PROJECT DESIGN DOCUMENT FORM (CDM PDD) - … Angang WS PDD en final 081128.pdf · PROJECT DESIGN DOCUMENT FORM (CDM PDD) ... PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 03.1.

PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 03.1.

CDM – Executive Board

page 1

CLEAN DEVELOPMENT MECHANISM

PROJECT DESIGN DOCUMENT FORM (CDM-PDD)

Version 03 - in effect as of: 28 July 2006

CONTENTS

A. General description of project activity

B. Application of a baseline and monitoring methodology

C. Duration of the project activity / crediting period

D. Environmental impacts

E. Stakeholders’ comments

Annexes

Annex 1: Contact information on participants in the project activity

Annex 2: Information regarding public funding

Annex 3: Baseline information

Annex 4: Monitoring plan



page 2

SECTION A. General description of project activity

A.1 Title of the project activity:

Angang Surplus Waste Heat Steam Generation Project

Version 4.0, 14/11/2008, revised according to methodology ACM0012, version 3

PDD history:

Version 1.0, 01/03/2007, GSP version

Version 2.0, 21/12/2007, updated following DOE site visit and receipt of DOE CAR & CR list

Version 3.0, 02/02/2008, updated following DOE comments

Version 3.1, 05/03/2008, updated following DOE comments

A.2. Description of the project activity:

Anyang Iron and Steel Co., Ltd. (AIS) is a large manufacturer of pig iron, steel, and steel products

headquartered in Henan Province of China. The objective of the Angang Surplus Waste Heat Steam

Generation Project (hereafter referred to as the Project) is to utilize the surplus low pressure and low

temperature steam from the AIS steam network. The Project will install a low temperature steam

generation unit with capacity of 15MW. The estimated annual power generation is 54.5 GWh per year,

which will be totally consumed by the iron and steel production process.

There is a large amount of residual heat generated by the process of iron and steel production. In AIS,

most residual heat has been recovered to generate steam, which has been consumed by low pressure

steam users within the facility during the winter months. However, in the spring, summer, and autumn

seasons when there is no demand for space heating, surplus steam is available. The project’s feasibility

study report showed the surplus amount to be around 69t/h. The Project will take advantage of the

surplus steam to generate 54.5GWh of electricity per year, to replace power that is imported from the

Central China Power Grid (CCPG). The CCPG is dominated by fossil fuel-fired power plants, and the

project is expected to reduce an estimated 43,614 tCO2e per year.

Besides the GHG emission reductions, the Project would contribute to local and national sustainable

development through:

♦ Reduction of air pollutants of coal fired power plants such as SO2 and TSP;

♦ Reduction of fossil fuel-based energy consumption, thus improving energy efficiency;

♦ Improvement of energy mix and energy security;

♦ Creating employment opportunities for the local community;

♦ Promoting implementation of similar activities in the region.

The estimated investment required for the project is 68.13 million RMB, of which the majority will be

provided by loans.



page 3

Although the Project Owner has been in discussion with suppliers since late 2007, project construction is

not expected to begin until October 2009 because suitable technology is not yet available. The project

timetable is therefore as follows:

Begin construction: October 2009

Begin operation: December 2010 (begin commissioning), 15/03/2011 (operation start date

once steam is available after winter space heating season)

Start of crediting period: 15/03/2011

A.3. Project participants:

Please list project participants and Party(ies) involved and provide contact information in Annex 1.

Information shall be indicated using the following tabular format.

Name of Party involved (*)

((host) indicates a host

Party)

Private and/or public entity(ies)

project participants (*)

(as applicable)

Kindly indicate if

the Party involved

wishes to be

considered as

project participant

(Yes/No)

China (host)

Anyang Iron and Steel Co., Ltd. No

United Kingdom of Great

Britain and Northern Ireland

Noble Carbon Credits Limited

(private entity) No

United Kingdom of Great

Britain and Northern Ireland

Camco International Limited

(private entity) No

(*) In accordance with the CDM modalities and procedures, at the time of making the CDM-PDD public

at the stage of validation, a Party involved may or may not have provided its approval. At the time of

requesting registration, the approval by the Party(ies) involved is required.

Note: When the PDD is filled in support of a proposed new methodology (form CDM-NM), at least

the host Party(ies) and any known project participant (e.g. those proposing a new methodology) shall

be identified.

