Clean Development Mechanism (CDM) - Revision history

Fernanda Wynter: /* Activities and Responsibilities */

2021-08-31T08:20:08Z

Activities and Responsibilities

Johanna: /* Status of CDM projects */

2021-01-08T09:25:50Z

Status of CDM projects

Johanna at 11:52, 8 May 2017

2017-05-08T11:52:53Z

Wiki Gardener: /* The Flexible Mechanisms of the Kyoto Protocol */

2014-08-13T11:21:57Z

The Flexible Mechanisms of the Kyoto Protocol

Wiki Gardener: Wiki Gardener moved page The Clean Development Mechanism to Clean Development Mechanism (CDM)

2014-08-13T11:19:38Z

Wiki Gardener moved page The Clean Development Mechanism to Clean Development Mechanism (CDM)

Wiki Gardener at 11:19, 13 August 2014

2014-08-13T11:19:08Z

Show changes

Wiki Gardener at 11:05, 13 August 2014

2014-08-13T11:05:04Z

Ranisha at 12:07, 11 July 2014

2014-07-11T12:07:24Z

Fungai Cecilia Sandamu at 20:54, 26 August 2013

2013-08-26T20:54:19Z

Katharina Wiedemann at 09:54, 12 July 2013

2013-07-12T09:54:19Z

@@ Line 42: / Line 42: @@
 <br/>
 = Activities and Responsibilities =
@@ Line 53: / Line 54: @@
 <br/>
-On the level of the European Union, CDM is currently being discussed to be introduced into the Emissions Trading Scheme that is supposed to enter into force in 2005. More precisely, the [http://ec.europa.eu/clima/policies/eccp/index_en.htm European Climate Change Programme (ECCP)] is currently looking at putting the rules for JI and CDM into operation.<br/>
+On the level of the European Union, in June 2000 the<span style="background-color: rgb(255, 255, 255);">&nbsp;</span>[https://ec.europa.eu/clima/policies/eccp_en European Climate Change Programme (ECCP)]&nbsp;was lauched as a strategy to ensure the fulfilment of the EU's emission reduction targets under the Kyoto Protocol. The programme ran from 2000 to 2004.&nbsp;<span style="background-color: rgb(255, 255, 255);">Taking a 'twin-track' approach, the ECCP is preparing a range of additional EU-level policies and measures to cut greenhouse gas emissions. It was conducted through a cooperative effort involving all relevant stakeholders, including representatives from the Commission's different departments, the Member States, industry and environmental groups.</span><br/>
 <br/>
-The ECCP was launched in June 2000; its goal is to identify and develop all the necessary elements of an EU strategy to implement the Protocol. Taking a 'twin-track' approach, the ECCP is preparing a range of additional EU-level policies and measures to cut greenhouse gas emissions as well as an emissions trading scheme that could start operating within the EU by 2005. It is being conducted through a cooperative effort involving all relevant stakeholders, including representatives from the Commission's different departments, the Member States, industry and environmental groups.<br/>
+-> For more information on most recent decisions see [http://ec.europa.eu/ European Commission] or [https://ec.europa.eu/clima/policies/eccp_en European Climate Change Programme]<br/>
 <br/>
@@ Line 68: / Line 71: @@
 <br/>
 = What Can CDM Contribute to Financing Renewable Energy (RE) or Energy Efficient (EE) Projects?<br/> =

@@ Line 120: / Line 120: @@
 = Status of CDM projects =
-In total 8464 CDM projects are now included in the list of projects that handed in proposals. (excluding the 276 projects given a negative validation by DOEs, the 2238 projects where DOEs terminated the validation, the 275 rejected by EB and the 64 withdrawn).
+For 2381 CDM projects the DOEs terminated validation, and for 279 the DOEs gave a negative validation. 280 projects were rejected by the EB, and 64 projects were withdrawn.
-*7770 of the projects are now registered and a further 4 are in the registration process. 3049 CDM projects have got CERs issued.<ref name="UNEP DTU CDM/JI database, available at http://www.cdmpipeline.org/overview.htm. updated in May 2017.">UNEP DTU CDM/JI database, available at http://www.cdmpipeline.org/overview.htm. updated in May 2017.</ref>
+The total issuance is now 2048 MCERs, this is an increase of 2.3 MCERs compared to last month. 3249 registered projects have now got issuance. The average issuance success is 82.0%.
 <br/>
 = Further Information =

