Preliminary Program
September 15, 2003
Emissions Marketing Association
7th Annual Fall Meeting & International Conference
Miami, Florida, USA - September 21-23, 2003
The EMA Fall Meeting Final proceedings will be available in CD format only at the conference. *Speakers and topics subject to change
| Sunday, September 21, 2003 | |
| 8:00 am - 7:30 pm | Registration Open |
| 8:00 am - 9:00 am | Continental Breakfast (Workshop participants only) |
| 9:00 am - 5:00 pm | Introduction to Emissions Trading Pre-Conference Workshop -Sponsored by Det Norske Veritas (Separate registration required) |
| 11:30 am | EMA Golf Outing - Miami Beach Golf Club -Sponsored by 3M (Separate registration required) |
| 6:00 pm - 7:30 pm | Welcome Reception - Open to all registered meeting attendees! -Sponsored by United Power Inc. |
| 7:30 pm | Dinner on your own |
| Monday, September 22, 2003 | |
| 8:00 am - 5:30 pm | Registration Open -Sponsored by Argus Media, Inc. |
| 8:00 am - 5:30 pm | Exhibits & Poster Session Open |
| 8:00 am - 9:00 am | Continental Breakfast |
| 9:00 am - 12:30 pm | Plenary Session |
| 9:00 am - 9:30 am | Opening and Welcome Daniel Chartier, President, Emissions Marketing Association Matthew Most, Chairman, Emissions Marketing Association |
| 9:30 am - 10:30 am | Session 1 |
| 9:30 am - 10:00 am | James Gallagher, Office of Electricity and Environment - New York Public Service Commission |
| 10:00 am - 10:30 am | Gennadiy Rudenko, Head of the Parliamentary Committee on Environmental Policy, Verkhovna Rada of Ukraine |
| 10:30 am - 11:00 am | Break & Poster Session Viewing - "Meet The Authors" -Sponsored by Amerex |
| 11:00 am - 12:30 pm | Session 2 |
| 11:00 am - 11:30 am | Thomas Black, Andean Center for Economics in the Environment |
| 11:30 am - 12:00 pm | Ko Barrett, United States Agency of International Development |
| 12:00 pm - 12:30 pm | Chris Leigh, United Kingdom Department for Environment, Food and Rural Affairs |
| 12:30 pm - 2:00 pm | Lunch Harlan Watson, Senior Climate Negotiator, U.S. Department of State -Sponsored by Evolution Markets LLC |
| 2:00 pm - 5:30 pm | Concurrent Sessions |
| 2:00 pm - 3:30 pm | Session 3A Implementing GHG Emissions Trading Programs Moderator - Bruce Usher, EcoSecurities Ltd. Eric Williams, Center for Clean Air Policy The Center for Clean Air Policy (CCAP) recently completed a series of workshops for the European Commission on the upcoming EU GHG emissions trading scheme in eight EU accession countries, focusing on government officials responsible for implementation and industry required to participate. CCAP will present details of the trading scheme and our understanding of the issues facing accession countries. Andy Ridge, Alberta Environment - Government of Alberta The Alberta government has developed and is beginning to implement its Climate Change Action Plan. As part of a commitment to explore more innovative market approaches to greenhouse gas emissions management, the province is undertaking a variety of initiatives involving potential broad provincial and sector-specific emissions trading systems. This presentation will highlight some of these efforts, as well as some of the critical process and technical issues that have been encountered to-date. Robert O'Sullivan, World Bank This paper aims to kick off the debate on the legal nature of different types of emission reductions. Without seeking to preempt the decisions of legislators, it will undertake a comparative analysis of how different types of emission reductions are treated international, regional and national emission trading systems. |
| 2:00 pm - 3:30 pm | Session 3B Renewable Energy Certificates, Green Power & Related Topics Moderator - Ed Holt, Ed Holt & Associates Karel Nolles, Australian Financial Markets Association Lessons for environmental markets from the financial markets - some Australian perspectives and experiences. Environmental markets have generally been implemented by government agencies different from those agencies traditionally associated with the oversight and management of markets. Some key lessons from the financial markets have not been learned. In particular this applies in areas such as the release of information to the market and market transparency, the impact of risk on market performance, the role of market monitoring and survelliance, the linkages between spot markets and forward markets and the importance of Over The Counter and Exchange Based trading. Peter Hawkes, Baker & McKenzie There are many policy drivers encouraging investment in renewable energies and over recent years these policies have become increasingly interlinked. At the heart of this linkage is the legal requirement for countries to reduce greenhouse gas emissions as agreed in the United Nations Framework Convention on Climate Change and the Kyoto Protocol. The linkage between renewable energy and carbon can provide for increased investment opportuinities. Michael Sloan, Virtus Energy Research Associates The Texas REC Program - Year One Review. The inaugural year of operation of the nation's first comprehensive Renewable Energy Credits (REC) trading program concluded on June 30, 2003. Presentation highlights include a statistical review of Texas RECs issued and retired, discussion of emerging markets utilizing the new instruments, and what the early Texas experience suggests for the future of RECs in the United States. |
