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Strengthening the African CDM Pipeline


Background and Objective

The unbalanced geographical distribution of projects has always been one of the central criticisms of the CDM. The mechanism concentrated on only a few emerging economies in Asia and Latin America, while in Africa the development of the capacities required has been slow. To prevent a decline of the laboriously developed technical and administrative capacities in Africa due to the crisis in the global carbon market, the Federal German Environment Ministry (BMU) supported an initiative headed by Climate Focus, Perspectives and AREA Group. The project's goal was to identify and test ways to enable Africa’s CDM capacity to be further used in the medium term and to integrate the projects subsequently into the Paris Agreement framework.
 

Implementation

To address these issues, the project focused on attempts to link the CDM with international climate financing institutions. In order to identify ways to strengthen the African CDM, activities were implemented at four different levels:

The project team developed proposals for a better linkage between the CDM and the Green Climate Fund (GCF). The proposals range from using the CDM validation process to quantify the mitigation impacts of GCF projects to direct promotion of CDM activities via financing from the GCF. Another project-related activity supported individual CDM pilot projects to obtain access to climate financing. The project was also designed to raise awareness about the positive contribution made by the CDM in Africa. This involved holding public events and publishing policy papers as well as other print and digital media. In addition, the project team supported decision-makers from government and administration by means of conceptional work on the question of how successful components of the CDM could be transferred to Article 6 of the Paris Agreement. The project team also analysed options to enable the continuation of CDM activities under the Paris Agreement’s Article 6.


Results and Outlook

The project, which has now been completed, has produced a number of publications and discussion papers on linking the CDM with the Green Climate Fund. In addition to the technical analysis, the project sparked dialogue with key African stakeholders, bringing them into the international debate by means of side events and publications. At practical level, the project supported selected CDM projects in the acquisition of climate financing. It also demonstrated the opportunities and challenges that CDM project developers have in securing their investments through climate financing.

Strengthening the African CDM Pipeline

Role of BMU: Research funding

Lifecycle: 2015 - 2017 (completed)

Implementation: Climate Focus, B. V.

Other Organisations Involved: Perspectives Climate Group, AERA Group 

Further Information: https://climatefocus.com/projects/strengthening-african-cdm-pipeline

Contact: Sandra Greiner, s.greiner@climatefocus.com

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