Glossary

Additionality tool

CDM projects are assessed using an ‘additionality tool’, which requires them to pass either a ‘barrier analysis’ to identify factors that might otherwise prevent the project from taking place (such as a lack of in-country experience with a particular technology, or uncertainty surrounding electricity tariffs), or an ‘investment analysis’ to show that the project is not financially viable without CDM revenue.

However, the results of these tests are easily circumvented, since the variability in plausible assumptions is almost always greater than the actual number of emissions claimed.

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