Chile's Second Biennial Update Report (English)
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CHILE’S www.theGEF.org SECOND BIENNIAL UPDATE REPORT ON CLIMATE CHANGE 2016 www.theGEF.org CHILE’S SECOND BIENNIAL UPDATE REPORT ON CLIMATE CHANGE www.theGEF.org CHILE’S SECOND BIENNIAL UPDATE REPORT ON CLIMATE CHANGE 2016 Chile´s Second Biennial Update Report To the United Framework Convention on Climate Change General Coordinator: Fernando Farías (Ministry of Environment) Technical Coordinator: Jenny Mager (Ministry of Environment) Chapter Coordinators: Sergio González, Paulo Cornejo, Jenny Mager, Gladys Santis and Felipe Osses (Ministry of Environment) Design and Layout: Duplika Ltda. Intellectual property registry: ISBN: 978-956-7204-55-7 CHAPTERS’ AUTHORS Chapter 1. National circumstances Chapter Coordinator: Collaborators: Sergio González Rodrigo Cabrera, Jenny Mager and Maritza Jadrijevic (Ministry of Environment) (German Society for International Ambrosio Yobánolo (National Clean Production Council) Cooperation) Jacqueline Espinoza (Office of Agrarian Studies and Policies) Javier Cano and Angelo Sartori (National Forestry Corporation) Marcela Palominos (Ministry of Finance) Teodosio Saavedra (Ministry of Housing and Urban Planning) Pablo Moya Chapter 2. Chile’s national greenhouse gas inventory, series 1990-2013 Chapter Coordinator: Collaborators: Paulo Cornejo Richard Martínez and Fernando Farías (Ministry of Environment) (Ministry of Environment) Sergio González (German Society for International Cooperation) José Antonio Prado (Ministry of Agriculture) Marta Alfaro (Agricultural Research Institute) Rubén Guzmán (Ministry of Energy) Chapter 3. GHG Mitigation policies and actions Chapter Coordinator: Collaborators: Jenny Mager Rodrigo Cabrera, Paulo Cornejo, Fernando Farías, Richard Martínez, (Ministry of Environment) Paz Maluenda, Macarena Mella, Marcela Poulain, Francisco Pinto and Joost Meijer (Ministry of Environment) Juan Pedro Searle (Ministry of Energy) Teodosio Saavedra (Ministry of Housing and Urban Planning) Chapter 4. Needs and support received in the area of climate change Chapter Coordinators: Collaborators: Gladys Santis and Felipe Osses Jenny Mager, Paulo Cornejo, Richard Martínez and Paz Maluenda, (Ministry of Environment) (Ministry of Environment) Hernán Blanco, Paulina Reyes and Francisca Muñoz Chile’s Second Biennial Update Report on Climate Change - Ministry of Environment 5 Índex PROLOGUE 8 EXECUTIVE SUMMARY 11 I. NATIONAL CIRCUMSTANCES 29 1. GEOGRAPHICAL PROFILE AND SOCIAL DEVELOPMENT 31 2. INSTITUTIONAL ARRANGEMENTS FOR CLIMATE CHANGE 36 1.1. Territory and administrative division 31 2.1. Environment institutional framework 36 1.2. Geography and morphology 31 2.2. Institutional framework on climate change 37 1.3. Climate 32 2.3. Sectoral institutional framework 38 1.4. Land use 32 2.4. Institutional arrangements for reports development 39 1.5. Population 32 to the UNFCCC 1.6. Social development 32 2.5. Analysis process of the first BUR 40 1.7. Education 33 1.8. Science, technology and innovation 33 BIBLIOGRAPHIC REFERENCES 41 1.9. Economic profile 34 II. CHILE’S NATIONAL GREENHOUSE GAS INVENTORY, SERIES 1990-2013 43 1. INTRODUCTION 45 4. INDUSTRIAL PROCESSES AND PRODUCT USE SECTOR (2) 84 1.1. General Background 45 4.1. General methodological aspects of the sector 85 1.2. Institutional arrangements for the elaboration 46 4.2. Minerals Industry (2.A.) 86 of Chile’s NGHGI 4.3. Chemical industry (2.B.) 87 1.3. Updating process of Chile’s NGHGI 51 4.4. Metals Industry (2.C.) 87 1.4. Methodology and main sources of information 52 4.5. Use of non-energy products from 88 1.5. Key categories 57 fuel and solvents (2.D.) 1.6. General assessment of uncertainty 59 4.6. Use of alternative products of ozone 89 1.7. General assessment of completeness 60 layer depleting substances (2.F.) 4.7. Manufacturing and other products use (2.G.) 90 2. TRENDS OF GREENHOUSE GAS EMISSIONS IN CHILE 61 2.1. Trends in aggregated GHG emissions 64 5. AGRICULTURE, FORESTRY AND OTHER LAND USES (3) 91 2.2. Trends in GHG emissions by type of GHG 66 5.1. General methodological aspects of the sector 93 2.3. GHG Intensity Indicators 70 5.2. Livestock (3.A.) 93 5.3. Lands (3.B.) 94 3. ENERGY SECTOR (1) 73 5.4. Aggregate sources and sources of non-CO2 96 3.1. General methodological aspects of the sector 75 emissions from land (3.C.) 3.2. Comparison between the Reference Method 75 and the Sectoral Methoda 6. WASTE SECTOR (4) 98 3.3. Energy Industries (1.A.1.) 76 6.1. General methodological aspects of the sector 100 3.4. Manufacturing and construction Industries (1.A.2.) 78 6.2. Disposal of solid waste (4.A.) 100 3.5. Transportation (1.A.3.) 79 6.3. Biological treatment of solid wastes (4.B.) 100 3.6. Other sectors (1.A.4) 81 6.4. Incineration and open burning of waste (4.C.) 101 3.7. Fugitive emissions: Solid fuels (1.B.1.) 83 6.5. Treatment and discharge of waste waters (4.D.) 102 and Oil and natural gas (1.B.2.) 