A New Framework for Estimating Greenhouse-Gas Reductions

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From Carbon to Light Methodologies for Carbon Finance Monitoring and Evalua9on Evan Mills, Ph.D. Lumina Project Lawrence Berkeley Na9onal Lab Ligh9ng Africa 2010 Business Conference Nairobi, Africa May 1820, 2010

description

There is massive need for improved lighting services in the developing world. Current efforts to provide those services involve the use of highly inefficient liquid and solid fuel combustion, which results in substantial greenhouse-gas emissions as well as other adverse impacts such as compromised indoor air quality. Grid-independent lighting systems based on light-emitting-diode light sources (LEDs) are the most promising alternative for simultaneously improving lighting services and reducing greenhouse-gas emissions.

Transcript of A New Framework for Estimating Greenhouse-Gas Reductions

Page 1: A New Framework for Estimating Greenhouse-Gas Reductions

From  Carbon  to  Light  Methodologies  for  Carbon  Finance  Monitoring  and  Evalua9on  

Evan  Mills,  Ph.D.  Lumina  Project  

Lawrence  Berkeley  Na9onal  Lab  

Ligh9ng  Africa  2010  Business  Conference  

Nairobi,  Africa  May  18-­‐20,  2010  

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Acknowledgements  United  Na9ons,  Framework  Conven9on  on  Climate  Change  (UNFCCC)  Small  Scale  Working  Group;  Clean  Development  Mechanism  (CDM)  Execu9ve  Board  

Blum  Center  for  Developing  Economies  

Ligh9ng  Africa  

Lumina  Project  Team  Arne  Jacobson,  Peter  Alstone,  Jennifer  Tracy,  Patricia  Lai,  

Kristen  Radecsky,  and  Dus9n  Poppendieck  at  Humboldt  State  University.    Jessica  Granderson,  Jim  Galvin,  and  Francis  

Rubinstein  at  Lawrence  Berkeley  Na9onal  Laboratory.  Maina  Mumbi  and  Francis  Ngugi  in  Kenya.  

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Making  Light  off  the  Grid  

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Fuel  Use  Rates  &  Monthly  Consump9on  

Sources:    Karnataka  (le[)  (CDM  2009)  Nepal  (right)  (Stewart  Craine,  Barefoot  Power)  

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Source:  Ligh9ng  Africa,  Market  Research  (2009)   Photo:  Evan  Mills  

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Fuelwood  for  Ligh9ng  

Source:  Ligh9ng  Africa,  Market  Research  (2009)  

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Enabling  Policy  for  Valuing  Carbon  

•  Kyoto  Protocol:  Reduce  GHG  emissions  by  5.2%  below  1990  levels  between  2008  &  2012  

•  This  created  a  mul9-­‐$-­‐billion  market  

•  Achievable  through  “Flexible  Mechanisms”  – Tradable  or  salable  credits  from  projects  in  developing  countries  (CDM)  -­‐  “Cer9fied  Emissions  Reduc9ons,  CERs”  

– Credits  from  projects  in  economies  in  transi9on  (JI)  

– Trading  of  allowances  (e.g.  to  comply  with  a  Cap)  

–  Involves  complicated  process  of  verifica9on  and  quality  control  

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Buyer’s side

Baseline em

issions

Baseline Scenario

Seller’s side (Host Country)

Emission Reductions (ERs)

Project em

issions

Project Scenario

Emissions target

Purchase of allowances

Host country benefits from technology and

financial flows

ER

Purchase of ERs

Domestic action

Purchase of ERs is supplemental to domestic action

How Carbon Trading Operates •  Kyoto Protocol: Reduce GHG emissions by 5.2%

below 1990 levels between 2008 & 2012 --> CDM

Baseline Emissions =>

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Source:  A.  Lim.  2009.  “Carbon  Trading  and  the  Kyoto  Protocol.”  World  Bank,  Europe  and  Central  Asia  Region.    

