Capacity Development for the CDM (CD4CDM)

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• Capacity Development for the CDM (CD4CDM)
• First National Workshop - SURINAM
• Ecuadorian Institutional Issues
• Miriam Hinostroza
• UNEP Risø Centre (URC)
• Paramaribo, April - 2008

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CDM Institutional Structure - Ecuador
CDM National Authority (DNA) Ministry for
Environment
CDM Promotion Office separate public-private
entity presided by Ministry for Environment
Regulation
Promotion
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Strengths of the Ecuadorian CDM Institutional
Arrangement

• Separation of regulatory and promotion roles
  prevents possible conflicts of interest in the
  process of project formulation-project
  approval.
• Separation of roles enables to better address
  development of a heterogeneous range of new
  capacities and skills
• CDM institutional arrangements have been agreed
  upon by the National Climate Change Committee
  (NCCC).
• The Board of Directors of CDM Promotion Office
  includes members from the public, private NGO
  sectors.
• The Ministry for the Environment is the DNA, but
  operates under overall guidance of the NCCC.
• DNA and CDM Promotion Office are small technical
  units with clear-cut responsibilities.

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Weaknesses of the Ecuadorian CDM Institutional
Arrangement

• Financial sustainability of CDM entities is not
  granted.
• Continuity of installed capacities
• DNA officials are not exclusively dedicated to
  CDM and still depend on technical assistance
  provided by consultants.
• CDM Promotion Office officers are consultants
  hired by technical cooperation programmes.
• Political instability at the M for the E affects
  working environment at the CDM Promotion Office
  (regardless its public-private nature).
• CDM Promotion Office will have to address new
  challenges in accordance to evolution of
  international emissions market.

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Project Approval Process in Ecuador
Project Document Project participants DNA
Annex natl requirements based on presentation guide based on evaluation guide
(A) Compliance with applicable legal framework (sector/local scope) Applicable legal prerequisites for proposed project activity. Attachment of relevant licenses, certificates, others. Check on integrality consistency. Consultations with relevant authorizing entities.
(B) Congruence with relevant national/sector/local development policies/plans Explanation on how the proposed project activity is congruent with development policies/strategies. Assessment of evaluators individual briefing and joint recommendation on approval.
(C) Discussion of environmental, socioeconomic and technological impacts (w/o further guidance) Explanation on how positive impacts will be achieved and negative impacts mitigated. Individual briefing and joint recommendation on approval.
Annex intl requirements / /
CDM Project Design Document (PDD as defined by the CDM-EB) Submission of PDD that has been or will be submitted for validation by OE. Review of PDD. Relevant observations may require joint revisions with participants validators.
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Project Approval Process
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Approval Process Strengths

• Cost-efficiency
• Evaluation fee expected to be symbolic
• Time-efficiency
• The approval process is designed to be a
  streamlined process which takes place in less
  than 20 working days
• Submission of PDD is requested
• Project participants and DNA will benefit of
  dealing with a consolidated project proposal.

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Approval Process weaknesses

• Assumption legal framework development
  plans are congruent with national sustainable
  development objectives
• Current evaluation criteria is based on that
  assumption.
• Lack of project-specific SD assessment of
  proposed project activity