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CDM-SSC-PDD (version 02)
CDM – Executive Board page 1
CLEAN DEVELOPMENT MECHANISM
SIMPLIFIED PROJECT DESIGN DOCUMENT
FOR SMALL-SCALE PROJECT ACTIVITIES (SSC-CDM-PDD)
Version 02
CONTENTS
A. General description of the small-scale project activity
B. Baseline methodology
C. Duration of the project activity / Crediting period
D. Monitoring methodology and plan
E. Calculation of GHG emission reductions by sources
F. Environmental impacts
G. Stakeholders comments
Annexes
Annex 1: Information on participants in the project activity
Annex 2: Information regarding public funding
Annex 3: Baseline Information
CDM-SSC-PDD (version 02)
CDM – Executive Board page 2
SECTION A. General description of the small-scale project activity
A.1. Title of the small-scale project activity:
>>
Rice husk based cogeneration power plant-II at SBPML
Version 03
Date 07 December 2006
A.2. Description of the small-scale project activity:
>>
Purpose
Shree Bhawani Paper Mills Limited (SBPML) is putting up a 3 MW rice husk based cogeneration facility
to meet the heat and power requirement of the paper mill expansion. In absence of this project activity the
heat and power requirement of the paper manufacturing facility expansion could have been met from rice
husk fired low pressure boilers and grid based power respectively. SBPML has already got one similar
project, operating at the same location, registered as a CDM project for which CERs have been issued upto
31st
December 2005. This has prompted SBPML to opt for another high pressure rice husk based
cogeneration system alongwith the expansion of the paper manufacturing facility.
Biomass Availability
SBPML would be procuring rice husk from the neighboring districts. The latest available statistics
summary of district wise rice crop production (in tonnes) in the catchment region was as follows1
:
District / Year Rae Bareli Allahabad Sultanpur Pratapgarh
2000-01 209,971 385,279 329,125 172,170
2001-02 299,278 364,115 358,477 231,694
2002-03 223,545 315,023 263,269 179,042
Average 244,264 354,805 316,957 194,302
Rice husk (28% of the rice crop) 68,394 99,345 88,748 54,404
Thus it can be seen that on an average the total rice husk available from the neighboring regions is of the
order of 310,891 tonnes per annum (tpa). The requirement of rice husk for this project is around 40,000
1
http://upgov.up.nic.in/engspatrika/zspmenu.asp?state=V2
CDM-SSC-PDD (version 02)
CDM – Executive Board page 3
tpa. This is besides about 55,000 tpa of rice husk being presently consumed by SBPML. Thus it is ensured
that sufficient quantity of rice husk is available for the project.
Project Activity’s contribution to Sustainable Development
The contributions of the project activity towards sustainable development are as follows:
Social well being – The project activity results in generation of employment. The employment generation
would be during the time of construction of the project activity and also during the operational phase
wherein people would be employed for running the cogeneration facility once it gets commissioned.
Economic well being – The project activity would require rice husk which would be procured from the
nearby areas. This would lead to additional income generation for the local farmers who would be able to
sell the rice husk for effective utilization in the project activity.
Environmental well being – The project activity helps in sustainable usage of natural resources. By
replacing the fossil fuel based power generation with rice husk fired boilers for power generation the
project activity results in reduction in GHG emissions.
Technological well being – The technology being used in the project activity represents the best available
environmentally safe and sound technology for the application. The equipments being supplied for the
project activity are from well established equipment manufacturers in the Indian market.
Thus it is ensured that the project activity contributes positively to the stipulated sustainable development
indicators.
A.3. Project participants:
>>
Name of Party involved (*)
((host) indicates a host
party)
Private and/or public entity(ies)
Project participants(*)
(as applicable)
Party involved wishes to be
considered as project
participant
(Yes/No)
India (host) Shree Bhawani Paper Mills Limited No
CDM-SSC-PDD (version 02)
CDM – Executive Board page 4
A.4. Technical description of the small-scale project activity:
>>
A.4.1. Location of the small-scale project activity:
A.4.1.1. Host Party(ies):
>>
India
A.4.1.2. Region/State/Province etc.:
>>
Uttar Pradesh
A.4.1.3. City/Town/Community etc:
>>
Industrial area one, Sultanpur road, Rae Bareli
A.4.1.4. Detail of physical location, including information allowing the unique identification of this
small-scale project activity(ies):
>>
The project activity is located at industrial area No. 1, Sultanpur road, Rae Bareli in the premises of
SBPML. It is located on the Lucknow – Allahabad highway at a distance of about 80 kms from Lucknow.
CDM-SSC-PDD (version 02)
CDM – Executive Board page 5
Location of the Project Activity (map not to scale)
CDM-SSC-PDD (version 02)
CDM – Executive Board page 6
A.4.2. Type and category(ies) and technology of the small-scale project activity:
>>
Main Category :
Type I – Renewable energy projects
Sub – Category :
D – Grid connected renewable electricity generation
The basic criteria for a small scale CDM project activity of Type (i) renewable energy project activities is
that maximum output capacity of project activity should not exceed 15 MW. Since the proposed project
activity is biomass (Renewable energy) based cogeneration power plant of capacity 3 MW, it clearly
satisfies the required criteria. Hence, the project falls under the Type I - Renewable energy projects of
indicative simplified baseline and monitoring methodologies for selected small-scale CDM project activity
categories. Further, this project displaces grid based power supply hence it falls under the Category D -
Grid connected renewable electricity generation.
And further to qualify under this category, the sum of all forms of energy output shall not exceed 45
MWthermal. E.g., for a biomass based co-generating system the rating for all the boilers combined shall not
exceed 45 MWthermal. The project activity clearly qualifies the said criteria since the rating of the boiler is
less than the stipulated limit as shown below:
Boiler Capacity: 24 TPH
6.67 kg/s (= 24 *1000/3600)
Energy of steam: 3300 kJ/kg (at 45 Kg/cm2
pressure and 440 °C temperature)
3.3 MJ/kg
Energy of water (at 100 °C) 418 kJ/kg
0.418 MJ/kg
Boiler rating: 6.67*(3.3 – 0.418)
19.22 MWthermal
Technology of project activity
The project activity is a rice husk based cogeneration plant wherein high-pressure steam turbine
configuration will be used. Fluidized Bed Combustion (FBC) technology will be used for generating steam,
which represents the best available technology as compared to pile burning and stoker fired boilers2
. Since
2
http://www.nrdcindia.com/pages/fbc.htm
CDM-SSC-PDD (version 02)
CDM – Executive Board page 7
there is requirement of steam as well as power at the manufacturing set-up, so extraction cum condensing
turbine is the best option for the project. The project activity will also have an electrostatic precipitator to
control the emissions arising due to the combustions. The specifications of the systems in the project
activity are as follows:
Boiler
Type: Atmospheric Fluidized Bed Combustion (AFBC) Boiler
Pressure: 44 kg/cm2
Temperature: 440 °C
Capacity: 24 tph
Fuel: Rice Husk
Efficiency: 82 %
Turbine
Type: Multistage, Extraction cum condensing turbine, Horizontal, Impulse type
Capacity: 3 MW
Inlet steam pressure: 42 kg/cm2
Temperature: 430 °C
Rated speed: 8250 RPM
Gearbox output speed: 1500 RPM
Alternator
Rating: 3 MW, 3750 kVA
Type: Brushless Excitation
Generation Voltage: 400/440 Volts
Frequency: 50 Hz
Speed: 1500 RPM
Condensor
Capacity: 11 tph
Cooling water inlet temp.: 32 °C
Cooling water outlet temp.: 40 °C
Total cooling water flow-rate: 785 m3
/Hr
CDM-SSC-PDD (version 02)
CDM – Executive Board page 8
A.4.3. Brief explanation of how the anthropogenic emissions of anthropogenic greenhouse gas
(GHGs) by sources are to be reduced by the proposed small-scale project activity, including why the
emission reductions would not occur in the absence of the proposed small-scale project activity,
taking into account national and/or sectoral policies and circumstances:
>>
The project activity will be displacing grid based power with a carbon neutral fuel (rice husk) for power
generation. Thus the GHG emissions which would have been produced due to the combustion of fossil fuels
(coal, gas) in the grid based power plants will be avoided.
The Uttar Pradesh State Power Policy 2003 as given by the Government of Uttar Pradesh (GOUP) states
that it would encourage and support power generation through renewable energy sources such as solar,
wind etc. GOUP will come up with special policy framework to support such projects3
, as of now no such
framework is existent. The New and Renewable Energy Policy Statement 20054
as given by Ministry of
Non-conventional Energy Sources (MNES), Government of India also does not talk of such kind of project
activities. The project activity being carried out by SBPML is a voluntary initiative to reduce the GHG
emissions.
A.4.3.1 Estimated amount of emission reductions over the chosen crediting period:
>>
Years Annual Estimation of emission reduction in
tonnes of CO2e
2007-08 13,993
2008-09 13,993
2009-10 13,993
2010-11 13,993
2011-12 13,993
2012-13 13,993
2013-14 13,993
2014-15 13,993
2015-16 13,993
2016-17 13,993
Total estimated reductions
(tonnes of CO2e)
139,930
Total number of crediting years 10 years
Annual Average over the crediting
period of estimated reduction (tonnes
of CO2e)
13,993
3
http://upgov.nic.in/
4
http://mnes.nic.in/Rene%202005_new.pdf
CDM-SSC-PDD (version 02)
CDM – Executive Board page 9
A.4.4. Public funding of the small-scale project activity:
>>
No public funding as part of project financing from parties included in Annex I of the convention is
involved in the project activity.
A.4.5. Confirmation that the small-scale project activity is not a debundled component of a larger
project activity:
>>
The guideline for de-bundling mentioned in paragraph 2 of appendix C of the Simplified Modalities and
Procedures for Small-Scale CDM project activities is given as follows:
A proposed small scale project activity shall be deemed to be a de-bundled component of a large project
activity, if there is a registered small-scale CDM project activity or an application to register another
small-scale CDM project activity.
· With the same project participants;
· In the same project category and technology/measure; and
· Registered within the previous 2 years
· Whose project boundary is within 1 km of the project boundary of the proposed small-scale
activity at the closest point.
The project proponent has already got a registered CDM project in same project category at the same
location5
. Since the total size of both the projects combined with the proposed project activity will be
equivalent to 38.44 MWthermal (2x19.22), it is below the limits specified for the small-scale CDM
project activities which is 45 MWthermal Thus the project activity qualifies for the use of simplified
modalities and procedures for small-scale CDM project activities.
5
http://cdm.unfccc.int/Projects/DB/TUEV-SUED1135237103.39/view.html
CDM-SSC-PDD (version 02)
CDM – Executive Board page 10
SECTION B. Application of a baseline methodology:
B.1. Title and reference of the approved baseline methodology applied to the small-scale project
activity:
>>
As mentioned in A.4.2, the project activity satisfies the eligibility criteria to use “Simplified modalities and
procedures for small-scale CDM project facilities”.
The approved baseline methodology has been referred from the Indicative simplified baseline and
monitoring methodologies for selected small-scale CDM project activity categories - version 09 -
28 July 2006. From this reference, the following category is selected for the project activity:
Type I – Renewable energy projects
Category D – Grid connected renewable electricity generation.
B.2 Project category applicable to the small-scale project activity:
>>
As explained in A4.2, the proposed project activity falls under the Type I Category D – Grid connected
renewable electricity generation.
Baseline for projects under Category I.D has been detailed in paragraphs 7, 8, 9, 10 and 11 of “Indicative
simplified baseline and monitoring methodologies for selected small-scale CDM project activity categories”
- version 09 - 28 July 2006. Due to the following reasons, the paragraphs 7, 8 and 11 are not applicable to
this project activity:
· the project activity is not a landfill gas, waste gas, waste water treatment and agro industries
project
· power generation through diesel generators is economically prohibitive
· the project activity does not seek to retrofit or modify an existing facility for renewable energy
generation.
The baseline of the project activity would be based on the paragraph 9, which is given as follows.
Paragraph 9 – The baseline is the kWh produced by the renewable generating unit multiplied by an
emission coefficient (measured in kg CO2equ/kWh) calculated in a transparent and conservative manner
as:
CDM-SSC-PDD (version 02)
CDM – Executive Board page 11
(a) A combined margin (CM), consisting of the combination of operating margin (OM) and build margin
(BM) according to the procedures prescribed in the approved methodology ACM0002. Any of the four
procedures to calculate the operating margin can be chosen, but the restrictions to use the Simple OM and
the Average OM calculations must be considered
OR
(b) The weighted average emissions (in kg CO2equ/kWh) of the current generation mix. The data of the year
in which project generation occurs must be used.
Calculations must be based on data from an official source (where available) and made publicly available.
The project activity would displace the electricity which would have been drawn from the grid. The
baseline is calculated according to the procedures prescribed in the approved methodology ACM0002. The
first step to estimate the baseline emission coefficient is selection of grid boundary. There are five regions
in India with respect to electrical transmission systems namely Northern Region, North Eastern Region,
Eastern Region, Southern Region and Western Region. Northern region grid comprises of Delhi, Punjab,
Haryana, Chandigarh, Rajasthan, Jammu & Kashmir, Uttranchal, Uttar Pradesh and Himachal Pradesh.
The project activity is located in Uttar Pradesh state, which falls under Northern region. Hence, Northern
region grid is selected as grid boundary to estimate the baseline emission factor.
The baseline emissions are calculated using the average of the approximate operating margin and the build
margin, which takes into consideration the trends of future capacity additions. Hence, it would represent the
realistic anthropogenic emissions by sources that would occur in absence of the project activity. The details
of baseline emission estimation are given in Annex 3.
B.3. Description of how the anthropogenic emissions of GHG by sources are reduced below those
that would have occurred in the absence of the registered small-scale CDM project activity:
>>
The implementation of the project activity faces the following barriers:
Investment barrier
SBPML has got one similar project operating at the same location registered as a CDM project for which
CERs have been issued upto 31st
December 2005. This prompted SBPML to undertake the next project
activity also as a CDM project. The carbon credit revenues that would accrue from the project activity
were informed to the various investors. Financial closure for the project activity has been achieved due to
the consideration of CDM revenues. The loan component of the project has been financed by the same two
bankers who funded the earlier CDM project. For raising the equity component, the existing shareholders
CDM-SSC-PDD (version 02)
CDM – Executive Board page 12
were offered fresh equity shares on Rights basis. This was the first Rights Issue of equity shares by a
Company in India, which had a registered CDM project and the proceeds from the issue were used to fund
the next CDM project.
