What is additionality?
Article 6, paragraph 1(b) provides that projects implemented under the Joint Implementation (JI) mechanism must generate emission reductions which are additional to those which would otherwise occur:
For the purpose of meeting its commitments under Article 3, any Party included in Annex I may transfer to, or acquire from, any other such Party emission reduction units resulting from projects aimed at reducing anthropogenic emissions by sources or enhancing anthropogenic removals by sinks of greenhouse gases in any sector of the economy, provided that: ...
- Any such project provides a reduction in emissions by sources, or an enhancement of removals by sinks, that is additional to any that would otherwise occur (Kyoto Protocol, Article 6.1(b)).
The guidelines for determination of Track 2 projects also specify that the emission reductions achieved by JI projects must be additional to the business-as-usual scenario. This is framed as a requirement for determination of the project by the accredited independent entity (AIE):
Project participants shall submit to an accredited independent entity a project design document that contains all information needed for the determination of whether the project: ...
- Would result in a reduction of anthropogenic emissions by sources or an enhancement of anthropogenic removals by sinks that is additional to any that would otherwise occur (9/CMP.1, Annex, paragraph 31(b)).
Project participants may demonstrate additionality in one of a number of ways, which are set out in Annex I to the Guidance on criteria for baseline setting and monitoring (JISC 18, Annex 2). These are:
(a) Provision of traceable and transparent information showing that the baseline was identified on the basis of conservative assumptions, that the project scenario is not part of the identified baseline scenario and that the project will lead to reductions of anthropogenic emissions by sources or enhancements of net anthropogenic removals by sinks of GHGs;
(b) Provision of traceable and transparent information that an accredited independent entity has already positively determined that a comparable project (to be) implemented under comparable circumstances (same GHG mitigation measure, same country, similar technology, similar scale) would result in a reduction of anthropogenic emissions by sources or an enhancement of net anthropogenic removals by sinks that is additional to any that would otherwise occur and a justification why this determination is relevant for the project at hand.
(c) Application of the most recent version of the Tool for the demonstration and assessment of additionality approved by the CDM Executive Board (allowing for a grace period of two months when the PDD is submitted for publication on the UNFCCC JI website), or any other method for proving additionality approved by the CDM Executive Board.
(Guidance on criteria for baseline setting and monitoring, Annex I to JISC 18, Annex 2, paragraph 2).
The approach chosen to demonstrate additionality must be justified as a basis for determination:
The approach chosen, including its appropriateness, shall be justified as a basis for the determination referred to in paragraph 33 of the annex to decision 9/CMP.1 on guidelines for the implementation of Article 6 of the Kyoto Protocol (Guidance on criteria for baseline setting and monitoring, JISC 18, Annex 2, paragraph 2).