@@ Line 6: / Line 6: @@
 <br/>
 = The Flexible Mechanisms of the Kyoto Protocol =
 <u>There are two instruments in the Kyoto Protocol which permit the acquisition of emission credits by means of project-based investments abroad:</u><br/>
 #'''Joint Implementation (JI)''', in which industrialised countries and economies in transition (listed in Annex I of the UNFCCC/Annex B of the Kyoto Protocol) carry out climate protection projects together, and<br/>
 #the '''Clean Development Mechanism (CDM)''', for climate protection projects in developing countries (not listed in Annex B of the Kyoto Protocol).<br/>
@@ Line 33: / Line 35: @@
 Regarding eligibility of projects for the CDM, the Marrakech Accords contain concrete statements on nuclear energy activities and criteria for the use of CO2 sinks (COP 6 Resolutions). Nuclear energy projects do not qualify for JI or CDM. Furthermore, CDM sink projects must conform to a narrow framework: Sink projects in the CDM procedure are restricted to afforestation and reforestation activities.<br/>
-In the first commitment period, emission credits from CDM afforestation/reforestation projects shall not exceed 1 % of the base year emissions of an Annex I country. Any sink activities qualifying for the first Commitment Period will be subject to criteria which have not as yet been formulated. A UN resolution is scheduled for COP 9. Until that time notified sink projects will be pre-registered and their validation will apply after COP 9. Pre-registration does not mean that any of the terms of validation are automatically recognised in advance. Moreover, to comply with the 1 % rule quantitative monitoring of declared RMUs (removal units) must be established for the first Commitment Period. There is still no recognised procedure for validating sink projects within the JI framework.
+In the first commitment period, emission credits from CDM afforestation/reforestation projects shall not exceed 1&nbsp;% of the base year emissions of an Annex I country. Any sink activities qualifying for the first Commitment Period will be subject to criteria which have not as yet been formulated. A UN resolution is scheduled for COP 9. Until that time notified sink projects will be pre-registered and their validation will apply after COP 9. Pre-registration does not mean that any of the terms of validation are automatically recognised in advance. Moreover, to comply with the 1&nbsp;% rule quantitative monitoring of declared RMUs (removal units) must be established for the first Commitment Period. There is still no recognised procedure for validating sink projects within the JI framework.
 <u>To conclude, the key characteristics of JI and CDM are summarised below.</u>
@@ Line 39: / Line 41: @@
 [[File:CDMtab.gif|frame|center|647px|Table 1: The specific and distinctive features of JI and CDM|alt=Table 1: The specific and distinctive features of JI and CDM]]<br/>
 = Activities and Responsibilities =
@@ Line 70: / Line 73: @@
 To show what CDM can contribute to financing '''renewables energy (RE)''' or '''energy efficiency (EE)''' projects, the potential revenues of CERs of the suggested projects in Cuba were calculated. Within this calculation, the part of the revenues (2%) which is used to finance the administration costs of the instrument as well as measures to adapt to climate change, was not taken into account.<br/>
 *The projects effect a measurable long-term change in climate gas emissions
 *Emission reduction would not have been realized without the project
@@ Line 91: / Line 95: @@
 = Assumption on Future Developments and Baseline Emissions =
-In the future, the efficiency of the power plants may raise, the grid losses may decrease through a reinforcement of the grid. These developments have to be taken into account. <u></u>
+In the future, the efficiency of the power plants may raise, the grid losses may decrease through a reinforcement of the grid. These developments have to be taken into account.
 <u>The following assumptions were made:</u>
@@ Line 114: / Line 118: @@
 CDM can contribute to the realisation and financing of projects. However, it does not solve existing substantial financing problems. Nevertheless, CDM is an interesting instrument to release an incentive for new projects and new activities in energy efficiency and renewable energy.
 <br/>
@@ Line 124: / Line 134: @@
 *[[Clean Development Mechanism (CDM) and Wind Energy Projects in Brazil|Clean Development Mechanism (CDM) and Wind Energy Projects in Brazil]]<br/>
+<br/>
 = References =
@@ Line 130: / Line 140: @@
 <references /><br/>
 [[Category:Carbon_Market]]

