Potentials of clean development mechanism

Mirza Shawkat Ali and Mahfujur Rahman

Bottom L-R: HOFFMAN KILN - Coal Fired: 25-35% more efficient than FCK. Solar electricity can save fossil fuel and generate Carbon Credits.

In order to contest the escalating risk of climate change, the United Nations Framework Convention on Climate Change (UNFCCC) was adopted in 1994 by a group of proactive governments of the world. Albeit it conceded that GHGs emission needs to be reduced; the convention, however, did not set any mandatory level of reduction for any individual state. Credential of incepting Clean Development Mechanism or in brief CDM as a way of climate change mitigation goes to article 12 of Kyoto Protocol. CDM as a collaborative approach of work for promotion of sustainable development can be accomplished by unique partnership between developing and developed countries toward climate change mitigation. Projects are undertaken in developing countries that reduce greenhouse gas emission in comparison to baseline scenario. Carbon Emission Reductions (CERs) generated by CDM project are bought by developed countries to fulfil their quota of emission reduction under Kyoto Protocol. In 1997 Kyoto Protocol was added to the UNFCCC treaty, where 39 Annex I countries (developed nations) are required to cut back on their GHG emissions to 5% below the year 1990's level by 2012 as binding emission reduction commitments. The protocol also founded three flexibility mechanisms for the reduction of the GHGs. These mechanisms are known as Emission Trading, Joint Implementation (JI), and Clean Development Mechanism (CDM). The CDM consists of two major objectives: i) to assist parties not included in Annex I in achieving sustainable development and in contributing to the ultimate objective of the UNFCCC, which is to prevent dangerous climate change; and ii) to assist parties included in Annex I in achieving compliance with their quantified emission limitation and reduction commitments (GHG emission caps). The second objective is attained by selling the emission reduction projects from developing countries to countries with reduction commitments. The ensuing emission reductions are identified as Certified Emission Reductions (CERs). It is, however, important to ensure that the asserted emission reductions are tangible and “additional” to baseline emission scenario. Developing CDM Projects
In general, the proposed CDM projects are assessed by the Designated National Authority (DNA) and a project is only appreciated as a potential CDM project if it has an authentic reduction potential. A project must state a baseline emission and the possible reduction caused by its implementation below baseline level. Emission reductions of a CDM project are calculated as the difference between the baseline emissions and the project emission. Likewise, probable leakages are required to be included in the calculation. Specific technical and financial feasibility studies are mandatory for a project and a complete Project Design Document (PDD), outlined by the UNFCCC, is required to be submitted to the Designated National Authority (DNA). The project proponent ought to follow given methodologies set up by the UNFCCC. Following a thorough evaluation by the DNA and the national CDM executive board, the PDD is used to attract clients or potential buyers and investors. Enormous potentials in fuel and energy sector cogeneration:
A waste-heat boiler can recover a good portion of the wasted heat to produce steam. This will replace the existing boiler thus saving the natural gas used to make steam. If the industry does not require steam, then absorption refrigeration can be used for air-conditioning or making ice .Otherwise, the steam can be sold to neighboring industries. Captive generation:
Because of electricity shortage and unreliable power supply, gas utility started allowing captive power generation about 12 years back.1200+ MW is now in Captive Generation.25% of the gas for power is consumed by this sub-sector .Plant efficiencies vary from 28% to 42% (average = 35%).Waste heat is mostly not utilized .Ideal opportunity for cogeneration. Age-old state owned industries can be brought under CDM projects:
Four urea fertilizer producing plants (NGFF, PUFF, UFFL, ZFCL) consume for 1 ton of urea more than 40 Mcf of natural gas, compared to 23 Mcf and 30 Mcf by KAFCO and JFCL respectively.15 medium sized sugar mills owned by BSFIC are so old that simply building new mills can double the energy efficiency. Each mill can export surplus electricity between 3-4 MW to the grid. Potentials of forestry sector for clean development:
Forest lands being plundered and destroyed by money-monger illegal traders, dishonest forest officials and poor local people is a common preoccupation about degradation of forest lands in Bangladesh. Inceptives in form of money got from selling CERs can be a good source of fund needed for better management of forests. CDM through waste management
Waste management offers a good potential for CDM projects in Bangladesh since huge amount of waste is produced due to a large population. Waste management scenario is a little bit better due to operation of community based waste collectors but what happens is improper disposal of waste. All the collected waste (both by municipalities and community based waste collectors) are dumped in the open that ushers pollution of air, water and soil, near dumpsites. Anaerobic decomposition of organic waste produces methane, a greenhouse gas having 25 times GWP of carbon dioxide. CDM for sustainable transport sector
Transport system comprises two major physical components i.e. transport infrastructure and vehicles along with human interferences as driver, passenger and controlling authority. So, while thinking of sustainable transport sector we need to address these two components individually and combined. * Use clean and renewable energy sources * Ensure health and safety of passengers, drivers and other related people of transport sector * Minimal travel and minimal pollution of environment New and emerging technologies suitable for CDM projects
* Metering of domestic gas connections * Improved gas cookstoves * Efficient building: Solar reflective glass * Solar lanterns to replace kerosene lamps * Hollow bricks to replace solid bricks Conclusion
The main benefits of Clean Development Mechanism (CDM) are harnessed by large developing countries like China, India etc. by shifting to clean energy through power and energy projects. Though there are huge potentials of developing CDM projects in different sectors of the economy only one in nine approved CDM projects is being implemented in Bangladesh.
Mirza Shawkat Ali & Mahfujur Rahman are Project Director and Research Officer, respectively of “CDM Capacity Building and Baseline Development Project” at Department of Environment