An introductory guide on CDM/VCS project execution

Posted on August 2, 2011 by

Want to develop carbon credits project but confused with the complex structure of the respective mechanism then follow these instruction;

Stage 1: Feasibility Study

  1. Evaluate the technologies such as Renewable energy, energy efficiency, waste management, forestry, etc in the proposed projects activity to establish if it meets the criteria for GHG emission reduction or sink under the Clean Development Mechanism (CDM) or Verified Carbon Standards (VCS) for the same. 
  2. Propose action plan to find out the compliance of proposed projects activity with the carbon credits mechanisms i.e. CDM/VCS.  If certain aspects of project do not meet the criteria for carbon credit program then find out the exact reason and if found aligned with the modalities and procedures of CDM/VCS after rechecking and reassessment then go ahead with next stage of execution.  
  3. Estimate the carbon credit revenue possible (if any) from the proposed project activity and establish the business case (if any) to undertake development a carbon credit project.
  4. Develop roadmap and plan of action for various stages of carbon credit project in order to develop eligible projects for CDM/VCS

Stage 2: Project Execution under the selected Carbon Credits Mechanism (CDM/VCS)

  1. Develop complete documentation for undertaking registration of the proposed project(s) under the CDM/VCS. Such documentation includes Project Idea Note and the Project Design Document (PDD)/Or VCS-PD including the Baseline Study, Monitoring & Verification Protocol, Environmental Impacts Assessment report issued by the competent authority (If required) and stakeholder comments.
  2. In case of CDM, obtain Host Country Approval (HCA) for the project by undertaking liasioning, documentation and presentation to the Designated National Authority (DNA) for the CDM, Government of India (based at New Delhi).
  3. Select third party validator i.e. Designated Operational Entity (DOE) for successful validation of the project activity.
  4. Complete the registration process at the CDM executive board as evidenced by the issue of registration number and listing at the UNFCCC’s website.
  5. Creation monitoring report in accordance with Monitoring & Verification Protocol.  Select and appoint an appropriate DOE (Designated Operating Entity) for the verification process and further for the issuance of CERs/VER’s (Certified Emissions Reductions/Voluntary Emission Reductions – Hereafter “Carbon Credits”)

Carbon Credits Project Management Plan

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Posted in: Carbon Markets