The transaction is believed to be the largest (carbon emission reductions) CERs forward sale structured in the Democratic Republic of Congo (DRC) and the first arising from a Programme of Activities (PoA) in the country. Based on current market price, the deal represents an estimated value of 50 million Euro.
In Nigeria, the Save80 Fuel Wood Stove is one of the country's four Clean Development Mechanism (CDM) activities approved by the United Nations Framework Convention on Climate Change (UNFCCC). Along with three other gas gathering-related CDM projects as well as several others under consideration, it has enabled Nigeria's rating by the UNFCCC as the ninth nation in the world in terms of anticipated global CER projects, with an expected average annual CER of 4,693,552 units, which is the highest in Africa and forms 1.03 percent of the world's total.
Each Save80 system (a stove and a heat-retaining box) needs around 80 per cent less wood than traditional stoves and is expected to save 2.72 tonnes of CO2-equivalent per household each year. It reduces the amount of firewood and helps to cut the toxic indoor cooking smoke. The whole project is expected to prevent the emission of 300,000 tonnes of CO2 by 2019.
But the DRC carbon credits will be generated by the distribution of highly efficient cookstoves in 320,000 families of Kinshasa, the nation's capital city. Each year 150,000 hectares of forest are destroyed to satisfy the calorific needs of Kinshasa and charcoal makes up about 40 percent of the average household monthly expenditures ($40-$80). The programme will help local population to cut their energy spending for cooking, heating, sterilising water and other applications in households while reducing deforestation. Read the full report here.
Source: by Michael Simire, Deputy Sunday Editor, Daily Independent.
