The Clean Development Mechanism (CDM) is a mechanism set out in Article 12 of the Kyoto Protocol, in which countries in Annex I (developed countries) have a special obligation to reduce greenhouse gas (GHG) emissions to help non-annexed I countries (developing countries) implement actions to reduce or absorb (capture) GHGs at least one of the six GHGs, each of which must be valued equivalent to one ton of CO2 that can be included in the fulfillment of the goal of the protocol.1 The CDM, contained in Article 12 of the Kyoto Protocol, allows governments or private entities in industrialized countries to implement emission reduction projects in developing countries and receive credit as “Certified Emission Reductions (CERs)” which they may count against their national reduction targets.2 The Kyoto Protocol is the first binding agreement under the United Nations Framework Convention on Climate Change (UNFCCC) that entered into force in February 2005 and currently has 192 parties.3 This protocol also commits industrialized countries and economies in transition to limit and reduce GHG emissions by agreed individual targets.4 A key element of the protocol is the creation of a flexible marketing mechanism based on the commercialization of emissions permits, giving them additional means to meet their goals in three ways: (1) Emission Trading, (2) Joint Implementation between the same developed countries and (3) Clean Development Mechanism (CDM) to promote encourage joint emissions reduction projects between developed and developing countries5 in line with the UNFCCC goal of stabilizing greenhouse gases in the atmosphere to a level that can prevent the effects of accidents caused by human activities on the climate system.6
Greenhouse Gases Confirmed in the Kyoto Protocol
The Kyoto Protocol identifies and regulates six key GHGs that are major contributors to global warming and climate change.7 These gases are targeted because of their high Global Warming Potentials (GWP) and long atmospheric lifetimes.
- Carbon dioxide (CO₂): Cement production, deforestation, and burning fossil fuels.
- Methane (CH4): Rice, cattle, biomass burning and decay, and fossil fuel production.
- Nitrous oxide (N2O): Fertilizers, fossil fuel burning, land conversion to agriculture, wastewater management, and industrial activities.
- Hydrofluorocarbons (HFCs): Refrigeration, air-conditioning, aerosols, foams, and industry.
- Perfluorocarbons (PFCs): Electronics industry, aluminum production, refrigeration, fire-fighting, and industry.
- Sulphur hexafluoride (SF6): Electronic and electrical industries, insulation, and the production of magnesium.
Institutions in charge of the Clean Development Mechanism (CDM) in Cambodia
To be able to participate in the CDM, host countries have to devise specific institutional arrangements, and the Designated National Authority (DNA) is one of the requirements for participation by a party in the CDM.8 The Royal Government of Cambodia (RGC) appointed the Ministry of Environment (MoE) as the DNA for the CDM in July 2003, and established the Cambodia Climate Change Office (CCCO) within the MoE in the same year.9 The RGC upgraded the status of CCCO from office to department (Department of Climate Change (DCC)) in October 2009, as a strong indication of the government’s commitment to strengthening climate change institutions in the country.10 The DCC, in addition to serving as part of the Secretariat for Cambodian DNA and has been actively promoting CDM projects in Cambodia.11
Structure of DNA in Cambodia
Key actors | Composition | Roles and responsibilities |
DNA Board | Representatives from: The Ministry of Environment (MoE), Ministry of Agriculture, Forestry and Fisheries (MAFF), Ministry of Industry, Mines and Energy (MIMF), Ministry of Planning (MoP), Ministry of Public Works and Transport (MPWT), and the Council for the Development of Cambodia (CDC). |
|
DNA Secretariat | Climate Change Department (CCD) acts as the DNA Secretariat |
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Technical Inter-ministerial Working Group | There are two main technical working groups: The Energy and Forestry Technical Working Groups. |
|
Source: Institute for Global Environmental Strategies and Ministry of Environment12
Timeframe and activities for assessment of proposed CDM projects in Cambodia13
Types of Clean Development Mechanism (CDM) Projects
The CDM project can help the host country achieve sustainable development and reduce emissions while giving industrialized countries flexibility in meeting their emission targets. Project activities may involve rural electricity projects using solar panels or wastewater treatment plants.14
These projects include: In the energy sector, there are renewable energy projects (hydropower, wind, solar, and biomass), energy efficiency measures (energy-saving lamps), and energy efficiency measures in industries.15 Transportation includes low-carbon transport (bus rapid transit and electric vehicles).16 Urban areas include methane recovery and utilization from wastewater treatment and solid waste, while agriculture and natural resource management include biogas and forestry.17