A.4. Technical description of the project activity:

A.4.1. Location of the project activity:

A.4.1.1. Host Party(ies):

China

A.4.1.2. Region/State/Province etc.:

Henan Province



page 4

A.4.1.3. City/Town/Community etc:

Yindu District, Anyang City

A.4.1.4. Detail of physical location, including information allowing the

unique identification of this project activity (maximum one page):

The Project site will be inside the AIS steel-making plant, which is located in Yindu District, Anyang

City, Henan Province, China. The geographical coordinates are east longitude 114°10′16″ and north

latitude 36°4′17”. The location of the Project is shown in the following maps.

Map of China

Henan Province



page 5

A.4.2. Category(ies) of project activity:

The Project falls into: Sectoral Scope 1: Energy Industries and Sectoral scope 4: Manufacturing

industries

A.4.3. Technology to be employed by the project activity:

The Project process is shown in the following diagram.

A great deal of residual heat is generated by the AIS iron and steel production process. Most of this waste

heat has been recovered to generate steam and to be fed into the steam network and consumed by low

pressure steam users within AIS for process heat, cooking and space heating. However, during the spring,

summer, and autumn seasons when there is no demand for space heating, the project feasibility study

shows that around 69t/h steam remains unused. Due to its low temperature and pressure, this surplus

Map of Henan Province

Anyang City

Iron Steel Production Facilities

15 MW Steam Turbine

and power generator

Steam

6 kV Power Line

Steam Network



page 6

steam is not suitable for use in a normal steam turbine and released to the atmosphere. Because there is

no existing infrastructure to transport the waste steam to other heating projects in nearby Anyang City,

the waste steam is used only during the winter for space heating within the AIS facility where the

necessary infrastructure exists. By installation of a 15MW capacity low temperature steam turbine, the

Project will take advantage of this surplus steam to generate 54.5GWh per year of electricity, which will

be delivered out through the 6kV power line of the Xiqu 110kV transformer station.

The steam turbine and power generator will be located next to the west end of the No.2 rolling mill at the

AIS plant. The steam for generation will come from the steam network, but due to locality of operations

in this area of the plant much of the steam will be from the 120t LD converter, 2 x 150t LD converters,

one plate heating furnace and one continuous hot rolling furnace. There is no connection to the No.1

rolling mill at the far side of the plant, which is not part of the project.

The project owner is aware of the importance of ensuring that steam is used for space heating as priority

when it is required. For this reason valves will be used to prevent steam flowing to the steam turbine

during the winter months when space heating is required. The project owner has provided an official

letter confirming that these valves will remain closed whenever space heating is required.

The key equipment will be selected according to the following technical specification criteria, once a

suitable supplier can be found.

Steam turbine:

Type: N15-1.0

Rated Capacity: 15MW

Main Steam Pressure: 1 MPa

Speed: 3000 rpm

Generator:

Type: Three-phase AC synchronous generator

Rated Capacity: 15MW

Rate Voltage: 6.3kV

Speed: 3000 rpm

Rated frequency and phase: 50Hz, 3 phase

Efficiency: >98%

Cooling: Air-water cooling

Training:

Because the equipment is advanced technology in China, the project owner must conduct training for the

employees who will be responsible for operating and maintaining the equipment. Training will be

carried out at the Jigang Power Mill according to the following plan:

Position / title Number of

workers

Training

content

Training

duration

Training

location

Steam turbine

operator

5

Equipment

configuration,

operation,

maintenance, and

April 13-19,

2009

Power mill in

Jinan Iron &



page 7

trouble-shooting Steel Plant

Power generator

operator

5

Equipment

configuration,

operation,

maintenance, and

trouble-shooting

April 13-19,

2009

Power mill in

Jinan Iron &

Steel Plant

Circulated water

equipment

operator

5

Equipment

configuration,

operation,

maintenance, and

trouble-shooting

March 16-22,

2009

Power mill in

Jinan Iron &

Steel Plant

Operation

locksmith

5

Equipment

configuration

and maintenance

March 16-22,

2009

Power mill in

Jinan Iron &

Steel Plant

A.4.4 Estimated amount of emission reductions over the chosen crediting period:

