All CDM projects have to undertake the following procedures:
| Stage 1: Conception of Project |
| Stage 2: Approval by DNA |
| Stage 3: Validation & Public Comments |
| Stage 4: Registration |
| Stage 5: Certification/ Verification of the CDM project activity |
Stage 1: Conception of Project
Project participants should submit to the DNA a Project Design Document (PDD) giving all required information, including
a description of the project,
how it would assist the country in achieving its sustainable development, and
the approved methodology used in estimating the amount of certified emission reductions (CERs) expected through the project.
Stage 2: Approval by DNA
The DNA will, with the support of the National CDM Committee, examine the PDD and issue the Host Country Letter of Approval as required under the Kyoto Protocol, subject to its likely contribution to the country’s sustainable development and compliance with relevant national laws, amongst others.
Stage 3: Validation & Public Comments
The next stage is validation, which is an evaluation of the proposed project by an independent body called a designated operational entity (DOE) against the requirements of the CDM, on the basis of the submitted PDD. During this stage, the project is posted on the UNFCCC website, inviting for public comments.
A focal point, designated by the project participants, is responsible to identify a DOE, which is recognized by the CDM Executive Board to follow-up throughout the validation process till its registration with the CDM Executive Board.
Stage 4: Registration
After validation, the project is submitted to the CDM Executive Board located in Bonn, Germany, for registration as a CDM project activity.
Stage 5: Certification/ Verification of the CDM project activity
The project is then subject to periodic independent reviews and monitoring of reductions in anthropogenic emissions of greenhouse gases (verification) by the DOE, which will thereafter issue a written assurance of the above (called certification). 