dr. husamuddin ahmadzai, ce, cp-e

NATURVÅRDSVERKET/SWEDISH ENVIRONMENTAL PROTECTION AGENCY 21 April 2023 1

Greening of Industry under the Montreal Protocol: Near Term Relationship with Climate Change and

Visions of the Executive Committee of the Multilateral Fund of the Montreal Protocol

Dr. Husamuddin Ahmadzai, CE, CP-EChair Executive Committee of the Multilateral Fund of the Montreal Protocol;

Senior Adviser, Swedish Environmental Protection Agency; and Special Adviser Nordic Environment Finance Corporation and Nordic Investment Bank

Green Industry in Asia: Managing the Transition to Resource Efficient and Low-carbon Industries

Manila 9-11 September 2009

NATURVÅRDSVERKET/SWEDISH ENVIRONMENTAL PROTECTION AGENCY 21 april 2023 2

Addressing• The resource and social management challenge• Montreal Protocol dual benefits with respect to Ozone Protection

and Climate Change;• Montreal Protocol Decision XIX/6 (2007) to phase-out HCFC

encourages minimisation of environmental impacts, in particular impacts on climate, as well as meeting other health, safety and economic considerations;

• Path ahead: Energy Efficiency, feedstocks, management of banks, compliance aspects;

• Summary.


Background – control regimesSome BasicsMontreal Protocol: • Production and consumption phase-out;• Multilateral Fund (MLF) covers incremental costs;Kyoto Protocol• Emission controls;• Flexible mechanisms, CDM, JI, ET.

NATURVÅRDSVERKET/SWEDISH ENVIRONMENTAL PROTECTION AGENCY 21 april 2023 509-01-24 7NATURVÅRDSVERKET/SWEDISH ENVIRONMENTAL PROTECTION AGENCY

4- An Industry in Transition

EC HFCEC HCFC

US- HCFCUS- HFC

+295 %

HFC +89 %


Emissions• The tyranny of consumption; e.g. currently SE 10 ton CO2-eq per cap-yr. • To reach a 2 degree change means reduce by 90 % i.e. 0,5 – 1 ton CO2-e by

2050. • 80 % private consumption. 20 % public • Transport, housing, food major areas.

Sector Global EU 15 Sweden

Energy supplyTransportHousingIndustryAgricultureForestryWaste

25%13%8%14%14%17%3%

25%21%16%26%9%Uptake3%

13%31%8%32%13%Uptake3%


Emissions and Impact• 20 – 40 percent of CO2-e emissions from transport, housing, food.• Key sectors for HFC growth are refrigeration and foam in a business

as usual (BAU) scenario; Banks, other F-gases etc are additional;• There is a 10 year lag of emissions, i.e. all production is emitted;• HFCs risk contributing to a substantial fraction of total carbon dioxide

(CO2) emissions in 2050 (CO2-eq basis);• Radiative forcing of HFCs of the order of 0.5 Wm-2 compared to

overall CO2 forcing of 2.5 Wm-2 stabilization scenario for 450 ppm • HFCs represent a substantial 20 percent fraction of global CO2

forcing.


Bridging Gaps MP-UNFCCC 1/2• EC Communication (COM 2009-39) "RECOGNIZES that the

accelerated phase-out of HCFCs mandated under the Montreal Protocol may lead to a rapid increase in the use of HFCs, many of which are very potent GHGs; therefore, PROPOSES that the Copenhagen agreement include an international emission reduction arrangement for HFC emissions; …that this arrangement will contribute towards meeting the EU's 30% commitment”.

• Micronesia and Mauritius Proposed MP Amendment regarding HFCs; • Expression of positive US interest.


Bridging Gaps MP-UNFCCC 2/2• Regarding Energy Efficiency: The Multilateral Fund of the MP is

looking at options and methodology linking the issues (ozone protection, climate change mitigation, energy efficiency, safety and other environmental benefits); One such option is the conceptual Functional Unit ("FU”) that would link HFC alternatives and a simplified life cycle analyses. The FU remains to be clarified in detail and demonstrated but is expected to encourage best alternatives while phasing out remaining ODSs (HCFCs);

• Energy efficiency can get complicated in agreements, however, there are also good examples of energy efficiency initiatives and devising revolving financial instruments around such efforts.

• Management of banks. Guidelines established. Pilot Projects underway.


Summary (1/2)VISION: UNFCCC and VC-MP work out a progressive arrangement that leverages MP institutions and UNFCCC reduction targets.

1.An emissions reduction arrangement owned and confirmed by UNFCCC-Copenhagen Agreement; details are worked out and delivered by Montreal Protocol Regime.

2.Provide stakeholders a transparent and simple global regime with compliance obligations.

3.Finance for GHG emission reduction is provided via climate mechanisms with timely assistance that includes Montreal financial mechanism, including bilateral and multilateral financing, that addresses existing and new facilities.


Summary (2/2)4. Introduction of alternatives and practices that minimize

environmental impacts, energy use, account health & safety etc;

5. Ozone related MLF financing should aim at climate neutrality and likely more; climate benefits should be seen as ancillary;

6. Avail best available and environmentally-safe substitutes and technologies, for the production and consumption sectors, under fair and most favourable conditions;

7. MLF gets stable and sufficient funding to meet all agreed incremental costs that enable developing countries to comply

with their commitments.

dr. husamuddin ahmadzai, ce, cp-e

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