 Steps involved in a CDM project
Project identification
The process of developing a CDM project starts by
identifying an idea that will reduce GHG emissions. The initial steps require the project
proponent to examine the emissions reduction resulting from the project and to ascertain
if it contributes to the development priorities of the nation.
Government endorsement
Once the project proponent is convinced the project is relevant under the CDM, a project
idea note is prepared and submitted for endorsement to the nodal agency of the country.
For India the designated nodal agency is the Ministry of Environment and Forests. After
endorsement, the project idea can be developed further.
Project development
To establish the 'additionality' of a project, it is necessary to first define a baseline against
which project emissions can be measured. This baseline study is carried out in accordance
with provisions in the Kyoto Protocol and Marrakesh Accord, and estimates the quantum of
GHG reductions in terms of tonnes of carbon dioxide equivalents.
Validation
The project idea note, the baseline study, and other relevant details are submitted for
validation by an independent agency identified by the CDM Executive Board as a DOE
(designated operational entity).
Validation
is the independent evaluation of a project activity against the requirements of the CDM
The DOE checks whether the proposed project activity meets all the requirements of the CDM
and submits its validation report to the Executive Board.
Registration
Registration is
the formal acceptance by the Executive Board of a validated project as a CDM project
activity.
Monitoring
Once registered, the project proponents are responsible for monitoring the actual GHG emissions reduced
by the project. A DOE may be approached periodically to verify and certify the reduction
in GHG emissions.
Verification
Verification is the
periodic independent review and ex post determination of monitored emissions reductions
Certification
Certification is written
assurance by the designated operational entity that, during a specified time period, a
project activity achieved the GHG emissions reductions as verified
Issuance of CERs
The DOE along with its certification report submits a request to the Executive Board for
the issuance of certified
emission reductions (CERs)
A project can continue to earn CERs for a maximum of either
10 years (with no change of the baseline) or 7 years with at most two renewals (i.e. up to
21 years). 2% of the share of proceeds from the CERs must be forwarded towards the
adaptation fund of the Kyoto Protocol. |