| 3:30 pm - 4:00 pm | Break -Sponsored by Entergy |
| 4:00 pm - 5:30 pm | Session 4A Joint Implementation (JI) and Clean Development Mechanism (CDM) Case Studies Moderator - Lisa Jacobson, Business Council for Sustainable Energy James Wintergreen, First Environment, Inc. Validation and Verification Considerations for Clean Development Mechanism Projects. As the CDM evolves, the first projects are approaching the critical quality assurance process of validation, which will reveal which projects will be eligible to generate credits when the Kyoto Protocol enters into force. Failure to adequately address modalities and procedures revealed by several COP and CDM Executive Board decisions could delay or prevent project registration or CER issuance. This presentation will provide an overview of important issues relating to validation and verification, which CDM project developers, or purchasers of credits or options from CDM projects, should consider. Jan Fehse, EcoSecurities Ltd. Utilizing a case study from Colombia will explore how financing CDM community forestry projects can be accomplished through the sale of carbon sequestration and other environmental services, and investigate the impacts of CDM modalities on project finance. Joshua Radoff, Science Applications International Corporation A climate change team has developed a series of resource guides. These guides are meant to highlight the challenges that make transportationrelated GHG projects so difficult, present options to address these issues, and help project developers understand the available GHG markets, registries, and purchasing programs available to them. |
| 4:00 pm - 5:30 pm | Session 4B North American SO2 and NOx Market Update Moderator - Melanie LaCount, United States Environmental Protection Agency Ned Helme, Center for Clean Air Policy There is interest on the part of many governments, industry and environmental stakeholders in moving a power sector multi-pollutant control strategy to provide certainty on emissions reductions and compliance, and to reduce control costs over the less flexible “pollutant-bypollutant” approach prescribed by the Clean Air Act. Results of this policy dialogue will be presented. John Blaney, ICF Consulting Understanding underlying market fundamentals driving equilibrium allowance prices is critical to developing wise trading strategies. This presentation will explain ICF's views of near and long-term emission markets for NOX and SO2. Particular attention will be paid to the effect of electric plant dispatch in bringing allowance markets into equilibrium, a factor under-appreciated by many market watchers, but critical to bringing the 2003 SIP Call NOX market into balance. The impacts of the Clear Skies Initiative and other proposed multipollutant legislation on allowance markets and electric plant compliance decisions will also be discussed. Peter Zaborowsky, Evolution Markets LLC and Anthony Arcone, APB Energy A joint overview of the last 6 months' market activity in the NOx & SO2markets by two industry trading and brokering veterans. Price trends, liquidity levels, and possible causes & insights will be offered. An active and discussion and questions from the audience will be encouraged. |
| 6:00 pm - 8:00 pm | Chairman's Reception - Open to all registered meeting attendees! The Wolfsonian Museum - Florida International University Sponsored by AgCert Roundtrip Transportation Provided |
| Tuesday, September 23, 2003 | |
| 8:00 am - 4:00 pm | Registration Open |
| 8:00 am - 4:00 pm | Exhibits & Poster Session Open |
| 8:00 am - 9:00 am | Continental Breakfast |
| 8:30 am - 9:00 am | EMA Annual Business Meeting |
| 9:00 am - 12:30 pm | Concurrent Sessions |
| 9:00 am - 10:30 am | Session 5A US Greenhouse Gas Policy Update: Will A Market Develop In the Absence of Kyoto? Moderator - Maria Pugliese, Baker & McKenzie Michael Ashford, The Climate Trust The Climate Trust will present its findings from a comprehensive investigation of its transaction costs from assembling and monitoring a portfolio of 11 GHG emission reduction projects now under management. The portfolio contract value is $4.2 million and accounts for delivery of approximately two million metric tons of carbon dioxide. Jason Feer, Argus Media A look at the political environment in Washington with regard to greenhouse gas controls. Emphasis on the debate over voluntary approaches favored by the Bush administration versus the mandatory controls favored by environmentalists and some members of Congress. Will also include an examination of the prospects for the development of a US carbon market in the absence of mandatory controls in the US. Mary Anne Sullivan, Hogan & Hartson A robust trading market depends on many participants with a common demand and well understood rules. Ms. Sullivan will review the contrasting approaches of the Federal government, various state governments (including the recently announced initiative among Northeast states) and private sector actors to greenhouse gas limitations. She will argue that, because of the absence of a single common approach, markets for carbon emissions credits are likely to develop only very gradually in the U.S. |
