The magazine Environmental Finance has chosen DNV as the best verification company for climate change projects.
This applies to both categories - EU Emissions Trading Scheme and Kyoto Projects. This is the second year in a row that this magazine has chosen DNV as the best verifier.
Environmental Finance gave in its December issue a range of different prizes to climate change projects suppliers, based on a survey conducted among 700 companies. DNV was chosen as “Best verifier” in two categories, the European Union Emissions Trading Scheme (EU ETS) and Kyoto Projects. Environmental Finance is considered the leading international magazine covering environmental markets, investments and risk management.
Great encouragement
“Being chosen as ‘Best verifier’ is a great encouragement and recognition of our pioneering efforts over many years,” comments Gudmundur Sigurthorsson, who is in charge of DNV’s climate change efforts.
“Taking into account the current flow of Clean Development Mechanism (CDM) and Joint Industry (JI) projects, combined with the decisions made in Montreal to make these mechanisms more efficient, DNV expects the market to continue to grow at a good pace. This is necessary if we are to meet the Kyoto commitments,” he says.
First and best
DNV has been involved in climate change issues since the Kyoto Protocol was signed in 1997. Over the years, the company has built up expertise and resource centres in its offices world wide, with a special emphasis on the developing countries.
Background:
Emissions trading allows for the sale or transfer of achieved greenhouse gas (GHG) emission reductions by countries, companies and institutions. The system can help a company reach emissions reduction targets to which it has committed.
The concept of GHG emissions trading stems from the Kyoto Protocol. More than 180 countries have signed the protocol and thereby committed themselves to reducing their 1990 levels of collective greenhouse gas emissions by 2008-2012. To meet this target, cuts have to be made by the national industries and individual large companies. A trading scheme provides countries, companies and organisations with the flexibility to determine the most economic means of reducing emissions.
EU Commitment
In May 2002, the EU ratified the Kyoto Protocol, committing these countries to reducing greenhouse gas emissions by 8%. To help honour their commitment, the European Commission issued the European Directive on Emissions Trading (EU ETS) in July 2003. The EU ETS limits the CO2 emissions from relevant installations to allocation levels in two periods, 2005-2007 and 2008-2012. The scheme covers certain installations in the energy, metals, minerals, and pulp and paper sectors.
As of 1 January 2005, appr 12,000 installations across Europe have had a cap placed upon their direct emissions, creating the world's largest market for trading in greenhouse gas emissions allowances. DNV currently holds accreditations in European countries to verify annual emissions under this scheme, and is currently performing verifications for a large number of customers throughout the EU.
Clean development mechanism
The so-called flexible mechanisms of the Kyoto Protocol provide for transferable credits from greenhouse gas emission reduction projects. One of these is the Clean Development Mechanism (CDM), according to which industrialised countries or companies can receive credits for financing emission-reduction projects in developing countries.
DNV was the first body accredited by the UN to validate, verify and certify emission reductions under the CDM umbrella. The company is now the major independent greenhouse gas verifier operating globally, and is involved in 200 of the 300 available CDM reduction projects currently ongoing.
DNV has also developed methodologies to secure credible audits, and is accredited under the Californian Climate Action Registry. To help meet new challenges, DNV is engaged in pioneering research work on carbon capture and storage in collaboration with major customers and on behalf of the EU Commission.