Clean Development Mechanism
    2 How can we prepare for the CDM?  
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    What role can governments and planning agencies take?
                       
    The Kyoto Protocol ascribes the responsibility for determining the procedures for approving CDM projects to host countries (ie developing countries). Without such approval, projects cannot be submitted to the CDM Executive Board. Therefore developing country governments wishing to host CDM projects must set up these procedures.  
                       
    Beyond simple approval or rejection of projects, there is much more that countries (and agencies within countries) can do to make CDM projects successful. These range from passive to pro-active, as follows:  
                       
   
  • Setting up the minimum requirements for CDM projects, which could include meeting national sustainable development requirements, and the procedures for submitting projects for government approval;

  • Producing a list of non-eligible activities (eg, some countries may wish to discourage certain land-use activities);

  • Setting up an infrastructure for promoting and /or handling CDM projects, which could include a plan, identifying CDM priority areas and activities (preferably integrated with national land use plans), extension services and support, provision of information about CDM opportunities, and investment facilitation;

  • Developing a full programme to promote and actively seek out CDM projects. An example of this approach was the programme developed by the Costa Rican Office for Joint Implementation (OCIC), which provided advance finance for small-scale farmers to conduct forest management activities which would generate carbon credits that OCIC sold in the international market. Government promoted programmes and direct payment to farmers: Costa Rica.
 
    Those who wish to develop CDM projects may include land use or forest agencies in developing countries (or even NGOs or private sector actors). They need to be able to interact with the focal point in the government of the country concerned to find out what national-level procedures are in place. As few countries have put such procedures in place, land use and forestry agencies should assist the national government to develop relevant criteria.  
                       
  What can be done to encourage appropriate CDM projects in the land-use sector?      
                       
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