Sustainable development in the Clean Development Mechanism: the role of Designated National Authority in China and India

The Clean Development Mechanism (CDM) emerged under the Kyoto Protocol to facilitate collaboration between developed and developing countries in order to mitigate greenhouse gases. The CDM allows developed countries to receive credits towards meeting their obligatory targets by investing in emission reduction projects in developing countries. The countries are required to set up a Designated National Authority (DNA) to approve the CDM projects. This paper examines the role of the DNA in ensuring sustainable development, using the empirical case of China and India. Three aspects of the DNA's role are examined: the institutional structure, the policy context and the CDM project market. All three aspects highlight the important role of the DNA in meeting the countries' sustainable development priorities.     

Environmental service payments: evaluating biodiversity conservation trade-offs and cost-efficiency in the Osa Conservation Area, Costa Rica

The cost-efficiency of payments for environmental services (PES) to private landowners in the Osa Conservation Area, Costa Rica, is evaluated in terms of the trade-off between biodiversity representation and opportunity costs of conservation to agricultural and forestry land-use. Using available GIS data and an 'off-the-shelf' software application called TARGET, we find that the PES allocation criteria applied by authorities in 2002-2003 were more than twice as cost-efficient as criteria applied during 1999-2001. Results show that a policy relevant assessment of the cost-effectiveness of PES relative to other conservation policies can be carried out at regional level using available studies and GIS data. However, there are a number of data and conceptual limitations to using heuristic optimisation algorithms in the analysis of the cost-efficiency of PES. Site specific data on probabilities of land-use change, and a detailed specification of opportunity costs of farm land, labour and capital are required to use algorithms such as TARGET for ranking individual sites based on cost-efficiency. Despite its conceptual soundness for regional conservation analysis, biodiversity complementarity presents a practical challenge as a criterion for PES eligibility at farm level because it varies depending on the set of areas under PES contracts at any one time.     

Ecotourism,sustainable development,and conservation education: Development of a tour guide training program in Tortuguero,Costa Rica

A tour guide training program was developed for rural communities near Costa Rica's Tortuguero National Park to respond to the impacts of the 24-fold increase in park visitation in the past decade, to involve local communities in resource management, and to provide regional environmental education. The development of the training course involved a survey of scientists and park managers to ascertain resource management needs, priorities for information to be disseminated, and impacts of tourism on the resource base. Current and potential tour guides were surveyed to identify their information needs, solicit their input in the training program, and to determine their knowledge and skills. Written questionnaires were developed and given to 400 tourists to determine their activities and environmental information needs, and hotel owners were censused to examine the economic feasibility of a local guide program. A pilot training course and guide program involving 12 Tortuguero residents demonstrated that a tour guide program: (1) helped mitigate negative tourism impacts on Tortuguero National Park's natural resources, particularly by regulating tourists on the park's 35-km beach used for nesting by endangered sea turtles; (2) provided environmental education to an important segment of the local community not traditionally reached through school or government development projects; (3) provided environmental information to tourists, thus enhancing their visit; and (4) provided local economic benefits through lucrative part-time employment, thereby allowing local people to participate more fully in the tourism system. An extended training course is being planned to provide further environmental education programming and to increase year-round employment opportunities for the tour guides.     

Baseline assessment for environmental services payments from satellite imagery: a case study from Costa Rica and Mexico

In this study we evaluate the accuracy of four global and regional forest cover assessments (MODIS, IGBP, GLC2000, PROARCA) as tools for baseline estimation. We conduct this research at the national scale for Costa Rica and for two tropical dry forest study sites in Costa Rica (Santa Rosa) and Mexico (Chamela-Cuixmala). We found that at the national level, the total forest cover accuracy of the four land cover maps was inflated due to an overestimation of forest in areas with an evergreen canopy. However, the four maps greatly underestimated the extent of the deciduous forest (dry forest); an ecosystem that faces high deforestation pressure and poses complications to the mapping of its extent from remotely sensed data. For the tropical dry forest sites, all maps have low forest cover accuracies (mean for Santa Rosa: 27%; mean for Chamela-Cuixmala: 56%). This has implications for policy implementation.     

Land use change and carbon exchange in the tropics: I. Detailed estimates for Costa Rica,Panama, Peru,and Bolivia

Our group, composed of modelers working in conjunction with tropical ecologists, 3 has produced a simulation model that quantifies the net carbon exchange between tropical vegetation and the atmosphere due to land use change. The model calculates this net exchange by combining estimates of land use change with several estimates of the carbon stored in tropical vegetation and general assumptions about the fate of cleared vegetation. In this report, we use estimates of land use and carbon storage organized into sixlife zone (sensu Holdridge) categories to calculate the exchange between the atmosphere and the vegetation of four tropical countries. Our analyses of these countries indicate that this life zone approach has several advantages because (a) the carbon content of vegetation varies significantly among life zones, (b) much of the land use change occurs in life zones of only moderate carbon storage, and (c) the fate of cleared vegetation varies among life zones. Our analyses also emphasize the importance of distinguishing between temporary and permanent land use change, as the recovery of vegetation on abandoned areas decreases the net release of carbon due to clearing. We include sensitivity analysis of those factors that we found to be important but are difficult to quantify at present.     

Costa Rican Environmental Service Payments: The Use of a Financial Instrument in Participatory Forest Management

The core element of the Costa Rican forestry policy is a financial instrument called the environmental service payment. This instrument rewards forest owners for the environmental services (the mitigation of greenhouse gases, the protection of watersheds and scenic beauty, and the development of biodiversity) their forests provide. In this article, the experiences with this new instrument are analyzed by focusing on the way interests are represented and access is granted, the openness of information exchange, whether social learning occurred, and whether decision-making authority is shared. The analysis is based on a survey conducted in the Huetar Norte Region and on in-depth interviews with the major stakeholders. The Costa Rican case indicates that financial instruments can be used to share responsibilities and that stakeholders can successfully cooperate on forest issues. It also shows that such a participatory approach is only promising if certain cultural, economic, organizational, and political conditions are met.     

