Certification process

The process of certification for afforestation and reforestation (A/R) projects is as follows:

The DOE shall, based on its verification report, certify in writing that, since its start, the afforestation or reforestation project activity under the CDM has achieved the net anthropogenic greenhouse gas removals by sinks. It shall inform the project participants, Parties involved and the Executive Board of its certification decision in writing immediately upon completion of the certification process, and make the certification report publicly available (5/CMP.1, Annex, paragraph 35).

Therefore, the DOE must:

• formally certify the emission removals achieved by the project;
• provide written notice of its decision to the project participants, Parties involved and the Executive Board; and
• make its decision publicly available.

The project participants may select the time for the first verification and certification, but verification and certification must be carried out every 5 years after that (until the end of the project's crediting period):

The initial verification and certification of an afforestation and reforestation project activity under the CDM may be undertaken at a time selected by the project participants. Thereafter, verification and certification shall be carried out every five years until the end of the crediting period (5/CMP.1, Annex, paragraph 32).

Failure to comply with five-yearly certification requirement

If a project fails to meet this requirement for five-yearly certification, the CDM registry administrator will notify the Executive Board:

In the case of afforestation or reforestation project activities under the CDM for which lCERs are issued, the CDM registry administrator shall record the date at which each certification report is received. The CDM registry administrator shall notify the Executive Board of cases where a certification report has not been provided within five years of the last certification, as required in paragraph 32 above (5/CMP.1, Annex, paragraph 33).

If the Executive Board receives this notification from the CDM registry administrator, it will notify the project participants and give them 120 days to provide the outstanding report:

Upon receipt of such notification, the Executive Board shall forthwith notify the project participants of the requirement to provide the outstanding certification report (5/CMP.1, Annex, paragraph 33).

Failure to then provide the outstanding certification report has consequences for issued long-term certified emission reductions (lCERs):

If the overdue certification report is not received within 120 days after receipt of the notification by the project participants, the Executive Board shall proceed in accordance with paragraph 50 below (5/CMP.1, Annex, paragraph 33).

Paragraph 50 provides that any lCERs issued to an A/R project activity for which a certification report has not been issued must be replaced:

Where the certification report has not been provided in accordance with paragraph 33 above, the lCERs issued for the project activity shall be replaced.  To this end, the Executive Board shall:

1. Request the transaction log administrator to identify the quantity of lCERs issued for the project activity held in each registry not yet replaced or transferred to the lCER replacement account, distinguishing those held in retirement accounts for the current and previous commitment periods and in holding accounts;
2. Immediately notify the transaction log that, in accordance with these modalities, the lCERs identified in paragraph 50 (a) above as being in holding accounts are ineligible for transfer to holding or retirement accounts;
3. Notify the Parties concerned of the requirement to replace the lCERs identified in paragraph 50 (a) above. To replace an lCER a Party shall transfer one AAU, CER, ERU, RMU or lCER from the same project activity to the lCER replacement account for the current commitment period within 30 days (5/CMP.1, Annex, paragraph 50).

Reversal of net greenhouse gas removals by sinks

Where a certification report indicates that in a particular verification period, there has been a reversal of net anthropogenic greenhouse gas removals by sinks, a quantity of lCERs equivalent to the total reversal must be replaced by project participants:

Where the certification report of the DOE indicates a reversal of net anthropogenic greenhouse gas removals by sinks since the previous certification, an equivalent quantity of lCERs shall be replaced. To this end, the Executive Board shall:

1. Request the transaction log administrator to identify the quantity of lCERs issued for the project activity held in each registry not yet replaced or transferred to the lCER replacement account, distinguishing those held in retirement accounts for the current and previous commitment periods and in holding accounts;
2. Immediately notify the transaction log that, in accordance with these modalities, the lCERs identified in paragraph 49 (a) above as being in holding accounts are ineligible for transfer to holding or retirement accounts. When a Party has completed replacement of the required lCERs in accordance with paragraph 49 (d) below, the lCERs in the holding accounts of that Party are again eligible for transfer;
3. Calculate the proportion of lCERs from the project activity to be replaced by dividing the amount specified in the request for replacement by the amount identified in paragraph 49 (a) above;
4. Notify each Party concerned of the requirement to replace a quantity of lCERs equal to the proportion, as calculated in paragraph 49 (c) above, of the lCERs identified in paragraph 49 (a) above of that Party. To replace an lCER a Party shall transfer one AAU, CER, ERU, RMU or lCER from the same project activity to the lCER replacement account for the current commitment period within 30 days. If the requirement to replace involves a fraction of a unit that fraction of a unit shall be replaced by one AAU, CER, ERU, RMU or lCER from the same project activity (5/CMP.1, Annex, paragraph 49).