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Implications of the Clean Development Mechanism under the Kyoto Protocol on other Conventions. The case of HFC-23 destruction

Lambert Schneider, Jakob Graichen and Nele Matz

elni Review 2005, Issue 1,  pp. 40-51.

The destruction of HFC-23 waste streams in new HCFC-22 production facilities under the Clean Development Mechanism (CDM) is likely to have negative implications for both the mitigation of climate change and the protection of the ozone layer. These consequences were not foreseen when the Kyoto Protocol and its guidelines were drawn up. This paper describes the economic and environmental consequences of such CDM projects and looks for solutions which would make use of the cost-efficient abatement potential whilst avoiding negative environmental implications. Within the CDM, negative environmental effects could be avoided by introducing an adjustment factor depending on future market prices for certified emission reduction units and other parameters. Alternatively, the HFC-23 waste stream could be abated using financial support from multilateral funds which could possibly draw upon synergies with the financial mechanisms under the Montreal Protocol and the Stockholm Convention.

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