The National Climate Change Response Policy

Carbon Tax Stakeholder ConsultationUniversity of Cape Town

1 November 2013

National Climate Change Response Policy

Overall approach

Needs driven and customised: employing a wide range of different approaches, tailored for the specific actors, organisations, sectorsDevelopmental: prioritising climate change responses that have significant mitigation / adaptation benefits, AND have significant economic growth, job creation, public health, risk management and poverty alleviation benefits. Transformational, empowering and participatory: address climate change at a scale of economy that supports the required innovation and finance flows needed for a transition to a lower carbon, efficient, job creating, equitable and competitive economyDynamic and evidence based: Build on existing successful policies and measures, ensuring policy alignment, and scaling up

Key elements of mitigation• Build on what already exists• Assess mitigation potential in key sectors and identify a set of viable

options for reducing GHGs in key sectors• Assess socio-economic costs /benefits of mitigation opportunities• Develop desired emission reduction outcomes (DEROs) per sector• Agree on the optimal combination of measures, appropriate to each

sector, to achieve the DEROs (including the carbon tax, carbon budgeting approach, setting of efficiency targets, use of standards and regulation etc).

• Sectors / sub-sectors to formulate mitigation plans, to achieve DEROs • Monitoring and evaluationSectors: energy, industry, transport, waste & agriculture,

Key issues: Pricing carbon is key to driving transition to a green economyPart of the spectrum of measures available to achieve emission reductionsHow to integrate the carbon tax with other measures to achieve emission reductions, increased energy efficiency AND increased productivity , competitiveness and local manufacturing of green technologiesOptions for the carbon tax to interface with measures for achieving emission reductions depend primarily on the level and nature of the emission reduction outcomes, per sector

Key issues cont...The carbon tax could be dovetailed with the process of setting desired emission reduction outcomes (DEROs)• Use the tax as a compliance tool, in relation to the set emission

reduction objectives per sector (and measures to achieve them), in order to drive energy efficiency, improve productivity and increase investment in green technology

• Each sector has specific characteristics and dynamics - decisions on sector threshold levels and on the optimal combination of measures or instruments to achieve emission reductions need to be informed by an assessment of sector characteristics

National Atmospheric Emissions Inventory System (NAEIS)

NAEIS System overview

Activity DataSub-Module

Emission-Factor

Sub-Module

Inventory results are

documented and

archived

Public Interface

for emissions

results

Emissions Reporting

Emission Summary

Tables

Emissions Processing: the heart of the EI

inventory module

E = M x EF

Pollutant South Africa NAAQS

NAEIS Capability

1. Criteria Pollutants

PM, SO2, NOx, CO, Benzene, Dust, Lead Yes Yes

• Other metals (Arsenic, Cadmium, Nickel, etc.) Yes

2. Hazardous Air Pollutants (HAPs) Yes

3. Volatile Organic Chemicals (VOCs) Yes

4. Green House Gasses (GHGs) Yes

What pollutants are included in NAEIS

Activity DataSub-Module

Emission-Factor

Sub-Module

Inventory results are

documented and

archived

Public Interface

for emissions

results

Emissions Reporting

Emission Summary

Tables

Emissions Processing: the heart of the EI

inventory module

E = M x EF

About the Activity Data module

• On-line forms and file submission functionality

• Emitter has joint control of information on the EI system (own access, generate facility-level reports)

• Supporting documents (evidence) upload function

• Multiple authority platforms [single tool, multi-authority access]

• Cater for top-down and bottom-up information requirements

• QA/QC tool [Virus, formatting, completeness, internal consistency checks, calculation errors]

• Real-time validation [Historical and defined thresholds]

Activity DataSub-Module

Activity DataSub-Module

Emission-Factor

Sub-Module

Inventory results are

documented and

archived

Public Interface

for emissions

results

Emissions Reporting

Emission Summary

Tables

Emissions Processing: the heart of the EI

inventory module

E = M x EF

About the EF module

System has default and country specific emission/plant-specific emission factors Database of emission factors accessible to all usersMetadata about the EF in the database

Emission-Factor

Sub-Module

NAEIS emissions factor library

Emission-Factor

Sub-Module

Activity DataSub-Module

Emission-Factor

Sub-Module

Inventory results are

documented and

archived

Public Interface

for emissions

results

Emissions Reporting

Emission Summary

Tables

Emissions Processing: the heart of the EI

inventory module

E = M x EF

About the Processing module

• Emissions calculation algorithms based on the 2006 IPCC guideline methodologies

• Module allows for top-down and bottom-up methodologies Allow for time series development of AD, EF and Emissions Results

• Allow for recalculations when new AD and EF is available

• Historical and recalculated data should be kept by the system (archiving)

Emissions Processing: the heart of the EI

inventory module

System handles both pollutants and GHGs

IPCC Sectors (GHG Emissions)

Energy

IP + PU

A+FO+LU

Waste

Waste

Process Emissions

Energy

Fugitive

Energy Recovery

Combustion: Stationery + Mobile

Production of Primary and Secondary fuels

Non-energy use and feedstock

Pulp + Paper: Forest Management

Sec 21 ( Air pollutant emissions)

Activity DataSub-Module

Emission-Factor

Sub-Module

Inventory results are

documented and

archived

Public Interface

for emissions

results

Emissions Reporting

Emission Summary

Tables

Emissions Processing: the heart of the EI

inventory module

E = M x EF

About the Reporting module

• System is able to package data based on sectoral, provincial, local, national level, (see next slide)

• Multiple export formats (current and historical data)• A public interface developed for ease of access by the

general public• System is linked with GIS functionality• Inventory results are documented and archived

Emissions Reporting

Data Mining • Search emission data bySearch emission data by

• Pollutants, Year, Location, Sector

System Implementation

• System will go-live in January 2014• Reporting period – calendar year• Mandatory reporting – January 2015• Reporting regulations – April 2013

THANK YOU