In the letter of offer for Rights issue mailed to all the shareholders on 1st
April 2006, detailed information
about the CDM projects being carried out by SBPML was given. Subsequently, on 21st
April 2006,
individual letters were mailed to shareholders informing them about the earlier CDM project of SBPML
which got registered on 3rd
February 2006. Other details of communication with the shareholders will be
shared with the DOE. The CDM consideration has led to achieving the financial closure of the project
activity. Also, subsequently CDM revenues would help in overcoming the increase in the rice husk prices
as is being seen in other parts of the country.
Technological barrier
There are primarily two types of combustion technologies available for biomass combustion – grate firing
and fluidised bed combustion. The first is a traditional technology whilst the second is a fairly recent
innovation6
. SBPML has opted for the more advanced fluidised bed combustion technology for the high
pressure boiler of the project activity. As compared to the less technologically intensive stepped grate
furnace which has a lower efficiency of around 55-60%, the fluidised bed combustion technology gives
higher efficiencies of the order of 75-80%7
. The FBC also results in reduced NOx emissions because of the
lower temperatures involved and in process capture of SO2. As per the available statistics the penetration of
FBC boilers in the pulp & paper industry in India is only around ten percent8
.
Rice husk ash contains high percentage of silica which leads to rapid erosion of the equipments. Due to
high silica content and the shape of rice husk, equipments like ID fan, cone portion of air pre-heater and top
portion of the stack get eroded which leads to high maintenance cost, frequent breakdown and increased
downtime. Presence of silica in rice husk ash also corrodes boiler tubes which require frequent maintenance
of the boiler. Further, in rice husk fired boilers, escape of fluidized media along with flue gas is a common
problem. To compensate this and to maintain fluidized bed thickness, fluidizing media is required to be
added at regular intervals. This leads to variation in the air requirement; also the fuel flow control with
respect to the steam output is difficult in biomass fired boilers. Hence, the operation & control of biomass
fired boiler requires skilled boiler operators.
6
http://europa.eu.int/comm/energy_transport/atlas/htmlu/bioeint.html
7
http://www.nrdcindia.com/pages/fbc.htm
CDM-SSC-PDD (version 02)
CDM – Executive Board page 13
SBPML had perceived above-mentioned technological risks associated with biomass utilization based on
their experience in running the boilers. For overcoming the problem of corrosion of equipments, an Electro
Static Precipitator (ESP) has been installed although the air pollution norms could have been met by
installing Mechanical Dust Collectors (MDC), which is much cheaper. The CDM revenues would
compensate this additional investment and costs involved in overcoming the other technical problems.
Barriers due to prevailing practices
The Uttar Pradesh State Power Policy 2003 as given by the Government of Uttar Pradesh (GOUP) states
that it would encourage and support power generation through renewable energy sources such as solar,
wind etc. GOUP will come up with special policy framework to support such projects9
. The project activity
being carried out by SBPML is a voluntary initiative to reduce the GHG emissions. Thus due to lack of
government policy the paper industry sector has little or no incentive to move towards implementation of
technologies which would lead to lower emissions.
There are around 82 paper mills existent in the state of Uttar Pradesh10
and they are meeting their power
requirement by one of the following modes as listed below:
S.No
.
Mode of Power Supply
Investment
(per MW)
GHG
Emissions
No. of
Units
%age of
Units
1 Power through state grid Low High
2 Power through captive DG sets Moderate High
70
3
Power through Coal based cogeneration
system
High Very High 1
87
4
Power through biomass based cogeneration
system
High Nil 11 13
Total 82 100
From the above figures it is clearly demonstrated that the prevailing practice in the region is power
generation through GHG emitting sources whether it is grid based supply or diesel or coal based captive
8
http://www.cleantechindia.com/eicnew/bhup.htm
9
http://upgov.nic.in/
10
Indian Agro and Recycled Paper Mills Association, New Delhi
CDM-SSC-PDD (version 02)
CDM – Executive Board page 14
power generation. Only few paper mills have registered rice husk fired FBC type high pressure boilers11
installed at their premises for steam and power generation in the state. Presently of these paper mills only
12 units (including SBPML) have high pressure boilers at their manufacturing facilities. Of these one is a
coal fired boiler and the rest are based on biomass with provision of firing coal during shortage of biomass.
The SBPML project activity is fully based on rice husk with no provision of coal firing.
Further, as per information in public domain, the following four paper mills in the state of Uttar Pradesh
are in the process of availing carbon benefits through CDM for similar biomass based cogeneration
projects:
1. K. R. Pulp & Papers Pvt. Ltd.12
2. Garg Duplex & Papers Pvt. Ltd.13
3. Yash Papers ltd.14
4. Siddeshwari Industries Pvt. Ltd.15
This clearly demonstrates that rice husk based cogeneration activity in paper mills is not a prevailing
practice in the region.
Other barriers
Assured supply of fuel
Continuous and uninterrupted supply of grid supply or fuel (diesel for generators) from nearby depots of
the oil companies at Kanpur/Lucknow does not require SBPML to deploy manpower. On the other hand,
rice husk being an agricultural produce is dependent on the vagaries of the nature, has to be sourced from a
large number of suppliers and is seasonal in nature. Getting assured supply of biomass is dependent on
many uncontrolled parameters thereby increasing the risks in the project activity.
Although so many barriers are associated with the project activity still SBPML has gone ahead with the
implementation of the project activity taking CDM into consideration. CDM funding to SBPML would also
encourage other paper industries to follow suit and thereby contribute towards GHG emission reduction.
11
Boiler Directorate of Uttar Pradesh
12
http://cdm.unfccc.int/Projects/Validation/DB/PTLZA11EUGT9OTMV2HKNYYJUH0HBTY/view.html
13
http://cdm.unfccc.int/Projects/Validation/DB/PTLZA11EUGT9OTMV2HKNYYJUH0HBTY/view.html
14
http://cdm.unfccc.int/Projects/Validation/DB/ZLWQKJSXMQI3EUQ04OBFRAK5N3ZD4G/view.html
15
http://cdm.unfccc.int/Projects/Validation/DB/4K382Z6OP1U3O84O8505L1BXY0PKCK/view.html
CDM-SSC-PDD (version 02)
CDM – Executive Board page 15
B.4. Description of how the definition of the project boundary related to the baseline methodology
selected is applied to the small-scale project activity:
>>
As per the guidelines provided in the approved methodology, project boundary encompasses the physical
and geographical site of the renewable generation source. The project boundary covers the biomass based
cogeneration power plant, which starts from the biomass storage to the point of power supply to paper mill
where the project proponent has a full control. Thus, project boundary includes biomass storage, biomass
fired boiler, electricity and steam generation from the cogeneration system, auxiliary consumption and
electricity supplied to paper mill. However, for the purpose of calculation of baseline emissions, northern
grid is included in the system boundary. The project boundary is illustrated in the following diagram:
Rice husk source
Rice husk storage
Rice husk fired
boiler
Electricity & steam
generation
Electricity & steam
to paper mill
Auxiliary
consumption
Emissions
generated
Emissions
sequesterd
Project Boundary
CDM-SSC-PDD (version 02)
CDM – Executive Board page 16
B.5. Details of the baseline and its development:
>>
B.5.1. The baseline for the proposed project activity has been estimated by using the methodology specified
in the applicable project category for small-scale CDM project activities. The baseline is the product of
annual electricity (in GWh) generated by the project activity and northern grid emission factor of 750.87
tCO2/GWh detailed in Annex 3.
B.5.2. Date of completion of the baseline in DD/MM/YYYY
06/12/2006
B.5.3. Name of person/entity determining the baseline:
Shree Bhawani Paper Mills Limited. The entity is also a project participant listed in Annex 1 of this
document.
CDM-SSC-PDD (version 02)
CDM – Executive Board page 17
SECTION C. Duration of the project activity / Crediting period:
C.1. Duration of the small-scale project activity:
C.1.1. Starting date of the small-scale project activity:
>>
03/02/2006
C.1.2. Expected operational lifetime of the small-scale project activity:
>>
25 years
C.2. Choice of crediting period and related information:
>>
The project activity will use the fixed crediting period.
C.2.1. Renewable crediting period:
C.2.1.1. Starting date of the first crediting period:
>>
Not selected
C.2.1.2. Length of the first crediting period:
>>
Not selected
C.2.2. Fixed crediting period:
>>
10 years
C.2.2.1. Starting date:
>>
15/01/2007
C.2.2.2. Length:
>>
10 years
CDM-SSC-PDD (version 02)
CDM – Executive Board page 18
SECTION D. Application of a monitoring methodology and plan:
D.1. Name and reference of approved monitoring methodology applied to the small-scale project
activity:
>>
The project activity uses the approved monitoring methodology as follows:
Type I – Renewable energy projects
Category D – Grid connected renewable electricity generation.
Reference: The monitoring methodology of the project activity is referred from ‘Paragraph 13’ of Type I -
Category D of indicative simplified baseline and monitoring methodologies for selected small-scale CDM
project activity categories - version 09 – 28 July 2006’.
D.2. Justification of the choice of the methodology and why it is applicable to the small-scale project
activity:
>>
As per the paragraph 12 of Simplified Modalities and Procedures for Small Scale CDM Project activities,
a proposed project activity shall,
(a) Meet the eligibility criteria for small-scale CDM project activities set out in paragraph 6 (c) of decision
17/CP.7;
(b Conform to one of the project categories in appendix B to this annex;
(c) Not be a de-bundled component of a larger project activity, as determined through appendix C to this
annex.
As explained earlier in A4.2, the project activity meets the eligibility criteria for small-scale CDM project
activities set out in paragraph 6 (c) of decision 17/CP.7, falls under small-scale CDM project of Type I.
Category D and is not a de-bundled component of a larger project activity.
The monitoring plan has been drawn as per the guidance provided in paragraph 13 of ‘Indicative simplified
baseline and monitoring methodologies for selected small-scale CDM project activity categories Type I -
Category 1.D - version 09 – 28 July 2006’
Description of monitoring plan
The project activity will have two separate meters to record the gross power produced and auxiliary power
consumed. The monitoring and verification system would mainly comprise of these meters as far as power
CDM-SSC-PDD (version 02)
CDM – Executive Board page 19
supplied to the manufacturing facility is concerned. The rice husk input is also to be monitored. All
monitoring and control functions will be done as per the internally accepted standards of SBPML. All
instruments will be calibrated and marked at regular intervals so that the accuracy of measurement can be
ensured all the time.
GHG Sources
Direct On-Site Emissions
Direct on-site emissions of the project activity arise from the combustion of rice husk in the boiler. These
emissions mainly include CO2. However, the CO2 released is very less as compared to the amount of CO2
sequestered during the growth of the rice, thereby making it a carbon neutral fuel.
Direct Off-Site Emissions
Direct off-site emissions in the project activity arise from the rice husk transport.
Indirect On-Site Emissions
The indirect on site GHG source is the consumption of energy and the emission of GHGs involved in the
construction of rice husk based power plant. Considering the life of the cogeneration plant and the
emissions to be avoided in the life span, emissions from the above-mentioned source are too small and
hence neglected. No other indirect on-site emissions are anticipated from the project activity.
Project Parameters affecting Emission Reduction
Fuel related parameters:
Quantity of rice husk used in the boiler as fuel
The rice husk received is stored in the plant’s storage area. The amount of rice husk entering the plant will
be measured and records of the same will be maintained. The weighing system needs to be calibrated
regularly to ensure the accuracy of the measurement. The data will be recorded for further verification. The
amount of rice husk purchased will be based on invoices / receipts from fuel contractors.
Quality of rice husk used in the boiler
The properties of the rice husk used as fuel in the boiler would be determined from ultimate analysis.
CDM-SSC-PDD (version 02)
CDM – Executive Board page 20
Operational Parameters of the power generating Unit
Total Electricity Generated
The total electricity generated by the cogeneration project will be measured in the plant premises to the best
accuracy and will be monitored and recorded, on a continuous basis by the electronic power and energy
meter. The integrated readings are recorded on manual log book for every 8 hour shift.
Auxiliary Consumption
The electricity consumed by plant auxiliaries will be recorded in the plant premises to the best accuracy.
This will be monitored and recorded on a continuous basis by the electronic power and energy meter. The
integrated readings are recorded on manual log book for every 8 hour shift. The total quantum of electricity
consumed by the auxiliaries would affect the total electricity supplied to the manufacturing facility and
therefore the amount of GHG reductions.
Power exported to the manufacturing facility
It will be calculated based on deduction of auxiliary consumption from the total electricity generated.
Verification
The performance of the rice husk based cogeneration project leads to CO2 emission reductions. In other
words, the longer the power plant runs and supplies power to the manufacturing facility, more would be the
emission reductions. The major activities to be verified are as under
· Verification of various measurement and monitoring methods
· Verification of instrument calibration methods
· Verification of measurement accuracy
CDM-SSC-PDD (version 02)
CDM – Executive Board page 21
D.3 Data to be monitored:
>>
a) Parameters affecting the emission reduction potential of the project activity
ID
No.
Data
Variable
Data unit Source of
data
Measured (m),
calculated (c)
or estimated
(e)
Recordin
g
frequency
Proportion
of data to be
monitored
How will the data
be archived?
(electronic/
paper)
For how long is
archived data to
be kept?
Comment
1 Total
electricity
generated
kWh Electroni
c Power
and
Energy
meter,
Daily log
books
m Every 8
hours
Total Paper Crediting Period
(CP)+2 years
Measured in plant
premises and monitored
and recorded every shift
(8 hours). Along with the
energy meter recording
the kW, Ampere and
power factor will also be
monitored on an hourly
basis. This will help in
cross-checking the gross
generated figure.
2 Auxiliary
consumption
kWh Electroni
c meter,
Daily log
books
m Every 8
hours
Total Paper CP + 2 years Measured in plant
premises and monitored
and recorded
continuously.
3 Power
supplied to
plant
kWh Daily log
books
c Every 8
hours
Total Paper CP+2 years
CDM-SSC-PDD (version 02)
CDM – Executive Board page 22
b) Fuel related parameters affecting the project activity
ID No. Data
variable
Data
unit
Source
of data
Measured (m),
calculated (c)
or estimated (e)
Recording
frequency
Proportion
of data to be
monitored
How will the data
be archived?
(electronic/ paper)
For how long is
archived data to
be kept?
Comment
1 Rice
husk
quantity
MT Invoice M Daily 100% paper CP+2 years
To be monitored at
purchase, storage and
usage.
2 Rice
husk
calorific
value
Kcal/kg Test
reports
M - Sample
testing
paper CP+2 years
Obtained through sample
testing
CDM-SSC-PDD (version 02)
CDM – Executive Board page 23
D.4. Qualitative explanation of how quality control (QC) and quality assurance (QA) procedures are
undertaken:
>>
Quality control (QC) and quality assurance (QA) procedures are being undertaken for data monitored.
