Understanding CDM Methodologies - SuSanA
Understanding CDM Methodologies - SuSanA
Understanding CDM Methodologies - SuSanA
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While COP/MOP has provided that Large projects can be bundled without<br />
any limit 138 , the board has placed a limit of bundling of small-scale projects to<br />
the overall small-scale threshold 139 .<br />
An official glossary defines key <strong>CDM</strong> terms; it has been regularly updated but<br />
never been subject to a COP/MOP decision.<br />
2.2.3 Active COP/MOP guidance for the EB<br />
Missing Validation<br />
and Verification<br />
Standards due<br />
to Existence of<br />
Validation and<br />
Verification<br />
Manual<br />
Formal Adoption<br />
of revised VVM<br />
planned<br />
Sometimes, COP asks the EB to work on regulatory issues that it feels<br />
insufficiently addressed.<br />
COP 12 asked the EB to promote quality and consistency in verification<br />
and validation by DOEs by providing guidance to DOEs 140 , as no rule of the<br />
Marrakech Accords provides validation and verification standards. In an<br />
attempt to make DOE operations comparable and consistent, Det Norske<br />
Veritas Certification (DNV) in cooperation with TÜV Süddeutschland and<br />
KPMG had developed a Validation and Verification Manual (VVM) in 2003.<br />
The VVM introduced the terms “Corrective Action Request” (CAR) and<br />
Clarification Request (CL). The former shows that the DOE deems the <strong>CDM</strong><br />
rules be violated by the PDD, whereas the latter indicated that information<br />
is insufficient, unclear or not transparent enough to establish whether a<br />
requirement is met. Under the VVM, DOEs follow a validation protocol which<br />
contains a set of 86 questions. Despite substantial changes in the PDD and<br />
the EB practice, the VVM has not been revised so far. While most DOEs (DNV,<br />
TÜV Süd) use the template provided by the VVM to structure the validation<br />
report, others (SGS) have used their own structure. However, the EB was<br />
slow to address the task given by COP after deciding that the VVM should<br />
be reviewed and a revised version should be formally adopted after inputs by<br />
DOEs and the general public had been solicited 141 . Until COP 13, this issue<br />
had not been resolved.<br />
2.2.4 Administrative decisions by EB vetted by COP/MOP<br />
With regards to purely administrative decisions, COP/MOP essentially vets<br />
proposals made by the EB.<br />
Administration<br />
Fee<br />
EB can ask for<br />
Corrections after<br />
Review<br />
The Marrakech Accords had specified that for financing of the EB and the<br />
regulatory structure, an administration fee could be levied. On suggestion of<br />
the EB, COP 11 accepted a fee of 0.1 $ per CER up to 15,000 CERs per year<br />
and 0.2 $ for CER volumes above this level. The fee is collected when CERs<br />
are issued 142 ; at registration an advance payment calculated on the average<br />
annual issuance level forecast in the PDD is levied 143 .<br />
The EB felt that the Marrakech Accords were too constraining regarding<br />
the outcomes of a review of a registration or issuance request. Instead<br />
of only allowing acceptance or rejection as a result of a review, the EB<br />
can ask project developers to make corrections to the PDD 144 . The same<br />
138<br />
Ibid., para 21<br />
139<br />
EB 21, Annex 21<br />
140<br />
Decision 1/CMP.2, para 12<br />
141<br />
EB 32, Annex 1<br />
142<br />
Decision 7/CMP.1, para 37. Previously, a staggered registration fee had been levied, ranging from 5000 to<br />
30,000 $ depending on the size of the project (EB 6, Annex 5)<br />
143<br />
EB 23, Annex 35, which also specifies that the advance payment is capped at 0.35 million $ in the case of<br />
rejection, any fee above 30,000 $ will be paid back to the developer.<br />
144<br />
Annex II to decision 18/CP.9, para 18 (b)<br />
21