Growth  of  the  Carbon  Market  

Down-­‐to-­‐Earth  Example:    fishermen  on  Lake  Victoria  emit  carbon  worth  $10M/year  

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Types  of  CDM  Projects:  March  2010  

Household  CER’s  

issued  =  0  

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Cri9cal  issues  for  LED  Projects  •  Baseline  (and  trends)  •  “Suppressed  demand”  

•  Performance  &  life  of  replacement  product  

•  “Leakage”  •  “Addi9onality:”    Net  savings,  investment  barriers,  technological  barriers,  viable  alterna9ve,  no  policy  pre-­‐emp9on  

Photo:  Evan  Mills  

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Addi9onality  

Source:  A.  Lim.  2009.  “Carbon  Trading  and  the  Kyoto  Protocol.”  World  Bank,  Europe  and  Central  Asia  Region.    

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Useful  Ligh9ng  Africa  Market  Research  

Source:  Ligh9ng  Africa,  Market  Research  (2009)   E=  Ethiopia;  G=Ghana;  K  =  Kenya;  T=Tanzania;  Z  =  Zambia  

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Exis9ng  CDM  System  is  Broken  •  Not  designed  for  small-­‐scale  technologies  

•  Narrow  focus  on  factors  such  as  lamp  fuel  use  rates  and  hours  of  use  

•  High  costs  of  verifica9on  imposed  on  project  developers  

•  Lack  of  standardiza9on  of  assump9ons/methods   Photos:  Evan  Mills  &  Peter  Alstone  

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Toward  an  Improved  Methodology  •  Deemed  baseline  (no  costly  market  research;  project  developer  has  op9on  to  refine)  – Displaced  fuel:  kerosene  – Consump9on:  0.025  liters/hour  – U9liza9on:  3.5  hours/day  – Dynamic  baseline:  5%/year  kerosene  growth  

Photo:  Evan  Mills  

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LED  Default  Values  +  Modifiers  •  Deemed  LED  amributes  (developer  can  refine)  

–  LED-­‐Kerosene  lamp  replacement:    1:1    

–  Leakage:  1  hour  of  LED  replaces  0.5  hours  of  kerosene  –  LED  technology:  5mm  

–  Service  life:  2  years  – Power  conversion  losses  for  grid  charging:  25%  

Photo:  Peter  Alstone  

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Default  Carbon  Credit  Value  

•  Result:  ~0.15  tonnes  CO2/lamp  ~  $3  per  lamp  

Photo:  Evan  Mills  

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Key  Modifiers  for  LED  Projects  

•  LED  type  &  powering  •  Bamery  replaceability  •  Mul9func9on  vs.  dedicated  ligh9ng  

•  Charity  or  purchased  •  Warranty  

•  PV  or  grid  charged  •  Quality  ra9ng  /  Truth-­‐in-­‐adver9sing  

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Source:  Mills,  E.  2010.  "From  Carbon  to  Light."  Lumina  Project  Technical  Report  #5.  

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Enormous  Range  of  LED  Quality  

Photo:  Evan  Mills  

Source:  Mills,  E.  2007.  "Assessing  the  Performance  of  5mm  White  LED  Light  Sources  for  Developing-­‐Country  Applica9ons."  Lumina  Project  Research  Note  #1.    

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Recommenda9ons  to  UNFCCC  on  LED  Project  Emissions  Accoun9ng  

Super-­‐bright  LEDs,  long  warranty,  quality-­‐rated,  PV  charged,  etc.  

Bamery-­‐powered  baseline,  poor  LEDs,  no  warranty,  grid-­‐charged;  can’t  replace  bamery  

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Development  of  micro  data  logger  

Source: Lumina Project (LBNL/HSU)

Measured  LED  Lantern  Usage  over  a  Three-­‐day  Period:  Africa  

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India: street vendor (Varanassi)

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Thank  you!  [email protected]  

hmp://light.lbl.gov