(Data items in tables contained in section D.3 (a to b) above, as applicable)
Data Uncertainty level of
data
(High/Medium/Low)
Are QA/QC
procedures
planned for
these data?
Explain QA/QC procedures planned for these data, or why
such procedures are not necessary.
D.3.(a)1 Low Yes This data will be used for calculation of emission reductions
by project activity. The gross generation figure can be cross
checked by the voltage meter, ammeter and power factor meter
readings which are recorded on an hourly basis. A spare
master meter is also in place in case the power meter goes out
of order or the calibration is disturbed. The energy meters
installed to measure the total power generated would be
tamper proof and would retain the last recorded reading even
under power failure conditions. They will have class 1.0
accuracy conforming to IS 13779 standards. For digital read
outs the error is computed in counts:
Class 1.0 = ±1% of the full scale + 1 counts.
Calibration of the meters from external certified agencies
would be carried out annually.
D.3.(a)2 Low Yes This data will be used for calculation of emission reductions
by project activity. The auxiliary consumption figure can be
cross checked by the voltage meter, ammeter and power factor
meter readings which are recorded on an hourly basis. A spare
master meter is also in place in case the auxiliary meter goes
out of order or the calibration is disturbed. The energy meters
installed to measure the auxiliary power consumption would
be tamper proof and would retain the last recorded reading
even under power failure conditions. They will have class 1.0
accuracy conforming to IS 13779 standards. For digital read
outs the error is computed in counts:
CDM-SSC-PDD (version 02)
CDM – Executive Board page 24
Data Uncertainty level of
data
(High/Medium/Low)
Are QA/QC
procedures
planned for
these data?
Explain QA/QC procedures planned for these data, or why
such procedures are not necessary.
Class 1.0 = ±1% of the full scale + 1 counts
Calibration of the meters from external certified agencies
would be carried out annually.
D.3.(a)3 Low Yes This is a calculated value
D.3.(b)1 Medium No This data will be used as supporting information.
D.3.(b)2 Low No The calorific value of the rice husk is fairly constant and thus
no QA/QC procedures are required
D.5. Please describe briefly the operational and management structure that the project participant(s)
will implement in order to monitor emission reductions and any leakage effects generated by the
project activity:
>>
SBPML would ensure accuracy of the measurement system as follows:
· The shift in-charges will be responsible for the hourly data recording of the relevant parameters
and also the recording of the total energy generated for every 8 hour shift. Any discrepancy
observed in the readings (based on the past data) is addressed promptly. The mechanical and
electrical managers will ensure that the data is properly archived.
· The managers will be qualified technical personnel with more than 20 years experience in relevant
field. All the shift in-charges will be diploma holders.
D.6. Name of person/entity determining the monitoring methodology:
>>
Shree Bhawani Paper Mills Limited
The entity is also a project participant as listed in Annex 1 of this document.
CDM-SSC-PDD (version 02)
CDM – Executive Board page 25
SECTION E.: Estimation of GHG emissions by sources:
E.1. Formulae used:
E.1.1 Selected formulae as provided in appendix B:
>>
Not applicable
E.1.2 Description of formulae when not provided in appendix B:
>>
E.1.2.1 Describe the formulae used to estimate anthropogenic emissions by sources of GHGs due to
the project activity within the project boundary:
>>
Essentially there would be no GHG emissions due to the project activity within the project boundary
because the fuel being used is rice husk. The GHG emission due to the burning of rice husk is negated by
the sequestration done during the growth of rice, thereby making it a carbon neutral fuel. Thus there are no
anthropogenic emissions due to the project activity within the project boundary.
E.1.2.2 Describe the formulae used to estimate leakage due to the project activity, where required,
for the applicable project category in appendix B of the simplified modalities and procedures for
small-scale CDM project activities
>>
As per the methodology leakage estimation is only required if renewable energy technology is equipment
transferred from another activity. This does not apply to the project case. However, the only source of
considerable GHG emissions, which are attributable to the project activity lying outside the project
boundary will be the emissions arising during the transportation of rice husk. The same have been
estimated below.
Emissions due to the transportation of Rice husk
Total rice husk required 40,000 tonnes/year
Rice husk transported by truck 40,000 tonnes/year
Rice husk load per truck 8 tonnes
Total number of Trips 5,000
Max distance between the 60 km
CDM-SSC-PDD (version 02)
CDM – Executive Board page 26
Project site and collection centers
Consumption of diesel per trip (to and fro) 30 Liters
(@ 4 km/ lit)
Total Diesel Consumption 150,000 Liters
Calorific Value of Diesel 0.0000283 TJ/lit
Emission Factor for Diesel 74.1 tonnes of CO2/TJ
Total Emissions due to transportation of Rice husk 315 tCO2
Since these emissions are less than 2% of the total emission reductions by the project activity, they have not
been considered in the calculation of emission reductions.
E.1.2.3 The sum of E.1.2.1 and E.1.2.2 represents the small-scale project activity emissions:
>>
There are no emissions due to the small-scale project activity.
E.1.2.4 Describe the formulae used to estimate the anthropogenic emissions by sources of GHGs in
the baseline using the baseline methodology for the applicable project category in appendix B of the
simplified modalities and procedures for small-scale CDM project activities:
>>
The baseline emission is due the electricity displaced from the northern grid. The present power
generation mix of northern region grid has been used to estimate the net baseline emission factor. It is
estimated as per the guidelines given in the paragraph 9 of ‘Indicative simplified baseline and
monitoring methodology for selected small-scale CDM project activity - Type I - Category D - version
09 – 28 July 2006’.
The emission coefficient has been calculated as ‘the average of the approximate operating margin and
the build margin’.
The step-by-step calculation of base line emission is as follows:
STEP 1. Calculation of Operating Margin emission factor (EFOM)
j
j
jiji
ji
yOM GENCOEFFEF åå ´= /,,
,
,
Where
CDM-SSC-PDD (version 02)
CDM – Executive Board page 27
COEFi, j - the CO2 emission coefficient of fuel i (t CO2 / mass or volume unit of the fuel),
GENj, - the electricity (GWh) delivered to the grid by source j
Fi, j -the amount of fuel i (in a mass or volume unit) consumed by relevant power sources j, calculated
as given below
j - the power sources delivering electricity to the grid, not including low-operating cost and must-run
power plants
The CO2 emission coefficient COEFi is estimated as
iiCOii OXIDEFNCVCOEF ´´= ,2
Where
NCVi - the net calorific value (energy content) per mass or volume unit of a fuel i
EFCO2,i - the CO2 emission factor per unit of energy of the fuel i
OXIDi - the oxidation factor of the fuel
The OM emission factor (EFOM, y) has been calculated ex-ante, separately for the most recent three years
(2003-2004, 2004-2005 and 2005-2006) and an average value has been considered as the OM emission
factor for the baseline (EFOM,).
å= 3/, yOMOM EFEF
Where y represents the year
STEP 2. Calculation of the Build Margin emission factor (EF BM,)
It is calculated as the generation-weighted average emission factor (t CO2/GWh) of a sample of power
plants m of grid, as follows:
m
m
mimi
mi
BM GENCOEFFEF åå ´= /,,
,
Where
F i, m, COEF i ,m and GEN m - are analogous to the variables described in OM method above for plants m.
The Build Margin emission factor EF BM has been calculated as ex-ante based on the most recent
information available on plants already built for sample group m of Northern region grid at the time of
PDD submission. The sample group m consists of the recent 20 % of power plants supplying electricity to
northern region grid, as it comprises of larger annual power generation.
CDM-SSC-PDD (version 02)
CDM – Executive Board page 28
Further, none of the power plant in the sample group has been registered as CDM project activities.
STEP 3. Calculation of the electricity baseline emission factor (EFy)
It is calculated as the weighted average of the Operating Margin emission factor (EF OM,) and the Build
Margin emission factor (EF BM,):
BMBMOMOMy EFWEFWEF ´+´=
where the weights W OM and W BM, by default, are 50% (i.e., WOM = WBM = 0.5), and EFOM, and EFBM are
calculated as described in Steps 1 and 2 above and are expressed in t CO2/GWh.
yyy EGEFBE ´=
Where
BEy - are the baseline emissions due to displacement of electricity during the year y in tons of CO2
EGy- is the net quantity of electricity generated by the project activity during the year y in GWh, and
EF y- is the CO2 baseline emission factor for the electricity displaced due to the project activity in tons
CO2/GWh.
In case, the same amount of electricity is generated by the Northern region grid mix, it adds to the
emissions that are ultimately getting reduced by the project activity. Therefore, the baseline estimated
using above methods / scenarios would represent the realistic anthropogenic emissions by sources that
would have occurred in absence of the project activity.
The uncertainties in the baseline, arising out of capacity additions trends are already taken into
consideration during estimation of combined margin factor. The key information and data related to
baseline estimation is given in Annex 3.
E.1.2.5 Difference between E.1.2.4 and E.1.2.3 represents the emission reductions due to the project
activity during a given period:
>>
Following formula is used to determine emission reduction
CO2 emission reduction due to
project activity
= (Baseline emission) - (Project emissions )
CDM-SSC-PDD (version 02)
CDM – Executive Board page 29
E.2 Table providing values obtained when applying formulae above:
>>
Emission Reductions
Year
Baseline
Emission
factor
(tCO2/GWh)
Net Power
produced
(GWh)
Baseline
emissions
(tonnes of
CO2 )
Project
emissions
(tonnes of
CO2)
Emission
reductions
(tonnes of
CO2)
2007-08 750.87 18.635 13,993 0 13,993
2008-09 750.87 18.635 13,993 0 13,993
2009-10 750.87 18.635 13,993 0 13,993
2010-11 750.87 18.635 13,993 0 13,993
2011-12 750.87 18.635 13,993 0 13,993
2012-13 750.87 18.635 13,993 0 13,993
2013-14 750.87 18.635 13,993 0 13,993
2014-15 750.87 18.635 13,993 0 13,993
2015-16 750.87 18.635 13,993 0 13,993
2016-17 750.87 18.635 13,993 0 13,993
TOTAL 186.35 139,930 0 139,930
The proposed project activity will generate 186.35 GWh of electricity during the ten years crediting period
and displace equivalent units of electricity from the northern grid. It would result in the reduction of
139,930 tonnes of CO2 emissions during the ten year crediting period.
CDM-SSC-PDD (version 02)
CDM – Executive Board page 30
SECTION F.: Environmental impacts:
F.1. If required by the host Party, documentation on the analysis of the environmental impacts of the
project activity:
>>
The project activity – rice husk based cogeneration results in effective utilization of the biomass is for the
betterment of the environment. There are no significant adverse impacts arising due to the project activity.
As the project investment is less than INR 500 million so carrying out an Environmental Impact
Assessment (EIA) is not mandatory for the project activity16
as per Indian legislation. The project activity
complies with all environmental legislations and meets all the consent requirements (under the Water Act
and Air Act) given by the State Pollution Control Board.
There are no significant adverse impacts arising due to the project activity. The various environmental
aspects and impacts associated with the project activity are:
S.No. Aspect - Impact Identified Mitigation Measures/Remarks
1. Air Quality:
The emissions will be generated on the
combustion of rice husk in the boilers during
operations.
Electrostatic Precipitator would be installed and
flue gases shall be discharged into the atmosphere
through a chimney of appropriate height.
2. Water:
There shall be no significant effect on
surface water quality and hydrology.
Extensive water recycling would be carried out in
the plant, no water from the cogeneration plant
would be discharged outside the factory.
3. Noise:
Additional noise will be produced once the
project activity is in operation stage.
Though the impact on the noise level is minimum
due to use of silencers and will be in the
permissible limits, plantation will be done in and
around the mill and mufflers / ear-plugs would be
distributed to the workers.
4. Land:
No additional land acquisition is required No rehabilitation program is required.
16
http://envfor.nic.in/legis/eia/so-60(e).html
CDM-SSC-PDD (version 02)
CDM – Executive Board page 31
since the project activity is carried out
within the premises. Ash would be generated
due to the burning of rice husk.
The ash would be given to the local villagers for
putting in the field for top soil improvement and
land filling.
5. Socio-Economic:
Implementation of the project activity would
not have any adverse impact on the socio
economic aspects of the life of people
residing in the village in core zone.
--------
6. Flora and Fauna:
There will a negligible effect on the flora
and fauna of the region due to increase in
industrial and domestic activity.
--------
CDM-SSC-PDD (version 02)
CDM – Executive Board page 32
SECTION G. Stakeholders’ comments:
G.1. Brief description of how comments by local stakeholders have been invited and compiled:
>>
SBPML gave an invitation to their employees, the adjoining village heads (Pradhans), rice mill owners,
and rice husk suppliers - who are directly and indirectly related to the project activity. They were invited
for a meeting held on 7th
November 2005 at the manufacturing facility premises. The agenda of the meeting
was to inform them about the proposed project activity of SBPML and get their views on it. The queries
raised by the local stakeholders were addressed during the meeting by the Company representative.
G.2. Summary of the comments received:
>>
The various queries raised during the stakeholder consultation meeting were as follows:
Comment Reply
Why is SBPML spending so much capital for the
project activity since they already have diesel
generator sets? This capital could have been used
for further capacity increase of the paper
manufacturing facility which would have led to
further employment generation.
SBPML is committed towards environmental
conservation. Diesel generators lead to air and noise
pollution, which adversely impacts the health of the
local people. For the project activity SBPML is
investing substantial capital for the installation of
electro-static precipitator (ESP) to address the air
pollution arising due to rice husk combustion. The
diesel generators would be used only as standby
units when the boiler is shut for maintenance.
What would be the benefit of the project activity to
the local people?
The project activity would lead to employment
generation. Over the years the expenditure incurred
for rice husk purchase has gone up substantially.
This money is going to the local people. The project
activity would be contributing positively towards
direct and indirect employment generation.
What arrangements have been made for
transportation of rice husk so that no traffic
The feeding point of the project activity boiler
would be separate and a new road for that would be
CDM-SSC-PDD (version 02)
CDM – Executive Board page 33
clogging occurs due to the increased influx of
vehicles?
laid, thus no traffic clogging would occur.
What safety measures are being adopted for the new
boiler being installed?
The boiler would be operated after the Boiler
Directorate has certified it. This certification is done
annually. Moreover, safety valves are installed on
the boiler.
Will there be any delay in the release of payments
for the rice husk supplied?
No delay in payments for rice husk would occur.
Will the project activity lead to any water or noise
pollution?
