Forestry Carbon Credits
Forestry Credits
There are generally two category of allocation of Carbon Credits under CDM for forestry projects - Temporary & Permanent.
tCER: temporary certified emission reduction
A unit issued pursuant to Article 12 of the Kyoto Protocol for an A/R CDM project activity which expires at the end of the commitment period following the one during which it was issued. It is equal to one metric tonne of carbon dioxide equivalent.
LCER: long-term certified emission reduction
A unit issued pursuant to Article 12 of the Kyoto Protocol for net anthropogenic GHG removals by sinks from an A/R CDM project activity or A/R PoA, which expires at the end of the crediting period of the A/R CDM project activity or A/R PoA for which it was issued. It is equal to one metric tonne of carbon dioxide equivalent.
tCERs are issued for the net anthropogenic greenhouse gas removals by sinks achieved by the project activity since the project start date; lCERs are issued for the net anthropogenic greenhouse gas removals by sinks achieved by the project activity during each verification period.
Annex I Parties are allowed 1 percent of base year emissions times 5 from afforestation and reforestation CDM project activities in the first commitment period. This will be around 200 million tonnes of CO2e.
Each national registry has to include a tCER replacement account for each commitment period in order to cancel AAUs, CERs, ERUs, RMUs and/or tCERs for the purposes of replacing tCERs prior to expiry. A tCER that has been transferred to the retirement account or the tCER replacement account of a Party included in Annex I shall be replaced before its expiry date. To this end, for each such tCER, the concerned Party shall transfer one AAU, CER, ERU, RMU or tCER to the tCER replacement account of the current commitment period.
As far as lCERs are concerned, a Party included in Annex I may use lCERs towards meeting its commitment for the commitment period for which they were issued. lCERs may not be carried over to a subsequent commitment period. Each lCER expires at the end of the crediting period or, where a renewable crediting period is chosen, at the end of the last crediting period of the project activity. The expiry date shall be included as an additional element in its serial number. An expired lCER may not be further transferred. Each national registry shall include an lCER replacement account for each commitment period in order to cancel AAUs, CERs, lCERs, ERUs and/or RMUs for the purposes of either replacing lCERs prior to their expiry date; or replacing lCERs where the certification report of the DOE indicates a reversal of net anthropogenic greenhouse gas removals by sinks since the previous certification; or replacing lCERs where the certification report has not been provided. An lCER that has been transferred to the retirement account of a Party included in Annex I shall be replaced before its expiry date. To this end, for each such lCER, the concerned Party shall transfer one AAU, CER, ERU or RMU to the lCER replacement account for the current commitment period.
