Colombia – NAMA for the domestic refrigeration sector

Current emissions from the refrigeration sector in Colombia are in the magnitude of 4.5 Mt CO2e (2014) and are projected to double by 2030. Emissions originate from the use of high Global Warming Potential (GWP) refrigerants (~15 per cent) and energy consumption (~85 per cent). An in-depth study highlights the high potential for transformational change and GHG emissions reduction of 50 per cent compared to the BAU scenario in the sector.

Refrigeration plant in Colombia. Photo: UNDP Colombia*

This NAMA Support Project will address and support the following  measures: 

  • A ban of hydrofluorocarbons (HFCs);
  • The application of Minimum Efficiency Standards (MEPS) in the domestic refrigeration sector;
  • A production line conversions using hydrocarbon refrigerants instead of HFC and changed product design to improve energy efficiency;
  • An innovative replacement program including a sustainable on-bill financing mechanism with incentives for low-income households when old-inefficient appliances are returned;
  • Implementation of a sustainable extended producer responsibility scheme by which producers and importers are given responsibility for domestic refrigerators at the end of their lives. 

The approach can serve as a prototype for replication in Latin America and other refrigeration and air-conditioning subsectors in Colombia. 

The phase-in of new fridges and the proper waste management within the project period results in GHG emissions reduction of 16.8 Mt CO2e over the lifetime of the equipment, and an annual reduction of around 3.8 Mt CO2e by 2030 – which is a 50 per cent reduction from the BAU in this sector. Co-benefits will be amongst others increased education and employment, increased economic competitiveness, improved access to credit and efficient equipment for low income households, and decreased negative environmental impacts.

Facts
Partner ministries Ministry of Environment and Sustainable Development Ministry of Mines and Energy
Delivery organisation Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH
Implementing partners TC: Mining and Energy Planning Unit – UPME; National Business Association of Colombia – ANDI; National producers of domestic refrigerators (HACEB S.A., MABE COLOMBIA S.A.S., CHALLENGER S.A); RED VERDE; WEEE managers (GAIA VITARE S.A.S, LITO, C.I. RECYCABLES, C.I. METALES LA UNIÓN); Environmental and other local authorities; Utilities (CODENSA, EPM). FC: CAF, BANCOLDEX; Utilities (CODENSA, EPM), Banco Colpatria, other commercial banks.
Requested funding volume EUR 9 million
Project duration 2017–2021
Status appraisal

More Projects