@@ Line 5: / Line 5: @@
 <br/>
 = The Flexible Mechanisms of the Kyoto Protocol =
@@ Line 14: / Line 15: @@
 <br/>
-<u>The underlying principle is the same for both JI and CDM:</u> <br/>
+<u>The underlying principle is the same for both JI and CDM:</u><br/>
 An investor implements a project in a host country which reduces emissions and receives emission credits in return. The project might, for example, involve retrofitting state-of-the-art technology to improve the efficiency of a coal-fired power station or building new plant which draws on renewable forms of energy.<br/>
@@ Line 28: / Line 29: @@
 According to the Kyoto Protocol, CDM projects that are implemented in or after 2000 can already be accounted for the first commitment period 2008-2012. But, detailed rules for this early accreditation have not been defined so far.
-As there is not yet a market for certificates like the CER or the ERU from JI projects, prices of certificates are subject to speculation and gambling. Simulation studies suggest that prices initially may be at a level of between US$ 3 and 15. These prices are usually not guaranteed. An exemption is the Netherlands, where within a pilot programme, the so-called [[www.carbontradewatch.org/pubs/CERUPT.doc|CERUPT programme]], project developers can apply for refinancing of the CER created with their project, and will get a guaranteed price.<br/>
+As there is not yet a market for certificates like the CER or the ERU from JI projects, prices of certificates are subject to speculation and gambling. Simulation studies suggest that prices initially may be at a level of between US$ 3 and 15. These prices are usually not guaranteed. An exemption is the Netherlands, where within a pilot programme, the so-called [http://www.carbontradewatch.org/pubs/CERUPT.doc CERUPT programme], project developers can apply for refinancing of the CER created with their project, and will get a guaranteed price.<br/>
 Regarding eligibility of projects for the CDM, the Marrakech Accords contain concrete statements on nuclear energy activities and criteria for the use of CO2 sinks (COP 6 Resolutions). Nuclear energy projects do not qualify for JI or CDM. Furthermore, CDM sink projects must conform to a narrow framework: Sink projects in the CDM procedure are restricted to afforestation and reforestation activities.<br/>
@@ Line 37: / Line 38: @@
 [[File:CDMtab.gif|frame|center|647px|Table 1: The specific and distinctive features of JI and CDM|alt=Table 1: The specific and distinctive features of JI and CDM]]<br/>
 = Activities and Responsibilities =

