Project Assessment Template
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On this page: The project assessment in Appendix B will focus on the following objectives and criteria to conduct a further evaluation of the priority projects identified. Read more below, or visit Strategic Guidance for Country System Assessments, Guidance for Countries in Assessing ERC Projects, or Mobilizing ERC Finance.
The project assessment is found in Appendix B. It is a more detailed review into the project’s attributes and mechanisms relative to best practice. The assessment will focus on the following objectives and criteria to conduct a further evaluation of the priority projects identified. Financial value (F): Assess and test project’s value maximization potential Quality execution (Q): Evaluate potential that target values can be secured in implementation Core principles (C): Assess risk of not meeting core principles based on technology type and mitigation measures Strategic national alignment (S): Evaluate project’s contribution to the wider economy For this exercise, the project’s closeness to best practice or alignment with market expectations is rated for each subcomponent, where the overall rating for the criterion will be based on an average of the project’s rating across all subcomponents. Given that there are multiple subcomponents for each criterion, and that compliance for these will likely be in a spectrum, the guideposts provided in Chapter IV will describe the level at which projects are at “best practice” and the level at which they have “some opportunities for improvement”, beyond which the user of the Guidelines can use the following approach to assign the other ratings, as follows: The Project Guidelines provides a reference of sources and suggested analysis for each assessable criteria. An overview of the sources of reference for each criteria is provided in Table 1. Table 1: Sources of reference for each assessment criteria ☐ ☒ ☒ ☒ ☒ ☒ ☒ ☒ ☐ ☒ ☒ ☒ ☒ ☒ ☒ ☒ ☐ ☐ ☒ ☐ ☐ ☒ ☐ ☒ ☒ ☐ ☒ The project assessment does not include a full due diligence of the project, including its transaction and business activity legality. This is to focus on the objectives of the assessment exercise to determine the preliminary viability of the shortlisted ERC projects from the initial profiling stage, across financial, legal, and technical dimensions. In line with this, a technical review of the project’s carbon integrity is also not an aim of this exercise due to the subjective and complex nature of such a review that will require in-depth carbon accounting and methodology expertise, best conducted by authorized Validation and Verification Bodies. Instead, the assessment prioritizes a simplified approach that will enable the Government entity to understand a project’s ability to meet the carbon integrity expectations of the market within a shorter time-frame and leveraging a reasonable level of technical capabilities given the carbon market’s nascent nature. The project assessment templates in Appendix B includes a Summary with observations and scoring as well as Action points recommended for the project proponents. The Project Assessment Deep Dives includes 8 different components including Project ERC value, MRV infrastructure, Marketing, sales and pricing, Project governance and structure, Carbon integrity, Environmental risk management, Social risk management and benefits and Socioeconomic value. Finally a template for Project information is provided. Introduction to the Framework - Appendix B
Objective
Criteria
Process to conducting assessments
Criteria
PDD/PIN
Desktop research
Interviews
Limitations
Link to Assessment Templates
This section is intended to be a living document and will be reviewed at regular intervals. The Guidelines have not been prepared with any specific transaction in mind and are meant to serve only as general guidance. It is therefore critical that the Guidelines be reviewed and adapted for specific transactions. Unless expressly stated otherwise, the findings, interpretations, and conclusions expressed in the Materials in this Site are those of the various authors of the Materials and are not necessarily those of The World Bank Group, its member institutions, or their respective Boards of Executive Directors or member countries. For feedback on the content of this section of the website or suggestions for links or materials that could be included, please contact the Public-Private Partnership Resource Center at ppp@worldbank.org.
TABLE OF CONTENTS
UNLOCKING GLOBAL EMISSION REDUCTION CREDIT
Guidance for Countries in Assessing ERC Projects
1. Introduction to Emission Reduction Credits
• The World Bank's Emission Reduction Program
•Classification of Emissions Reduction Credit
• Policy Context of Emissions Reduction Credit
2. Objective of the Guidance for Countries in Assessing ERC Projects
• Objective of Project Preparation Guidelines
• Introduction to the Project Assessment Framework
• Process to Conducting Assessments
• S1: Green Economy Priorities
• S3: Article 6 Readiness and Eligibility
4. Conducting the Initial Profiling and Making a Preliminary Decision
• F2: Additional Value Enabled by Project
• C1, C2, and C3: Carbon Integrity and Environmental and Social Risk Management
5. Conducting the Project Assessment and Making the Final Decision
• F1: Project ERC value and F2: Additional Value Enabled by Project
• Q2: Marketing, Sales, and Pricing
• Q3: Project Governance and Structure
• C2: Environmental Risk Management
• C3: Social Risk Management and Benefits
6. Further Guidance for Application
• Country Context-driven Factors
• Considerations for Future Scope
Abbreviations: Guidance for Countries in Assessing ERC Projects
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