Sustainable Development Assessment of
CDM projects in Georgia
21-22 January, 2008
Georgia ratified UNFCCC on 29 October 1994 and has
accessed to the Kyoto Protocol on 16 June 1999;
From the three mechanisms defined by the Kyoto Protocol,
Georgia, as a Non-annex I party to the UNFCCC can
participate only in CDM;
Georgia satisfies CDM participation requirements:
- Georgia participates voluntary in CDM;
- Georgia has nominated CDM “Designated National
- Georgia is a Party to the Kyoto Protocol.
“The Win-Win Mechanism”
The dual aim of the CDM:
To achieve SD in developing countries and
Cost-effective reduction of GHGs in developing countries.
Three dimensions of SD:
Social Criteria : poverty alleviation, equity and improved quality of life;
Economic Criteria: financial returns to local entities, a positive balance of
payments and technology transfer;
Environmental Criteria: reduction of GHGs and the use of fossil fuels,
conservation of local resources, improved health and reduced pressure on local
Contribution to Sustainable Development (SD)
The traditional definition of SD is used from the Brundtland
As established under the article 12 of Kyoto Protocol the Purpose of the
CDM shall be: “To assist Parties not included in Annex I in achieving SD
and in contributing to the ultimate objective of the Convention”.
It is the prerogative of the host Party to confirm whether a CDM project
activity assists it in achieving SD or not.
CDM Designated National Authority (DNA)
By the Decree of the Government of Georgia dated 20 January 2005 the Ministry of
Environment Protection and Natural Resources of Georgia was appointed as CDM DNA.
The main tasks of the CDM DNA is to confirm that:
Georgia participates voluntary in CDM and in the Project;
CDM project will assist Georgia in achieving SD;
CDM Project has been in compliance with national environmental regulations;
Stakeholders opinions have been considered and followed.
How CDM contributes to SD in Geogria???
It is a case of project by project basis;
No methods exist for measuring the total contribution
of the CDM to SD;
CDM DNA of Georgia developed SD criteria of CDM
The main task of the CDM National Board is to determine
according to the SD criteria, whether the proposed project
contributes to SD of the country.
National SD Criteria and Indicators for
National SD criteria and indicators for CDM projects have
been formulated on the basis of Georgia’s National SD
criteria and Georgia’s National environment and
development priorities and strategies taking into account
experience of countries similar to Georgia.
Sectoral sustainability criteria and indicators suggested by
relevant ministries have been considered as well.
SD Criteria of CDM Projects in Georgia
Area Criteria Score Comments
1 Investor conditions 5
2. Sustainable technology transfer 10
3. Project’s effect on economic
development of the region (project is
implemented in the economically
4. Employment generation 55
Economic 5. Project’s effect on the sustainable
development and other ongoing sectoral
programs and plans. (Economic
development and poverty reduction
program, Millennium Development Goals
6. Share in the priority sector 15
1 Stakeholder participation
2. Availability of better living conditions
3. Capacity development (intellectual
1 Fossil energy resources (fuel switch,
energy efficiency, renewable energy 10
2. Air quality 5
3. Water quality (impact on the
quality/quantity of local tap water)
4. Impact on land resources (project’s 30
effect on sustainable use of land 5
5. Share in other global conventions
(Biodiversity, Desertification and others)
and agreements (Millennium
8 Development Goals)
Project Title: Landfill Gas Capture and Power Generation
Project in Tbilisi
Sectoral scope 1: Energy industries (renewable-/non-
13: Waste handling and disposal
Project host Tbilisi City Municipality
Foreign partner “Simizu Corporation” (Japan)
Methodology AMS-I.D, ACM001
Crediting period: 14 years (renewable)
Estimated reductions in total About 500,000 t CO2-eq
Current status Submitted for registration
Envisioned date of registration 5 April 2007
Project Submitted for
Project Title: Refurbishment of Enguri Hydro Power Plant
Sectoral scope 1: Energy industries (renewable-/non-renewable
Project host Engurhesi Ltd.
Foreign partner EBRD
Methodology ACM0002 “Consolidated baseline methodology for
grid-connected electricity generation from
Crediting period: 10 years (fixed)
Estimated reductions in total About 2,500,000 t CO2-eq
Current status Submitted for registration
Envisioned date of Tentatively 1st quarter 2008.
Project Title: Methane Leak Reduction from Natural Gas
Sectoral scope 10. Fugitive emissions from fuels
Project host Georgian Oil and Gas Corporation
Methodology NM0172 (not approved)
Crediting period: Fixed – 10 years
Estimated reductions in Tentatively more then 4 000,000 t CO2eq.
Current status Draft PDD completed
Envisioned date of
Thanks for Attention on SD Assessment of
CDM Projects !!!
I Wish you cleaner air)))