@@ Line 8: / Line 8: @@
 = The Flexible Mechanisms of the Kyoto Protocol =
-There are two instruments in the Kyoto Protocol which permit the acquisition of emission credits by means of project-based investments abroad:
+<u>There are two instruments in the Kyoto Protocol which permit the acquisition of emission credits by means of project-based investments abroad:</u><br/>
-'''Joint Implementation (JI)''', in which industrialised countries and economies in transition (listed in Annex I of the UNFCCC/Annex B of the Kyoto Protocol) carry out climate protection projects together, and
+<br/>
-the '''Clean Development Mechanism (CDM)''', for climate protection projects in developing countries (not listed in Annex B of the Kyoto Protocol).
+<u>The underlying principle is the same for both JI and CDM:</u> <br/>
-The underlying principle is the same for both JI and CDM: an investor implements a project in a host country which reduces emissions and receives emission credits in return. The project might, for example, involve retrofitting state-of-the-art technology to improve the efficiency of a coal-fired power station or building new plant which draws on renewable forms of energy.
+An investor implements a project in a host country which reduces emissions and receives emission credits in return. The project might, for example, involve retrofitting state-of-the-art technology to improve the efficiency of a coal-fired power station or building new plant which draws on renewable forms of energy.<br/>
 Emission credits are issued on condition that these emission reductions are achieved in addition to those achieved by other actions which would have taken place anyway without the project. This ecological "additionality" is verified against the emission reductions in a reference scenario or baseline. This baseline will show what volume of emissions would have been achieved without the project.
@@ Line 26: / Line 28: @@
 According to the Kyoto Protocol, CDM projects that are implemented in or after 2000 can already be accounted for the first commitment period 2008-2012. But, detailed rules for this early accreditation have not been defined so far.
-As there is not yet a market for certificates like the CER or the ERU from JI projects, prices of certificates are subject to speculation and gambling. Simulation studies suggest that prices initially may be at a level of between US$ 3 and 15. These prices are usually not guaranteed. An exemption is the Netherlands, where within a pilot programme, the so-called CERUPT programme, project developers can apply for refinancing of the CER created with their project, and will get a guaranteed price (see [http://www.cerupt.nl/ http://www.cerupt.nl/] and [http://www2 http://www2]. minvrom.nl/pagina.html?id=4971).
+As there is not yet a market for certificates like the CER or the ERU from JI projects, prices of certificates are subject to speculation and gambling. Simulation studies suggest that prices initially may be at a level of between US$ 3 and 15. These prices are usually not guaranteed. An exemption is the Netherlands, where within a pilot programme, the so-called [[www.carbontradewatch.org/pubs/CERUPT.doc|CERUPT programme]], project developers can apply for refinancing of the CER created with their project, and will get a guaranteed price.<br/>
 Regarding eligibility of projects for the CDM, the Marrakech Accords contain concrete statements on nuclear energy activities and criteria for the use of CO2 sinks (COP 6 Resolutions). Nuclear energy projects do not qualify for JI or CDM. Furthermore, CDM sink projects must conform to a narrow framework: Sink projects in the CDM procedure are restricted to afforestation and reforestation activities.
@@ Line 34: / Line 36: @@
 <u>To conclude, the key characteristics of JI and CDM are summarised below.</u>
-[[File:CDMtab.gif|647px|Table 1: The specific and distinctive features of JI and CDM|alt=Table 1: The specific and distinctive features of JI and CDM]]
+[[File:CDMtab.gif|frame|center|647px|Table 1: The specific and distinctive features of JI and CDM|alt=Table 1: The specific and distinctive features of JI and CDM]]
 = Activities and Responsibilities =
@@ Line 111: / Line 113: @@
 = Further Information =
-*[[Clean_Cooking_in_the_Markets_of_Maputo|Clean Cooking in the Markets of Maputo]]<br/>
+*[[Clean Cooking in the Markets of Maputo|Clean Cooking in the Markets of Maputo]]<br/>
-*[[Clean_Development_Mechanism_(CDM)_and_Baseline-Assessments_for_Wind_Energy_Projects|Clean Development Mechanism (CDM) and Baseline-Assessments for Wind Energy Projects]]<br/>
+*[[Clean Development Mechanism (CDM) and Baseline-Assessments for Wind Energy Projects|Clean Development Mechanism (CDM) and Baseline-Assessments for Wind Energy Projects]]<br/>
-*[[Cleaner_Integral_Utilisation_of_Sisal_Waste_for_Biogas_and_Biofertilizers|Cleaner Integral Utilisation of Sisal Waste for Biogas and Biofertilizers]]<br/>
+*[[Cleaner Integral Utilisation of Sisal Waste for Biogas and Biofertilizers|Cleaner Integral Utilisation of Sisal Waste for Biogas and Biofertilizers]]<br/>
-*[[Clean_Development_Mechanism_(CDM)_and_Wind_Energy_Projects_in_Brazil|Clean Development Mechanism (CDM) and Wind Energy Projects in Brazil]]<br/>
+*[[Clean Development Mechanism (CDM) and Wind Energy Projects in Brazil|Clean Development Mechanism (CDM) and Wind Energy Projects in Brazil]]<br/>
 = References =
-<references />
+<references /><br/>

@@ Line 4: / Line 4: @@
 The Kyoto Protocol provides that industrial nations can redeem a part of their climate protection commitments by implementing projects aimed at reducing emissions in other countries. For the most part these projects will be carried out by private sector companies. These private companies can hence benefit economically from generating additional emission reductions as compared to a business as usual case.
+<br/>
 = The Flexible Mechanisms of the Kyoto Protocol =
@@ Line 48: / Line 48: @@
 On the level of the European Union, CDM is currently being discussed to be introduced into the Emissions Trading Scheme that is supposed to enter into force in 2005. More precisely, the European '''Climate Change Programme (ECCP)''' is currently looking at putting the rules for JI and CDM into operation. A Green Paper or draft directive regarding the integration of all flexible mechanisms is expected to be published by mid 2003.
 The ECCP was launched in June 2000; its goal is to identify and develop all the necessary elements of an EU strategy to implement the Protocol. Taking a 'twin-track' approach, the ECCP is preparing a range of additional EU-level policies and measures to cut greenhouse gas emissions as well as an emissions trading scheme that could start operating within the EU by 2005. It is being conducted through a cooperative effort involving all relevant stakeholders, including representatives from the Commission's different departments, the Member States, industry and environmental groups.
 -> For more information on most recent decisions see
@@ Line 60: / Line 60: @@
 Regarding the eligibility of projects, to date, Germany has only a few rules, and there are no restrictions on project activities which go beyond those of the Marrakech Accords. Clear note should be taken, however, that it is difficult to devise criteria for sink projects and that procedures for crediting CDM afforestation/reforestation projects are still being negotiated at international level. These negotiations will probably last until October 2003 or even longer. Hence, in the case of sink projects, no assumption should yet be made that credits will automatically be recognised in the future. As many other governments, the German government also discusses plans for funds to foster CDM activities, in particular the fields of renewable energies and energy efficiency.
+<br/>
 = What Can CDM Contribute to Financing RE or EE Projects? =
@@ Line 75: / Line 75: @@
 *Baseline-emissions need to be calculated
+<br/>
 = System Boundaries =
@@ Line 107: / Line 107: @@
 CDM can contribute to the realisation and financing of projects. However, it does not solve existing substantial financing problems. Nevertheless, CDM is an interesting instrument to release an incentive for new projects and new activities in energy efficiency and renewable energy.
+<br/>
 = Further Information =
@@ Line 115: / Line 115: @@
 <references />
 [[Category:Grid]]

