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Memorandum of Understanding
on co-operation under article 6 of the Kyoto Protocol, Joint Implementation projects between Russia and the Netherland

 
 a   b   c   d   e   f   g   h   i   j   k   l   m   n   o   p   r   s   t   u   v   w   x   y   z 

Concept 6/9/2001

The Netherlands Minister for Economic Affairs and the Netherlands Minister of Housing, Spatial Planning and the Environment, being the competent Netherlands authorities for the purpose of this memorandum, hereinafter referred to as the Netherlands Party

and

The Russian Minister of Economy and Trade the competent Russian authority for the purpose of this memorandum, hereinafter referred to as the Russian Party,

Recalling that the Netherlands and Russia are Parties to the United Nations Framework Convention on Climate Change and signatories to the Kyoto Protocol to that Convention,

Recalling Article 6 of the Kyoto Protocol providing for the transfer from one Party to another Party of emission reduction units resulting from projects aimed at reducing anthropogenic emissions by enhancing removals by sinks of greenhouse gases in any sector of the economy, provided that

  1. any such project has the approval of the Parties involved
  2. any such project provides a reduction in emissions by sources or enhancement of removals by sinks, that is (environmental) additional to ant that would otherwise occur.

Taking into account any further Guidelines on Article 6 yet to be developed by CoP/MoP in one of its future sessions, and also taking into account future decisions by CoP/MoP on compliance,

Anticipating on the ratification and the entry into force of the Kyoto Protocol. In case the Kyoto protocol not enters into force Poland and the Nederlands will make all reasonable efforts to comply with any other international regulatory framework for the sale and transfer of ERU's

Acknowledging that the Netherlands and Russia have co-operated in activities implemented jointly during the pilot phase indicated in Decision 5/CP.1 under the Convention,

Considering that further co-operation in the field of joint implementation under article 6 of the Kyoto Protocol will be an efficient contribution to the reduction of greenhouse gases,

Desirous to express the political will to co-operate and to facilitate joint implementation,

Have entered into the following memorandum:

Article 1. Objective

This memorandum shall apply to procedures that - in accordance with article 6 of the Kyoto protocol - facilitate the development and implementation of emission reduction projects in Russia and the transfer to the Netherlands parts of emission reduction units resulting from those projects.

Article 2. Level of emission reduction

The co-operation under this memorandum is aimed at a level of transfer of emission reduction units, which is the equivalent of 5 Mton CO2 a year as an average in the commitment period 2008 to 2012. Decisions on the transfer will be based on a case by case decision, according to the ERUPT procedure, added to this memorandum in Annex I. The procedure foresees in detailed project information on baselines, emission reductions and other specific data for each project.

If the Russian and Netherlands parties agree reductions before 2008 from JI projects can be transformed in to assigned amount for the period 2008-2012 and traded with the Netherlands on the basis of article 17 of the Kyoto Protocol.

If the Russian and Netherlands Party agree reductions of a JI project after 2012 can be transferred to the Netherlands in that period.

Article 3. Contribution of the Netherlands Party

The Netherlands Party will contribute to the development and implementation of projects by the procurement of claims on emission reduction units, which claims will be sold by companies that will develop and realise emission reduction projects in Russia. The definite procurement contract includes the formal Netherlands approval of the project in accordance with article 6.1 .a of the Kyoto Protocol.

Article 4. Contribution of the Russian Party

The Russian Party will contribute to the development and implementation of projects by supporting interested companies (information, consultation and licensing) and by the formal approval of the project in accordance with article 6.1 .a of the Kyoto Protocol. The Russian approval is a necessary condition for the Netherlands Party to enter a definite procurement contract. Therefore the approval needs to contain the binding affirmation of the Russian Party that Russia will transfer the resulting emission reduction units which can be claimed under the procurement contracts, to the Netherlands, in accordance with article 6 of the Kyoto Protocol and with the guidelines elaborated by the Parties to the Protocol or any other regulatory framework for the sale and transfer of ERUТs that will eventually be developed. The letter of approval will also affirm that the transfer will be free of any charge and under the responsibility of Russia for the fulfilment of the obligations referred to in article 8 of the Kyoto Protocol. In case of changes in national policy (energy, environment etc.) of the host country that result in the impossibility of delivery of the Emission Reduction Units by the project executor, the Russian Party will do their utmost to have the emission reduction units agreed upon with the company in the Letter of Approval transferred in a practical manner.

Article 5. Public procurement procedure

The Netherlands Party will buy claims on emission reduction units through a public procurement procedure. The procurement procedure to be entered is described in annex I to the present memorandum. This procurement procedures may be adapted to preceding experience; the Russian Party will be consulted before the new procedure will enter in to force and about major adaptations to be made after singing this Memorandum

The Russian Party represented by the Ministry of Economy and Trade will support final procurement process as far as dependent on Russian authorities, including the time schedule of the procedure.

The Netherlands and Poland will use one independent entity , that will work according to the rules and guidelines for Article 6 projects under the Kyoto protocol. The projects will be validated and certified by this independent entity.

Article 6. Specialised institutions in Russia

As far as the assessment of a proposed project depends on specialised institutions in Russia which are not yet available , the Netherlands Party will co-operate with the Russian Party in the development of such institutions.

Done at Moscow 25 Th of July 2001, in two originals in the English and Russian language.

G.O. Gref Minister of Economy and Trade
of the Russian Federation
Annemarie
Jorritsma-Lebbink
Vice Prime Minister andMinister of Economic Affairs
of the Netherlands
Also on behalf off
Jan Pronk Minister of Housing, Spatial Planning and the Environment
of the Netherlands

Exclusive Partner of the Russian Chamber of Commerce and Industry in the Netherlands
Official Partner of the Russian Chamber of Commerce and Industry in the Netherlands
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