Automatic additionality for CDM micro-scale project activities

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Automatic additionality for CDM micro-scale
project activities

• .DNA Help Desks
• Step-by-step guide for DNA on
• How to submit a recommendation

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Step-by-step guide for DNAs Submitting
recommendations for automatic additionality of
grid-connected microscale renewable energy
technologies
Introduction This document guides DNAs on how to
submit a recommendation for automatic
additionality of specific grid-connected
microscale renewable energy technologies in their
country. It assist DNAs to meet, but does not
replace, relevant regulatory requirements. Why
would a DNA want to submit a recommendation for
automatic additionality? Read these reasons
. Please note that the guide does not apply to
DNAs from least developed countries (LDCs) or
small island developing States (SIDS) (Step 1.1
explains why). The steps Click on the four steps
below to see and link to the sub-steps in this
guide
First step
Feedback and Support
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Reason 1
Making a submission is designed to be easy and
require a minimum of data and analysis. Proof of
this is that already several DNA have
successfully made submissions.
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Reason 2
If grid-connected renewable electricity
generation technologies are automatically
additional, then this saves CDM project
participants money and time. This is
especially good for microscale project
activities, where the revenue from CERs is
sometimes not considered sufficient to warrant
the effort to prove additionality.
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Reason 3

• Encouraging the development of micro-scale
  project activities has these benefits
• support sustainable development goals
• encourage transfer of technology
• promote transfer of knowledge
• attract new participants to the CDM because they
  are easier to implement and governed by simpler
  rules than large-scale CDM projects

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Step 1 Check applicability of the guide
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Step 1 Check applicability of the guideStep
1.1 LDC/SIDS country checkLDC/SIDS do not need
to apply this guide

• DNAs from LDCs or SIDS do not prepare
  recommendations for automatic additionality of
  specific microscale renewable energy
  technologies, and therefore do not need to follow
  this guide. This is because these types of
  technologies are automatically additional for
  LDCs and SIDS.

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Step 1 Check applicability of the guideStep
1.1 LDC/SIDS country checkLDC/SIDS do not need
to apply this guide
Tip - Useful links List of LDCs and SIDS
countries http//www.unohrlls.org/en/ldc/25/ http
//www.un.org/special-rep/ohrlls/sid/list.htm
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Step 1 Check applicability of the guideStep
1.2 Technologies already automatically
additionalCertain types of technologies are
automatically additional in all countries

• These grid-connected and off-grid renewable
  energy technologies are already automatically
  additional (up to 15 MW of total installed
  capacity) and should not be included in the
  recommendation
• Solar technologies (photovoltaic and solar
  thermal electricity generation)
• Off-shore wind technologies
• Marine technologies (wave, tidal) and
• Building-integrated wind turbines or household
  rooftop wind turbines of a size up to 100 kW.
• Only progress with using this guide if there is
  at least one other technology not listed above to
  potentially recommend.

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Step 1 Check applicability of the guideStep
1.1 LDC/SIDS country check
Step 1 Check applicability of the guideStep
1.2 Technologies already automatically
additionalCertain types of technologies are
automatically additional in all countries
Tip - Check for latest information Automatically
additional technologies are listed in paragraphs
2(b) and (c) of version 9 of the Guidelines on
the demonstration of additionality of small-scale
project activities (EB68, Annex 27). This
positive list may change so it is important to
check this website to look at the latest version
of the guideline http//cdm.unfccc.int/Reference/
Guidclarif/index.htmlmeth Tip 3 -Grid vs.
off grid Although the positive list in Step 1.2
refers to grid-connected as well as off grid
renewable energy technologies, keep in mind that
DNAs may only submit recommendations for
grid-connected technologies.
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Step 2 Review relevant information
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Step 2 Review relevant informationStep 2.1
Terms and conceptsMany important terms and
concepts have specific meanings in the CDM
While preparing a recommendation you will come
across a number of terms and concepts specific to
the CDM. These definitions are particularly
common
Definition
Power generating technologies that are not
primarily fueled by fossil fuels. CDM recognizes
the following types, however other types may also
be specified in a submission for recommendation
of automatic technology Hydro Geothermal Wind
(off-shore, on-shore) Solar-PV Renewable
Biomass (Biogas (landfill gas, sludge gas, other
biogas), Wood/Wood Wastes/Other Solid Wastes,
Other renewable biomass) Marine (wave, tidal,
ocean)
Additionality - The effect of the CDM project
activity to reduce anthropogenic GHG emissions
below the level that would have occurred in the
absence of the CDM project activity