@@ Line 1: / Line 1: @@
-= The Flexible Mechanisms of the Kyoto Protocol =
 The Kyoto Protocol provides that industrial nations can redeem a part of their climate protection commitments by implementing projects aimed at reducing emissions in other countries. For the most part these projects will be carried out by private sector companies. These private companies can hence benefit economically from generating additional emission reductions as compared to a business as usual case.
 There are two instruments in the Kyoto Protocol which permit the acquisition of emission credits by means of project-based investments abroad:
@@ Line 25: / Line 30: @@
 Regarding eligibility of projects for the CDM, the Marrakech Accords contain concrete statements on nuclear energy activities and criteria for the use of CO2 sinks (COP 6 Resolutions). Nuclear energy projects do not qualify for JI or CDM. Furthermore, CDM sink projects must conform to a narrow framework: Sink projects in the CDM procedure are restricted to afforestation and reforestation activities.
-In the first commitment period, emission credits from CDM afforestation/reforestation projects shall not exceed 1&nbsp;% of the base year emissions of an Annex I country. Any sink activities qualifying for the first Commitment Period will be subject to criteria which have not as yet been formulated. A UN resolution is scheduled for COP 9. Until that time notified sink projects will be pre-registered and their validation will apply after COP 9. Pre-registration does not mean that any of the terms of validation are automatically recognised in advance. Moreover, to comply with the 1&nbsp;% rule quantitative monitoring of declared RMUs (removal units) must be established for the first Commitment Period. There is still no recognised procedure for validating sink projects within the JI framework.
+In the first commitment period, emission credits from CDM afforestation/reforestation projects shall not exceed 1 % of the base year emissions of an Annex I country. Any sink activities qualifying for the first Commitment Period will be subject to criteria which have not as yet been formulated. A UN resolution is scheduled for COP 9. Until that time notified sink projects will be pre-registered and their validation will apply after COP 9. Pre-registration does not mean that any of the terms of validation are automatically recognised in advance. Moreover, to comply with the 1 % rule quantitative monitoring of declared RMUs (removal units) must be established for the first Commitment Period. There is still no recognised procedure for validating sink projects within the JI framework.
 <u>To conclude, the key characteristics of JI and CDM are summarised below.</u>
-[[File:CDMtab.gif|Table 1: The specific and distinctive features of JI and CDM]]
+[[File:CDMtab.gif|647px|Table 1: The specific and distinctive features of JI and CDM|alt=Table 1: The specific and distinctive features of JI and CDM]]
 = Activities and Responsibilities =
@@ Line 43: / Line 48: @@
 On the level of the European Union, CDM is currently being discussed to be introduced into the Emissions Trading Scheme that is supposed to enter into force in 2005. More precisely, the European '''Climate Change Programme (ECCP)''' is currently looking at putting the rules for JI and CDM into operation. A Green Paper or draft directive regarding the integration of all flexible mechanisms is expected to be published by mid 2003.
-The ECCP was launched in June 2000; its goal is to identify and develop all the necessary elements of an EU strategy to implement the Protocol. Taking a 'twin-track' approach, the ECCP is preparing a range of additional EU-level policies and measures to cut greenhouse gas emissions as well as an emissions trading scheme that could start operating within the EU by 2005. It is being conducted through a cooperative effort involving all relevant stakeholders, including representatives from the Commission's different departments, the Member States, industry and environmental groups. For more information on most recent decisions see
+The ECCP was launched in June 2000; its goal is to identify and develop all the necessary elements of an EU strategy to implement the Protocol. Taking a 'twin-track' approach, the ECCP is preparing a range of additional EU-level policies and measures to cut greenhouse gas emissions as well as an emissions trading scheme that could start operating within the EU by 2005. It is being conducted through a cooperative effort involving all relevant stakeholders, including representatives from the Commission's different departments, the Member States, industry and environmental groups.
-European Commission at
+-> For more information on most recent decisions see
