CDM is a mechanism under the Kyoto Protocol. It allows emission reduction projects in developing countries to earn certified emission reduction CER credits, each equivalent to one tonne of CO2. CERs can be traded, sold and used by industrialised countries to meet part of their emission reduction targets under the Kyoto Protocol. JI is also a mechanism under the Kyoto Protocol. It allows countries with an emission reduction or limitation commitment under the Kyoto Protocol to earn emission reduction units ERUs, each equivalent to one tonne of CO2. ERUs can be traded, sold and used by industrialised countries to meet part of their emission reduction targets under the Kyoto Protocol. Companies wishing to participate in CDM or JI projects must get a letter of approval from the Environment Agency. Who can apply
Any company can apply, except for those based in certain UK Overseas Territories. Applications from these companies must be made by a branch or office of that company based outside the UK Overseas Territory. Companies can only apply for a letter of approval from the Environment Agency after they have gained approval from the host country where the project is based. Information you must provide
All applications must include the
All documents must be in English unless you can provide certified copies of English translations. The project title must be consistent across all documents.
If a project is located in a non-Annex B country in the EU, the project baselines must comply with EU requirements as outlined in the acquis communautaire. Application fee
JI projects and large hydroelectric power projects 700 VAT exempt. All other CDM applications 250 VAT exempt. How to pay
Debitcredit card
Debitcredit card payments must be made by telephone. Request a call back from the Environment Agency helpdesk - email CDMenvironment-agency.gov.uk. There are no card transaction fees. Debitcredit card payments cannot be made by email. Bank transfer BACSCHAPS
To transfer your fee use these details
Submit your application
CDM applications must be emailed to CDMenvironment-agency.gov.uk. JI applications must be emailed to JIenvironment-agency.gov.uk. Additional application requirements
Some project types have additional application requirements. Projects in more than one country
If the project is located in more than one country, you must provide a letter of approval from each host country. You must also provide a programme activity design document for each individual project activity covered by the overall programme of activity. Large hydroelectric power projects
If the installed capacity of the project exceeds 20MW you must provide the
How long it takes
If your application is successful, it may take the Environment Agency 2 months from receipt of a fully completed application and after payment has cleared before they will issue a letter of approval. This does not include any time where they are waiting for information from you. Large hydropower project applications will take longer to assess.
The Environment Agency will contact you to advise if an extension is required. Restrictions
The UK is obliged to respect EU regulations prohibiting the use of carbon credits generated from projects involving certain types of greenhouse gas. The Environment Agency is unable to consider applications for some projects, as declared in the policy statement document. Right of appeal
The Environment Agency reserve the right not to approve an application. If youre not happy with the Environment Agencys decision you have a right of appeal to the General Regulatory Chamber of the First Tier Tribunal. You must lodge your notice of appeal and supporting documents with the First Tier Tribunal within 28 days of receiving the Environment Agencys decision. See full details of the appeals process. Contact
For CDM enquiries email CDMenvironment-agency.gov.uk. For JI enquiries email JIenvironment-agency.gov.uk. Request a call back from the Environment Agency helpdesk - email CDMenvironment-agency.gov.uk. For more information about CDM and JI see the UNFCCC website.