The Project will use a fixed crediting period of 10 years. The estimated emission reductions would be as

follows, with no power generation occurring between mid-November and early March due to steam

usage for space heating requirements:

Years

Annual estimation of emission reductions

in tonnes of CO2e

2011 (March 15th – November 14

th) 43,614

2012 (March 15th – November 14th) 43,614



th) 43,614


th) 43,614




th) 43,614


th) 43,614


Total estimated reductions

(tonnes of CO2e)

436,140

Total number of crediting years 10

Annual average over the crediting period of

estimated reductions (tonnes of CO2e)

43,614

A.4.5. Public funding of the project activity:



page 8

There is no public funding of the Project.



page 9

SECTION B. Application of a baseline and monitoring methodology

B.1. Title and reference of the approved baseline and monitoring methodology applied to the

project activity:

The following methodology is used:

Approved consolidated baseline and monitoring methodology ACM0012 (version 3) “Consolidated

baseline methodology for GHG emission reductions for waste gas or waste heat or waste pressure based

energy system.”

The “Tool to calculate the emission factor for an electricity system,” version 1, (EB 35) is used to

calculate the emission factor.

The “Tool for the Demonstration and Assessment of Additionality,” Version 5.02, (EB 39) is used to

demonstrate the additionality of the project activity.

More information is available at:

http://cdm.unfccc.int/methodologies/PAmethodologies/approved.html.

B.2 Justification of the choice of the methodology and why it is applicable to the project

activity:

The Project activity meets the applicability criteria of the selected methodology ACM0012 as follows:

Methodology applicability criteria Project activity in accordance with the

applicability criteria

All the waste energy in identified WECM stream/s that will be utilized in the project activity, is, or

would be flared or released to atmosphere in the absence of the project activity at the existing facility.

The waste energy is an energy source for generation of electricity.

If project activity is use of waste pressure to generate

electricity, electricity generated using waste gas pressure

should be measurable.

N/A. The project does not use waste

pressure.

Energy generated in the project activity may be used

within the industrial facility or exported outside the

industrial facility.

The electricity generated by the Project

activity shall be used within the AIS


The electricity generated in the project activity may be

exported to the grid.

Although the amount of electricity

generated by the Project activity is used

within the AIS industrial facility, the Power

System in the plant to which the proposed

Project is connected is connected to the

CCPG. Consequently, electricity generated

by the Project may be exported to the grid.



page 10

Energy in the project activity can be generated by the

owner of the industrial facility producing the waste

gas/heat or by a third party (e.g. ESCO) within the


Electricity generated by the Project activity

shall be generated by AIS, which is the

owner of the industrial facility.

Regulations do not constrain the industrial facility

generating waste energy from using the fossil fuels being

used prior to the implementation of the project activity.

There are no mandatory regulations

restricting AIS from using fossil fuels prior

to the implementation of the proposed

Project activity.

The methodology covers both new and existing facilities.

For existing facilities, the methodology applies to existing

capacity. If capacity expansion is planned, the added

capacity must be treated as a new facility.

No capacity expansion is planned.

The emission reductions are claimed by the generator of

energy using waste energy

Emission reductions will be claimed by

AIS, the generator of energy using the waste

energy.

In cases where the energy is exported to other facilities, an

official agreement exists between the owners of the

project energy generation plant with the recipient plant(s)

that the emission reductions would not be claimed by

recipient plant(s) for using a zero0-emission energy source

N/A. Energy will not be exported to other

facilities.

For those facilities and recipients included in the project

boundary, that prior to implementation of the project

activity (current situation) generated energy on-site

(sources of energy in the baseline), the credits can be

claimed for minimum of the following time periods: The

remaining lifetime of equipment currently being used; and

the credit period

Credit will be claimed for emission

reductions achieved during the ten-year

crediting period.

Waste energy that is released under abnormal operation

(emergencies, shut down) of the plant shall not be

accounted for.

No credit will be claimed when waste

energy is released under abnormal operation

conditions such as emergencies or shut

downs.

In cases where waste energy recovery activities were

already implemented in other streams of WECM prior to

the implementation of the CDM project activity, the

following should be demonstrated: that there is no

decrease in energy generated from the waste energy

recovered previous to the implementation of the CDM

project activity, or in the case where there is a decrease in

energy generation from previously recovered waste

energy, it can be demonstrated that the decrease is due to a

decrease in generation of waste energy on account of the

factors not related to the project activity.