The water used in the project activity remains in the
cyclic system and is not released, thus there is no
water pollution arising due to the project activity.
Due to silencer the noise pollution would be
controlled.
G.3. Report on how due account was taken of any comments received:
>>
No adverse comments have been received for the project activity. In view of various direct and indirect
benefits (social, economical, and environmental), no concerns were raised during the consultation with
stakeholders.
CDM-SSC-PDD (version 02)
CDM – Executive Board page 34
Annex 1
CONTACT INFORMATION ON PARTICIPANTS IN THE PROJECT ACTIVITY
Organization: Shree Bhawani Paper Mills Limited
Street/P.O.Box: 33, Dayanand Marg
Building: --
City: Allahabad
State/Region: Uttar Pradesh
Postcode/ZIP: 211 002
Country: India
Telephone: 91-532-2607958, 2607959, 2607960
FAX: 91-532-2607957
E-Mail: sbpmills1@sancharnet.in
URL:
Represented by:
Title:
Salutation: Mr.
Last Name: Srivastav
Middle Name: -
First Name: Kamal
Department: Finance
Mobile: -
Direct FAX: --
Direct tel: +91-535-2702155
Personal E-Mail: sbpml@sify.com
CDM-SSC-PDD (version 02)
CDM – Executive Board page 35
Annex 2
INFORMATION REGARDING PUBLIC FUNDING
No public funding as part of project financing from Parties included in Annex 1 to the convention is
involved in the project activity.
CDM-SSC-PDD (version 02)
CDM – Executive Board page 36
Annex 3
BASELINE INFORMATION
Selection of Grid boundary
In the approved consolidated methodology ACM0002, the following guideline is given for the selection of
grid. “Where DNA guidance is not available, in large countries with layered dispatch systems (e.g.
state/provincial/regional /national) the regional grid definition should be used. A state/provincial grid
definition may indeed in many cases be too narrow given significant electricity trade among
states/provinces that might be affected, directly or indirectly, by a CDM project activity”.
As explained earlier in B.1.1, the electrical transmission system in India, is divided into five regions namely
Northern Region, North Eastern Region, Eastern Region, Southern Region and Western Region. Northern
region grid comprises of Delhi, Punjab, Haryana, Chandigarh, Rajasthan, Jammu & Kashmir, Uttranchal,
Uttar Pradesh and Himachal Pradesh. The location of project activity is in Uttar Pradesh state which is
coming under northern region. Therefore northern grid region is selected as grid boundary to estimate the
baseline emission factor.
Key elements to determine baseline for the project activity
The following key parameters are used to estimate the baseline emission factor of the project activity:
S No. Key Parameters Data Sources Reference
1 Generation of power of all the
plants for the year 2001-02,
2002-03, 2003-04, 2004-05 and
2005-06
Annual reports of Northern Region
Load Dispatch Center (NRLDC)
2001-02 and 2002-03 Section 7.1,
Annual reports of Northern region
Electricity Board (NREB)
2003-04 – Annex-10.1.3
2004-05 – Annexure 2.7
2005-06
http://www.nrldc.org/d
ocs/7-1.pdf
http://www.nrldc.org/d
ocs/2001-02-
section5onwards.pdf
http://nreb.nic.in/Repo
rts/Index.htm
2 Coal consumption of each coal
fired power plant for the year
2003-04, 2004-05 and 2005-06
Annual Performance review of
Thermal power plant (CEA)
www.cea.nic.in
3 Calorific value of coal CEA reports CEA General review
2004-05, CEA report -
CO2 database for
power sector, October
2006
4 Calorific value of gas Revised 2006 IPCC Guidelines
5 Oxidation factors Revised 2006 IPCC Guidelines
6 Efficiency of gas based power
plants supplying power to grid
MNES study titled "Baselines for
Renewable Energy Projects under
Clean Development Mechanism".
Chapter 2,
http://mnes.nic.in/basel
inepdfs/chapter2.pdf
7 Emission factor of natural gas, Revised 2006 IPCC Guidelines Refer Note
8 Emission factor of non-coking
coal
CEA report - CO2 database for
power sector, October 2006
http://cea.nic.in/planni
ng/c%20and%20e/Gov
ernment%20of%20Ind
ia%20website.htm
CDM-SSC-PDD (version 02)
CDM – Executive Board page 37
9 Emission factor of Eastern and
Western grids
CEA report - CO2 database for
power sector, October 2006
http://cea.nic.in/planni
ng/c%20and%20e/Gov
ernment%20of%20Ind
ia%20website.htm
Note:
The value of emission factors given in “2006 IPCC Guidelines for national green house gas inventories:
Reference Manual and Natcom report is in terms of carbon unit. It is converted in terms of CO2 as
explained below:
Fuel Emission factor Emission factor
tC/TJ tCO2/TJ
Natural gas 15.3 56.1 ( 15.3 x 44/12)
Non-coking coal 26.13 95.8 ( 26.13 x 44/12)
Power generation Mix of Northern Region for five years
Energy Source 2001-02 2002-03 2003-04 2004-05 2005-06
Total Power
Generation
(GWh)
150935 154544 168110 172682 180854
Total Thermal
Power
Generation
113817 115986 122955 126342 132522
Total Low Cost
Power
Generation
37117 38559 45154 46339 48332
Thermal % of
Total grid
generation
75.41 75.05 73.14 73.16 73.28
Low Cost % of
Total grid
generation
24.59 24.95 26.86 26.84 26.72
% of Low Cost generation out of Total grid generation - Average of the five most
recent years
25.99
Generation details
The power generation of power plants falls under Northern grid region for the past three years is given
below:
Name Type Fuel
Generation
(2003-04)
GWh
Generation
(2004-05)
GWh
Generation
(2005-06)
GWh
Anta GPS Thermal Gas 2775.92 2595.77 2806.84
Auriya GPS Thermal Gas 4247.41 4119.47 4281.67
Badarpur TPS Thermal Coal 5428.96 5462.78 5380.54
Bairasiul Hydro Hydel 687.79 689.67 790.97
CDM-SSC-PDD (version 02)
CDM – Executive Board page 38
Bhakra Complex Hydro Hydel 6956.9 4546.01 6838.78
Chamera HPS Hydro Hydel 2648.32 3452.25 3833.66
Dadri GPS Thermal Gas 5058.66 5527.71 5399.34
Dadri NCTPS Thermal Coal 6181.12 6842.52 6768.09
Dehar Hydro Hydel 3299.29 3150.52 3122.68
Dhauliganga Hydro Hydel - - 312.46
Delhi Thermal Coal 1164.11 5203.8 1559.10
Delhi Thermal Gas 5159.77 4091.37 4046.11
Faridabad GPS Thermal Gas 2792.58 3172.01 2954.64
H.P. Hydro Hydel 3666.39 3666.39 2870.48
Haryana Thermal Coal 6849.26 7192.41 8352.58
Haryana Hydro Hydel 251.73 251.73 258.30
J&K Hydro Hydel 851.03 851.03 1133.41
J&K Thermal Gas 15.41 23.51 28.31
NAPS Nuclear Nuclear 2959.44 2760.01 2138.45
Pong Hydro Hydel 1178.93 882.57 1730.70
Punjab Thermal Coal 14118.96 14390.42 14848.73
Punjab Hydro Hydel 4420.43 4420.43 4999.36
Rajasthan Thermal Coal 15044.48 17330.79 19903.79
Rajasthan Thermal Gas 201.37 360.7 432.58
Rajasthan Hydro Hydel 494.07 494.07 921.33
RAPS-A Nuclear Nuclear 1293.37 1355.2 1267.50
RAPS-B Nuclear Nuclear 2904.68 2954.43 2815.73
Rihand STPS Thermal Coal 7949.26 7988.06 10554.73
Salal Hydro Hydel 3477.42 3443.29 3480.87
Singrauli STPS Thermal Coal 15643.4 15803.34 15502.80
SJVNL Hydro Hydel 1537.92 1617.45 3867.12
Tanakpur HPS Hydro Hydel 510.99 495.17 483.26
Tanda TPS Thermal Coal 2872.81 3254.67 3329.89
U.P. Thermal Coal 20638.05 19788.21 19326.44
U.P. Hydro Hydel 2063.04 2063.04 1244.92
Unchahar-I TPS Thermal Coal 3252.14 3342.83 3544.89
Unchahar-II TPS Thermal Coal 3187.93 3438.28 3501.21
Uri HPS Hydro Hydel 2873.54 2206.71 2724.81
Uttaranchal Hydro Hydel 3452.96 3452.96 3496.87
TOTAL 168109.8 172681.6 180853.9
CDM-SSC-PDD (version 02)
CDM – Executive Board page 39
Calculation of Operating Margin Emission Factor
The following table gives a step by step approach for calculating the Simple Operating Margin emission
factor for Northern Regional electricity grid for the most recent 3 years at the time of PDD submission
i.e.2003-2004, 2004-2005 & 2005-2006.
2003-04 2004-05 2005-06
Generation by Coal out of Total Generation (GWh) 102704.29 106451.00 112572.8
Generation by Gas out of Total Generation (GWh) 20251.12 19890.00 19949.49
Imports from others
Imports from WREB (GWh) 282.02 1602.84 2153.23
Imports from EREB (GWh) 2334.76 3600.58 4112.67
Fuel 1 : Coal 2003-04 2004-05 2005-06
Avg. Calorific Value of Coal used (kcal/kg) 3820 3820 3624
Coal consumption (tons/yr) 70,397,000 73,279,000 73,279,000
Emission Factor for Coal (tonne CO2/TJ) 95.8 95.8 95.8
Oxidation Factor of Coal-IPCC standard value 1.0 1.0 1.0
COEF of Coal (tonneCO2/ton of coal) 1.532 1.532 1.454
Fuel 2 : Gas
Avg. Efficiency of power generation with gas as a fuel, % 45 45 45
Avg. Calorific Value of Gas used (kcal/kg) 11,464 11,464 11,464
Estimated Gas consumption (tons/yr)
3375955 3315755 3325672.3
Emission Factor for Gas- IPCC standard value(tonne CO2/TJ)
56.1 56.1 56.1
Oxidation Factor of Gas-IPCC standard value 1.0 1.0 1.0
COEF of Gas(tonneCO2/ton of gas)
2.693 2.693 2.693
EF (WREB), tCO2/GWh
880 890 890
EF (EREB), tCO2/GWh
1050 1040 1040
EF (OM Simple), tCO2/GWh 952.98 960.85 916.99
Average EF (OM Simple), tCO2/GWh 943.60
List of power plants considered for calculating build margin
During 2005-06, the total power generation in northern grid region was 180,853.94 GWh. Twenty % of
total generation is about 36,170.79 GWh. The recently commissioned power plant whose summation of
CDM-SSC-PDD (version 02)
CDM – Executive Board page 40
power generation is about 37,608.63 GWh is considered for the calculation of Build margin. The list is
tabulated below:
S.
No.
