Case Study: Hungary

Jozsef FeilerClimate Protection and Energy Unit

ContentContent

Situation in HungarySituation in Hungary

Needs and challengesNeeds and challenges

Lessons learnedLessons learned

Initial reportInitial report

• Done!

• Inventory• Base year for f-gases• AA and committment period reserve• LULUCF• National System• National Registry

• Review.....

The easy bitThe easy bit

• National Registry– Registry for EU ETS – DEFRA registry – Maintained by the National Inspectorate for

Environment, Nature and Water

– Extended mandate by law (in preparation)

– Issue under evaluation: continue with DEFRA software or use the software provided by the European Commission?

The challenging issue – national systemThe challenging issue – national system

Legal aspects– Act on Kyoto Protocol

• Govt. decree on national system and data collection– Basis for electronic data collection– Provide enhanced availability of statistical data for GHG inventory

• Internal procedures for the national system

• Will include projection updates as regular task

– Govt. decree on f-gases • enhanced reporting

The challenging issue – national systemThe challenging issue – national system

Institutional arrangements

– Hungarian Met. Service – core team of four experts– External experts for sectoral work– QA – small country, little „redundant” experience– QC: ISO 9000 for the Met. Service, internal inventory

protocol – Budget: revenue from the sales of EU ETS allowances on

auctions - allowed by the Act on State Budget and govt. decree on the management of EU ETS allowances as treasury assets

– LULUCF: State Forestry Service – enhanced data collection and processing – commissioned by the Ministry of Environment and Water

The challenging issue – national systemThe challenging issue – national system

• Institutional arrangements - data access

• The electronic „Database”: – will contain data collected for

• EU ETS (emission report data)• Data collected for GHG inventory• Data collected for air pollution statistics• Cross-checks of various datasets• References of the origin of data

– Will be connected to the environmental information meta-database

The challenging issue – national systemThe challenging issue – national system

• Procedural arrangements– Data collection and processing + -– Method and emission factor selection + -– Preparation of emission estimates + -– Uncertainty assessment - -– Key source categories +– Recalculations + +– Reporting +– Review -– Archiving -– Verification and review -

Needs and challengesNeeds and challenges

• Expansion and permanence of staff (transfer of know-how)

• Better data earlier• QA/QC• Financial means• At least two experts per sector (in a small country?)• More sophisticated projections (not nat. sys. by default

but essential)• Complex system (black box) to plan and to „sell” to

decision-makers

Needs and challenges 2Needs and challenges 2

• Management of JI projects – domestic verification/monitoring

• Legal nature of Kyoto units – if you want to use mechanisms and if you are within the EU ETS

• Ambiguity on how EU ETS will fit to Kyoto system• Management of the assigned amount – treasury

assets– Carbon budget accounting?

• Long march for green investment scheme • (suboptimal to JI, but forced by „linking directive”)

Lessons learned

• Things are decided in the last minute – put the timing

• Should show the „money” angle to decision-makers – try to create revenue streams

• Build up connections with other ministries and make them interested (Ministry of Agriculture, Ministry of Finance, Ministry of Economy)

• When the system is designated, continued support for skill improvement and provide resources/oversight