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Understanding the Clean Development Mechanism (CDM) and its potential for development proejcts

30 Jan 2016

Climate protection projects in the CDM (Clean Development Mechanism, CDM) support the fight against climate change. They are part of the Kyoto Protocol's flexible mechanisms and are based on Article 12 of the Kyoto Protocol. Industrialised countries can meet their reduction or stabilisation obligations under the Kyoto Protocol by funding or implementing CDM climate protection projects in less developed countries.

solarlamp - shed light on reading girlsSource: at­mos­fair

The implementation of CDM projects is supervised by the CDM Executive Board (CDM EB). Based in Bonn, at the Climate Secretariat of the UN Framework Convention on Climate Change, this organ of the Kyoto Protocol is charged with multiple tasks and issues the credits for the successful implementation of CDM projects, so-called Certified Emission Reductions (CER).

Companies can also participate in CDM projects. In addition to greenhouse gas reduction, the goal of CDM projects is to support sustainable development in the host countries. Only countries which do not have a quantified emission limitation and reduction obligation in Annex B of the Kyoto Protocol (so-called Non-Annex I countries) can qualify as host countries for CDM projects. Regarding projects starting from 2013 onwards, only credits from Least Developed Countries (LDCs) are allowed for use in the EU emissions trading system.

The German Emissions Trading Authority (DEHSt) at the German Environment Agency is the German national authority to implement the market instruments of the Kyoto Protocol.Their pages provide information about the CDM regulatory framework, project development and characteristics, host countries, CDM from 2013 onward, and existing funding and financing activities – providing project developers and those interested in CDM with an overview of the opportunities and challenges of CDM. This can create a good basis fro Malawian implementers as a first step to developing CDM projects.

In Malawi, the Department of Environment and Climate Change in the Ministry of Natural Resources, Energy and Mining is the advisory and focal point for the registration and dvelopment of carbon trading projects.








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