Decision 56/64

The Executive Committee decided:

1. To defer the issue of cut-off dates for the production sector to a future meeting, taking into account any further discussions on a cut-off date for HCFC consumption;
2. To further consider the issue of swing plants at the 57^th Meeting of the Executive Committee;
3. To request the Fund Secretariat to provide a summary of information publicly available on relevant elements of the operation of the clean development mechanism and the amounts of HCFC-22 production available for credits as a first step;
4. To constitute and convene the production sector sub-group at the 57^th Meeting to finalize the work of the contact group on elements of a future decision with respect to the HCFC production sector, including:
   1. Adopting the practices and procedures laid out in paragraphs (a)(i)-(a)(vii) to (d) of decision 19/36 of the Executive Committee for the HCFC production sector or excluding paragraph (a)(vii) which states that “the environmental clean-up of the ODS-producing facility should not constitute an incremental cost; however, it should be done in an environmentally responsible manner”;
   2. Continuing to calculate production costs on the basis of closure taking into account foreign ownership and export to non-Article 5 components of facilities being closed or calculating production costs on the basis of closure, conversion, and/or redirection to feedstock taking into account foreign ownership and export to non-Article 5 components of facilities being closed;
   3. Encouraging a synchronized production/consumption phase-out as part of the first HPMP;
   4. Considering, as appropriate, providing incentives for early phase-out of HCFC production and/or providing disincentives for HCFC production that would be phased out later;
   5. Requiring a robust monitoring system, similar to that used for the verification of the CTC phase-out, to monitor facilities that received funding but continued to produce HCFCs for feedstock uses;
   6. Continuing the discussion on other issues including but not limited to:
      1. Technical audits for production sector in China under its HPMP; and
      2. An analysis of costs for production closure versus conversion to HFC‑32 versus feedstock.