Plant Date of
commissioning
MW Generation of the
unit in 2005-2006
(GWh)
Fuel Type
1 Dhauliganga unit-I 2005-2006 70 78.61 Hydro
2 Dhauliganga unit-II 2005-2006 70 78.61 Hydro
3 Dhauliganga unit-III 2005-2006 70 78.61 Hydro
4 Dhauliganga unit-IV 2005-2006 70 78.61 Hydro
5 Rihand Stage - II unit I 2004-2005 500 2593.70 Coal
6 Panipat # 7 2004-2005 250 921.46 Coal
7 Panipat # 8 2004-2005 250 1613.95 Coal
8 Chamera HEP-II (Unit 1) 2003-2004 100 567.67 Hydro
9 Chamera HEP-II (Unit 2) 2003-2004 100 567.67 Hydro
10 Chamera HEP-II (Unit 3) 2002-2003 100 567.67 Hydro
11 SJVPNL 2003-2004 1500 4104.25 Hydro
12 Baspa-II (Unit 3) 2003-2004 100 389.87 Hydro
13 Suratgarh-III (Unit-5) 2003-2004 250 2033.40 Coal
14 Kota TPS-IV (Unit-6) 2003-2004 195 1695.70 Coal
15 Baspa-II (Unit 1 & 2) 2002-2003 200 779.74 Hydro
16 Pragati CCGT (Unit II) 2002-2003 104.6 728.29 Gas
17 Pragati CCGT (Unit III) 2002-2003 121.2 843.86 Gas
18 Ramgarh CCGT Stage -II (GT-2) 2002-2003 37.5 146.80 Gas
19 Ramgarh CCGT Stage -II (GT-2) 2002-2003 37.8 147.97 Gas
20 Upper Sindh Extn (HPS)(1) 2001-2002 35 68.52 Hydro
21 Suratgarh stage-II (3 & 4) 2001-2002 500 3844.81 Coal
22 Upper Sindh Stage II (2) 2001-2002 35 68.52 Hydro
23 Malana-1 & 2 2001-2002 86 337.79 Hydro
24 Panipat TPS Stage 4 (Unit-6) 2000-2001 210 1688.29 Coal
25 Chenani Stage III (1,2,3) 2000-2001 7.5 3.88 Hydro
26 Ghanvi HPS (2) 2000-2001 22.5 69.71 Hydro
27 RAPP (Unit-4) 2000-2001 220 1432.17 Nuclear
28 Ranjit Sagar (Unit-1,2,3,4) 2000-2001 600 2012.84 Hydro
29 Gumma HPS 2000-2001 3 6.59 Hydro
30 Faridabad CCGT(Unit 1) (NTPC) 2000-2001 144 986.70 Gas
31 Suratgarh TPS 2 1999-2000 250 2112.17 Coal
32 RAPS-B (2) 1999-2000 220 1432.17 Nuclear
33 Uppersindh-2 HPS #1 1999-2000 35 68.52 Hydro
34 Faridabad GPS 1 & 2 (NTPC) 1999-2000 286 1959.71 Gas
35 Unchahar-II TPS #2 1999-2000 210 1732.60 Coal
36 Unchahar-II TPS #1 1998-1999 210 1767.20 Coal
CDM-SSC-PDD (version 02)
CDM – Executive Board page 41
Built Margin Emission Factor is calculated as per the following table:
Considering 20% of Gross Generation
Sector
Thermal Coal Based 20003.28
Thermal Gas Based 4813.33
Hydro 9927.69
Nuclear 2864.33
Total 37608.63
Built Margin
Fuel 1 : Coal
Avg. calorific value of coal used in Northern Grid, kcal/kg 3624
Coal consumption, tons/yr 12952313
Emission factor for Coal,tonne CO2/TJ 95.8
Oxidation factor of coal ( IPCC standard value) 1.0
COEF of coal (tonneCO2/ton of coal) 1.454
Fuel 2 : Gas
Avg. efficiency of power generation with gas as a fuel, % 45
Avg. calorific value of gas used, kcal/kg 11464
Estimated gas consumption, tons/yr 802405
Emission factor for Gas (as per standard IPCC value) 56.1
Oxidation factor of gas ( IPCC standard value) 1.0
COEF of gas(tonneCO2/ton of gas) 2.693
EF (BM), tCO2/GWh 558.13
Therefore the net baseline emission factor as per combined margin
(OM + BM)/2 = 750.87 tCO2/GWh
Calculation of Net power
Plant Capacity kW 3000
Plant Load Factor % 87
Auxiliary consumption % 15
Net power supplied to paper mill kW 2218.5
Number of days of operation in a year 350
Number of hours of operation in a day 24
Number of hours of operation per year 8400
Gross energy generated GWh/year 21.92
Net energy generated GWh/year 18.635

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Rice husk power plant information for finance, subsidy & project related support contact - 9861458008

  • 1. CDM-SSC-PDD (version 02) CDM – Executive Board page 1 CLEAN DEVELOPMENT MECHANISM SIMPLIFIED PROJECT DESIGN DOCUMENT FOR SMALL-SCALE PROJECT ACTIVITIES (SSC-CDM-PDD) Version 02 CONTENTS A. General description of the small-scale project activity B. Baseline methodology C. Duration of the project activity / Crediting period D. Monitoring methodology and plan E. Calculation of GHG emission reductions by sources F. Environmental impacts G. Stakeholders comments Annexes Annex 1: Information on participants in the project activity Annex 2: Information regarding public funding Annex 3: Baseline Information
  • 2. CDM-SSC-PDD (version 02) CDM – Executive Board page 2 SECTION A. General description of the small-scale project activity A.1. Title of the small-scale project activity: >> Rice husk based cogeneration power plant-II at SBPML Version 03 Date 07 December 2006 A.2. Description of the small-scale project activity: >> Purpose Shree Bhawani Paper Mills Limited (SBPML) is putting up a 3 MW rice husk based cogeneration facility to meet the heat and power requirement of the paper mill expansion. In absence of this project activity the heat and power requirement of the paper manufacturing facility expansion could have been met from rice husk fired low pressure boilers and grid based power respectively. SBPML has already got one similar project, operating at the same location, registered as a CDM project for which CERs have been issued upto 31st December 2005. This has prompted SBPML to opt for another high pressure rice husk based cogeneration system alongwith the expansion of the paper manufacturing facility. Biomass Availability SBPML would be procuring rice husk from the neighboring districts. The latest available statistics summary of district wise rice crop production (in tonnes) in the catchment region was as follows1 : District / Year Rae Bareli Allahabad Sultanpur Pratapgarh 2000-01 209,971 385,279 329,125 172,170 2001-02 299,278 364,115 358,477 231,694 2002-03 223,545 315,023 263,269 179,042 Average 244,264 354,805 316,957 194,302 Rice husk (28% of the rice crop) 68,394 99,345 88,748 54,404 Thus it can be seen that on an average the total rice husk available from the neighboring regions is of the order of 310,891 tonnes per annum (tpa). The requirement of rice husk for this project is around 40,000 1 http://upgov.up.nic.in/engspatrika/zspmenu.asp?state=V2
  • 3. CDM-SSC-PDD (version 02) CDM – Executive Board page 3 tpa. This is besides about 55,000 tpa of rice husk being presently consumed by SBPML. Thus it is ensured that sufficient quantity of rice husk is available for the project. Project Activity’s contribution to Sustainable Development The contributions of the project activity towards sustainable development are as follows: Social well being – The project activity results in generation of employment. The employment generation would be during the time of construction of the project activity and also during the operational phase wherein people would be employed for running the cogeneration facility once it gets commissioned. Economic well being – The project activity would require rice husk which would be procured from the nearby areas. This would lead to additional income generation for the local farmers who would be able to sell the rice husk for effective utilization in the project activity. Environmental well being – The project activity helps in sustainable usage of natural resources. By replacing the fossil fuel based power generation with rice husk fired boilers for power generation the project activity results in reduction in GHG emissions. Technological well being – The technology being used in the project activity represents the best available environmentally safe and sound technology for the application. The equipments being supplied for the project activity are from well established equipment manufacturers in the Indian market. Thus it is ensured that the project activity contributes positively to the stipulated sustainable development indicators. A.3. Project participants: >> Name of Party involved (*) ((host) indicates a host party) Private and/or public entity(ies) Project participants(*) (as applicable) Party involved wishes to be considered as project participant (Yes/No) India (host) Shree Bhawani Paper Mills Limited No
  • 4. CDM-SSC-PDD (version 02) CDM – Executive Board page 4 A.4. Technical description of the small-scale project activity: >> A.4.1. Location of the small-scale project activity: A.4.1.1. Host Party(ies): >> India A.4.1.2. Region/State/Province etc.: >> Uttar Pradesh A.4.1.3. City/Town/Community etc: >> Industrial area one, Sultanpur road, Rae Bareli A.4.1.4. Detail of physical location, including information allowing the unique identification of this small-scale project activity(ies): >> The project activity is located at industrial area No. 1, Sultanpur road, Rae Bareli in the premises of SBPML. It is located on the Lucknow – Allahabad highway at a distance of about 80 kms from Lucknow.
  • 5. CDM-SSC-PDD (version 02) CDM – Executive Board page 5 Location of the Project Activity (map not to scale)
  • 6. CDM-SSC-PDD (version 02) CDM – Executive Board page 6 A.4.2. Type and category(ies) and technology of the small-scale project activity: >> Main Category : Type I – Renewable energy projects Sub – Category : D – Grid connected renewable electricity generation The basic criteria for a small scale CDM project activity of Type (i) renewable energy project activities is that maximum output capacity of project activity should not exceed 15 MW. Since the proposed project activity is biomass (Renewable energy) based cogeneration power plant of capacity 3 MW, it clearly satisfies the required criteria. Hence, the project falls under the Type I - Renewable energy projects of indicative simplified baseline and monitoring methodologies for selected small-scale CDM project activity categories. Further, this project displaces grid based power supply hence it falls under the Category D - Grid connected renewable electricity generation. And further to qualify under this category, the sum of all forms of energy output shall not exceed 45 MWthermal. E.g., for a biomass based co-generating system the rating for all the boilers combined shall not exceed 45 MWthermal. The project activity clearly qualifies the said criteria since the rating of the boiler is less than the stipulated limit as shown below: Boiler Capacity: 24 TPH 6.67 kg/s (= 24 *1000/3600) Energy of steam: 3300 kJ/kg (at 45 Kg/cm2 pressure and 440 °C temperature) 3.3 MJ/kg Energy of water (at 100 °C) 418 kJ/kg 0.418 MJ/kg Boiler rating: 6.67*(3.3 – 0.418) 19.22 MWthermal Technology of project activity The project activity is a rice husk based cogeneration plant wherein high-pressure steam turbine configuration will be used. Fluidized Bed Combustion (FBC) technology will be used for generating steam, which represents the best available technology as compared to pile burning and stoker fired boilers2 . Since 2 http://www.nrdcindia.com/pages/fbc.htm
  • 7. CDM-SSC-PDD (version 02) CDM – Executive Board page 7 there is requirement of steam as well as power at the manufacturing set-up, so extraction cum condensing turbine is the best option for the project. The project activity will also have an electrostatic precipitator to control the emissions arising due to the combustions. The specifications of the systems in the project activity are as follows: Boiler Type: Atmospheric Fluidized Bed Combustion (AFBC) Boiler Pressure: 44 kg/cm2 Temperature: 440 °C Capacity: 24 tph Fuel: Rice Husk Efficiency: 82 % Turbine Type: Multistage, Extraction cum condensing turbine, Horizontal, Impulse type Capacity: 3 MW Inlet steam pressure: 42 kg/cm2 Temperature: 430 °C Rated speed: 8250 RPM Gearbox output speed: 1500 RPM Alternator Rating: 3 MW, 3750 kVA Type: Brushless Excitation Generation Voltage: 400/440 Volts Frequency: 50 Hz Speed: 1500 RPM Condensor Capacity: 11 tph Cooling water inlet temp.: 32 °C Cooling water outlet temp.: 40 °C Total cooling water flow-rate: 785 m3 /Hr
  • 8. CDM-SSC-PDD (version 02) CDM – Executive Board page 8 A.4.3. Brief explanation of how the anthropogenic emissions of anthropogenic greenhouse gas (GHGs) by sources are to be reduced by the proposed small-scale project activity, including why the emission reductions would not occur in the absence of the proposed small-scale project activity, taking into account national and/or sectoral policies and circumstances: >> The project activity will be displacing grid based power with a carbon neutral fuel (rice husk) for power generation. Thus the GHG emissions which would have been produced due to the combustion of fossil fuels (coal, gas) in the grid based power plants will be avoided. The Uttar Pradesh State Power Policy 2003 as given by the Government of Uttar Pradesh (GOUP) states that it would encourage and support power generation through renewable energy sources such as solar, wind etc. GOUP will come up with special policy framework to support such projects3 , as of now no such framework is existent. The New and Renewable Energy Policy Statement 20054 as given by Ministry of Non-conventional Energy Sources (MNES), Government of India also does not talk of such kind of project activities. The project activity being carried out by SBPML is a voluntary initiative to reduce the GHG emissions. A.4.3.1 Estimated amount of emission reductions over the chosen crediting period: >> Years Annual Estimation of emission reduction in tonnes of CO2e 2007-08 13,993 2008-09 13,993 2009-10 13,993 2010-11 13,993 2011-12 13,993 2012-13 13,993 2013-14 13,993 2014-15 13,993 2015-16 13,993 2016-17 13,993 Total estimated reductions (tonnes of CO2e) 139,930 Total number of crediting years 10 years Annual Average over the crediting period of estimated reduction (tonnes of CO2e) 13,993 3 http://upgov.nic.in/ 4 http://mnes.nic.in/Rene%202005_new.pdf
  • 9. CDM-SSC-PDD (version 02) CDM – Executive Board page 9 A.4.4. Public funding of the small-scale project activity: >> No public funding as part of project financing from parties included in Annex I of the convention is involved in the project activity. A.4.5. Confirmation that the small-scale project activity is not a debundled component of a larger project activity: >> The guideline for de-bundling mentioned in paragraph 2 of appendix C of the Simplified Modalities and Procedures for Small-Scale CDM project activities is given as follows: A proposed small scale project activity shall be deemed to be a de-bundled component of a large project activity, if there is a registered small-scale CDM project activity or an application to register another small-scale CDM project activity. · With the same project participants; · In the same project category and technology/measure; and · Registered within the previous 2 years · Whose project boundary is within 1 km of the project boundary of the proposed small-scale activity at the closest point. The project proponent has already got a registered CDM project in same project category at the same location5 . Since the total size of both the projects combined with the proposed project activity will be equivalent to 38.44 MWthermal (2x19.22), it is below the limits specified for the small-scale CDM project activities which is 45 MWthermal Thus the project activity qualifies for the use of simplified modalities and procedures for small-scale CDM project activities. 5 http://cdm.unfccc.int/Projects/DB/TUEV-SUED1135237103.39/view.html
  • 10. CDM-SSC-PDD (version 02) CDM – Executive Board page 10 SECTION B. Application of a baseline methodology: B.1. Title and reference of the approved baseline methodology applied to the small-scale project activity: >> As mentioned in A.4.2, the project activity satisfies the eligibility criteria to use “Simplified modalities and procedures for small-scale CDM project facilities”. The approved baseline methodology has been referred from the Indicative simplified baseline and monitoring methodologies for selected small-scale CDM project activity categories - version 09 - 28 July 2006. From this reference, the following category is selected for the project activity: Type I – Renewable energy projects Category D – Grid connected renewable electricity generation. B.2 Project category applicable to the small-scale project activity: >> As explained in A4.2, the proposed project activity falls under the Type I Category D – Grid connected renewable electricity generation. Baseline for projects under Category I.D has been detailed in paragraphs 7, 8, 9, 10 and 11 of “Indicative simplified baseline and monitoring methodologies for selected small-scale CDM project activity categories” - version 09 - 28 July 2006. Due to the following reasons, the paragraphs 7, 8 and 11 are not applicable to this project activity: · the project activity is not a landfill gas, waste gas, waste water treatment and agro industries project · power generation through diesel generators is economically prohibitive · the project activity does not seek to retrofit or modify an existing facility for renewable energy generation. The baseline of the project activity would be based on the paragraph 9, which is given as follows. Paragraph 9 – The baseline is the kWh produced by the renewable generating unit multiplied by an emission coefficient (measured in kg CO2equ/kWh) calculated in a transparent and conservative manner as:
  • 11. CDM-SSC-PDD (version 02) CDM – Executive Board page 11 (a) A combined margin (CM), consisting of the combination of operating margin (OM) and build margin (BM) according to the procedures prescribed in the approved methodology ACM0002. Any of the four procedures to calculate the operating margin can be chosen, but the restrictions to use the Simple OM and the Average OM calculations must be considered OR (b) The weighted average emissions (in kg CO2equ/kWh) of the current generation mix. The data of the year in which project generation occurs must be used. Calculations must be based on data from an official source (where available) and made publicly available. The project activity would displace the electricity which would have been drawn from the grid. The baseline is calculated according to the procedures prescribed in the approved methodology ACM0002. The first step to estimate the baseline emission coefficient is selection of grid boundary. There are five regions in India with respect to electrical transmission systems namely Northern Region, North Eastern Region, Eastern Region, Southern Region and Western Region. Northern region grid comprises of Delhi, Punjab, Haryana, Chandigarh, Rajasthan, Jammu & Kashmir, Uttranchal, Uttar Pradesh and Himachal Pradesh. The project activity is located in Uttar Pradesh state, which falls under Northern region. Hence, Northern region grid is selected as grid boundary to estimate the baseline emission factor. The baseline emissions are calculated using the average of the approximate operating margin and the build margin, which takes into consideration the trends of future capacity additions. Hence, it would represent the realistic anthropogenic emissions by sources that would occur in absence of the project activity. The details of baseline emission estimation are given in Annex 3. B.3. Description of how the anthropogenic emissions of GHG by sources are reduced below those that would have occurred in the absence of the registered small-scale CDM project activity: >> The implementation of the project activity faces the following barriers: Investment barrier SBPML has got one similar project operating at the same location registered as a CDM project for which CERs have been issued upto 31st December 2005. This prompted SBPML to undertake the next project activity also as a CDM project. The carbon credit revenues that would accrue from the project activity were informed to the various investors. Financial closure for the project activity has been achieved due to the consideration of CDM revenues. The loan component of the project has been financed by the same two bankers who funded the earlier CDM project. For raising the equity component, the existing shareholders