| 9:00 am - 10:30 am | Session 5B International Perspectives on GHG Trading Moderator - Peter Zaborowsky, Evolution Markets, LLC Leonardo Massai, Researcher, Environmental Law Research Centre, University of Frankfurt The article considers the EU Greenhouse Gas Emissions Allowance Trading directive recently adopted and some aspects related to its implementation in the Central and Eastern European Countries (CEECs) acceding the EU. The structure and the regulatory system of the EU Emissions Trading scheme together with domestic initiatives undertaken among the CEECs - Poland, Slovakia and the Czech Republic - are assessed. Finally, the issue of the emissions surplus within the CEECs and its relation with the EU ET system is discussed. Andrea Pinna, The World Bank The conditions of low enforcement capabilities, insufficient technical resources, and limited emissions measurement and monitorint capacities typically found in non-OECD regulatory agencies represent insurmountable barriers to the implementation of quantity-based instruments for air pollution control in these countries. There is a need for a re-examination and that, in the case of countries with economies in transition (EITs) included in Annex I the United Nations Framework Convention on Climate Change (UNFCCC), marketable permits might be more suitable than commonly thought as instruments for greenhouse gas (GHG) emission control. Judith Hull, Environment Canada In the Climate Change Plan for Canada (November 2002) it is proposed that GHG targets be set for large industrial emitters (LIE) of GHGs, and that offset credits from project-based reductions/removal of GHGs not covered by the LIE system be accepted for compliance with these targets. The presentation will address elements of the June 2003 Offset System Discussion Paper including principles to guide the design of the system, the eligibility criteria and review process as well as sector specific design issues. Feedback on the Discussion Paper will be used in the next stage of the offset system design. |
| 10:30 am - 11:00 am | Break & Poster Session Viewing - "Meet The Authors" -Sponsored by EcoSecurities |
| 11:00 am - 1:00 pm | Session 6A Greenhouse Gas Inventory, Accounting and Registry Issues Moderator - Randy Lack, Emission Credit Brokers James Holtkamp, Holland & Hart This paper will describe the components needed for a greenhouse gas emissions trading system that can operate across national borders. Drawing upon US and European trading systems, the paper will identify key elements of a workable trading system, including (i) clear definitions of covered activities, (ii) quantification of emissions, (iii) emission default factors, (iv) reporting, (v) verification, and (vi) registration. Robyn Camp, California Climate Action Registry The California Climate Action Registry was created to encourage voluntary action and help organizations establish GHG emissions baselines against which any future GHG emission reduction requirements may be applied. To facilitate standardized reporting, the CA Registry has developed a number of tools including protocols and CARROT, an online reporting tool. Building on these tools, the CA Registry is now working with partners to develop a multi-state, one-stop, online reporting platform to help harmonize GHG reporting. Orestes Anastasia, Science Applications International Corporation An overview of the new national GHG registry being proposed for the U.S. Department of Energy, and implications for a possible future national emissions trading system in the U.S. Lisa Nelowet Grice, CH2M HILL This presentation uses case studies to trace the steps typically followed in developing an effective corporate GHG management program. The GHG management pathway traces progress from goals definition, through inventory accounting, management system development, emission reduction evaluation, and reduction portfolio management. Taken together, the case studies clearly illustrate how to efficiently prepare a GHG management process that may flexibly respond to a broad array of corporate goals. |
