a scheme can take place and how it should function. A couple of parameters that deserve attention are a baseline definition and a conversion rate for credits. Our basic finding is that an integrated scheme is complementary and can assist substantially in achieving Dutch national United Nations Framework Convention on Climate Change (UNFCCC) Kyoto Protocol targets. Dutch electricity and gas suppliers (parties that receive energy efficiency obligations) can implement energy efficiency projects domestically and in other countries, hence reducing total abatement costs. Furthermore, such a scheme can stimulate further energy efficiency actions from other stakeholders participating in energy markets. Based on an ex-ante assessment, a carefully designed hybrid WhC and JI scheme appears to be effective in terms of targets, efficient, generating positive impacts on markets and society, while uncertain in stimulating innovation.

Measuring host country risk in CDM and JI projects: a composite indicator

What are the risks associated with Clean Development Mechanism (CDM) and Joint Implementation (JI) projects and how do these risks vary between countries? A composite indicator is presented for guiding procurement decisions in the carbon market and representing host country risks in emissions trading models. The indicator contains variables from a broad range of sources measuring the institutional environment for the Kyoto mechanisms, the regulatory environment, and the economic environment. Based on the indicator scores for 143 countries, rankings are produced for CDM and JI host countries. The host country risks of investing in JI projects are lowest in New Zealand, Denmark and Sweden. At the top of the CDM ranking are India, China, Mexico, Brazil and Chile. These results are similar to other rankings for CDM host countries, but not for JI host countries. This is due to the fact that—unlike other rankings—the mitigation potential is not taken into account.

Measuring host country risk in CDM and JI projects: a composite indicator

What are the risks associated with Clean Development Mechanism (CDM) and Joint Implementation (JI) projects and how do these risks vary between countries? A composite indicator is presented for guiding procurement decisions in the carbon market and representing host country risks in emissions trading models. The indicator contains variables from a broad range of sources measuring the institutional environment for the Kyoto mechanisms, the regulatory environment, and the economic environment. Based on the indicator scores for 143 countries, rankings are produced for CDM and JI host countries. The host country risks of investing in JI projects are lowest in New Zealand, Denmark and Sweden. At the top of the CDM ranking are India, China, Mexico, Brazil and Chile. These results are similar to other rankings for CDM host countries, but not for JI host countries. This is due to the fact that—unlike other rankings—the mitigation potential is not taken into account.

Evaluating technology transfer in the Clean Development Mechanism and Joint Implementation

To what extent do the Kyoto Protocol's flexible mechanisms facilitate technology transfer to reduce greenhouse gas emissions? This analysis reviews the Clean Development Mechanism (CDM) and Joint Implementation (JI) project portfolios, sample sets of projects, and the technology transfer (TT) literature to address this question. Criteria were developed to assess whether TT occurred relating to the origin of technologies, whether they differ from business-asusual (BAU), and whether knowledge to implement the technology was imported. For CDM projects, lower- and non-emitting energy technologies account for a large share of total projects in the portfolio, but a relatively low share of total emission reductions. For JI projects, lower- and non-emitting energy technologies play a somewhat stronger role than in CDM. Based on sample projects, approximately 50% of the CDM projects and 62% of the JI projects involved transfer of technology hardware from outside of the host country. The European Union accounted for 83% (JI) and 92% (CDM) of the value of technology exported for these projects. While the flexible mechanisms are facilitating TT, they are insufficient in themselves to allow key lower- and non-emitting technologies to overcome cost and risk barriers and become attractive for widespread deployment. The analysis suggests approaches to leverage the ability of the mechanisms to stimulate TT in key technologies.

Evaluating technology transfer in the Clean Development Mechanism and Joint Implementation

To what extent do the Kyoto Protocol's flexible mechanisms facilitate technology transfer to reduce greenhouse gas emissions? This analysis reviews the Clean Development Mechanism (CDM) and Joint Implementation (JI) project portfolios, sample sets of projects, and the technology transfer (TT) literature to address this question. Criteria were developed to assess whether TT occurred relating to the origin of technologies, whether they differ from business-asusual (BAU), and whether knowledge to implement the technology was imported. For CDM projects, lower- and non-emitting energy technologies account for a large share of total projects in the portfolio, but a relatively low share of total emission reductions. For JI projects, lower- and non-emitting energy technologies play a somewhat stronger role than in CDM. Based on sample projects, approximately 50% of the CDM projects and 62% of the JI projects involved transfer of technology hardware from outside of the host country. The European Union accounted for 83% (JI) and 92% (CDM) of the value of technology exported for these projects. While the flexible mechanisms are facilitating TT, they are insufficient in themselves to allow key lower- and non-emitting technologies to overcome cost and risk barriers and become attractive for widespread deployment. The analysis suggests approaches to leverage the ability of the mechanisms to stimulate TT in key technologies.