  • 12. CDM-SSC-PDD (version 02) CDM – Executive Board page 12 were offered fresh equity shares on Rights basis. This was the first Rights Issue of equity shares by a Company in India, which had a registered CDM project and the proceeds from the issue were used to fund the next CDM project. In the letter of offer for Rights issue mailed to all the shareholders on 1st April 2006, detailed information about the CDM projects being carried out by SBPML was given. Subsequently, on 21st April 2006, individual letters were mailed to shareholders informing them about the earlier CDM project of SBPML which got registered on 3rd February 2006. Other details of communication with the shareholders will be shared with the DOE. The CDM consideration has led to achieving the financial closure of the project activity. Also, subsequently CDM revenues would help in overcoming the increase in the rice husk prices as is being seen in other parts of the country. Technological barrier There are primarily two types of combustion technologies available for biomass combustion – grate firing and fluidised bed combustion. The first is a traditional technology whilst the second is a fairly recent innovation6 . SBPML has opted for the more advanced fluidised bed combustion technology for the high pressure boiler of the project activity. As compared to the less technologically intensive stepped grate furnace which has a lower efficiency of around 55-60%, the fluidised bed combustion technology gives higher efficiencies of the order of 75-80%7 . The FBC also results in reduced NOx emissions because of the lower temperatures involved and in process capture of SO2. As per the available statistics the penetration of FBC boilers in the pulp & paper industry in India is only around ten percent8 . Rice husk ash contains high percentage of silica which leads to rapid erosion of the equipments. Due to high silica content and the shape of rice husk, equipments like ID fan, cone portion of air pre-heater and top portion of the stack get eroded which leads to high maintenance cost, frequent breakdown and increased downtime. Presence of silica in rice husk ash also corrodes boiler tubes which require frequent maintenance of the boiler. Further, in rice husk fired boilers, escape of fluidized media along with flue gas is a common problem. To compensate this and to maintain fluidized bed thickness, fluidizing media is required to be added at regular intervals. This leads to variation in the air requirement; also the fuel flow control with respect to the steam output is difficult in biomass fired boilers. Hence, the operation & control of biomass fired boiler requires skilled boiler operators. 6 http://europa.eu.int/comm/energy_transport/atlas/htmlu/bioeint.html 7 http://www.nrdcindia.com/pages/fbc.htm
  • 13. CDM-SSC-PDD (version 02) CDM – Executive Board page 13 SBPML had perceived above-mentioned technological risks associated with biomass utilization based on their experience in running the boilers. For overcoming the problem of corrosion of equipments, an Electro Static Precipitator (ESP) has been installed although the air pollution norms could have been met by installing Mechanical Dust Collectors (MDC), which is much cheaper. The CDM revenues would compensate this additional investment and costs involved in overcoming the other technical problems. Barriers due to prevailing practices The Uttar Pradesh State Power Policy 2003 as given by the Government of Uttar Pradesh (GOUP) states that it would encourage and support power generation through renewable energy sources such as solar, wind etc. GOUP will come up with special policy framework to support such projects9 . The project activity being carried out by SBPML is a voluntary initiative to reduce the GHG emissions. Thus due to lack of government policy the paper industry sector has little or no incentive to move towards implementation of technologies which would lead to lower emissions. There are around 82 paper mills existent in the state of Uttar Pradesh10 and they are meeting their power requirement by one of the following modes as listed below: S.No . Mode of Power Supply Investment (per MW) GHG Emissions No. of Units %age of Units 1 Power through state grid Low High 2 Power through captive DG sets Moderate High 70 3 Power through Coal based cogeneration system High Very High 1 87 4 Power through biomass based cogeneration system High Nil 11 13 Total 82 100 From the above figures it is clearly demonstrated that the prevailing practice in the region is power generation through GHG emitting sources whether it is grid based supply or diesel or coal based captive 8 http://www.cleantechindia.com/eicnew/bhup.htm 9 http://upgov.nic.in/ 10 Indian Agro and Recycled Paper Mills Association, New Delhi
  • 14. CDM-SSC-PDD (version 02) CDM – Executive Board page 14 power generation. Only few paper mills have registered rice husk fired FBC type high pressure boilers11 installed at their premises for steam and power generation in the state. Presently of these paper mills only 12 units (including SBPML) have high pressure boilers at their manufacturing facilities. Of these one is a coal fired boiler and the rest are based on biomass with provision of firing coal during shortage of biomass. The SBPML project activity is fully based on rice husk with no provision of coal firing. Further, as per information in public domain, the following four paper mills in the state of Uttar Pradesh are in the process of availing carbon benefits through CDM for similar biomass based cogeneration projects: 1. K. R. Pulp & Papers Pvt. Ltd.12 2. Garg Duplex & Papers Pvt. Ltd.13 3. Yash Papers ltd.14 4. Siddeshwari Industries Pvt. Ltd.15 This clearly demonstrates that rice husk based cogeneration activity in paper mills is not a prevailing practice in the region. Other barriers Assured supply of fuel Continuous and uninterrupted supply of grid supply or fuel (diesel for generators) from nearby depots of the oil companies at Kanpur/Lucknow does not require SBPML to deploy manpower. On the other hand, rice husk being an agricultural produce is dependent on the vagaries of the nature, has to be sourced from a large number of suppliers and is seasonal in nature. Getting assured supply of biomass is dependent on many uncontrolled parameters thereby increasing the risks in the project activity. Although so many barriers are associated with the project activity still SBPML has gone ahead with the implementation of the project activity taking CDM into consideration. CDM funding to SBPML would also encourage other paper industries to follow suit and thereby contribute towards GHG emission reduction. 11 Boiler Directorate of Uttar Pradesh 12 http://cdm.unfccc.int/Projects/Validation/DB/PTLZA11EUGT9OTMV2HKNYYJUH0HBTY/view.html 13 http://cdm.unfccc.int/Projects/Validation/DB/PTLZA11EUGT9OTMV2HKNYYJUH0HBTY/view.html 14 http://cdm.unfccc.int/Projects/Validation/DB/ZLWQKJSXMQI3EUQ04OBFRAK5N3ZD4G/view.html 15 http://cdm.unfccc.int/Projects/Validation/DB/4K382Z6OP1U3O84O8505L1BXY0PKCK/view.html
  • 15. CDM-SSC-PDD (version 02) CDM – Executive Board page 15 B.4. Description of how the definition of the project boundary related to the baseline methodology selected is applied to the small-scale project activity: >> As per the guidelines provided in the approved methodology, project boundary encompasses the physical and geographical site of the renewable generation source. The project boundary covers the biomass based cogeneration power plant, which starts from the biomass storage to the point of power supply to paper mill where the project proponent has a full control. Thus, project boundary includes biomass storage, biomass fired boiler, electricity and steam generation from the cogeneration system, auxiliary consumption and electricity supplied to paper mill. However, for the purpose of calculation of baseline emissions, northern grid is included in the system boundary. The project boundary is illustrated in the following diagram: Rice husk source Rice husk storage Rice husk fired boiler Electricity & steam generation Electricity & steam to paper mill Auxiliary consumption Emissions generated Emissions sequesterd Project Boundary
  • 16. CDM-SSC-PDD (version 02) CDM – Executive Board page 16 B.5. Details of the baseline and its development: >> B.5.1. The baseline for the proposed project activity has been estimated by using the methodology specified in the applicable project category for small-scale CDM project activities. The baseline is the product of annual electricity (in GWh) generated by the project activity and northern grid emission factor of 750.87 tCO2/GWh detailed in Annex 3. B.5.2. Date of completion of the baseline in DD/MM/YYYY 06/12/2006 B.5.3. Name of person/entity determining the baseline: Shree Bhawani Paper Mills Limited. The entity is also a project participant listed in Annex 1 of this document.
  • 17. CDM-SSC-PDD (version 02) CDM – Executive Board page 17 SECTION C. Duration of the project activity / Crediting period: C.1. Duration of the small-scale project activity: C.1.1. Starting date of the small-scale project activity: >> 03/02/2006 C.1.2. Expected operational lifetime of the small-scale project activity: >> 25 years C.2. Choice of crediting period and related information: >> The project activity will use the fixed crediting period. C.2.1. Renewable crediting period: C.2.1.1. Starting date of the first crediting period: >> Not selected C.2.1.2. Length of the first crediting period: >> Not selected C.2.2. Fixed crediting period: >> 10 years C.2.2.1. Starting date: >> 15/01/2007 C.2.2.2. Length: >> 10 years
  • 18. CDM-SSC-PDD (version 02) CDM – Executive Board page 18 SECTION D. Application of a monitoring methodology and plan: D.1. Name and reference of approved monitoring methodology applied to the small-scale project activity: >> The project activity uses the approved monitoring methodology as follows: Type I – Renewable energy projects Category D – Grid connected renewable electricity generation. Reference: The monitoring methodology of the project activity is referred from ‘Paragraph 13’ of Type I - Category D of indicative simplified baseline and monitoring methodologies for selected small-scale CDM project activity categories - version 09 – 28 July 2006’. D.2. Justification of the choice of the methodology and why it is applicable to the small-scale project activity: >> As per the paragraph 12 of Simplified Modalities and Procedures for Small Scale CDM Project activities, a proposed project activity shall, (a) Meet the eligibility criteria for small-scale CDM project activities set out in paragraph 6 (c) of decision 17/CP.7; (b Conform to one of the project categories in appendix B to this annex; (c) Not be a de-bundled component of a larger project activity, as determined through appendix C to this annex. As explained earlier in A4.2, the project activity meets the eligibility criteria for small-scale CDM project activities set out in paragraph 6 (c) of decision 17/CP.7, falls under small-scale CDM project of Type I. Category D and is not a de-bundled component of a larger project activity. The monitoring plan has been drawn as per the guidance provided in paragraph 13 of ‘Indicative simplified baseline and monitoring methodologies for selected small-scale CDM project activity categories Type I - Category 1.D - version 09 – 28 July 2006’ Description of monitoring plan The project activity will have two separate meters to record the gross power produced and auxiliary power consumed. The monitoring and verification system would mainly comprise of these meters as far as power
  • 19. CDM-SSC-PDD (version 02) CDM – Executive Board page 19 supplied to the manufacturing facility is concerned. The rice husk input is also to be monitored. All monitoring and control functions will be done as per the internally accepted standards of SBPML. All instruments will be calibrated and marked at regular intervals so that the accuracy of measurement can be ensured all the time. GHG Sources Direct On-Site Emissions Direct on-site emissions of the project activity arise from the combustion of rice husk in the boiler. These emissions mainly include CO2. However, the CO2 released is very less as compared to the amount of CO2 sequestered during the growth of the rice, thereby making it a carbon neutral fuel. Direct Off-Site Emissions Direct off-site emissions in the project activity arise from the rice husk transport. Indirect On-Site Emissions The indirect on site GHG source is the consumption of energy and the emission of GHGs involved in the construction of rice husk based power plant. Considering the life of the cogeneration plant and the emissions to be avoided in the life span, emissions from the above-mentioned source are too small and hence neglected. No other indirect on-site emissions are anticipated from the project activity. Project Parameters affecting Emission Reduction Fuel related parameters: Quantity of rice husk used in the boiler as fuel The rice husk received is stored in the plant’s storage area. The amount of rice husk entering the plant will be measured and records of the same will be maintained. The weighing system needs to be calibrated regularly to ensure the accuracy of the measurement. The data will be recorded for further verification. The amount of rice husk purchased will be based on invoices / receipts from fuel contractors. Quality of rice husk used in the boiler The properties of the rice husk used as fuel in the boiler would be determined from ultimate analysis.
  • 20. CDM-SSC-PDD (version 02) CDM – Executive Board page 20 Operational Parameters of the power generating Unit Total Electricity Generated The total electricity generated by the cogeneration project will be measured in the plant premises to the best accuracy and will be monitored and recorded, on a continuous basis by the electronic power and energy meter. The integrated readings are recorded on manual log book for every 8 hour shift. Auxiliary Consumption The electricity consumed by plant auxiliaries will be recorded in the plant premises to the best accuracy. This will be monitored and recorded on a continuous basis by the electronic power and energy meter. The integrated readings are recorded on manual log book for every 8 hour shift. The total quantum of electricity consumed by the auxiliaries would affect the total electricity supplied to the manufacturing facility and therefore the amount of GHG reductions. Power exported to the manufacturing facility It will be calculated based on deduction of auxiliary consumption from the total electricity generated. Verification The performance of the rice husk based cogeneration project leads to CO2 emission reductions. In other words, the longer the power plant runs and supplies power to the manufacturing facility, more would be the emission reductions. The major activities to be verified are as under · Verification of various measurement and monitoring methods · Verification of instrument calibration methods · Verification of measurement accuracy
  • 21. CDM-SSC-PDD (version 02) CDM – Executive Board page 21 D.3 Data to be monitored: >> a) Parameters affecting the emission reduction potential of the project activity ID No. Data Variable Data unit Source of data Measured (m), calculated (c) or estimated (e) Recordin g frequency Proportion of data to be monitored How will the data be archived? (electronic/ paper) For how long is archived data to be kept? Comment 1 Total electricity generated kWh Electroni c Power and Energy meter, Daily log books m Every 8 hours Total Paper Crediting Period (CP)+2 years Measured in plant premises and monitored and recorded every shift (8 hours). Along with the energy meter recording the kW, Ampere and power factor will also be monitored on an hourly basis. This will help in cross-checking the gross generated figure. 2 Auxiliary consumption kWh Electroni c meter, Daily log books m Every 8 hours Total Paper CP + 2 years Measured in plant premises and monitored and recorded continuously. 3 Power supplied to plant kWh Daily log books c Every 8 hours Total Paper CP+2 years
  • 22. CDM-SSC-PDD (version 02) CDM – Executive Board page 22 b) Fuel related parameters affecting the project activity ID No. Data variable Data unit Source of data Measured (m), calculated (c) or estimated (e) Recording frequency Proportion of data to be monitored How will the data be archived? (electronic/ paper) For how long is archived data to be kept? Comment 1 Rice husk quantity MT Invoice M Daily 100% paper CP+2 years To be monitored at purchase, storage and usage. 2 Rice husk calorific value Kcal/kg Test reports M - Sample testing paper CP+2 years Obtained through sample testing
  • 23. CDM-SSC-PDD (version 02) CDM – Executive Board page 23 D.4. Qualitative explanation of how quality control (QC) and quality assurance (QA) procedures are undertaken: >> Quality control (QC) and quality assurance (QA) procedures are being undertaken for data monitored. (Data items in tables contained in section D.3 (a to b) above, as applicable) Data Uncertainty level of data (High/Medium/Low) Are QA/QC procedures planned for these data? Explain QA/QC procedures planned for these data, or why such procedures are not necessary. D.3.(a)1 Low Yes This data will be used for calculation of emission reductions by project activity. The gross generation figure can be cross checked by the voltage meter, ammeter and power factor meter readings which are recorded on an hourly basis. A spare master meter is also in place in case the power meter goes out of order or the calibration is disturbed. The energy meters installed to measure the total power generated would be tamper proof and would retain the last recorded reading even under power failure conditions. They will have class 1.0 accuracy conforming to IS 13779 standards. For digital read outs the error is computed in counts: Class 1.0 = ±1% of the full scale + 1 counts. Calibration of the meters from external certified agencies would be carried out annually. D.3.(a)2 Low Yes This data will be used for calculation of emission reductions by project activity. The auxiliary consumption figure can be cross checked by the voltage meter, ammeter and power factor meter readings which are recorded on an hourly basis. A spare master meter is also in place in case the auxiliary meter goes out of order or the calibration is disturbed. The energy meters installed to measure the auxiliary power consumption would be tamper proof and would retain the last recorded reading even under power failure conditions. They will have class 1.0 accuracy conforming to IS 13779 standards. For digital read outs the error is computed in counts:
  • 24. CDM-SSC-PDD (version 02) CDM – Executive Board page 24 Data Uncertainty level of data (High/Medium/Low) Are QA/QC procedures planned for these data? Explain QA/QC procedures planned for these data, or why such procedures are not necessary. Class 1.0 = ±1% of the full scale + 1 counts Calibration of the meters from external certified agencies would be carried out annually. D.3.(a)3 Low Yes This is a calculated value D.3.(b)1 Medium No This data will be used as supporting information. D.3.(b)2 Low No The calorific value of the rice husk is fairly constant and thus no QA/QC procedures are required D.5. Please describe briefly the operational and management structure that the project participant(s) will implement in order to monitor emission reductions and any leakage effects generated by the project activity: >> SBPML would ensure accuracy of the measurement system as follows: · The shift in-charges will be responsible for the hourly data recording of the relevant parameters and also the recording of the total energy generated for every 8 hour shift. Any discrepancy observed in the readings (based on the past data) is addressed promptly. The mechanical and electrical managers will ensure that the data is properly archived. · The managers will be qualified technical personnel with more than 20 years experience in relevant field. All the shift in-charges will be diploma holders. D.6. Name of person/entity determining the monitoring methodology: >> Shree Bhawani Paper Mills Limited The entity is also a project participant as listed in Annex 1 of this document.