Waste energy recovery activities were

already implemented in other streams of

WECM prior to the implementation of the

CDM project. Those are separate streams

of WECM and will not affect the waste

energy stream used by the proposed project

activity. This situation shall be checked by

the DOE.

The project meets all applicability criteria of methodology ACM0012. The methodology is applicable to

the proposed Project.



page 11

B.3. Description of the sources and gases included in the project boundary

As per ACM0012, the geographical extent of the project boundary shall include the following:

1. The industrial facility where waste energy is generated

The proposed project activity uses waste energy is generated in the AIS industrial facility.

2. The facility where process heat in element process/steam/electricity/mechanical energy is

generated (generator of process heat/stream/electricity/mechanical energy). Equipment

providing auxiliary heat to the waste energy recovery process shall be included within the

project boundary;

The project boundary shall encompass the AIS facility where residual heat is generated and

recovered to generate steam. No auxiliary heat is added to the waste heat recovery process and steam

generation process.

3. The facility/s where the process heat in the element process/steam/electricity/mechanical

energy is used (the recipient plant(s)) and /or grid where electricity is exported, if applicable.

The project boundary shall encompass the AIS facility where residual heat is generated and

recovered to generate steam, which is used to generate electricity. The amount of electricity

produced is used in its entirety in the AIS facility. It is sent to the AIS Power System, which is

connected to the CCPG.

Based on the “Tool to calculate the emission factor for an electricity system” version 1, the spatial extent

of the Project is the power plants that are physically connected through transmission and distribution

lines to the Project activity. As China has published a delineation of the Project electricity system and

connected electricity system, we use the CCPG as the Project electricity system, which includes Henan

province, Hubei province, Hunan province, Jiangxi province, Sichuan province and Chongqing.1

The following table illustrates which emissions sources are included and which are excluded from the

Project boundary for determination of baseline scenario and project emissions.

Source Gas Included

? Justification / Explanation

CO2 Included Main emission source

CH4 Excluded Excluded for simplification. This is conservative.

Base

line

Electricity generation,

grid or captive source.

N2O Excluded Excluded for simplification. This is conservative.

CO2 Excluded Not applicable.

Fossil fuel CH4 Excluded Excluded for simplification. This is conservative.

1 “Announcement on determination of baseline emission factors of regional grid in China,” http://cdm.ccchina.gov.cn/web/NewsInfo.asp?NewsId=1235.



page 12

consumption in boiler

for thermal energy. N2O Excluded Excluded for simplification. This is conservative.


Fossil fuel

consumption in CH4 Excluded Excluded for simplification. This is conservative.

cogeneration plant. N2O Excluded Excluded for simplification. This is conservative.


Baseline emissions

from generation of CH4 Excluded Excluded for simplification. This is conservative.

steam used in the

flaring process, if any. N2O Excluded Excluded for simplification. This is conservative.

CO2 Excluded No auxiliary fuels will be used in the project.

CH4 Excluded Excluded for simplification.

Supplemental fossil

fuel consumption at

the project plant N2O Excluded Excluded for simplification.

CO2 Included

Supplemental electricity consumed by the project

is included in the amount of electricity supplied

by the project to AIS.

CH4 Excluded Excluded for simplification.

Supplemental

electricity

consumption.

N2O Excluded Excluded for simplification.


CH4 Excluded Excluded for simplification. This is conservative.

Pro

ject

act

ivity

Project emission from

cleaning of gas

N2O Excluded Excluded for simplification. This is conservative.

B.4. Description of how the baseline scenario is identified and description of the identified

baseline scenario:

According to the methodology ACM0012, the baseline scenario is identified as the most plausible

baseline scenario among all realistic and credible alternative(s) that would provide an output equivalent

to the combined output of all the sub-systems in the project activity scenario. Realistic and credible

alternatives are determined for relevant baseline scenarios for:



page 13

• Waste energy use in the absence of the project activity; and

• Power generation in the absence of the project activity.

The project participant shall exclude baseline options that:

• Do not comply with legal and regulatory requirements; or

• Depend on fuels that are not available at the project site.

