GreenhouseGas(GHG)Monitoring,ReportingandRegistries.pptVIP

Greenhouse Gas (GHG) Monitoring, Reporting and Registries Pierre Boileau Greenhouse Gas Division Presentation for the Kyoto Mechanisms Seminar for the Manitoba Business Sector Background and Context Background The Kyoto Protocol and Marrakech Accords established a framework for the international emissions trading market Created 4 types of units (AAUs, ERUs, CERs, RMUs) Set rules for the treatment of these units in 6 types of Registry transactions (issuance, transfer, acquisition, cancellation, retirement and carryover) This framework determines three key characteristics of the international emissions trading market (transfer and acquisition between Registries) Who can trade When trading for each unit starts and ends How much of each unit can be traded And has secondary implications for transactions outside that market (eg. Forward transactions) Who Can Trade Parties To be eligible to trade (transfer or acquire), an Annex 1 Party must first: Ratify the Protocol Establish its initial assigned amount Establish a national system to estimate emissions by sources and removals by sinks Establish a national registry to track and account for units To continue to be eligible to trade, An an Annex 1 Party must Submit annual emissions inventory of acceptable quality (NIR) Submit annual sinks inventory (NIR) Submit annual assigned amount report (NIR) Expedited procedure to reinstate eligibility if lost Entities Must be authorized to trade by an eligible Party When Trading Can Occur Two issues determine when trading occurs : I) When the (authorizing) Party is eligible to trade first commitment period units From: 1 January, 2008 at the latest Following review of pre commitment period report (submitted no later than 1 January, 2007) To: 24 July, 2015 Final day of the true-up period II) When the unit being traded is issued CERs: 2003? onwards AAUs: January 1, 2008 at the latest ERUs: January 1, 2008 onwards RMUs: April, 2011 (Annual Accounting); April, 2015 (Commitme