• Additionality

Is a set of project activities employing specific
technologies that are defined in Guidelines on
the demonstration of additionality of small scale
project activities A project activity using
technology(ies) belonging to a positive list is
automatically additional.
A project type that is automatically eligible as
a CDM project activity and does not need to
validate its additionality. This may be defined
in a positive list or by an approved DNA
recommendation for automatic additionality.
Power generating technologies that are primarily
fueled by non-renewable resources. CDM recognizes
the following types, however other types may also
be specified in a submission for recommendation
of automatic technology Combustible Fossil fuel
(coal, oil, gas, others) nuclear.
In case of grid connected renewable energy
technology, the installed capacity of any
technology is up to 5 MW. There are also other
types of microscale projects, but these are not
relevant to this guide.

• Automatically additional

Click term to see definition
Connected to an electricity grid

• Grid-connected

• Microscale

• Non-renewable energy technologies

• Positive list

• Renewable energy technologies

The CDM Glossary of Terms has definitions for
other terms.
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Step 2 Review relevant informationStep 2.2
Regulatory documentsBecome familiar with the
relevant regulatory documents

• The requirements for developing and submitting a
  recommendation for automatic additionality are
  defined in the following guidelines, procedure
  and form. Complying with and understanding the
  requirements of these documents is covered in
  subsequent steps of this guide.
• Guidelines for demonstrating additionality of
  microscale project activities http//cdm.unfccc.i
  nt/Reference/Guidclarif/ssc/methSSC_guid22.pdf
• These guidelines describe the conditions under
  which DNAs can recommend specific microscale
  renewable energy technologies for automatic
  additionality. Namely, the maximum capacity of
  the renewable energy installation (5 MW) and the
  extent that the renewable energy technology is
  already used in the host country (see paragraph
  2(d), version 04.0).
• Procedure for submission and consideration of
  microscale renewable energy technologies for
  automatic additionalityhttp//cdm.unfccc.int/Refer
  ence/Procedures/methSSC_proc04.pdf
• This procedure describes the process to submit
  recommendations of specific renewable energy
  technologies.
• Proposed specific renewable technologies/measures
  submission form (F-CDM-PRT) https//cdm.unfccc.i
  nt/Reference/PDDs_Forms/Methodologies/methSSC_form
  08.doc
• This form must be completed by the DNA as part of
  the process to submit recommendations of specific
  renewable energy technologies.

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Step 2 Review relevant informationStep 2.2
Regulatory documentsBecome familiar with the
relevant regulatory documents
Tip Useful links Links are provided in this
step for the most recent versions of these
documents, at the time of preparing this guide.
The version of a document is tracked by either
its version number or the EB meeting number where
it was approved, and its annex number to the
meeting report. Check the Rules and Reference
section of the CDM UNFCCC website for any updates
to regulatory documents. http//cdm.unfccc.int/Ref
erence/index.html
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Step 2 Review relevant informationStep 2.3
Previous submissionsReviewing previous
submissions helps understand how a recommendation
is presented

• Several DNAs have already successfully made a
  recommendation for technologies that are
  automatically additional! Information related to
  all submitted recommendations for automatic
  additionality can be viewed at https//cdm.unfccc.
  int/DNA/submissions/index.html.
• On this website you will notice that for each
  submission there is a call for public input (this
  is managed by the secretariat), a recommendation
  by the SSC WG, an EB decision and the validity
  date of the recommendation. Step 4 describes the
  process followed once a submission is received.