Step 1: Define the most plausible baseline scenario for the generation of heat and electricity for the AIS

facility, which is where the waste energy is generated, where the energy is produced and where the

energy is consumed. The following baseline options are considered:

W1: WECM is directly vented to atmosphere without incineration or waste heat is released to the

atmosphere.

W2: WECM is released to the atmosphere or waste heat is released to the atmosphere.

W3: Waste energy is sold as an energy source

W4: Waste energy is used for meeting energy demand

W1: WECM is directly vented to atmosphere without incineration. Waste heat and steam cannot

be incinerated so this alternative is eliminated as being not applicable.

W2: WECM is released to the atmosphere (for example after incineration) or waste heat is

released to the atmosphere. During the spring, summer, and autumn, surplus low temperature, low

pressure steam goes unused and is directly released to the atmosphere. This complies with all legal and

regulatory requirements.

W3: Waste energy is sold as an energy source. This scenario complies with all legal and regulatory

requirements, however, there is no demand for low temperature, low pressure steam during the three

seasons of the year when there is no need for indoor heating. Even though the steam is available from

the AIS steam network and free of charge, surplus steam is unused and released to the atmosphere. This

scenario is eliminated as being unrealistic and not credible given the demonstrated lack of demand during

three seasons of the year even when surplus steam is available free of charge.

W4: Waste energy is used for meeting energy demand. This scenario complies with all legal and

regulatory requirements; however, there is no demand for low temperature, low pressure steam during the

three seasons of the year when there is no need for indoor heating. Even though the steam is available

from the AIS steam network and free of charge, around 69 t/h goes unused. This scenario is eliminated

as being unrealistic and not credible given the demonstrated lack of demand during three seasons of the

year even when available free of charge.

W5: A portion of the waste gas produced at the facility is captured and used for captive

electricity generation, while the rest of the waste gas produced at the facility is vented/flared. The

project does not use waste gas so this scenario is eliminated as being not applicable.

W6: All the waste gas produced at the industrial facility is captured and used for export

electricity generation. The project does not use waste gas so this scenario is eliminated as being not

applicable.



page 14

From the above analysis we can conclude that alternatives W1 (WECM is directly vented to

atmosphere without incineration) and W2 (WECM is released to the atmosphere (for example

after incineration) or waste heat is released to the atmosphere) are plausible baseline alternatives

for the use of waste steam.

Regarding power generation, the relevant baseline alternatives are as follows:

P1: Proposed project activity not undertaken as a CDM project activity;

P2: On-site or off-site existing/new fossil fuel fired cogeneration plant;

P3: On-site or off-site existing/new renewable energy based cogeneration plant;

P4: On-site or off-site existing/new fossil fuel based existing captive or identified plant;

P5: On-site or off-site existing/new renewable energy or other waste energy based existing captive or

identified plant;

P6: Sourced Grid-connected power plants;

P7: Captive Electricity generation using waste energy (if project activity is captive generation using

waste energy, this scenario represents captive generation with lower efficiency than the project activity.);

P8: Cogeneration using waste energy (if project activity is cogeneration with waste energy, this

scenario represents cogeneration with lower efficiency than the project activity).

P9: Existing power generating equipment (used previous to implementation of project activity for

captive electricity generation from a captured portion of waste gas) is either decommissioned to build

new more efficient and larger capacity plant or modified or expanded (by installing new equipment), and

resulting in higher efficiency, to produce and only export electricity generated from waste gas. The

electricity generated by existing equipment for captive consumption is now imported from the grid.

P10: Existing power generating equipment (used previous to implementation fo project activity for

captive electricity generation from a captured portion of waste gas) is either decommissioned to build

new more efficient and larger capacity plant or modified or expanded (by installing new equipment), and

resulting in higher efficiency, to produce electricity from waste gas (already utilized portion plus the

portion flared/vented) for own consumption and for export.

P11: Existing power generating equipment is maintained and additional electricity generated by grid

connected power plants.

P1: Proposed project activity not undertaken as a CDM project activity. This complies with all

applicable Chinese laws and regulations and is a realistic and credible baseline alternative.

P2: On-site or off-site existing/new fossil fuel fired cogeneration plant. The proposed Project is

for power generation only, therefore this option is not applicable and is excluded.

P3: On-site or off-site existing/new renewable energy based cogeneration plant. The proposed

Project is for power generation only, therefore this option is not applicable and is excluded.

