Kyoto Protocol and subsequent action

Kyoto Protocol and subsequent action

With reference to several articles on the Kyoto Protocol
recently, published in The Jakarta Post, I would like to add some
comments.

After ratifying the Kyoto Protocol, in accordance with para 29
Annex Decision 17/CP7, the government of Indonesia should
establish Designated National Authority (DNA), to include rules
of procedure for members, meetings, voting, working groups,
conduct of business, secretariat, etc, and send this
establishment to the secretariat of the United Nations Framework
Convention on Climate Change (UNFCCC) and e-mail it to cdm-
info@unfccc.int, in order to engage in an exchange of information
with DNA from other countries.

The DNA will act as the approving authority for Clean
Development Mechanism (CDM) project proposals; to foster and
promote CDM projects DNA shall provide a website, containing
information and guidelines, so that the approval process can be
done online.

When the CDM project is approved, the project owner should
contract the Designated Operational Entity (DOE) that will
validate and register with the Executive Board (EB) of CDM. As of
now there have been four DOEs accredited by EB, i.e. DNV-Norway,
JQA-Japan, TUV-Germany and SGS-Britain.

For registration, the CDM project owner will be charged
US$5,000 to $30,000, depending on the reduction of tonnes of CO2
per year caused by the project. Estimated cost in contracting DOE
is about $20,000 per manmonth; the project owner should also
contract the DOE for verification and certification. After
getting Certified Emission Reduction (CER) the project owner can
sell it to countries of Annex I UNFCCC.

For example, hydropower projects with a capacity of 5,000 kW
could reduce 25,000 tonnes of CO2 per year; if the price of CO2
were $5 per ton (estimated prices studied by Natsource at between
$5 and $11), the project would get additional revenue of $125,000
per year.

IMAN SANTOSO
Jakarta