ASEAN Economic, Political

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Regional Institutional Capacity Building in the
Implementation of Clean Development Mechanism in
ASEAN Countries 18-19 March 2004 Jakarta,
Indonesia CDM Capacity Building and the DNA
Facilitation Process Presented by Navann OUK,
Clean Development Mechanism Project, Ministry of
Environment, Cambodia


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Outline
I. Introduction II. Institutional and Legal
Frameworks III. Status of the DNA Creation IV.
Issues and Constraints
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I. Introduction

• UNEP-Collaborating Center for Energy and
  Environment (UCCEE) selected Cambodia as a
  candidate for participating in the CD4CDM project
  in late September 2002.
• The Ministry of Environment (MoE) signed an
  agreement to implement Phase 1 of CD4CDM in mid
  November 2002.
• CD4CDM Phase 2 started in May 2003.

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II. Institutional and Legal Frameworks (1/3)

• Cambodia ratified the UNFCCC on 18 December 1995.
• Cambodia acceded to the Kyoto Protocol on 4 July
  2002, which entered into force on 22 August 2002.
• Cambodia submitted its First National
  Communication to the CoP-8 at New Delhi in late
  2002.
• The Ministry of Environment (MoE) is the National
  Focal Point for the UNFCCC and the Kyoto Protocol.

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II. Institutional and Legal Frameworks (2/3)

• The Cambodian Climate Change Office (CCCO) of the
  Ministry of Environment was established on 23
  June 2003 by Ministerial Declaration No 195.
• CCCO works closely with all relevant Government
  agencies, NGOs, the private sector, local
  communities, donors and international
  organization to coordinate and implement national
  climate change policies, greenhouse gas
  mitigation and inventory, and climate change
  adaptation projects.

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II. Institutional and Legal Frameworks (3/3)

• The Royal Government of Cambodia strongly
  supports the concept of building innovative
  partnerships between the government, the private
  sector and civil society for financing
  development, including the CDM.

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III. Status of DNA Creation (1/8)

• Understanding of CDM processes and modalities is
  very limited in Cambodia.
• Target group for CDM awareness raising
• Policy makers of relevant government
  ministries/agencies (environment, energy,
  agriculture, forestry, transport, waste
  management, water resources, etc.)
• Private sector and NGOs working in the fields of
  development, finance, environment, energy,
  agriculture, forestry, transport, waste
  management, water resources, etc.)
• Academic institutions (Royal University of
  Agriculture, Royal University of Phnom Penh,
  Institute of Technology of Cambodia, etc.)
• Financiers.

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III. Status of DNA Creation (2/8)

• Understanding of CDM requirements
• General information on CDM (rules and modality)
• In depth capacity development
• (1) Process of DNA establishment
• (2) Preparing sustainable development criteria
• (3) Method for evaluating proposed project
• (4) Establishment of baseline
• (5) PDD, PIN development (for project developer)
• (6) Identification of CDM potential project
• (7) Regulation and other important legal to
  support the operation of DNA.

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III. Status of DNA Creation (3/8)

• Analysis of information on sustainable
  development (SD) criteria from other countries
  (Annex 1, Non- Annex 1 and international
  organizations) Bangladesh, Indonesia, Malaysia,
  Sri Lanka, South Africa, Argentina, Costa Rica,
  Panama, WWF Gold Standard, South-South, Green
  Peace, etc.
• Analysis of Cambodian legislation, national
  sectoral action plans and programs, and
  conventions relates to sustainable development to
  extract relevant information related to national
  sustainable development objectives and
  commitments.

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III. Status of DNA Creation (4/8)

• Compilation of information into summary tables to
  provide a basis for the development of Cambodias
  national sustainable development guidelines.
• Developed draft sustainable development criteria
  for assessing proposed CDM projects in the energy
  sector in Cambodia (guidelines developed in
  economic development, social development,
  environmental sustainability and technological
  development).

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III. Status of DNA Creation (5/8)

• MoE was appointed as the Interim Designated
  National Authority (DNA) for CDM by the Prime
  Ministers Declaration No 1, dated 15 July 2003.

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III. Status of DNA Creation (6/8)

• Assessment of Renewable Energy Pilot projects
• In July 2003, the Ministry of Industry, Mines and
  Energy (MIME) requested MoE to consider two
  proposed renewable energy projects funded by NEDO
  (Japan New Energy and Industrial Technology
  Development Organization)
• Combined power generation using biomass (cattle
  excrement 60 kW) and solar photovoltaics (50
  kW)
• Combined power generation using mini-hydro (40
  kW) and solar photovoltaics (80 kW)

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III. Status of DNA Creation (7/8)

• MIME and MoE established a technical working
  group to evaluate the two NEDO projects.
• The working group is working together to develop
  and review sustainable development criteria for
  assessing energy projects based on existing
  Cambodian regulations and experience from other
  countries DNA.

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III. Status of DNA Creation (8/8)

• On 18-19 October 2003, a field trip to the
  biomass/PV site (Southern Cambodia) was organized
  by CD4CDM in collaboration with MIME.
• Major activities included informal discussion
  with local people and the Japanese contractors.
• The field trip provided an opportunity for the
  staff to understand how to apply the SD criteria
  in practice and what information is required from
  the project developers.

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IV. Issues and Constraints

• Stakeholders understanding of CDM rules and
  knowledge of national sustainable development
  objectives is limited in Cambodia.
• Limited technical capacity of CD4CDM staff in
  (1) CDM technical issues such as baseline
  determination, and (2) in-depth
  multi-disciplinary expertise in economics, law,
  renewable energy technologies and forestry
  science.
• Insufficient guidance materials available to
  support DNA establishment process.
• Lack of basic CDM awareness among stakeholders
  means that CDM capacity building/DNA
  establishment will require more time and effort.

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Questions/Comments?