Practical Approach for the Development of Standardized Baselines
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Transcript of Practical Approach for the Development of Standardized Baselines
8/4/2019 Practical Approach for the Development of Standardized Baselines
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8/4/2019 Practical Approach for the Development of Standardized Baselines
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Practical Approach for the developmentof standardized baselines
Gareth PhillipsChief Climate Change Officer, Sindicatum
Chairman Project Developer Forum
8/4/2019 Practical Approach for the Development of Standardized Baselines
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Objectives of standardized baselines
• Broad reaching objectives
• For example, Preamble to Decision 3 CMP6:
• Noting that the use of standardized baselines could reduce transaction costs, enhance
transparency, objectivity and predictability, facilitate access to the clean development
mechanism, particularly with regard to under-represented project types and regions, and
scale up the abatement of greenhouse has emissions, while ensuring environmental integrity
• Highlights the fact that Standardized Baselines are meant to result in a
significantly new approach to CDM
8/4/2019 Practical Approach for the Development of Standardized Baselines
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Compare “conventional CDM” with CDM
under a standardized baseline“Conventional CDM”
– Single site / single technology
– Multiple site / single technology – PoA
–Multiple site / multiple technologies – challenging
• These characteristics are due to the structure of the methodologies and
proof of additionality
“Standardized Baseline CDM”
• Standardized baselines call for scaled up action with reduced transaction
costs and allow for new approaches to establishment of baselines,
calculation of CER and additionality
8/4/2019 Practical Approach for the Development of Standardized Baselines
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CDM under standardized baselines
Scale Type Example Baseline Additionality Quantification
Region
wide
Dispersed High volume low
cost technology,
CFLs,
cookstoves,
water purifiers
Low growth
rate for
technology
in absence of
CDM
Barriers to
faster uptake
Deemed savings
per operational
unit
Region
wide
Site
specific
High cost, low
volume e.g. PV,
waste heat
recovery
Continuation
of current
practice, low
growth rate
E.g. Financial
analysis; barrier
analysis
Site specific
metering and
calculations;
deemed savings
Region
wide
Site
specific
Suite of
technologies e.g.Energy Efficiency
in buildings;
transport
Continuation
of currentpractice,
quantified
via models
Beating the
benchmark
Total GHG
emissions perunit output (t
CO2 per unit)
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Practical approaches to the development
of standardized baselines1. Select the project first, then see if CDM can be applied to it – CDM
revenues are likely to be a small part of the overall project budget
2. The UNFCCC is preparing a framework for Standardized Baselines and
they are also open to other proposals
3. There is sufficient scope in the definitions of standardized baselines to
facilitate new types of projects but environmental integrity is paramount
4. Throughout Decision 3 CMP6 it is clear that DNAs are to be involved; they
can engage with other entities to prepare a standardized baseline
methodology
5. Consider the demand for the resulting CERs
6. Design a meth that works for the project, not one that fits the existing
methodology guidelines, tools and conventional CDM
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In Conclusion
• Standardized Baselines present a very
significant opportunity to expand the CDM
• Whilst moving away from the restrictions
imposed by existing methodologies and tools
• Thank you for listening