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COMPLEXITY IN METHODOLOGIES AND THEIR SIMPLIFICATION

Carbon Bazaar 2010 New Delhi 10-11 May 2010. COMPLEXITY IN METHODOLOGIES AND THEIR SIMPLIFICATION. Massamba Thioye Manager, SDM/CDM Standard Setting Unit. SIMPLIFICATION OF METHODOLOGIES . Standards based on which CDM projects are developed and assessed;

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COMPLEXITY IN METHODOLOGIES AND THEIR SIMPLIFICATION

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  1. Carbon Bazaar 2010 New Delhi 10-11 May 2010 COMPLEXITY IN METHODOLOGIES AND THEIR SIMPLIFICATION Massamba Thioye Manager, SDM/CDM Standard Setting Unit

  2. SIMPLIFICATION OF METHODOLOGIES • Standards based on which CDM projects are developed and assessed; • Standards used by stakeholders with different expectations in countries that presents different conditions; and • Need to address expectations that are generally different across stakeholders and might be differentamongst Parties.

  3. WIDE APPLICABILITY ToR for CDM Methodology OBJECTIVITY CONSERVATIVENESS USABILITY

  4. SIMPLIFICATION OF METHODOLOGIES • Simplification for what purpose • Ease of use in developing and assessing CDM projects while maintaining conservativeness, objectivity and applicability • Requirements are easy to understand • Requirements are easy toimplement • Requirements are easy toassess • What is it about • Omit superfluous requirements and reduce complexity without misrepresentation • Complexity is transferred to the Methodology development

  5. APPROACH FOR SIMPLIFICATION • Basic analysis techniques to locate requirements candidates for simplification: • Value added analysis • To identify superfluous requirements • Comprehensiveness analysis • To identify requirements not sufficiently prescriptive; and • Alternative analysis Determination of alternative simpler requirements

  6. VALUE ADDED ANALYSIS • Why the requirements • Identification of the issues the requirements are trying to address: • risk of over-estimation of ER; and • absence of procedure for ER calculation. • If there is no issue found that justify the requirement, then it is superfluous • Example: Emissions calculation related to activities that are the same under the project and the baseline scenario

  7. COMPREHENSIVENESS ANALYSIS • Are the requirements sufficiently prescriptive? • Collection of feed-back from methodology users • Development of tools and guidelines • Development of examples of calculation to illustrate the use of the tools • Move from baseline scenario identification procedures to pre-defined baseline for project activity components • Tools for baseline emissions calculations

  8. Technology Switch (EEI), modal switch, new plant (3) More GHG intensity service displacement (5) One or multiple fuel switch (1) Project output One or multiple Feed stock switch (2) GHG destruction or emission avoidance (4) APPROACH FOR SIMPLIFICATION

  9. APPROACH FOR SIMPLIFICATION

  10. ALTERNATIVE ANALYSIS • Conservative default parameters (low cost) • Use of discount factors to cover uncertainties (low cost) • Conservative standard procedures (middle cost) • Detailed accurate approach that lead to more emissions reduction (high cost) • Use of table of calculation

  11. CONCLUSIONS • Methodologies can be further simplified for the users (PP and DOEs) • This is challenging. However, there are several on-going initiatives from the regulatory body aiming to achieve this objective • Increased interactions with the different stakeholders is a key factor for success.

  12. THANK YOU FOR YOUR ATTENTION

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