| 11:00 am - 1:00 pm | Session 6B Environmental Risk Management - Compliance Risk Management Moderator - Gary Payne, Dominion Anshuman Gupta, Penn State University In this presentation, we will present a compliance portfolio management approach that, given a set of candidate technologies characterized by their respective emission levels, fixed capital investment and variable production costs, current market price and availability of emission permits/derivative contracts such as emission options, and future product demand and emission market forecasts (in terms of permit price and availability), determines the optimal technology-permits-options portfolio that minimizes total expected pollution abatement costs. In addition, the developed computational tool's ability to forecast the environmental liability faced by the firm both in terms of the probability of meeting compliance requirements in the future and the resulting non-compliance penalties will be highlighted through a case study. Alex Farrell, University of California - Berkeley Several concerns have been raised about the environmental and economic outcomes of C/T systems; including the problem of "hotspots". This paper evaluates the performance of OTC NOx Budget program in terms of temporal hotspots (or 'NOx spikes'). Although emissions of NOx vary significantly with time, no evidence is found to suggest plant operators alter their emission control strategies to contribute to this effect, suggesting no substantial temporal difference in environmental performance between this cap-and-trade system and a similar command-and-control system. John Palmisano, Energy and Communications Solutions Path dependence and network externalities are pervasive yet little-understood dynamics, which influence when and why countries adopt compatible regulatory standards as well as when and why they don't. This presentation will highlight the implications of path dependence and network externalities vis-ŕ-vis emission credit and quota trading programs and draws some conclusions for emerging GHG markets and the United States in particular. |
| 1:00 pm - 2:30 pm | Lunch Scott Weiner, Rutgers University, Center for Energy, Economics and Environmental Policy |
| 2:30 pm - 4:00 pm | Concurrent Sessions |
| 2:30 pm - 4:00 pm | Session 7A GHG Project Measurement & Verification - Designing Programs for the Long Term Moderator - Ray Rivers, Clean Air Canada Inc. Russell Thornton, Det Norske Veritas Based on actual projects conducted by DNV in the U.S., I will explain the basic, common verification activities (process), methodologies, and management systems underlying credible GHG baseline, reporting, and reduction projects. This will include a discussion of the fundamental project attributes which must be transparent and credible enough to meet CDM Executive Board review, EU ETS requirements, and registries' standards, such as the California Climate Action Registry’s Certification Protocol or Climate Neutral Network’s Enterprise Protocol. Tod Delaney, First Environment, Inc. Implications of the New ISO 14064 GHG Standard on Emission Trading. The International Organization for Standardization (ISO) is currently working on a management standard that will provide guidance regarding GHG quantification, monitoring and reporting for both inventories and projects. This presentation will offer an overview of the standard structure, its development process, and discuss how this document will impact emission trading and risk, especially in the global context, through methodology harmonization and identification of comparable emission units. Nichole Hefty, Miami-Dade County Dept. Of Environmental Resources Management Introduction to "A long Term CO2 Reduction Plan for Miami-Dade County". Find out the benefits of designing a program for the long term, our achievements, challenges and future plans. |
| 2:30 pm - 4:00 pm | Session 7B Sequestration Projects: Update on Science, Policy and Practice Moderator - Joe Wisniewski, Environmental Synergy, Inc. Gordon Smith, PhD, Environmental Resources Trust Recent advances in methods for quantifying greenhouse gas emission offsets generated by changing forest or soil management will be described. Carbon dioxide, methane, and nitrous oxide will be addressed. The presentation will walk through examples of optimizing between increasing the amount of offsets detected by accurate measurement versus minimizing measurement costs. Larry Cihacek, North Dakota State University Sequestering carbon in soil is one means of reducing atmospheric CO2. However, in order to ensure that carbon storage is actually occurring in soil, a means by which the quantity of sequestered carbon is verified is required. A protocol for sampling and analyzing soil has been developed and the criteria for this protocol will be discussed. Cathleen Kelly, The Nature Conservancy & Dick Kempka, Ducks Unlimited Corporate investment in terrestrial carbon sequestration offsets today will yield significant carbon benefits in future years. This presentation will discuss a framework and suggested policy for establishment of a market for generation of credible, cost-effective, high-quality terrestrial carbon sequestration offsets. |
| 4:00 pm | End of Conference |
| Wednesday, September 24, 2003 | |
| 8:00 am - 5:00 pm | Registration Open |
| 8:00 am - 9:00 am | Continental Breakfast (Workshop participants only) |
| 9:00 am - 5:00 pm | Risk Management for Emissions Traders Post-Conference Workshop (Separate registration required) |