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Step 3 Prepare recommendation
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Step 3 Prepare submissionStep 3.1 Collect
dataData on the grid-connected power generation
sector is the basis for the recommendation

• For a selected year y, that is not older than
  three years from the date of submitting the
  proposal, identify
• For each grid connected renewable energy
  technologies that could potentially be
  recommended for automatic additionality (except
  for wind, see tip), identify the installed
  capacity of each grid-connected power plant in
  the host country that is equal to or less than
  5MW.
• For all grid-connected technologies (e.g.
  renewable, non-renewable and wind technologies),
  identify the total installed capacity in the host
  country. Unlike the data collected for point 1,
  the installed capacities for individual power
  plants is not required, only the total
  grid-connected installed capacity of the
  technology.
• The data collected should include all
  grid-connected power plants in operation,
  including those registered or under validation as
  CDM project activities.
• Record all sources of information, so that the
  person assessing the submission is able to double
  check the source of the data. As part of
  assessing a submission, the secretariat will
  check each of the data sources.

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Step 3 Prepare submissionStep 3.1 Collect
dataData on the grid-connected power generation
sector is the basis for the recommendation
Tip wind technologies The reason why it is
not necessary to identify the installed capacity
of wind power plants less or equal to 5MW, but
this information is needed for every other
technology potentially to be recommended for
automatic additionality, is because of the design
of wind power plants. Wind power plants, may
consist of a number of wind turbines, sometimes
spread over a large geographic area. It can be
difficult to define and prove a situation that a
number of small adjacent wind power plants are
not in fact one large wind power plant. Because
of this problem with defining installed
capacities of wind farms, and the potential for
different interpretations to change the results
of analysis using the data, this information is
not collected. Tip - Data sources The
secretariat frequently has problems checking the
data sources of submissions. Common problems are
that there is not enough information to confirm
the data source, information is difficult to
understand because it is not in English and
weblinks do not work. Seeking more information
from DNAs on data sources can delay the
assessment process. To avoid this issue, look at
previous submission (see Step 2.3) to see the
data sources that other DNAs used.
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Step 3 Prepare submissionStep 3.2 Analyze
dataCalculate microscale technologies
constitute of the total installed capacity of the
grid-connected power sector

• Using the data collected, calculate the following
  two parameters.
• A. Sum of installed capacities of only
  microscale power plants (meaning plants with
  installed capacity less than or equal to 5 MW in
  year y in the host country), of each
  grid-connected renewable energy technology that
  is potentially to be recommended, excluding wind
  technologies (see column A of Example 1).
• B. Total installed capacity of each
  grid-connected technology (including both power
  plants that are less than and more than 5 MW
  installed capacity in year y in the host country)
  (see column B of Example 1).
• Then calculate the percentage that the microscale
  technology to be recommended constitute of the
  total installed capacity of the grid-connected
  power sector, as follows
• Divide each result for A above, by the sum of all
  results for B. If wind is potentially to be
  recommended in the submission, then use the
  corresponding value for B, in place of A for this
  calculation (see column C of Example 1).
• Times these results by 100 to present this ratio
  as a percentage.
• If the percentage is equal to or less than 3,
  then the renewable energy technology may be
  recommended for automatic additonality.
• A calculation spreadsheet for this analysis is
  available based on Example 1.

