the process for the letter of approval and innovation ideas for poas in peru eduardo durand...

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THE PROCESS FOR THE LETTER OF THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change, Desertification and Water Resources Ministry of Environment – Peru

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Page 1: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

THE PROCESS FOR THE LETTER OF THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR APPROVAL AND INNOVATION IDEAS FOR

POAs IN PERUPOAs IN PERU

Eduardo Durand López-HurtadoGeneral Director

Department of Climate Change, Desertification and Water ResourcesMinistry of Environment – Peru

Page 2: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

Contents

I. Institutional Approach to the CDM in Peru

II. Criteria and Approval Process for PoA-CDM

III. Advances in CDM Projects and PoA-CDM

IV. Innovation Ideas

Page 3: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

I. Institutional Approach of the CDM in Peru

• The Ministry of Environment (MINAM) is the Designated National Authority (DNA) in Peru, responsible for approving and issuing the approval letter (LoA) of the country.

• The National Environmental Fund (FONAM) is a private-public organization, which promotes the carbon market in Peru. FONAM elaborates the National Low Carbon Emission Portfolio, including the Programme of Activities (PoA) under the CDM and voluntary market.

Page 4: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

II. Criteria and Approval Process for CDM Projects and PoA-CDM

• By Directive N°002-2009-MINAM (Assessment Procedure for approval of projects to reduce emissions of greenhouse gases and carbon capture), MINAM assesses whether the "proposed project contributes to sustainable development in Peru“

• The Letter of Approval is issued within twenty seven (27) days after the request for approval from the project developer.

• During the approval process a visit to the project site is required as well as an on-site meeting with the relevant stakeholders. Afterwards, the approval decision depends on the Ad-Hoc Committee, which is chaired by MINAM.

Page 5: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

Criteria to determine the sustainable development:

• Compliance with existing national legislation and sectorial policies.

• Compliance with environmental best practices defined in the contribution to emissions reduction greenhouse gas emissions and fossil fuel use.

• Reduction of environmental pollution and negative health effects.• Promoting biodiversity protection;• Environmental sound use of land and water• Proper management of solid waste and effluents; and ,• other environmental benefits.

• Contribution to economic growth and competitiveness improvement of Peru. • Measurable through investment generated by the project, wealth, employment and

technology transfer.

• Maintaining and/or improving the quality of life of communities near the project development.

• Measurable by the impact of social investment plan in the community, employment generation and adequately remunerated, opportunities to facilitate gender equity and improvement of local infrastructure.

LEGAL

ENVIRONMENTAL

SOCIAL

ECONOMIC

II. Criteria and Approval Process for CDM Projects and PoA-CDM

Page 6: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

1. Request for Approval

2. Review of the project by the

Sector Authority

3. Convene the Ad-Hoc

Committee.

4. Evaluation undertake by the Ad-Hoc Committee

5. Issuance of Letter of Approval for DNA

6. Submission of the final version of the validated PDD to MINAM

(project proponent)

Notification to the project proponent

(non-Approval)

Contributes to sustainable

development?

NO

II. Criteria and Approval Process for CDM Projects and PoA-CDM

YES

Page 7: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

III. State of the CDM Projects and PoA-CDM in Peru

Currently, 86 CDM projects have National Letters of Approval. 64 are registered under the CDM Executive Board, of which 13 projects have received CERs.

Sectors N° de ProjectHydro 51Fossil fuel switch 6Solid Waste 5Biomass 4Energy Efficiency 4Cogeneration 3Solar 5Effluent 2Wind 4Reforestation 1Chemical Industry 1

TOTAL 86

Note: 5 PoAs are considered within the 86 CDM Projects with LoA.

Source: MINAM

Page 8: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

III. Advances in CDM Projects and PoA-CDM

PoA titleCoordinating

/ManagingPoA-Type

Amount of Reductions

(PoA) tonnes CO2/annum

Registration Date

Methodology

Tepeu Wind Programme of Activities

EcoRessources Carbono S.A.C.

Wind 45,235 25/03/2013 ACM0002

Programme of activities to switch from residual fuel oil to LPG in manufacturing industries in Peru

Repsol YPF Comercial del Perú S.A.

Fossil fuel

switch

291 17/12/2012 AMS-III.B.

EN BADEN Large-Scale Hydro PoA in Peru

Cargbn BW Peru S.A.C.

Hydro 36,222 14/11/2012 ACM0002

Inti Renewable Energy Program of Activities

Energía Limpia S.A.C.

Hydro 89,998 13/07/2012 ACM0002

Tunki Small Scale Hydropower Program of Activities

EcoRessources Carbono S.A.C.

Hydro 8,025 28/06/2012 AMS-I.D.

Source: MINAM, 2014.

Page 9: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

IV. INNOVATION IDEAS: From PoAs to NAMAs

• In Peru, some Nationally Appropiate Mitigation Actions (NAMAs) can take advantage from the lessons learned during the PoA process development.

Study Case of PoA to NAMAs in Peru.

• LECB Project will elaborate NAMAs and MRV for construction materials sector.

• With the support of Collaboration Regional Center and UNFCCC a standardized baseline will be develop for the construction material sector (brick, cement and steel). This standardized baseline can be used as input for potential NAMAs.

• The “Energy Efficiency Program in Latin American Artisanal Brick to Mitigate Climate Change (EELA)” is a potential initiative to scale-up a PoA to a NAMA and would take advantage from the standardized baseline. This Program was recognized by Momentum for Change (*).

(*) http://unfccc.int/secretariat/momentum_for_change/items/7099.php

Page 10: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

ENCCEstrategia Nacional ante el

Cambio Climático

ENLCDSEstrategia Nacional de

Lucha contra la Desertificación y Sequía

ENDBEstrategia Nacional de Diversidad Biológica

CMNUCCConvención Marco de las Naciones Unidas

sobre Cambio Climático

CDBConvenio sobre la

Diversidad Biológica

CNULDConvención de las

Naciones Unidas para la Lucha contra la

Desertificación

NAMASMedidas

Nacionales Apropiadas

de Mitigación

CONTRIBUCIONES NACIONALES (iNDC)

PLAN PERÚ: Compromiso

Climático

APORTES DEL SECTOR AMBIENTE AL PROCESO DE DESARROLLO NACIONAL

CRECIMIENTO

VERDE COMPETITIVO E

INCLUSIVO Crecimiento EconómicoCompetitividadInversión catalizadoraInclusión socialConservación de RR.NN.Innovación

PLAN BICENTENARIO

Plan Nacional de Diversificación Productiva

Agenda Nacional de Competitividad

Marco Macroeconómico Multianual

DESARROLLO NACIONAL SOSTENIBLE

Page 11: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,
Page 12: THE PROCESS FOR THE LETTER OF APPROVAL AND INNOVATION IDEAS FOR POAs IN PERU Eduardo Durand López-Hurtado General Director Department of Climate Change,

Thank youMuchas Gracias

Eduardo Durand López-HurtadoGeneral Director

Department of Climate Change, Desertification and Water ResourcesMinistry of Environment – Peru

[email protected]