  • 25. CDM-SSC-PDD (version 02) CDM – Executive Board page 25 SECTION E.: Estimation of GHG emissions by sources: E.1. Formulae used: E.1.1 Selected formulae as provided in appendix B: >> Not applicable E.1.2 Description of formulae when not provided in appendix B: >> E.1.2.1 Describe the formulae used to estimate anthropogenic emissions by sources of GHGs due to the project activity within the project boundary: >> Essentially there would be no GHG emissions due to the project activity within the project boundary because the fuel being used is rice husk. The GHG emission due to the burning of rice husk is negated by the sequestration done during the growth of rice, thereby making it a carbon neutral fuel. Thus there are no anthropogenic emissions due to the project activity within the project boundary. E.1.2.2 Describe the formulae used to estimate leakage due to the project activity, where required, for the applicable project category in appendix B of the simplified modalities and procedures for small-scale CDM project activities >> As per the methodology leakage estimation is only required if renewable energy technology is equipment transferred from another activity. This does not apply to the project case. However, the only source of considerable GHG emissions, which are attributable to the project activity lying outside the project boundary will be the emissions arising during the transportation of rice husk. The same have been estimated below. Emissions due to the transportation of Rice husk Total rice husk required 40,000 tonnes/year Rice husk transported by truck 40,000 tonnes/year Rice husk load per truck 8 tonnes Total number of Trips 5,000 Max distance between the 60 km
  • 26. CDM-SSC-PDD (version 02) CDM – Executive Board page 26 Project site and collection centers Consumption of diesel per trip (to and fro) 30 Liters (@ 4 km/ lit) Total Diesel Consumption 150,000 Liters Calorific Value of Diesel 0.0000283 TJ/lit Emission Factor for Diesel 74.1 tonnes of CO2/TJ Total Emissions due to transportation of Rice husk 315 tCO2 Since these emissions are less than 2% of the total emission reductions by the project activity, they have not been considered in the calculation of emission reductions. E.1.2.3 The sum of E.1.2.1 and E.1.2.2 represents the small-scale project activity emissions: >> There are no emissions due to the small-scale project activity. E.1.2.4 Describe the formulae used to estimate the anthropogenic emissions by sources of GHGs in the baseline using the baseline methodology for the applicable project category in appendix B of the simplified modalities and procedures for small-scale CDM project activities: >> The baseline emission is due the electricity displaced from the northern grid. The present power generation mix of northern region grid has been used to estimate the net baseline emission factor. It is estimated as per the guidelines given in the paragraph 9 of ‘Indicative simplified baseline and monitoring methodology for selected small-scale CDM project activity - Type I - Category D - version 09 – 28 July 2006’. The emission coefficient has been calculated as ‘the average of the approximate operating margin and the build margin’. The step-by-step calculation of base line emission is as follows: STEP 1. Calculation of Operating Margin emission factor (EFOM) j j jiji ji yOM GENCOEFFEF åå ´= /,, , , Where
  • 27. CDM-SSC-PDD (version 02) CDM – Executive Board page 27 COEFi, j - the CO2 emission coefficient of fuel i (t CO2 / mass or volume unit of the fuel), GENj, - the electricity (GWh) delivered to the grid by source j Fi, j -the amount of fuel i (in a mass or volume unit) consumed by relevant power sources j, calculated as given below j - the power sources delivering electricity to the grid, not including low-operating cost and must-run power plants The CO2 emission coefficient COEFi is estimated as iiCOii OXIDEFNCVCOEF ´´= ,2 Where NCVi - the net calorific value (energy content) per mass or volume unit of a fuel i EFCO2,i - the CO2 emission factor per unit of energy of the fuel i OXIDi - the oxidation factor of the fuel The OM emission factor (EFOM, y) has been calculated ex-ante, separately for the most recent three years (2003-2004, 2004-2005 and 2005-2006) and an average value has been considered as the OM emission factor for the baseline (EFOM,). å= 3/, yOMOM EFEF Where y represents the year STEP 2. Calculation of the Build Margin emission factor (EF BM,) It is calculated as the generation-weighted average emission factor (t CO2/GWh) of a sample of power plants m of grid, as follows: m m mimi mi BM GENCOEFFEF åå ´= /,, , Where F i, m, COEF i ,m and GEN m - are analogous to the variables described in OM method above for plants m. The Build Margin emission factor EF BM has been calculated as ex-ante based on the most recent information available on plants already built for sample group m of Northern region grid at the time of PDD submission. The sample group m consists of the recent 20 % of power plants supplying electricity to northern region grid, as it comprises of larger annual power generation.
  • 28. CDM-SSC-PDD (version 02) CDM – Executive Board page 28 Further, none of the power plant in the sample group has been registered as CDM project activities. STEP 3. Calculation of the electricity baseline emission factor (EFy) It is calculated as the weighted average of the Operating Margin emission factor (EF OM,) and the Build Margin emission factor (EF BM,): BMBMOMOMy EFWEFWEF ´+´= where the weights W OM and W BM, by default, are 50% (i.e., WOM = WBM = 0.5), and EFOM, and EFBM are calculated as described in Steps 1 and 2 above and are expressed in t CO2/GWh. yyy EGEFBE ´= Where BEy - are the baseline emissions due to displacement of electricity during the year y in tons of CO2 EGy- is the net quantity of electricity generated by the project activity during the year y in GWh, and EF y- is the CO2 baseline emission factor for the electricity displaced due to the project activity in tons CO2/GWh. In case, the same amount of electricity is generated by the Northern region grid mix, it adds to the emissions that are ultimately getting reduced by the project activity. Therefore, the baseline estimated using above methods / scenarios would represent the realistic anthropogenic emissions by sources that would have occurred in absence of the project activity. The uncertainties in the baseline, arising out of capacity additions trends are already taken into consideration during estimation of combined margin factor. The key information and data related to baseline estimation is given in Annex 3. E.1.2.5 Difference between E.1.2.4 and E.1.2.3 represents the emission reductions due to the project activity during a given period: >> Following formula is used to determine emission reduction CO2 emission reduction due to project activity = (Baseline emission) - (Project emissions )
  • 29. CDM-SSC-PDD (version 02) CDM – Executive Board page 29 E.2 Table providing values obtained when applying formulae above: >> Emission Reductions Year Baseline Emission factor (tCO2/GWh) Net Power produced (GWh) Baseline emissions (tonnes of CO2 ) Project emissions (tonnes of CO2) Emission reductions (tonnes of CO2) 2007-08 750.87 18.635 13,993 0 13,993 2008-09 750.87 18.635 13,993 0 13,993 2009-10 750.87 18.635 13,993 0 13,993 2010-11 750.87 18.635 13,993 0 13,993 2011-12 750.87 18.635 13,993 0 13,993 2012-13 750.87 18.635 13,993 0 13,993 2013-14 750.87 18.635 13,993 0 13,993 2014-15 750.87 18.635 13,993 0 13,993 2015-16 750.87 18.635 13,993 0 13,993 2016-17 750.87 18.635 13,993 0 13,993 TOTAL 186.35 139,930 0 139,930 The proposed project activity will generate 186.35 GWh of electricity during the ten years crediting period and displace equivalent units of electricity from the northern grid. It would result in the reduction of 139,930 tonnes of CO2 emissions during the ten year crediting period.
  • 30. CDM-SSC-PDD (version 02) CDM – Executive Board page 30 SECTION F.: Environmental impacts: F.1. If required by the host Party, documentation on the analysis of the environmental impacts of the project activity: >> The project activity – rice husk based cogeneration results in effective utilization of the biomass is for the betterment of the environment. There are no significant adverse impacts arising due to the project activity. As the project investment is less than INR 500 million so carrying out an Environmental Impact Assessment (EIA) is not mandatory for the project activity16 as per Indian legislation. The project activity complies with all environmental legislations and meets all the consent requirements (under the Water Act and Air Act) given by the State Pollution Control Board. There are no significant adverse impacts arising due to the project activity. The various environmental aspects and impacts associated with the project activity are: S.No. Aspect - Impact Identified Mitigation Measures/Remarks 1. Air Quality: The emissions will be generated on the combustion of rice husk in the boilers during operations. Electrostatic Precipitator would be installed and flue gases shall be discharged into the atmosphere through a chimney of appropriate height. 2. Water: There shall be no significant effect on surface water quality and hydrology. Extensive water recycling would be carried out in the plant, no water from the cogeneration plant would be discharged outside the factory. 3. Noise: Additional noise will be produced once the project activity is in operation stage. Though the impact on the noise level is minimum due to use of silencers and will be in the permissible limits, plantation will be done in and around the mill and mufflers / ear-plugs would be distributed to the workers. 4. Land: No additional land acquisition is required No rehabilitation program is required. 16 http://envfor.nic.in/legis/eia/so-60(e).html
  • 31. CDM-SSC-PDD (version 02) CDM – Executive Board page 31 since the project activity is carried out within the premises. Ash would be generated due to the burning of rice husk. The ash would be given to the local villagers for putting in the field for top soil improvement and land filling. 5. Socio-Economic: Implementation of the project activity would not have any adverse impact on the socio economic aspects of the life of people residing in the village in core zone. -------- 6. Flora and Fauna: There will a negligible effect on the flora and fauna of the region due to increase in industrial and domestic activity. --------
  • 32. CDM-SSC-PDD (version 02) CDM – Executive Board page 32 SECTION G. Stakeholders’ comments: G.1. Brief description of how comments by local stakeholders have been invited and compiled: >> SBPML gave an invitation to their employees, the adjoining village heads (Pradhans), rice mill owners, and rice husk suppliers - who are directly and indirectly related to the project activity. They were invited for a meeting held on 7th November 2005 at the manufacturing facility premises. The agenda of the meeting was to inform them about the proposed project activity of SBPML and get their views on it. The queries raised by the local stakeholders were addressed during the meeting by the Company representative. G.2. Summary of the comments received: >> The various queries raised during the stakeholder consultation meeting were as follows: Comment Reply Why is SBPML spending so much capital for the project activity since they already have diesel generator sets? This capital could have been used for further capacity increase of the paper manufacturing facility which would have led to further employment generation. SBPML is committed towards environmental conservation. Diesel generators lead to air and noise pollution, which adversely impacts the health of the local people. For the project activity SBPML is investing substantial capital for the installation of electro-static precipitator (ESP) to address the air pollution arising due to rice husk combustion. The diesel generators would be used only as standby units when the boiler is shut for maintenance. What would be the benefit of the project activity to the local people? The project activity would lead to employment generation. Over the years the expenditure incurred for rice husk purchase has gone up substantially. This money is going to the local people. The project activity would be contributing positively towards direct and indirect employment generation. What arrangements have been made for transportation of rice husk so that no traffic The feeding point of the project activity boiler would be separate and a new road for that would be
  • 33. CDM-SSC-PDD (version 02) CDM – Executive Board page 33 clogging occurs due to the increased influx of vehicles? laid, thus no traffic clogging would occur. What safety measures are being adopted for the new boiler being installed? The boiler would be operated after the Boiler Directorate has certified it. This certification is done annually. Moreover, safety valves are installed on the boiler. Will there be any delay in the release of payments for the rice husk supplied? No delay in payments for rice husk would occur. Will the project activity lead to any water or noise pollution? The water used in the project activity remains in the cyclic system and is not released, thus there is no water pollution arising due to the project activity. Due to silencer the noise pollution would be controlled. G.3. Report on how due account was taken of any comments received: >> No adverse comments have been received for the project activity. In view of various direct and indirect benefits (social, economical, and environmental), no concerns were raised during the consultation with stakeholders.
