Wind power and the CDM. Emerging practices in developing wind power projects for the Clean Development Mechanism

The Clean Development Mechanism (CDM) was one of three mechanisms established by the Kyoto Protocol to meet the Climate Convention objective of stabilizing greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system. The CDM has two objectives, first to assist non-Annex I parties in achieving sustainable development and in contributing to the ultimate objective of the Climate Convention, and the second to assist Annex I parties with commitments under the Protocol in reducing greenhouse gas emissions to comply with their reduction targets.

The basic principle of the CDM is simple: developed countries can invest in low-cost abatement opportunities in developing countries and receive credit for the resulting emissions reductions, thus reducing the cutbacks needed within their borders. While the CDM lowers the cost of compliance with the Protocol for developed countries, developing countries will benefit as well, not just from the increased investment flow, but also from the requirement that these investments advance sustainable development goals.

The CDM projects can be from following categories: (a) End-use energy efficiency improvements, (b) Supply-side energy efficiency improvement, (c) renewable energy; e.g. wind, solar, small hydro, biomass etc., (d) Fuel switching, (e) Agriculture; (f) Industrial processes; (g) Sinks projects. Wind power is today a mature technology, which at windy sites is economic and competitive with conventional power generation technologies, in particular when taking into account the environmental impact. (BA).