-[http://europa.eu.int/comm/environment/climat/home_en.htm http://europa.eu.int/comm/environment/climat/home_en.htm] and
+European Commission at [http://europa.eu.int/comm/environment/climat/home_en.htm http://europa.eu.int/comm/environment/climat/home_en.htm] and
 ECCP at [http://europa.eu.int/comm/environment/climat/eccp.htm http://europa.eu.int/comm/environment/climat/eccp.htm]
@@ Line 55: / Line 60: @@
 Regarding the eligibility of projects, to date, Germany has only a few rules, and there are no restrictions on project activities which go beyond those of the Marrakech Accords. Clear note should be taken, however, that it is difficult to devise criteria for sink projects and that procedures for crediting CDM afforestation/reforestation projects are still being negotiated at international level. These negotiations will probably last until October 2003 or even longer. Hence, in the case of sink projects, no assumption should yet be made that credits will automatically be recognised in the future. As many other governments, the German government also discusses plans for funds to foster CDM activities, in particular the fields of renewable energies and energy efficiency.
-For the two suggested projects (substitution of old inefficient refrigerators in Cuba and the construction of wind power plants by private investment, see relevant papers) the general requirements for CDM are fulfilled:
+= What Can CDM Contribute to Financing RE or EE Projects? =
-To calculate the emission reduction, first the basic question has to be answered: How would emissions develop without the measure? To answer this question we proceed in three steps:
+To show what CDM can contribute to financing renewables or energy efficiency projects, the potential revenues of CERs of the suggested projects in Cuba were calculated. Within this calculation, the part of the revenues (2 %) which is used to finance the administration costs of the instrument as well as measures to adapt to climate change, was not taken into account.
-System boundaries need to be defined
+<u>For the two suggested projects (substitution of old inefficient refrigerators in Cuba and the construction of wind power plants by private investment, see relevant papers) the general requirements for CDM are fulfilled:</u>
 = System Boundaries =
@@ Line 79: / Line 81: @@
 The systems boundaries can be drawn in different ways. In the figure below, the system boundaries are shown: The amount of electricity which is being saved through the substitution of inefficient through highly efficient refrigerators does not need to be produced by power plants. The saved emissions of the power plant (including the savings of avoided net-losses) are then calculated on the basis of the efficiency of an average power plant.
-[[File:Cdmfig.gif|Definition of the system boundaries]]
+[[File:Cdmfig.gif|601px|Definition of the system boundaries|alt=Definition of the system boundaries]]
 = Assumption on Future Developments and Baseline Emissions =
-In the future, the efficiency of the power plants may raise, the grid losses may decrease through a reinforcement of the grid. These developments have to be taken into account. The following assumptions were made:
+In the future, the efficiency of the power plants may raise, the grid losses may decrease through a reinforcement of the grid. These developments have to be taken into account. <u>The following assumptions were made:</u>
-[[File:Cdmtab2.gif|Table 2: Assumptions on the development of the power system]]
+[[File:Cdmtab2.gif|441px|Table 2: Assumptions on the development of the power system|alt=Table 2: Assumptions on the development of the power system]]
 This assumed development has to be proven by the later real development and the calculation has then to be redone.
@@ Line 97: / Line 99: @@
 Secondly, on the cost of the used technology in relation to the emission reduction.
-[[File:Cdmtab3.gif|Table 3: Assessment of the effects of CDM on financing projects]]
+[[File:Cdmtab3.gif|509px|Table 3: Assessment of the effects of CDM on financing projects|alt=Table 3: Assessment of the effects of CDM on financing projects]]
 The effects of CDM on financing projects is shown in the table above. For cost-effective measures (e.g., wind energy, efficiency measures) CDM can render a major contribution to financing, depending on the value of the CERs. For expensive technologies (referring to emission reduction) like solar energy CDM hardly renders a contribution to financing.
-Conclusion
+= Conclusion =
 CDM can contribute to the realisation and financing of projects. However, it does not solve existing substantial financing problems. Nevertheless, CDM is an interesting instrument to release an incentive for new projects and new activities in energy efficiency and renewable energy.
 [[Category:Carbon_Market]]