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Step 3 Prepare submissionStep 3.2 Analyze data
(Example 1)Calculate microscale technologies
constitute of the total installed capacity of the
grid-connected power sector
For renewable energy technology types that could
potentially be recommended, but there are no
plants installed in the host country, the total
installed capacity of the technology is 0
Example 1 is available as a spreadsheet
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Step 3.2
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Step 3 Prepare submissionStep 3.3 Complete
formComplete the submission form and submit
with supporting information

• Download and complete the latest version of the
  form (see Step 2.2) and submit it to
  secretariat_at_unfccc.int together with the data
  that was used in preparing the submission.
• The main part of the form contains non-technical
  information. Page 1 (version 2) is shown below

Record here the title and version number of the
documents listed in Step 2.2. When preparing the
submission, use the most current versions of
these documents.
List here the renewable energy technology types
that are being recommended for automatic
additionality.
Read carefully and then check these boxes to
confirm these conditions have been met. The steps
in this guide have taken these conditions into
account.
Step 3.3 continues
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Step 3 Prepare submissionStep 3.3 Complete
formComplete the submission form and submit
with supporting information

• The technical information is recorded in Tables 1
  and 2 of the annex to the form. The result of
  Step 3.2 are recorded in Table 1 of the form.
  Table 2 of the form lists the grid connected
  renewable energy technologies that are being
  recommended for automatic additionality (e.g.
  those that have ratio in the grid-electricity
  equal to or less than 3). The annex is shown
  below

List here the specific technologies being
proposed for automatic additionality.
The format of this table matches the example
given in Step 3.2
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Step 3.3
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Step 3 Prepare submissionStep 3.4 Avoid common
mistakesKnowing about common mistakes can help
to avoid them

• Below are some descriptions of issues the
  secretariat has observed in previous submission
• Technologies are recommended in submissions that
  are already on a positive list (see Step 1.2).
• Data is missing or difficult to understand
  because it is not in English (For instance if is
  data table in a report is a source of
  information, then the entire report does not need
  to be translated, but the column headings, row
  headings and title of the table may need to be
  translated so that the data can be understood).
• Weblinks provided for sources for data are
  invalid (check weblinks before submitting)
• Data collected on power plants has excluded power
  plants that were either registered or in
  validation CDM project activities (include all
  power plants in operation, irrespective if they
  are CDM project activities or in validation).
• Thermal units such as MWthermal shall be derived
  from electrical units such as GWh by applying a
  multiplication factor of 3.

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Step 4 Submit recommendation
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Step 4 Submit submissionStep 4.1 Approval
processWhat happens after a DNA submission is
received follows a documented procedure

• Follow the instructions given on the form for how
  to submit it.
• The recommendations will be assessed as per the
  Procedure for submission and consideration of
  microscale renewable energy technologies for
  automatic additionality by the UNFCCC
  secretariat. One of the first parts of procedure
  is for the secretariat to seek public comments on
  the submission.
• Next comes the assessment phases, during which
  the DNA may be approached by email or telephone
  for clarifications. Based on the assessment, the
  SSC WG members will recommend the Executive Board
  of CDM to approve or not approve the submission.
  The Board then decides to approve or not approve
  the submission during its next Board meeting. The
  decision will be recorded in the corresponding
  meeting report and on the website listing all
  submissions.
• The validity or period of time during which the
  list of technologies being automatically
  additional starts when the Board makes that
  decision (usually last day of the meeting).

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Step 4 Submit submissionStep 4.1 Approval
processWhat happens after a DNA submission is
received, follows a documented procedure
Tip Useful links The submissions website
records in which CDM Executive Board meeting the
submissions were approved https//cdm.unfccc.int
/DNA/submissions/index.html. List of CDM EB
meetings and meeting reports available
here http//cdm.unfccc.int/EB/index.html
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Congratulations!

• You have completed the steps
• The secretariat looks forward to receiving your
  submission!
• Please send us feedback on using the guide

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Feedback and Support

• Feedback on using this guide and suggestions for
  improvement are welcome and can be sent to
  DNA_helpdesk_at_unfccc.int.
• If a DNA had less than 10 registered projects at
  31 December 2010, then the DNA Help Desk is very
  willing to give them case specific assistance
  applying the guide. Details on using the DNA Help
  Desk are available here http//cdm.unfccc.int/DNA
  /helpdesk.

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