General equilibrium effects of a supply side GHG mitigation option under the Clean Development Mechanism

The Clean Development Mechanism (CDM) under the Kyoto Protocol to the United Nations Framework Convention on Climate Change is considered a key instrument to encourage developing countries' participation in the mitigation of global climate change. Reduction of greenhouse gas (GHG) emissions through the energy supply and demand side activities are the main options to be implemented under the CDM. This paper analyses the general equilibrium effects of a supply side GHG mitigation option-the substitution of thermal power with hydropower--in Thailand under the CDM. A static multi-sector general equilibrium model has been developed for the purpose of this study. The key finding of the study is that the substitution of electricity generation from thermal power plants with that from hydropower plants would increase economic welfare in Thailand. The supply side option would, however, adversely affect the gross domestic product (GDP) and the trade balance. The percentage changes in economic welfare, GDP and trade balance increase with the level of substitution and the price of certified emission reduction (CER) units.     

Sustainable development and participatory practices in community forestry: the case of FUNDECOR in Costa Rica

This paper studies the emergence of one particular ‘new’ environmental policy instrument: disclosure of emission and pollution data. Disclosure is part of a relatively new sub‐set of regulatory measures, based on monitoring, transparency, citizen‐empowerment and accountability. It originated in the United States but has recently attracted international attention. The attractiveness of disclosure is obvious; it promises environmental improvement combined with strengthened environmental democracy and community empowerment. By analysing the experiences in the US, and the developments in the Netherlands, this paper seeks to assess the functioning and effectiveness of disclosure. The available empirical evidence suggests that disclosure has a positive impact on the environmental performance of industrial facilities as well as a democratising effect. It is argued that Dutch policy makers wrongfully assume that disclosure cannot work in the Netherlands. The consequence is that citizens are provided with little specific information that cannot be used to put pressure on polluters.     

Climate and Water Conflicts Coevolution from Tropical Development and Hydro‐Climatic Perspectives: A Case Study of Costa Rica

Costa Rica is a nation with a vast wealth of water resources; however, recently the country has faced water conflicts (WC) due to social, economic, legal, and political impediments in response to limited water availability during El Niño events and inefficient use of its water resources. This study presents a spatial distribution and temporal analysis of WC in Costa Rica from 2005 to 2015. In total, 719 WC were analyzed of which 54% were among private individuals and government. The largest urban areas and the Grande de Tárcoles Basin were identified as the main “hot spot” for the conflicts. WC were mainly caused by spills of wastewater, water pollution, water shortage, infrastructure damage, and flooding, and can be predicted using a multiple linear model including the population size and the number of hydro‐meteorological events (HME) (R² = 0.77). The identified HME also coevolved significantly with the changes in precipitation regimes (r = 0.67, p = 0.021). Our results suggest that there is a need to recognize that water infrastructure longevity across the country concatenates and amplifies WC, mainly in the most populated area located in the Central Valley. Implications of our findings include the need for truly integrated water resources management plans that include, for example, WC as indicators of hydro‐climatic changing conditions and water supply and sanitation infrastructure status.     

Possibilities and options for the Clean Development Mechanism and the Green Investment Scheme in Central and Eastern Europe: Macedonian and Romanian perspectives

Central and Eastern Europe (CEE) is a rapidly changing and developing region which is making the transition to a market based economy. Along with economic reforms, the countries of the region are engaged in substantial environmental reforms, including climate change mitigation activities. Mitigation of, and adaptation to, the consequences of climate change are costly processes. It is therefore of great importance that the national and international mechanisms addressing these problems use methods both environmentally sound and economically efficient. Through two case studies that address the Clean Development Mechanism (CDM) in the Former Yugoslav Republic of Macedonia, and the Green Investment Scheme (GIS) in Romania, this paper explores challenges, related tasks and main problems in the establishment of mechanisms of the Kyoto Protocol in Central and Eastern Europe.     

Policy,Institutional and Market Barriers to the Implementation of Clean Development Mechanisms (CDM) in China

China is the second largest emitter of greenhouse gases (GHG) in the world, with potentially about two thirds of total Certified Emission Reductions (CERs) for Asia on the world carbon market (). Since 68% of its primary energy is from coal, China's average energy intensity is 7.5 times higher than the EU and 4.3 times higher than the US (EU, 2003 The European Union on-line. (2003). (http://europa.eu.int/index_ns_en.htm accessed Oct 2003  [Google Scholar]). Therefore, introducing advanced clean technologies and management to China represents opportunities for Annex I countries to obtain low-cost CERs through CDM projects, and access to one of the largest potential energy conservation markets in the world.

CDM can provide a win-win solution for both China and Annex I countries, and the Chinese government considers that the introduction of CDM projects can bring advanced energy technologies and foreign investment to China, thereby helping China's sustainable economy and generating CERs. As energy efficiency is generally low and carbon intensity is high in both China's energy supply and demand sectors, numerous options exist for cost-effective energy conservation and GHG mitigation with CDM.

This paper reviews current Chinese policies and administrative and institutional settings for CDM cooperation, and discusses existing policy, institutional and other barriers in the energy market by drawing on observations and experience from previous initiatives such as Cleaner Production and energy efficiency. Some options to remove these barriers are addressed. In order to make CDM projects feasible, China's government needs to promote awareness, streamline administrative systems, and be more active in building a competitive edge in the world carbon market.