scholarly journals Investing in Clean Development Mechanism (CDM) Projects in Brazil

2010 ◽  
Vol 3 (1) ◽  
pp. 1 ◽  
Author(s):  
Luiz Carlos Jacob Perera ◽  
Roberto Borges Kerr ◽  
Herbert Kimura ◽  
Fabiano Guasti Lima

The discussion about Clean Development Mechanism (CDM) Projects has its roots in global warming and its consequences. CDM projects enable developed countries to offset the pollution generated by the acquisition of Certified Emission Reductions (CER), concerning the reduction of Greenhouse Gases (GHG) emissions in developing countries. The article discusses the CDM in a comprehensive manner, based on the opinion of experts, and investigates the future of this market from 2012, the post-Kyoto period. The main results show that the CDM follows the principles of Sustainable Development, focusing on the climate changes and the profitability of projects. It shows that Brazil has real possibilities to act in the CER market which is expected to consolidate in the post-Kyoto. Controversial issues as the future of post-Kyoto, nuclear power and especially the conservation of forests, through the generation of CER, remain undefined.

2002 ◽  
Vol 13 (3) ◽  
pp. 435-452
Author(s):  
Liu Deshun ◽  
Taishi Sugiyama

What is the Clean Development Mechanism (CDM)? The establishment of Clean Development Mechanism (CDM) is a significant achievement in the political negotiations on the implementation of United Nations Framework Convention on Climate Change (UNFCCC). CDM is stipulated in Article 12 of the Kyoto Protocol (KP), where assisting developing country Parties in achieving sustainable development is explicitly listed as a purpose in parallel with the others. Developed country Parties are to be assisted in achieving compliance with their quantified emission limitation and reduction commitment (QELRC) under Article 3 by acquiring Certified Emission Reductions (CERs) accrued from the CDM. This win-win mechanism reflects two arguments: the responsibility of developed countries for past greenhouse gas emissions, and the legitimate priority needs of developing countries for their social and economic development and poverty eradication. It should be kept in mind, therefore, that when formulating the strategic policy of the CDM, one important principle to be followed is that CDM projects must be compatible with and supportive of national environments and sustainable development priorities and strategies of developing country Parties.


2016 ◽  
Vol 6 (1) ◽  
pp. 95-112
Author(s):  
Yusuf Muchelulea ◽  
Kevin Mulama

The Clean development mechanism (CDM) is a new tool for promoting sustainable development in developing countries. It was established by the Kyoto Protocol under the United Nations Framework Convention on Climate Change (UNFCCC). It promises developed countries certified emission reductions (CERs) if they comply with their quantified emission targets and developing countries sustainable development benefits if they participate and invest in clean renewable technologies. Energy development through investments in clean technology transfer can contribute to sustainable development. However, sustainable development will only be achieved if current barriers and gaps facing CDM project implementation in Kenya are mitigated or removed altogether paving way for the development of more CDM projects in Kenya.


2013 ◽  
Vol 7 (3) ◽  
pp. 185 ◽  
Author(s):  
Say Keat Ooi ◽  
Azlan Amran ◽  
Zainorfarah Zainuddin

The Clean Development Mechanism (CDM), established under the Kyoto Protocol, is one of the market-based mechanisms developed to assist industrialized countries mitigate greenhouse gas (GHG) emissions, achieve emission reduction targets, and at the same time promote sustainable development in developing countries. The CDM, which provides flexibility and costeffectiveness in meeting GHG emission reduction targets, has captured interest globally. CDM implementation is expected to generate benefits, give developing countries a sense of ownership, and share the global load in tackling global warming and climate change. However, CDM <br />implementation faces several complications. The successful participation of developing countries in emission reduction projects presents ongoing challenges, which inhibit their drive towards sustainable development goals. Through a comprehensive review of the literature and theoretical analysis, several factors have been identified as significant to successful CDM implementation in Malaysia. These success factors, which include regulation and a legal framework, competitive advantage, green supply chain, ethical values, financial benefits, and technology transfer, are presented and the importance of each factor is discussed.


