Proposed plan to implement Capacity Development for CDM project in

the forthcoming period

Dr. DAO DUC TUANEng. NGUYEN KHAC HIEU

National Office for Climate Change and Ozone Protection

National Workshop on Capacity Development for the Clean Development Mechanism

Ha Noi, 27-28 November 2002

Current status

• Viet Nam ratified the Kyoto Protocol (KP) on 25 September 2002 favourable conditions for promoting/pushing up CDM implementation in the country.

• Hydro-Meteorological Service (Ministry of Natural Resources and Environment ) of Viet Nam is assigned by the Government of Viet Nam as a National Authority for implementing UNFCCC and KP.

Current status (Cont.)a) Advantages:• With the policies on industrialization-modernization and

sustainable socio-economic development, the Government of Viet Nam supports CDM and allows its implementation in Viet Nam.

• The past and ongoing projects are supported by stakeholders to implement

• The results obtained through projects are interested, supported and highly appreciated by multilateral and bilateral Organizations.

• NSS project is in the final period. The results gained from the project are good prerequisites for carrying out CDM activities in Viet Nam for the coming time.

Current status (Cont.)

b) Disadvantages:• CDM knowledge of managers, policy makers,

environment experts, enterprises... is still limited.• CDM problems are not considered and integrated into

development strategy, policy, master plan of Ministries, Branches, Agencies, Institutions obstacles and challenges to Viet Nam.

• A National CDM Authority was not established– Designated National Authority (DNA)– National Executive Board (EB)

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) activities (2003-2005)

• Establishing National CDM Authority to coordinate CDM activities and investments in the country ( January 2003-March 2003)

• Indetifying organizational structure, and main activities content of National CDM Authority national coordination for CDM capacity development (February 2003- May 2003)

• Developing workplan for the coming years to carry out effectively UNEP project on Capacity Development for CDM ( first quarter 2003)

• Applying a motto:“Learning by doing“, “Low hang fruit“

1. Raising CDM awareness :• To organize continuously and systematically

conferences, workshops, seminars on CDM for cadres of relevant ministries, agencies, localities (2003-2005)

• To establish and maintain Website ( transmission and dissemination of updated information on national and international CDM activities) ( second quarter 2003)

• To collect, edit and publish quarterly information booklets to propagandize and raise CDM public awareness ( from second quarter 2003)

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

2. Establishing institutional framework for CDM• Objective:

In 2003: To establish an appropriate institutional framework for CDM to support / assist actively CDM activities

• Activities: a) To review existing laws and regulations. b)Develop different options for establishing institutional framework according to the Kyoto Protocol regulations and CDM requirements with aims:– To promote national CDM activities.– To implement high potential CDM projects.

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

c) To develop and unify standards for classifying, evaluating and selecting CDM projects :

–Sustainability–Additionally–Feasibility Identified CDM projects should be integrated into main national programs of socio-economic development

d) To develop and unify CDM project cycle – A CDM project cycle is an important factor of the

mechanism– A project cycle consists of national and international

activities– A cycle motto is:

• Simplicity,• Clarity, • Response to international requirements of the

Kyoto Protocol • Correspondence with circumstances of Viet Nam

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

Project cycle for the CDMProject cycle for the CDM.

Legends: Activity Report Institution

1. Project design &formulation

2. National approval

3. Validation/ registration

4. Project finaning

5. Monitoring

6. Verfification/certification

7. Issurance of CERs

Project designdocument

OperationalEntity A

Investors

Projectparticipants

Monitoring report

OperationalEntity B

Verification report/Certification report/Request for CERs

EB/Registry

3.Establishing institutional set up for CDM:• To review current status of existing structure regarding

CDM (Government Agencies, Ministries, Braches, Institutions, People’ s Committee of cities, provinces, non-Government Organizations, private sectors...) (First quarter, Second quarter 2003)

• To organize surveys, collect comments (First quarter, Second quarter 2003)

• To develop options of institutional setup to mobilize the participation and support from Agencies, Institutions in the country (Second quarter 2003)

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

Proposed national organizational structure for CDM

National Executive Board

Certification

Government OfficeMinistry of Natural

Resourcesand Environment

Ministry of Planningand investment

Ministry of ForeignAffairs

Other relevant Ministries

Designated National AuthorityCDM Secretariat

Project participants

NGOs

Research Institutes,Universities

General principles

Daily activities

4. Strengthening capacity building, management and implementation of CDM

• In 2003: Surveying, studying, identifying CDM capacity development needs for:– Government Agencies– People’ s Committees at all levels– Research Institutes– Universities– Non-Government Organizations (NGOs)– Private sectors

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

• Conducting workshops, seminars, training courses to guide participants to establish and carry out CDM project (2003-2004)

• Contents:– Identification of potential CDM projects– Development of baselines according to approved

methodology based on concrete project.– Calculation of GHG emission and GHG emission

reduction – Verification– Monitoring and report.

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

• Participants of workshops, seminars, training courses:– Project developers– Relevant Government Agencies, Institutions– Private companies– Bankers, Financiers– NGOs

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

5. Developing feasible CDM projects:• To review projects, CDM project idea formulated in the

previous projects regarding climate change issues (2003)

• To screen, evaluate and select eligible CDM projects to develop Project Design Document (2003)

• To develop new CDM projects that can correspond with national priorities, as well as to serve sustainable socio-economic development and attract investors (2003-2005)

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

6. Strengthening international cooperation:

• Exchange information, experiences, survey and studies results related to the capacity development for CDM with project participating countries and other regional countries.

• To transfer technology.• To participate in the international conferences,

workshops on CDM and on climate change.

Implementation of Capacity Development Implementation of Capacity Development activities (2003-2005) (cont.)activities (2003-2005) (cont.)

• Meet following requirements:– Efficient coordination between relevant Ministries,

Agencies, Branches, Institutions.– Organization at the appropriate level– Guarantee of personnel continuity

• National CDM Authority : Ministry of Natural Resources and Environment

• National Executive Board:– Key persons from Ministry of Natural Resources and

Environment and from other relevant Ministries, Agencies.• Working Team: Establishment of the country CDM technical

expert team composed of 15-20 experienced experts in the related sectors.

Organizing the implementationOrganizing the implementation