What is additionality?
Additionality is defined in 3/CMP.1, Annex, paragraph 43 as follows:
A CDM project activity is additional if anthropogenic emissions of greenhouse gases by sources are reduced below those that would have occurred in the absence of the registered CDM project activity (3/CMP.1, Annex, paragraph 43).
In other words, additionality is the requirement that the greenhouse gas emissions after implementation of a CDM project activity are lower than those that would have occurred in the most plausible alternative scenario to the implementation of the CDM project activity.
This alternative scenario may be the business-as-usual case (that is, the continuation of current emission levels in the absence of the CDM project activity), or it may be some other scenario which involves a gradual lowering of emissions intensity.
Additionality is a principal condition for the eligibility of a project under the CDM. The Kyoto Protocol provides that:
Emission reductions resulting from each project activity shall be certified by operational entities to be designated by the Conference of the Parties serving as the meeting of the Parties to this Protocol, on the basis of: ...
- Real, measurable and long-term benefits related to the mitigation of climate change; and
- Reductions in emissions that are additional to any that would occur in the absence of the certified project activity (Kyoto Protocol, Article 12(5)).
Additionality is a requirement for validation, and will be confirmed by the designated operational entity (DOE) as part of the validation report:
The designated operational entity selected by the project participants to validate a project activity, being under a contractual arrangement with them, shall review the project design document and any supporting documentation to confirm that the following requirements have been met:
- The project activity is expected to result in a reduction in anthropogenic emissions by sources of greenhouse gases that are additional to any that would occur in the absence of the proposed project activity, in accordance with paragraphs 43-52 below (3/CMP.1, Annex, paragraph 37(d)).
Paragraphs 43-52 set out the requirements relating to baselines, additionality, crediting periods and leakage.
The Executive Board has made it clear that detailed information on the demonstration of additionality and an assessment of the appropriateness of the method used to demonstrate additionality must be included in the project design document (PDD):
The Board requested DOEs to ensure that detailed information on the demonstration of additionality and the determination of baselines, including related calculations, be either integrated in PDDs or submitted as annexes to PDDs (EB 26, paragraph 90).
With a view to improving the quality of requests for registration of project activities, the Board reiterated that detailed information on the demonstration of additionality has to be either integrated in PDDs or submitted as annexes to PDDs. The Board further instructed the DOEs to ensure that validation reports include an assessment of the appropriateness of the demonstration of additionality, including documentation and other evidence provided by project participants.
The Board also clarified that requests for registration attaching a PDD and validation that report do not contain this information shall be considered incomplete (EB 27, paragraph 50).