  • 34. CDM-SSC-PDD (version 02) CDM – Executive Board page 34 Annex 1 CONTACT INFORMATION ON PARTICIPANTS IN THE PROJECT ACTIVITY Organization: Shree Bhawani Paper Mills Limited Street/P.O.Box: 33, Dayanand Marg Building: -- City: Allahabad State/Region: Uttar Pradesh Postcode/ZIP: 211 002 Country: India Telephone: 91-532-2607958, 2607959, 2607960 FAX: 91-532-2607957 E-Mail: sbpmills1@sancharnet.in URL: Represented by: Title: Salutation: Mr. Last Name: Srivastav Middle Name: - First Name: Kamal Department: Finance Mobile: - Direct FAX: -- Direct tel: +91-535-2702155 Personal E-Mail: sbpml@sify.com
  • 35. CDM-SSC-PDD (version 02) CDM – Executive Board page 35 Annex 2 INFORMATION REGARDING PUBLIC FUNDING No public funding as part of project financing from Parties included in Annex 1 to the convention is involved in the project activity.
  • 36. CDM-SSC-PDD (version 02) CDM – Executive Board page 36 Annex 3 BASELINE INFORMATION Selection of Grid boundary In the approved consolidated methodology ACM0002, the following guideline is given for the selection of grid. “Where DNA guidance is not available, in large countries with layered dispatch systems (e.g. state/provincial/regional /national) the regional grid definition should be used. A state/provincial grid definition may indeed in many cases be too narrow given significant electricity trade among states/provinces that might be affected, directly or indirectly, by a CDM project activity”. As explained earlier in B.1.1, the electrical transmission system in India, is divided into five regions namely Northern Region, North Eastern Region, Eastern Region, Southern Region and Western Region. Northern region grid comprises of Delhi, Punjab, Haryana, Chandigarh, Rajasthan, Jammu & Kashmir, Uttranchal, Uttar Pradesh and Himachal Pradesh. The location of project activity is in Uttar Pradesh state which is coming under northern region. Therefore northern grid region is selected as grid boundary to estimate the baseline emission factor. Key elements to determine baseline for the project activity The following key parameters are used to estimate the baseline emission factor of the project activity: S No. Key Parameters Data Sources Reference 1 Generation of power of all the plants for the year 2001-02, 2002-03, 2003-04, 2004-05 and 2005-06 Annual reports of Northern Region Load Dispatch Center (NRLDC) 2001-02 and 2002-03 Section 7.1, Annual reports of Northern region Electricity Board (NREB) 2003-04 – Annex-10.1.3 2004-05 – Annexure 2.7 2005-06 http://www.nrldc.org/d ocs/7-1.pdf http://www.nrldc.org/d ocs/2001-02- section5onwards.pdf http://nreb.nic.in/Repo rts/Index.htm 2 Coal consumption of each coal fired power plant for the year 2003-04, 2004-05 and 2005-06 Annual Performance review of Thermal power plant (CEA) www.cea.nic.in 3 Calorific value of coal CEA reports CEA General review 2004-05, CEA report - CO2 database for power sector, October 2006 4 Calorific value of gas Revised 2006 IPCC Guidelines 5 Oxidation factors Revised 2006 IPCC Guidelines 6 Efficiency of gas based power plants supplying power to grid MNES study titled "Baselines for Renewable Energy Projects under Clean Development Mechanism". Chapter 2, http://mnes.nic.in/basel inepdfs/chapter2.pdf 7 Emission factor of natural gas, Revised 2006 IPCC Guidelines Refer Note 8 Emission factor of non-coking coal CEA report - CO2 database for power sector, October 2006 http://cea.nic.in/planni ng/c%20and%20e/Gov ernment%20of%20Ind ia%20website.htm
  • 37. CDM-SSC-PDD (version 02) CDM – Executive Board page 37 9 Emission factor of Eastern and Western grids CEA report - CO2 database for power sector, October 2006 http://cea.nic.in/planni ng/c%20and%20e/Gov ernment%20of%20Ind ia%20website.htm Note: The value of emission factors given in “2006 IPCC Guidelines for national green house gas inventories: Reference Manual and Natcom report is in terms of carbon unit. It is converted in terms of CO2 as explained below: Fuel Emission factor Emission factor tC/TJ tCO2/TJ Natural gas 15.3 56.1 ( 15.3 x 44/12) Non-coking coal 26.13 95.8 ( 26.13 x 44/12) Power generation Mix of Northern Region for five years Energy Source 2001-02 2002-03 2003-04 2004-05 2005-06 Total Power Generation (GWh) 150935 154544 168110 172682 180854 Total Thermal Power Generation 113817 115986 122955 126342 132522 Total Low Cost Power Generation 37117 38559 45154 46339 48332 Thermal % of Total grid generation 75.41 75.05 73.14 73.16 73.28 Low Cost % of Total grid generation 24.59 24.95 26.86 26.84 26.72 % of Low Cost generation out of Total grid generation - Average of the five most recent years 25.99 Generation details The power generation of power plants falls under Northern grid region for the past three years is given below: Name Type Fuel Generation (2003-04) GWh Generation (2004-05) GWh Generation (2005-06) GWh Anta GPS Thermal Gas 2775.92 2595.77 2806.84 Auriya GPS Thermal Gas 4247.41 4119.47 4281.67 Badarpur TPS Thermal Coal 5428.96 5462.78 5380.54 Bairasiul Hydro Hydel 687.79 689.67 790.97
  • 38. CDM-SSC-PDD (version 02) CDM – Executive Board page 38 Bhakra Complex Hydro Hydel 6956.9 4546.01 6838.78 Chamera HPS Hydro Hydel 2648.32 3452.25 3833.66 Dadri GPS Thermal Gas 5058.66 5527.71 5399.34 Dadri NCTPS Thermal Coal 6181.12 6842.52 6768.09 Dehar Hydro Hydel 3299.29 3150.52 3122.68 Dhauliganga Hydro Hydel - - 312.46 Delhi Thermal Coal 1164.11 5203.8 1559.10 Delhi Thermal Gas 5159.77 4091.37 4046.11 Faridabad GPS Thermal Gas 2792.58 3172.01 2954.64 H.P. Hydro Hydel 3666.39 3666.39 2870.48 Haryana Thermal Coal 6849.26 7192.41 8352.58 Haryana Hydro Hydel 251.73 251.73 258.30 J&K Hydro Hydel 851.03 851.03 1133.41 J&K Thermal Gas 15.41 23.51 28.31 NAPS Nuclear Nuclear 2959.44 2760.01 2138.45 Pong Hydro Hydel 1178.93 882.57 1730.70 Punjab Thermal Coal 14118.96 14390.42 14848.73 Punjab Hydro Hydel 4420.43 4420.43 4999.36 Rajasthan Thermal Coal 15044.48 17330.79 19903.79 Rajasthan Thermal Gas 201.37 360.7 432.58 Rajasthan Hydro Hydel 494.07 494.07 921.33 RAPS-A Nuclear Nuclear 1293.37 1355.2 1267.50 RAPS-B Nuclear Nuclear 2904.68 2954.43 2815.73 Rihand STPS Thermal Coal 7949.26 7988.06 10554.73 Salal Hydro Hydel 3477.42 3443.29 3480.87 Singrauli STPS Thermal Coal 15643.4 15803.34 15502.80 SJVNL Hydro Hydel 1537.92 1617.45 3867.12 Tanakpur HPS Hydro Hydel 510.99 495.17 483.26 Tanda TPS Thermal Coal 2872.81 3254.67 3329.89 U.P. Thermal Coal 20638.05 19788.21 19326.44 U.P. Hydro Hydel 2063.04 2063.04 1244.92 Unchahar-I TPS Thermal Coal 3252.14 3342.83 3544.89 Unchahar-II TPS Thermal Coal 3187.93 3438.28 3501.21 Uri HPS Hydro Hydel 2873.54 2206.71 2724.81 Uttaranchal Hydro Hydel 3452.96 3452.96 3496.87 TOTAL 168109.8 172681.6 180853.9
  • 39. CDM-SSC-PDD (version 02) CDM – Executive Board page 39 Calculation of Operating Margin Emission Factor The following table gives a step by step approach for calculating the Simple Operating Margin emission factor for Northern Regional electricity grid for the most recent 3 years at the time of PDD submission i.e.2003-2004, 2004-2005 & 2005-2006. 2003-04 2004-05 2005-06 Generation by Coal out of Total Generation (GWh) 102704.29 106451.00 112572.8 Generation by Gas out of Total Generation (GWh) 20251.12 19890.00 19949.49 Imports from others Imports from WREB (GWh) 282.02 1602.84 2153.23 Imports from EREB (GWh) 2334.76 3600.58 4112.67 Fuel 1 : Coal 2003-04 2004-05 2005-06 Avg. Calorific Value of Coal used (kcal/kg) 3820 3820 3624 Coal consumption (tons/yr) 70,397,000 73,279,000 73,279,000 Emission Factor for Coal (tonne CO2/TJ) 95.8 95.8 95.8 Oxidation Factor of Coal-IPCC standard value 1.0 1.0 1.0 COEF of Coal (tonneCO2/ton of coal) 1.532 1.532 1.454 Fuel 2 : Gas Avg. Efficiency of power generation with gas as a fuel, % 45 45 45 Avg. Calorific Value of Gas used (kcal/kg) 11,464 11,464 11,464 Estimated Gas consumption (tons/yr) 3375955 3315755 3325672.3 Emission Factor for Gas- IPCC standard value(tonne CO2/TJ) 56.1 56.1 56.1 Oxidation Factor of Gas-IPCC standard value 1.0 1.0 1.0 COEF of Gas(tonneCO2/ton of gas) 2.693 2.693 2.693 EF (WREB), tCO2/GWh 880 890 890 EF (EREB), tCO2/GWh 1050 1040 1040 EF (OM Simple), tCO2/GWh 952.98 960.85 916.99 Average EF (OM Simple), tCO2/GWh 943.60 List of power plants considered for calculating build margin During 2005-06, the total power generation in northern grid region was 180,853.94 GWh. Twenty % of total generation is about 36,170.79 GWh. The recently commissioned power plant whose summation of
  • 40. CDM-SSC-PDD (version 02) CDM – Executive Board page 40 power generation is about 37,608.63 GWh is considered for the calculation of Build margin. The list is tabulated below: S. No. Plant Date of commissioning MW Generation of the unit in 2005-2006 (GWh) Fuel Type 1 Dhauliganga unit-I 2005-2006 70 78.61 Hydro 2 Dhauliganga unit-II 2005-2006 70 78.61 Hydro 3 Dhauliganga unit-III 2005-2006 70 78.61 Hydro 4 Dhauliganga unit-IV 2005-2006 70 78.61 Hydro 5 Rihand Stage - II unit I 2004-2005 500 2593.70 Coal 6 Panipat # 7 2004-2005 250 921.46 Coal 7 Panipat # 8 2004-2005 250 1613.95 Coal 8 Chamera HEP-II (Unit 1) 2003-2004 100 567.67 Hydro 9 Chamera HEP-II (Unit 2) 2003-2004 100 567.67 Hydro 10 Chamera HEP-II (Unit 3) 2002-2003 100 567.67 Hydro 11 SJVPNL 2003-2004 1500 4104.25 Hydro 12 Baspa-II (Unit 3) 2003-2004 100 389.87 Hydro 13 Suratgarh-III (Unit-5) 2003-2004 250 2033.40 Coal 14 Kota TPS-IV (Unit-6) 2003-2004 195 1695.70 Coal 15 Baspa-II (Unit 1 & 2) 2002-2003 200 779.74 Hydro 16 Pragati CCGT (Unit II) 2002-2003 104.6 728.29 Gas 17 Pragati CCGT (Unit III) 2002-2003 121.2 843.86 Gas 18 Ramgarh CCGT Stage -II (GT-2) 2002-2003 37.5 146.80 Gas 19 Ramgarh CCGT Stage -II (GT-2) 2002-2003 37.8 147.97 Gas 20 Upper Sindh Extn (HPS)(1) 2001-2002 35 68.52 Hydro 21 Suratgarh stage-II (3 & 4) 2001-2002 500 3844.81 Coal 22 Upper Sindh Stage II (2) 2001-2002 35 68.52 Hydro 23 Malana-1 & 2 2001-2002 86 337.79 Hydro 24 Panipat TPS Stage 4 (Unit-6) 2000-2001 210 1688.29 Coal 25 Chenani Stage III (1,2,3) 2000-2001 7.5 3.88 Hydro 26 Ghanvi HPS (2) 2000-2001 22.5 69.71 Hydro 27 RAPP (Unit-4) 2000-2001 220 1432.17 Nuclear 28 Ranjit Sagar (Unit-1,2,3,4) 2000-2001 600 2012.84 Hydro 29 Gumma HPS 2000-2001 3 6.59 Hydro 30 Faridabad CCGT(Unit 1) (NTPC) 2000-2001 144 986.70 Gas 31 Suratgarh TPS 2 1999-2000 250 2112.17 Coal 32 RAPS-B (2) 1999-2000 220 1432.17 Nuclear 33 Uppersindh-2 HPS #1 1999-2000 35 68.52 Hydro 34 Faridabad GPS 1 & 2 (NTPC) 1999-2000 286 1959.71 Gas 35 Unchahar-II TPS #2 1999-2000 210 1732.60 Coal 36 Unchahar-II TPS #1 1998-1999 210 1767.20 Coal
  • 41. CDM-SSC-PDD (version 02) CDM – Executive Board page 41 Built Margin Emission Factor is calculated as per the following table: Considering 20% of Gross Generation Sector Thermal Coal Based 20003.28 Thermal Gas Based 4813.33 Hydro 9927.69 Nuclear 2864.33 Total 37608.63 Built Margin Fuel 1 : Coal Avg. calorific value of coal used in Northern Grid, kcal/kg 3624 Coal consumption, tons/yr 12952313 Emission factor for Coal,tonne CO2/TJ 95.8 Oxidation factor of coal ( IPCC standard value) 1.0 COEF of coal (tonneCO2/ton of coal) 1.454 Fuel 2 : Gas Avg. efficiency of power generation with gas as a fuel, % 45 Avg. calorific value of gas used, kcal/kg 11464 Estimated gas consumption, tons/yr 802405 Emission factor for Gas (as per standard IPCC value) 56.1 Oxidation factor of gas ( IPCC standard value) 1.0 COEF of gas(tonneCO2/ton of gas) 2.693 EF (BM), tCO2/GWh 558.13 Therefore the net baseline emission factor as per combined margin (OM + BM)/2 = 750.87 tCO2/GWh Calculation of Net power Plant Capacity kW 3000 Plant Load Factor % 87 Auxiliary consumption % 15 Net power supplied to paper mill kW 2218.5 Number of days of operation in a year 350 Number of hours of operation in a day 24 Number of hours of operation per year 8400 Gross energy generated GWh/year 21.92 Net energy generated GWh/year 18.635