Emerging Asia Contribution on Issues of Technology for Copenhagen
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September 2009 Draft for comments To be revised Emerging Asia contribution on issues of technology for Copenhagen ∗ Discussion paper The Energy and Resources Institute, India Energy Research Institute, China Institut Teknologi Bandung, Indonesia Universiti Tenaga Nasional, Malaysia Thailand Environment Institute, Thailand 2008RS09 www.teriin.org The Energy and Resources Institute ∗ This study has been made possible with the support from the Framework Agreement between TERI and the Norwegian Ministry of Foreign Affairs Draft for comments To be revised © The Energy and Resources Institute 2009 Suggested format for citation T E R I. 2009 Emerging Asia contribution on issues of technology for Copenhagen New Delhi: The Energy and Resources Institute. [Project Report No. 2008RS09] Study Team TERI, India ERI, China Mitali Das Gupta (PI) Kejun Jiang Nidhi Srivastava Manish Anand ITB, Indonesia Manish Srivastava Retno Gumilang Dewi Nitya Nanda Indrani Barpujari TEI, Thailand Qwanruedee Chotichanathawong Anuradha R V (Consultant, Clarus Law) UNITEN, Malaysia Amir Hisham Hashim For more information Project Monitoring Cell T E R I Tel . 2468 2100 or 2468 2111 Darbari Seth Block E-mail pmc @teri.res.in IHC Complex, Lodhi Road Fax 2468 2144 or 2468 2145 New Delhi – 110 003 Web www.teriin.org India India +91 • Delhi (0) 11 2 T E R I Report No. 2008RS09 Draft for comments To be revised Table of Contents EXECUTIVE SUMMARY .................................................................... I CHAPTER 1 INTRODUCTION .............................................................1 Background and rationale............................................................................................................ 1 Relevance of Asia and emerging Asian economies.....................................................................3 Objective and scope......................................................................................................................3 Reference.......................................................................................................................................4 CHAPTER 2 STATUS OF THE SELECT TECHNOLOGIES IN THE ASIAN COUNTRIES ..................................................................................5 Introduction..................................................................................................................................5 TNA analysis .................................................................................................................................5 Country positions and development plans with respect to these technologies........................ 7 India.......................................................................................................................................... 7 China......................................................................................................................................... 7 Indonesia ................................................................................................................................10 Malaysia..................................................................................................................................11 Thailand.................................................................................................................................. 12 State of technologies available globally vis-à-vis those available in the countries................. 13 Clean coal ............................................................................................................................... 13 Solar........................................................................................................................................ 17 Bio-fuels.................................................................................................................................. 19 Barriers to technology development .........................................................................................23 Reference.....................................................................................................................................27 CHAPTER 3 PERSPECTIVES ON IPR AND TECHNOLOGY TRANSFER ............29 Intellectual Property Rights and technology transfer: Whether a barrier or not?.................29 IPR as a barrier: Is cost an issue at all?.....................................................................................33 Mechanisms to facilitate technology transfer: TRIPS or beyond? ..........................................35 TRIPs and compulsory licence..............................................................................................36 Looking beyond TRIPs ..........................................................................................................39 Conclusion...................................................................................................................................42 Key observations....................................................................................................................42 Key recommendations...........................................................................................................42 Reference.....................................................................................................................................45 CHAPTER 4 LINKING AN APPROPRIATE FINANCIAL MECHANISM WITH TECHNOLOGY TRANSFER ...............................................................49 Existing arrangements and gaps ...............................................................................................49 Sources within the Convention ............................................................................................. 51 Sources outside the convention.............................................................................................56 Key country positions on financial provisions..........................................................................57 India........................................................................................................................................58 China.......................................................................................................................................58 Indonesia ................................................................................................................................58 Malaysia and Thailand .........................................................................................................59 Key observations and conclusion ..............................................................................................59 Reference.....................................................................................................................................62 ANNEXURE ................................................................................64 3 T E R I Report No. 2008RS09 Draft for comments To be revised List of Tables Table 2.1 TNA in select countries..................................................................................................6 Table 2.2 Status of clean coal technologies................................................................................. 13 Table 2.3 Solar technologies – state of the technologies available globally vis-à-vis the state of art technologies available in India ............................................................................. 18 Table 2.4 Technological status of biofuels in India and world .................................................. 21 Table 2.5 Types of barriers faced by countries ...........................................................................23 Table 2.6 Specific barriers faced by countries ............................................................................23 Table 4.1 Estimates of current sources of financing for development and diffusion of climate technologies, by source (billions of United States dollars per year) ........................50 Table 4.2 Total disbursement of GEF on climate change projects (country-wise) ..................52 Table 4.3 Global new investment in clean energy, 2004–2007 (billions of US dollars) .........56 4 T E R I Report No. 2008RS09 Draft for comments To be revised Executive Summary This discussion paper presents some early findings from the study on Emerging Asia contribution on issues of technology for Copenhagen . It is part of an ongoing research and dialogue among five key Asian developing countries, namely China, India, Indonesia, Malaysia and Thailand. The objective is to contribute to the forthcoming UNFCCC’s COP 15 negotiations at Copenhagen in December 2009 from the nongovernmental perspective, on technology transfer issues pertaining to climate change. The institutes from the respective countries who have been engaged in the study are: The Energy and Resources Institute (TERI), India Energy Research Institute (ERI), China Institut Technologi Bandung (ITB), Indonesia Thailand Environment Institute (TEI), Thailand, and Universiti Tenaga Nasional (UNITEN), Malaysia. The paper focuses on 3 key mitigation technologies viz. clean coal, solar and bio-fuels as specific case studies from the countries. Effective and timely development and transfer of technologies (TT) to the developing countries is crucial for a concerted global action towards reduction of green house gas (GHG) emissions and addressing the concerns of sustainable development objectives. According to the definition provided