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CONSULTING - Environment

Clean Development Mechanism (CDM)

The Clean Development Mechanism (CDM) established under the Kyoto Protocol, has the potential to assist developing countries in achieving sustainable development by promoting environmentally friendly investment from industrialized country governments and businesses.


The 1997 Kyoto Protocol, a milestone in global efforts to protect the environment and achieve sustainable development, marked the first time that governments accepted legally-binding constraints on their greenhouse gas emissions. The CDM strives to promote sustainable development in developing countries, while allowing developed countries to contribute to the goal of reducing atmospheric concentrations of greenhouse gases.

Why you need this?

The Clean Development Mechanism (CDM) allows emission reduction projects that assist in creating sustainable development in developing countries to generate “certified emission reductions” for use by the investor.

The mechanisms give countries and private sector companies the opportunity to reduce emissions anywhere in the world—wherever the cost is lowest—and they can then count these reductions towards their own targets.

Through emission reduction projects, the mechanisms could stimulate international investment and provide the essential resources for cleaner economic growth in all parts of the world. The CDM, in particular, aims to assist developing countries in achieving sustainable development by promoting environmentally friendly investment from industrialized country governments and businesses.


How does this help organization?

From the developing country perspective, the CDM can:

·         Attract capital for projects that assist in the shift to a more prosperous but less carbon-intensive economy;

·         Encourage and permit the active participation of both private and public sectors;

·        Provide a tool of technology transfer, if investment is channelled into projects that replace old and inefficient fossil fuel technology, or create new industries in environmentally sustainable technologies; and,

·         Help define investment priorities in projects that meet sustainable development goals.

Specifically, the CDM can contribute to a developing country’s sustainable development objectives through:

·         Transfer of technology and financial resources;

·         Sustainable ways of energy production;

·         Increasing energy efficiency & conservation;

·         Poverty alleviation through income and employment generation; and Local environmental side benefits


The CDM will include projects in the following sectors:

·         End-use energy efficiency improvements

·         Supply-side energy efficiency improvement

·         Renewable energy

·         Fuel switching

·         Agriculture (reduction of CH4 and N2O emissions)

·         Industrial processes (CO2 from Cement etc., HFCs, PFCs, SF6)

·         Sinks projects (only afforestation and reforestation)

Funding Available for SMEs

 The Capability Development Grant (CDG) is a financial assistance programme aimed at helping Small and Medium Enterprises (SMEs) defray up to 70% of qualifying project costs, relating to consultancy, manpower, training, certification, upgrading productivity and developing business capabilities for process improvement, product development and market access. SPRING's enhanced funding support of up to 70% would be effective for three years until 31 March 2016.


Why Avanta?

 We have consultants who are experienced in implementing the CDM in various countries in SEA region. Our consultants are also UNFCC approved auditors, so they understand the compliance requirement very well. This understanding helps them in implementing customized solutions to organizations based on the client’s requirements.

Contact details

Email address: enquiry@avanta.com.sg

Tel: +65 6295 2112

Fax: +65 6295 6683

Address: 72 Bendemeer Road, #03-29 Luzerne, Singapore 339941