LONDON - Backers of the international Kyoto Protocol on climate change aim to launch another major scheme to curb pollution as early as May after reaching quick agreement on draft regulations, a senior official told Reuters on Thursday.
The launch of Joint Implementation (JI) - one of three key measures outlined under Kyoto - is expected to pave the way for investment in hundreds of projects in Russia and eastern Europe where there is vast scope to curb industry's emissions of greenhouse gases.
"Our endeavour is to have JI up and running by May," said Shailendra Kumar Joshi, Joint Secretary of India's Ministry of Environment and Forests.
"If that is not possible, then July. There are many projects waiting to file for registration," he told Reuters by telephone from India.
Joshi, who is vice-chair of a supervisory board set up to steer the JI mechanism, said international talks earlier this month in Bonn were "fruitful" and resulted in broad agreement on the scheme's procedures.
Follow-up talks are schedule for next month.
JI is designed to offer rich countries low-cost ways to meet Kyoto emissions-reduction goals by earning credits through investment in climate-friendly projects abroad.
Under JI, investments must be made in countries with emissions reduction goals under Kyoto.
FOCUS ON RUSSIA
Most projects are expected to be in Russia and Ukraine, industry sources say. Eastern Europe is a natural seller of Kyoto credits because the closure of heavy industry since the fall of Communism slashed its emissions.
Market sources say JI's progress could be hampered by delays establishing national regulations in countries where projects are based, especially Russia and Ukraine.
Joshi declined to speculate on the readiness of Russia and Ukraine to launch JI. "All we can do is provide the enabling framework for JI," he said.
JI is one of three market-based schemes called for under Kyoto to cut greenhouse gas emissions. Emissions trading has been launched in Europe.
Clean Development Mechanism (CDM), the other Kyoto scheme, is gathering pace after funding problems and administrative bottlenecks hampered its early growth.
"All three (Kyoto) mechanisms are very important," said Joshi. "We want to learn from CDM experience in terms of transaction costs and time delays."
"It's a herculean task to propose new (CDM) methodologies, the process is not very user friendly," said Joshi.
Joshi said funding for the JI scheme was not a problem. "Some countries that have committed funds have already provided the funding," he said.
Story by Stuart Penson
REUTERS NEWS SERVICE