Cambodia’s Clean Development Mechanism Project
N | Project Name | Type | Location |
1 | Angkor Bio Cogen Project18 | Biomass | Kandal Province |
2 | TTY Cambodia Biogas Project19 | Biogas | Memot, Kampong Cham Province |
3 | Samrong Thom Methane-fired Power Generation20 | Methane to Energy | Kean Svay, Kandal Province |
4 | Kampot Cement Waste Heat Power Generation21 | Waste Heat Recovery | Kampot Province |
5 | Biogas Project at MH Bio-Ethanol Distillery22 | Biogas | Kampong Speu Province |
6 | W2E Siang Phong Biogas Project23 | Biogas | Kandal Province |
7 | Lower Stung Russei Chrum Hydroelectric Project24 | Hydroelectric | Koh Kong Province |
8 | Stung Atay Hydroelectric Project25 | Hydroelectric | Pursat Province |
9 | Stung Tatay Hydroelectric Project26 | Hydroelectric | Koh Kong Province |
10 | Kamchay Hydroelectric BOT Project27 | Hydroelectric | Kampot Province |
11 | Methane-fired power generation plant in Samrong Thom Animal Husbandry, Cambodia28 | Biogas | Kandal Province |
12 | Stung Russey Chrum Krom Lower Hydropower Project29 | Hydroelectric | Koh Kong Province |
13 | Sustainable Climate Transformation by E-Mobility in Cambodia30 | Transport | Nationwide |
14 | Waste to energy using biomass Gasification in South East Asia LDCs programme of activities31 | Biomass | Nationwide |
15 | Household energy appliance programme32 | Energy efficiency | Nationwide |
Cambodia’s Challenges in Implementing a Clean Development Mechanism
- Limited human capacity: A shortage of trained personnel who can manage and execute CDM projects, which affects the country’s ability to participate fully in the mechanism.
- Awareness and technology: Lack of awareness regarding CDM opportunities and the availability of appropriate technology options that could be utilized in CDM projects.
- Data gaps: The absence of reliable and comprehensive data sets makes it difficult to assess potential CDM projects and their impacts accurately. This includes challenges in gathering local emission factors and activity data.
- Financial constraints: Limited financial means restrict Cambodia’s ability to independently implement the adaptation and mitigation options necessary for CDM projects, necessitating support from the international community.33
Related to Clean Development Mechanism
References
- 1. United Nations Environment Programme, “Introduction to Clean Development Mechanism,” accessed on 22 April 2025.
- 2. Ibid.
- 3. United Nations Climate Change, “What is the Kyoto Protocol?” accessed on 22 April 2025.
- 4. Ibid.
- 5. Ibid.
- 6. United Nations Environment Programme, “Introduction to Clean Development Mechanism,” accessed on 22 April 2025.
- 7. Michael Grubb, “The economics of the Kyoto Protocol,” World Economics, 2003, accessed on 22 April 2025.
- 8. United Nations Framework Convention on Climate Change (UNFCCC), “Designated National Authorities,” accessed on 22 April 2025.
- 9. Ministry of Environment, “Cambodia’s Second National Communication Cambodia: Submitted under the United Nations Framework Convention on Climate Change,” November 2015, accessed on 22 April 2025.
- 10. Ibid.
- 11. Ibid.
- 12. Institute for Global Environmental Strategies and Ministry of Environment, “Market Mechanism Country Factsheet: Cambodia,” January 2013, accessed on 22 April 2025.
- 13. Climate Change Office of the Ministry of Environment, “Cambodia designated national authority clean development mechanism,” National Committee for Sub-National Democratic Development, 2010, accessed on 22 April 2025.
- 14. Asian Development Bank, “Clean Development Mechanism: Overview,” September 2011, accessed on 22 April 2025.
- 15. Ibid.
- 16. Ibid.
- 17. Ibid.
- 18. United Nations Climate Change, “Facilitating the Clean Development Mechanism in Cambodia,” accessed on 22 April 2025.
- 19. Institute for Global Environmental Strategies and Ministry of Environment, “Clean Development Mechanism in Cambodia,” 5 November 2010, accessed on 22 April 2025.
- 20. Ibid.
- 21. Ibid.
- 22. Ibid.
- 23. Ibid.
- 24. Ibid.
- 25. Ibid.
- 26. Ibid.
- 27. Ibid.
- 28. UNFCCC, “Methane fired power generation plant in Samrong Thom Animal Husbandry, Cambodia,” 2006, accessed on 22 April 2025.
- 29. CamNess, “Over 500 megawatts of clean power projects approved,” 7 April 2023, accessed on 22 April 2025.
- 30. UNFCCC, “Sustainable Climate transformation by e-mobility in Cambodia,” 2022, accessed on 22 April 2025.
- 31. UNFCCC, “Waste to energy using biomass Gasification in South East Asia LDCs programme of activities,” 2015, accessed on 22 April 2025.
- 32. UNFCCC, “Household energy appliance programme,” 2020, accessed on 20 April 2025.
- 33. Ministry of Environment, “Cambodia’ second national communication: submitted under the United Nations Framework Convention on Climate Change,” November 2015, accessed on 22 April 2025.
