Country of the month: Tanzania

Tanzania has been focus of intense CDM capacity building efforts by UNEP (CD4CDM), Austria, Denmark, Finland and Sweden, but like most Sub-Saharan African countries has faced difficulties in mobilizing a project pipeline. The DNA was set up in late 2004 and its head Richard Muyungi was EB member from 2005 to 2007. The DNA operates a well-structured website at http://www.dnatanzania.go.tz/, including templates for all relevant approval requests and the grid baseline emissions factor, which reaches 500 g CO2/kWh. The DNA requires a PIN for a check of sustainability criteria, such as employment generation and foreign investment. This check is taken seriously and project proposals have been rejected. Once a letter of no objection is issued, the PDD can be submitted. The DNA charges a tax of at least 2.5% of CER volumes up-front, which is seen as a substantial obstacle by project developers.

There are substantial renewable energy resources, with 4.7 GW of hydropower potential as well as biomass and geothermal. Donors are supporting rural electrification through a Rural Energy Fund, which would lend itself to a PoA. Forestry is also seen as an attractive option, as substantial experiences with projects on the voluntary market exist. A pipeline of 14 projects is available on the DNA website. A landfill project has been registered (1.1 million CERs by 2012), while 4 projects (1 million CERs, hydro, biopower, fuel switch and reforestation) are at validation. Three local consultancy-NGOs, CEEST, EPMS and TaTEDO as well as offices of Camco and Norwegian forestry company Green Resources offer CDM services.

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CDM Highlights 76 October 2009

Monthly newsletter of the GTZ Climate Protection Programme (CaPP), written by Perspectives GmbH.