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Interim Evaluation of the Dutch Joint Implementation Programme

CE has reviewed Dutch policy on Joint Implementation, under which countries can secure part of the agreed reduction in greenhouse gas emissions under the Kyoto protocol by investing in emission reduction abroad. In the case of the Netherlands, JI is of crucial importance for meeting the country's Kyoto commitments. The main conclusion of the review is that it is still unclear whether the Netherlands can achieve sufficient emission reductions through JI, as the actual effectiveness of a number of projects is still far from certain. CE therefore advises the ministry of Economic Affairs to acquire more 'emission reduction units' (ERUs) than strictly necessary. This surplus can then used to compensate for any disappointing projects. Contracting these units will have only a limited upward impact on prices, while achievement of targets will be far better guaranteed. The cost effectiveness of Dutch JI policy was also analysed and the cost of an ERU was found to be relatively low, although implementation costs vary substantially depending on the precise nature of the scheme. The Netherlands entered into JI projects far earlier than other countries, thereby adopting relatively open tender procedures. As a result, the country has played a major role in creating a market for JI-related emission reduction.

Authors CE

Sander de Bruyn
Jasper Faber
Geert Warringa

Delft, June 2005

Report in Dutch

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