IIDFC enters into global carbon market

FE Report IIDFC has entered into global carbon market, whose approximate value is $ 140 billion as of now, with the registration of Clean Development Mechanism (CDM) project titled "Improving Kiln Efficiency in the Brick Making Industry in Bangladesh (Bundle-1). The company became the first local financial institution to achieve the success. The CDM Executive Board of the United Nations Framework Convention on Climate Change (UNFCCC) approved the registration of the project recently. The project aims to achieve sustainable development in the brick making industry in Bangladesh by promoting environment-friendly Hybrid Hoffman Kiln technology which produces quality bricks using less than 50 per cent of coals that are usually required under traditional method. The first bundle consisting 10 HHK brick kilns will altogether earn 54, 700 Certified Emission Reductions (CER) which will help reductions of carbon emission of the equivalent amount per year until FY 2022 and also help earn foreign exchange amounting USD 831,440. On the other hand, the second bundle consisting 8 HHK brick kilns, which will help earn approximately 44,000 ton of carbon-di-oxide reduction, is in the process of registration. These credits have already been sold to the World Bank and the Danish Ministry of Energy and Climate Change. It may be recalled that IIDFC received "HSBC-The Daily Star Climate Change Award-2010" under mitigation category in December 2010 for its continuous effort in implementing green brick projects through introduction of HHK technology. IIDFC's effort to implement CDM project was shown to delegates through a documentary film at the 15th Conference of the Parties under UNFCCC held in November 2009, where 15,000 delegates from 192 countries participated. The documentary was highly appreciated. IIDFC has a strong in-house carbon finance Team to implement the CDM project under supervision of Chairman M. Matiul Islam, managing director Md. Asaduzzaman Khan and project consultant Syed Tanveer Hussain. The team consists of Shaymal Barman, Deputy Manager and Shafiqul Alam, Senior Officer.