Kazakhstan: Status of Climate Change Activities

1. Kazakhstan: Status of Climate Change Activities Saulet Sakenov, Climate Change Coordination Center

2. GHG emissions dynamics

3. Kazakhstan actions and decisions 1995-1999 UNFCCC is ratified(1995), Kyoto Protocol is signed. First National Communication, GHG Inventory - 1990 and 1994 Decision to join Annex 1, COP-5 – 2000.Voluntary obligation on Art. 4.2gUNFCCC. Government Decree on IACCC, Climate Change Coordination Center-working body of IACCC.GHG Inventory for 1992 and Identification of 1992 as a base year 2000-2001 National System for CDM/JI projects review and approval, GHG projects registry. Inventory 1994, 1999,2000. COP 7 decision on Kazakhstan status: Upon ratification of the KP by Kazakhstan and its entry into force, Kazakhstan becomes a Party in Annex1 for purpose of this Protocol in accordance with Ar.,pr.7 of the KP. The COP recognized that Kazakhstan will continue to be a Party not included in Annex1 for purposes of the Convention.MoU between NEDO&Kazakhstan to implement JI_CDM project in Uralsk 2001-2002 IAC:Launched the model of national procedures for approval of JI/CDM projects ; approved 2 GHG reduction pilot projects. Strenthening international cooperation, MoUs Situation scenarios of macroeconomic modeling and GHG emissions, developing regulation of KP mechanisms in Kazakhstan. Analysis of benefits/disadvantages in KP participation for the decision makers.GHG Inventory 2000-2002 under National budget.Model.Uralsk project according to the shedule (UPDD, preliminary national approval, validation) 2003 2004 Active consultations, meetings on preparation to KP ratification on the highest level( Special working group under Vice-Premyer in June 2004) Researches in energy and economic sector development strategies up to 2030;2015 including KP Starting NC-2 under UNDPGEF; launch 3 pilot CDM projects under CIDA. Uralsk project under shedule:technology transferred, construction starting.

4. Inter-Agency Coordination on CC(Government Decree #590, 2000) Government of the Republic of Kazakhstan Interagency Commission on Ratification of the Kyoto Protocol and Implementation of RK’s Obligations Under UNFCCC (IACCC)(12 Ministries) Observers: NGO and Parliament Representatives, Representatives of Donor Countries and Organizations, Representatives of Business Climate Change Coordination Center Projects related to climate change Projects related to phase-out Ozone Depleting Substances Other

5. IAC: Best Practice policies and measures Harrikein Company(PETROKAZAKSTAN) project on utilization of the associated gas at Kumkol field with the expected GHG emissions reduction about 500 thousand tons per year (planned investments – about 35 million USD). Model energy saving project at Uralsk CHPS, performed by Japanese Government Company “NEDO” in cooperation with the KAZ Ministry of Energy and Mineral Resources ,expected GHG emissions reduction 62 thousand tons per year (investments amount to 15 million USD).

6. Climate Change Coordination Center www.climate.kz Web - Site Project Pipeline National System for CDM/JI Projects Review and Approval Climate Change Coordination Center Project Development: Unified Project Design Document (UPDD) Launch of Pilot Projects Prototype National GHG Registry GHG Emissions Inventory

7. Legislation Existing Under development Law on Environment Protection, 1997 г. Law on protection of climate and ozone Layer Law on Atmospheric Air Protection Law on Renewable energy Law on Energy-saving, 1997 г.

8. National Priorities • Creation of legal basis for realization of economic mechanisms for natural resources management using the new law on atmospheric air protection; • Approval and introduction of internal procedures for consideration, assessment, verification, monitoring and validation of CDM/JI projects on GHG reduction; • Integration of GHG inventory in the national statistical reporting system and the national system of environmental monitoring; • Development of the National Strategy on greenhouse gas emission reduction and improvement of energy-efficiency. • It is also needed: • 1. To develop a target short-term program on energy-saving and greenhouse gas emission reduction; • 2. To develop Feasibility Studies and to launch pilot projects on GHG emission reduction, the top priority directions for projects are: • Energy-efficiency and energy-savingin cities both in the sector of energy production and in the sector of energy consumption; • Energy supply in rural areasthroughintroduction ofautonomous systems using small energy resources: mini hydropower stations, wind stations, small diesel plants, etc.; • Construction of large wind power stations; • Utilization of associate gas on oil fields; • Utilization of mine methane;

9. Program Objectives and Components -- Kazakhstan Improve environmental conditions by creating a favorable investment climate for GHG offset projects (a clear, rationale system) 1) Create national carbon management structure -- institutions, policies, authorities 2) Design and institutionalize transparent procedures for offset projects 3) Establish a project pipeline; pre-screen 4) Market the pipeline to potential investors

10. Accomplishments in Kazakhstan • IAC and CCC functioning & widely recognized • Contacts w/JI&CDM offices around world • Draft MOUs with Dutch, World Bank, others • Training/seminars in project prep, JI/CDM methodologies • Project Developer’s Manual Distributed • CDM/JI Baseline Assessment, Validation, Monitoring, Verification and Certification procedures accepted as basis for official standards

11. Accomplishments in Kazakhstan (2) • GHG Projects registry designed and accepted • Extensive networking with project developers and potential investors -- 70 projects and 8 UPDDs • Web site www.climate.kz • project pipeline, database of developers, registry, links, general info. • Draft laws “On Air Protection” and “On Ozone Layer Protection and Climate”

12. The Scheme of GHG Project Approval by GoK Project submittal and screening Preliminary Project Review by JI/CDM Board Approved but not financing Preliminary approval Project approved awaiting financing Development of project feasibility Financing found Review of feasibility Study.s Adherence to Official GOK Law Project Submitted for official GOK Review GOK approved Circles = Project Developers Responsibility Project Implementation & Associated MRVP Project Verification & Certification for UNFCCC ERU’s Boxes = Government or NGO responsibility