2002 ◽  
Vol 5 (2) ◽  
pp. 413-429 ◽  
Author(s):  
Harald Winkler ◽  
Steve Thorne

Projects implemented under the Clean Development Mechanism (COM) need to establish a baseline. The baselines is a projection of greenhouse gas emissions that would have occurred without the project. Establishing baselines that allow for sustainable development through COM projects is a key challenge, especially in poor communities. The COM rules explicitly allow for baselines that account for emissions "above current levels due to specific circumstances of host parties". This provision lends support to crediting of growth in demand for energy services where it is currently suppressed as a result of poverty and/or lack of infrastructure or suppressed demand. The question is whether the existing level of consumption is the baseline or the future expected level of consumption including "development" advances in provision of energy services and as a result of poverty alleviation is the baseline. Or should development be allowed to get dirty before it qualifies to become clean? The paper presents a baseline methodology that provides opportunities for suppressed demand to be predicted and counted.


2011 ◽  
pp. 121-141
Author(s):  
Leonard Smith ◽  
Paul Dargusch ◽  
Sebastian Thomas

The Clean Development Mechanism (CDM) is the principal source of carbon offsets in the global market, and is intended to be a key driver of sustainable development and technical transformation in developing countries. The distribution of CDM projects by country has been skewed, with over 75% of registered projects having taken place in just four countries, namely China, India, Brazil and Mexico. A change in this pattern of development may be occurring, however, as smaller developing countries become increasingly active in the carbon market. An example of this is the rapid rise in the number of CDM projects based in Vietnam since early 2009. This paper investigates factors contributing to the growth of CDM projects in Vietnam and describes some of the key features of the projects that have been developed. Hydropower projects are found to dominate new CDM project development in Vietnam. It is suggested that CDM project development in Vietnam may be a tool to support domestic energy security rather than being primarily driven by the intended climate change mitigation and sustainable development objectives of the CDM. It is also possible that Vietnam is emulating the development strategy of China, and may serve as a model for other members of the Least Developed Countries group. A country’s domestic policy choices are critical in determining its attractiveness as a host country for offset projects, and Vietnam’s policy strategies are successfully harnessing synergies between domestic agendas and regulated foreign markets.


2017 ◽  
Vol 59 (1) ◽  
pp. 82-101 ◽  
Author(s):  
Pravesh Aggarwal ◽  
Rupesh Aggarwal

Purpose This paper aims to critically evaluate the working of the clean development mechanism (CDM) particularly in developing and least developed countries in the light of recent developments. Design/methodology/approach Part I of the paper delves upon various international rules governing the CDM. Part II of the paper draws out the rationale behind the introduction of the CDM under the Kyoto Protocol so as to provide a basis for its critical assessment in actual practice, as dealt with in Part III. Finally, the paper makes a concluding remark and suggests a way forward. Findings It is submitted that the CDM suffers from a gamut of concerns, which need to be adequately addressed. The business-centric approach followed by the investors of CDM projects has been a major reason behind denial of social, economic and environmental benefits pertinent for attaining sustainable development in the developing countries. The urge to derive economic benefits resulting from their investment has made the developing countries more competitive but turn a blind eye to reduced standards maintained for sustainable development. Besides, long-term benefits arising out of such projects, along with greater public participation of local stakeholders in CDM activities, have usually taken a backseat. A need is there to involve the CDM in the agricultural sector, which would have long-term benefits. Besides, it is required to enhance local stakeholder consultation, which ensures that people affected by a CDM project can give a timely, meaningful input to a proposed project. In the 80th meeting of the CDM Executive Board, held in Bonn, it was further decided that the complaints of the local stakeholders shall be given effect through subsequent changes in the project design of the CDM pipeline, along with their consultation before the real start of the project. Greater participation will also be ensured through increased publically available data on CDM projects. Originality/value The paper is original and brings out some valuable suggestions to improve the working of the CDM.