6 Chile’s Second Biennial Update Report on Climate Change - Ministry of Environment 7. MEMO ITEMS 103 8.2. IPPU sector recalculations 105 7.1. Fuels of international air and maritime transportation 103 8.3. AFOLU sector recalculations 106 7.2. Biomass CO2 emissions 103 8.4. Waste sector recalculations 107 8. RECALCULATIONS 104 BIBLIOGRAPHIC REFERENCES 108 8.1. Energy sector recalculations 105 III. GHG MITIGATION POLICIES AND ACTIONS 111 1. INTRODUCTION 113 5.2. Summary of Chilean NAMAs 151 2. INTERNATIONAL CONTEXT: THE PARIS AGREEMENT 114 6. TRANSVERSAL ACTIONS TO SUPPORT 154 A LOW CARBON ECONOMY 3. CHILE FACING MITIGATION 116 6.1. Emission Projection and Mitigation Options for Chile 154 3.1. Chile’s voluntary commitment to the 117 6.2. LECB-Chile Project 155 mitigation of its GHG emissions 6.3. HuellaChile Program 156 3.2. Chilean National Contribution (NDC) 117 3.3. Environmental Assessment on Chile 2016 by the OECD 119 7. CARBON PRICING TO ADDRESS 160 ENVIRONMENTAL EXTERNALITIES 4. ACTIONS AND POLICIES ASSOCIATED 121 7.1. Clean Development Mechanism of the Kyoto Protocol 160 WITH MITIGATION IN CHILE 7.2. Partnership for Market Readiness (PMR) 162 4.1. Mitigation in the National Action Plan 122 7.3. Green taxes 164 on Climate Change 4.2. Sectoral mitigation actions 123 8. MEASUREMENT, REPORTING AND 165 4.3. Other mitigation actions 142 VERIFICATION OF MITIGATION ACTIONS 4.4. Mitigation efforts in the private sector 148 8.1. Generic framework of MRV in Chile 165 8.2. Accounting and MRV Rules 166 5. NATIONALLY APPROPRIATE MITIGATION ACTIONS (NAMA) 151 5.1. Chilean NAMAs 151 BIBLIOGRAPHIC REFERENCES 169 IV. NEEDS AND SUPPORT RECEIVED IN THE AREA OF CLIMATE CHANGE 171 1. INTRODUCTION 173 3.1 Support destined to the preparation and 195 1.1 Definitions 174 publication of national communications 1.2 Areas 175 3.2 Support received for activities related 197 to climate change 2. NEEDS 176 3.3 Local support received for activities 204 2.1 Identified Needs by field 178 related to climate change 2.2 Needs identified in the international 192 consultation and analysis process BIBLIOGRAPHIC REFERENCES 206 ACRONYMS AND ABBREVIATIONS 207 3. SUPPORT FOR CLIMATE ACTION 194 ANNEX 208 ANNEX I Completeness Complement 209 ANNEX II GHG emissions and removals from Chile in format not included in Annex I of the Convention 210 ANNEX III Information on methodology and assumptions of mitigation actions 220 ANNEX IV NAMA Update Sheets 238 ANNEX V Support received for the period 2014-2016 for financial resources, capacity building and 259 technical assistance and technology transfer Chile’s Second Biennial Update Report on Climate Change - Ministry of Environment 7 Prologue Chile presents its Second Bi- response in December 2015, ennial Update Report after the being part of the first round of recently signed Paris Agree- countries worldwide to partici- ment. This climate agreement, pate in this process. the most important one in his- tory, included a call for coun- This time, Chile presents in de- tries to send quality informa- tail one of the most important tion about the conditions in aspects of implementation in which their institutions are the international arena, that functioning and how they are is, climate finance. In partic- implementing climate action ular, this document includes locally. Responding to this call, the results of a systematic this report provides extensive, survey of public needs and accurate, and up-to-date infor- support received in the cli- mation on the progress of Chile in its recent climate mate area. The report of capacity building, technical activity, with a view to strengthening the implemen- assistance, and climate technology transfer has also tation of the Paris Agreement itself, both within our been improved in the public and private sectors of borders, and internationally. our country. The information contained in this report covers ac- The greenhouse gas emissions inventory deserves tions taken in the country in the period running be- a special mention. In an unprecedented way, we tween the second half of 2014 to the first half of have expanded both its sectorial coverage and 2016, providing continuity to the results displayed in timespan, by covering a reporting period between our First Biennial Update Report, presented to Unit- the years 1990 and 2013. But what makes us most ed Nations at the COP20 in December 2014. Just as proud is that the preparation of the inventory has Chile was the 4th country in the world to present its consolidated joint work among various ministries, First Biennial Update Report, Chile will also present which have permanently made experts available its Second Biennial Update Report in 2016, this time within their own services to this country effort. We in the framework of the COP22 and following the believe we have achieved greater cross-cutting col- two-year cycles agreed upon by the countries them- laboration in the construction and results of the selves. I also want to emphasize that Chile was one inventory as a whole, as well as the sectorial in- of the first countries to voluntarily submit its Bien- ventories that compose it, facilitating the use of nial Report to the process of “International Consul- its results as an instrument to support sectorial tation and Analysis” (ICA) receiving a congratulatory policies of the ministries themselves.