Many of the projects supported by the ACP-EU Energy Facility do in principle have a solid potential for registration as a CDM project. This can be investigated for projects financed under the First Energy Facility and those financed under the Second Energy Facility

Naturally, most of the projects under the First Energy Facility are now implemented or under implementation and one criterion for CDM registration is that CDM has been taken into consideration prior to financial closure.

Even if financed mostly by development assistance, projects might qualify for CDM as long as there is no "diversion of ODA". What is needed is that the use of CDM funding has been taken into account when drafting the budget for the investment.

If a project is progressing without awaiting registration as a CDM project this requires that a template is filled in and sent to the Executive Board of the CDM. Use this form, which includes the email/posting address: Form - Prior Consideration of the CDM Form.

Use of CDM financing in a project that has already found financing: If a project has financing without CDM, then that project might be extended to less economically favourable areas/activities with the help of CDM financing reaching the same Internal Rate of Return (IRR) or other financial indicators used for the project's financial feasibility.

It might therefore be worth considering the use of CDM in future projects (and submit a filled-in form to the Executive Board of the CDM) , where substantial emission reductions are involved. All the more since the developed world and especially the European Union is looking very much for carbon credits coming out of Sub-Saharan Africa and LDCs in general.

A Thematic Fiche is being developed on these issues, and will be published on this website within the coming month.