Ecology ◽  
2019 ◽  
Author(s):  
Philip M. Fearnside

Sustainable development is a concept that has quickly risen to prominence both in academic work and in policymaking at all levels, particularly since 1987 when the World Commission on Environment and Development, better known as the Brundtland Commission, released its report promoting this approach. The report defines sustainable development as development that “meets the needs of the present without compromising the ability of future generations to meet their own needs” and states that “the concept of sustainable development does imply limits—not absolute limits but limitations imposed by the present state of technology and social organization on environmental resources and by the ability of the biosphere to absorb the effects of human activities. But technology and social organization can be both managed and improved to make way for a new era of economic growth.” The thinking behind the concept extends back for decades before the Brundtland Report, particularly since the early 1970s with rapid rise of what is known as “sustainability science,” although the term “sustainable development” was not coined until 1980. Sustainable development owes much of its political attractiveness to its vagueness, allowing hundreds of countries to sign onto international agreements that endorse the concept without fear that their development plans will be constrained. This advantage, of course, is linked to the disadvantage of allowing a “green” discourse to be used to promote just about any imaginable activity, no matter how damaging. Even countries importing toxic waste from the rest of the world claimed that they were practicing “sustainable development,” the Marshall Islands being the best known. The bibliography that follows presents some of the evolution of the concept of sustainable development and its scientific underpinnings. Two processes have proceeded in parallel: the political process of sustainable development that began with the Brundtland Report in 1987 and was extended by the United Nations (UN) Conference on Environment and Development in 1992 and the scientific process that evolved autonomously in response to the vagueness of the Brundtland definition. The sequence of international agreements associated with sustainable development has led this concept to permeate the planning of actions by governments and other entities throughout the world. Current application focuses on the seventeen sustainable development goals, or SDGs, which were agreed at the UN Sustainable Development Summit in 2015, together with their 230 individual indicators and 169 targets. A clear example of the challenge of moving sustainable development beyond a role as a greenwashing discourse is offered by the Climate Convention. The Kyoto Protocol requires that all projects in the Clean Development Mechanism contribute to sustainable development, and in 1997 when the Protocol was signed this was seen as a way to prevent climate-mitigation projects from causing untoward social and environmental impacts. However, it was later decided that there would be no international standards defining what constitutes sustainable development, and it would be left up to each country to decide for itself whether proposed projects in the country met that country’s own criteria. A Designated National Authority (DNA) in each country would certify that each project represents sustainable development, with the result that projects are virtually never blocked on this basis. In Brazil, a dramatic example is the Teles Pires Dam, which was certified as “sustainable development” and now receives clean development mechanism carbon credit. The Munduruku indigenous people near the dam were never consulted, as required by International Labor Organization Convention 169 and by Brazilian Law. In 2013 the tribe’s most sacred site was fist dynamited and then flooded. This was the Sete Quedas rapids, which is where the spirits of respected tribal elders go after death—equivalent to heaven for Christians.


2018 ◽  
Vol 16 (3) ◽  
pp. 345-354
Author(s):  
André Luiz Bufoni ◽  
Aracéli Cristina de Sousa Ferreira ◽  
Luciano Basto Oliveira

Abstract Recent works reveal that financial attractiveness is a severe barrier to the GHG emissions reduction projects in developing countries. Because of price collapse of the carbon market since 2013, the importance of projects budgeting and forecast has risen. This article aims to investigate the financial information and disclosure quality of 432 projects of the waste management sector using UNFCCC’s Clean Development Mechanism as a Kyoto Protocol Instrument. The research used the qualitative content analysis methodology supported by NVivo® software. The results indicate that the lack of reporting standards and the poor-quality information lead to significant reduction of the audits utility, due to the uniformity, consistency, trustworthiness, and predictive and feedback qualitative characteristics of data presented. The real situation and the performance of initiatives are hardly known, but according to data activities, projects are continually compromised. However, the study concludes that the need for quality is a great professional and research field to explore.


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