Highlights of the 61st meeting of CDM Executive Board

Highlights of the 61st meeting of CDM Executive Board

Bonn, 3 June 2011 -– At its 61st meeting, the CDM Executive Board took decisions expected to further enhance quality of emission reductions, efficiency, and access to the mechanism.

As part of a package of changes to streamline issuance procedures, the Board decided to adjust the level of scrutiny it gives to the various aspects of requests for issuance according to the expected level of damage from a potential erroneous assessment. This so-called risk-based approach is designed to give submissions the appropriate level of scrutiny.

“Taken together, these changes will streamline the process and improve the quality of assessment, by freeing up more time to concentrate on submissions,” said Board Chair Martin Hession.

To help project developers in lesser developed countries identify whether their projects meet the so-called additionality requirement –- reductions must be in addition to what would have occurred in the absence of the project -– the Board has allowed for the application of specific default factors for use in financial assessments of additionality. This will be especially useful in countries where financial data are scarce.

“This should give some developing countries a leg up when it comes to showing additionality, without compromising on the quality of emission reductions. It’s another step we’ve taken to make the CDM more efficient and help extend its benefits to underrepresented countries,” said Mr. Hession.

At the meeting, the Board considered the question of whether CDM’s rules and procedures ensuring stakeholder consultation are being followed and whether they are adequate. The Board asked the UNFCCC secretariat to prepare a note on the matter for consideration by the Board.

“We’ve initiated an assessment of procedures relating to stakeholder consultation, with a view to improving their implementation and enhancing the CDM’s ability to deliver sustainable development benefits,” said Mr. Hession.

The Board also took its first look at a draft revision of the baseline and monitoring methodology for projects that destroy HFC-23, a potent greenhouse gas and by-product in the manufacture of refrigerant HCFC-22. Following a report by its Methodologies Panel, the Board decided in December 2010 to put the methodology (AM0001) on hold and to enhance its stringency.

“There is clear consensus around the need to address potential perverse incentives through revision of the methodology, but before we adopt anything, we have to be sure it will do the job. The proposed revision is complex and ambitious, so we need to further assess its potential impact,” said Mr. Hession.

The next meeting of the CDM Executive Board will be held on 11–15 July in Marrakesh, Morocco.

For the full report of the meeting see <http://cdm.unfccc.int/EB/index.html>.