|
Country's prospect of exploiting the billion-dollar global carbon market is diminishing fast in the absence of an environment conducive to investment in the Clean Development Mechanism (CDM) projects. The CDM is a Kyoto Protocol initiative to reduce green house gas (GHG) globally.
Absence of cooperation and coordination among public offices concerned to prepare and implement the CDM projects have been identified as main reasons for creating obstruction to taking up CDM projects in the country.
Experts said the CDM creates opportunities for attracting foreign direct investment of millions of US dollar and scopes for technology transfer from the developed countries.
"Bangladesh lags behind in the race due to lack of knowledge and good governance," said Iftekhar Enayetullah, a team member of Capacity Development for CDM project.
He said when more than 40 per cent of world's CDM projects have come from Asian countries, Bangladesh has a feeble presence. Only two projects have got registration from the CDM Executive Board of the UN Framework Convention on Climate Change (UNFCC) and two more in the pipeline.
Dr Ijaz Hussain, a member of the national CDM Committee, said although CDM encourages private-to-private initiative, the country's potentiality exists more in the public sector.
But, he said, this opportunity could not be exploited due to the negative image of public sector. Foreign investors are unlikely to show interest in the state-owned CDM projects.
BD Rahmatullah, Director General of the Power Cell, said the CDM is "very much possible" in renewable energy sources, including waste management, co-generation and fossil fuel, to help the nation attain energy efficiency.
The country has an energy policy since 1990, but a new policy has yet not been finalised identifying the CDM sector. Official sources said a draft of the renewable energy policy that was finalised in 1996, is yet to be approved.
Although Designated National Authority (DNA), established under the Ministry of Environment and Forest and according to the UNFCCC guideline, enjoy full authority over the CDM at the national level, it could not influence other ministries and government departments to speed up the activities.
The CDM involves a number of government offices including ministries of planning, industries, agriculture, energy and mineral resources division, Power Division, Board of Investment, Bangladesh Bank and private sector representation.
Mohammad Reazuddin, member secretary of the CDM committee, said all the committee members under the DNA have a positive view about the CDM, but they are facing a difficult situation because of too many rules and regulations of member bodies.
Due to this reason, country's first two CDM projects, prepared by the Waste Concern are facing difficulties to start their operation by December 2005 as required under the UNFCCC rules.
Sources said these CDM projects have brought an investment of $10 million through trading of Certified Emission Reduction (CER) of 1,477,506 tonnes of carbon dioxide. Problems have arisen over Dhaka City Corporation's programme and its rules.
The DOE sources said that DCC including its Mayor has assured all kind of cooperation during talks over last 18 months and reached an agreement with the Waste Concern before it was placed before DNA for approval. But when the projects have been finalised after UNFCCC registration, the sources said, the DCC has now taken a different stand. The DCC says the projects coincide with its JICA-funded project to use the land at Matuail Dump.
Shirin Kamal Sayeed, Assistant Resident Representative of UN Development Programme (UNDP), said in the case of CDM, if you miss the train, it would be difficult to catch it up later. However, to be able to exploit the market potentials, cooperation from all quarters is necessary, she said.
Shirin, who was actively involved in Capacity Development for CDM project of the UNDP, said the CDM is one kind of trapping funds. But Bangladesh could not make the best use of it due to lack initiative.
A teacher of BUET, Dr Ijaz, pointed out that CDM had become an image building sector for a nation. "So failure in the project implementation will undermine the country's image and would discourage the foreign investors to invest in the country," he added.
The Kyoto Protocol allows the developing countries to trade carbon dioxide emission after reduction through the CDM projects with the developed countries as these countries have obligation to reduce their emission level of green house gases from the level of 1990 by 2012.
|