About us Introduction Trade and Environment Environmental Legislations Multilateral Environmental Agreements Emerging Areas Industry- Government: Interface Industry Speak Industry - Government Events
envis envis  
envis
envis
envis
    Conferences
envis CCREP
envis
    Workshops & Roundtables
envis CII - MoEF Workshop on Municipal Solid Waste Management & Plastics
envis
envis CII - MoEF Training Programme on Management of Hazardous Wastes & Used Lead-Acid Batteries
envis
envis CII - MoEF Workshop on Re-engineered Process of Environmental Clearance
     Archives
envis Conferences
envis
envis Workshops & Roundtables
 
Workshop on MHCRA
CII-MOEF Workshop on HWM
Workshop on SIEI
Re-Engineered process of Environmental Clearance
Environmental Health
Clean Development Mechanism
 
Climate Change
Economic Instruments
Technology Bazaar
envis
 
 
  envis envis envis
envis
 
Canada-Natsource PDD Development Facility for India:
Second Call for Project Identification Notes (PINs) Background

Natsource LLC, through its Canadian subsidiary, Global Change Strategies International Company (GCSI), and in partnership with the Government of Canada has established a targeted lending facility to stimulate the development of CDM projects in India. The facility provides interest free loans to assist companies financing the development of CDM project documentation. Natsource will bring the candidate CERs generated by these projects to the market, emphasizing sales to Canadian GHG emitters.

 

A first call for Project Identification Notes (PINs) issued in May 2004 resulted in the submission of over 40 PINs to the PDD Facility. Some of the initial funding for the Facility remains available to project developers. This second call builds on the results of the first and aims to solicit additional project ideas with a view to choosing a further 4-5 projects for PDD development.

 
How Does the Facility Function?
 
The Facility is managed by GCSI on behalf of Canada's CDM/JI Office of the Department of Foreign Affairs and International Trade and Natsource.
The Facility offers interest free loans of up to $CAN 40,000 aimed at covering the initial outlays required for the development of project design documents (PDDs).
 
If and when the candidate CERs from the project are sold in Canada, 50% of the loan will be forgiven.
Natsource will offer the candidate CERs exclusively in Canada over a 90-day period. Should no acceptable bid materialize during this period, the candidate CERs will be offered to entities outside of Canada.
 
Loans are to be repaid from the first cash flows from candidate CER sales.
Developers agree to use Natsource as the broker for candidate CERs generated from the projects supported through this facility.
 
Project proponents chosen for PDD development will negotiate a contract with GCSI (as manager of the PDD Facility) for the terms and conditions of the PDD loan. Separate contracts for each chosen project will also be negotiated with service providers for the development of the PDD.
 
 
Timeline
 
All PINs received on or before March 31, 2005 will be considered for this second tranche of loans for PDDs. Following review of the PINs, upwards of 5 will be selected to enter into an agreement for a PDD loan. Preliminary selections will be made by April 15, 2005 and negotiation of contracts for the loans and service providers will be initiated by April 30, 2005.
 
Submission of PINs
 
All PINs should be submitted in electronic form to GCSI-Natsource at pdd@natsource.ca
 
PIN Format
 
The format for the PIN is attached as an Annex to this call letter.
 
Selection Criteria
 
The following criteria will be used to evaluate the PINs:
 
Number of annual candidate CERs (number of generating tonnes of CO2 equivalent annually) likely to be generated by the project;
 
Timing for project implementation - implementation should be able to begin within the next two years;
Project financing - the project must be bankable (evidence of a sponsor, solvency, guarantees, etc.);
Likelihood of host country approvals - (i.e. contribution to sustainable development);
Potential for replication elsewhere in India;
Conforms to basic Marrakesh requirements (start date, additionality, etc.);
Likelihood of approval by the Executive Board (based on decisions made for other projects and sectors).
 
Content of the PIN
 
A PIN will consist of approximately 5 pages providing indicative information on:
 
The type, size and location of the project;
The anticipated total amount of Greenhouse Gas (GHG) reduction compared to the "Business-as-usual" scenario (which will be elaborated later in the PDD, while describing the baseline);
 
The suggested crediting life time;
The financial structuring (indicating which parties are expected to provide the project's financing);
The project's socio-economic or environmental impacts/benefits;
History of the project regarding other donors and funding tenders; and,
Capacity of project developer to invest in the project.
 
While every effort should be made to provide as complete and extensive information as possible, it is recognized that full information on every item listed in the attached template may not be available for each project.
 
   
  Home | Resources | Newsletter | Post Your Feedback | Site Map | Useful Links | Contact us | Gallery