P4: On-site or off-site existing/new fossil fuel based existing captive or identified plant. There is

no existing fossil fuel-based captive power plant in the AIS facility. Constructing a new fossil fuel-based

power plant is prohibited by the “Notice from the General Office of the PRC State Council on Strictly

Prohibiting Constructing Thermal Power Units with the Capacity under 135MW” (state council public

notice [2002] No.6). The proposed project activity would install a 15MW power generation unit, which

is well within the regulatory prohibition.



page 15

Existing fossil fuel based plants are connected to the power grid and identified individual plants

therefore cannot supply electricity directly to AIS. This option cannot be considered a realistic and

credible baseline alternative.

P5: On-site or off-site existing/new renewable energy based existing captive or identified plant.

There are no hydro power or wind power resources that can be developed in the area of the project

activity, and the cost of solar energy is prohibitively high. New biomass power projects under

development in Henan Province are hundreds of kilometres away, so it would not be economically

feasible to import electricity from these biomass power plants directly. Furthermore, new biomass power

plants in this area are applying for CDM registration and therefore face different technology and

economic barriers. Existing biomass power plants are connected to the CCPG and cannot therefore

supply electricity directly to the plant. Hence this option cannot be considered a realistic and credible

baseline alternative.

P6: Sourced Grid-connected power plants. This is the current situation. Power demand is met by

the electricity delivered from the local grid, which is part of the Central China Power Grid. P6 is a

realistic and credible baseline alternative.

P7: Captive Electricity generation from waste energy (if project activity is captive generation

using waste energy, this scenario represents captive generation with lower efficiency than the

project activity.) Power could be generated using the low temperature, low pressure steam in a lower

efficiency steam generator. This option would face even greater financial barriers as the financial returns

from a lower efficiency boiler would be lower than for the Project. This is because the power output

would be lower and a larger system would be needed to provide an equivalent amount of power as the

proposed project. P7 is not a realistic baseline alternative.

P8: Cogeneration using waste energy (if project activity is cogeneration with waste energy, this

scenario represents cogeneration with lower efficiency than the project activity). The proposed

Project is for power generation only; therefore this option is not applicable and is excluded.

P9: Existing power generating equipment (used previous to implementation of project activity

for captive electricity generation from a captured portion of waste gas) is either decommissioned to

build new more efficient and larger capacity plant or modified or expanded (by installing new

equipment), and resulting in higher efficiency, to produce and only export electricity generated

from waste gas. The electricity generated by existing equipment for captive consumption is now

imported from the grid. Prior to the proposed project activity, there is no existing power generating

equipment using the low temperature, low pressure steam. P9 is not applicable and is excluded.

P10: Existing power generating equipment (used previous to implementation of project activity

for captive electricity generation from a captured portion of waste gas) is either decommissioned to

build new more efficient and larger capacity plant or modified or expanded (by installing new

equipment), and resulting in higher efficiency, to produce electricity from waste gas (already

utilized portion plus the portion flared/vented) for own consumption and for export. Prior to the

proposed project activity, there is no existing power generating equipment using the low temperature,

low pressure steam, and the project does not use waste gas. P10 is not applicable and is excluded.



page 16

P11: Existing power generating equipment is maintained and additional electricity generated by

grid connected power plants. There is no existing power generating equipment using the low

temperature, low pressure steam. P11 is not applicable and is excluded.

The project does not involve heat generation or mechanical energy so no baseline scenarios for heat and

mechanical energy are considered.

From the above analysis we can conclude that the scenarios W1 (WECM is directly vented to the

atmosphere), W2 (WECM is released to the atmosphere), P1 (Proposed Project activity not undertaken as

a CDM Project activity), and P6 (Sourced Grid-connected power plants) are realistic and baseline

scenarios for power generation. All comply with legal and regulatory requirements and do not depend on

fuels that are not available at the project site.

In summary, there are two baseline alternatives:

Baseline options

Scenario Waste

energy Power

Description of situation

1 W2 P6 WECM is released to the atmosphere and electricity is obtained

from the grid.

2 W2 P1 WECM is released to the atmosphere and the Proposed Project

activity is not undertaken as a CDM Project activity

Step 2: Identify the fuel for the baseline choice of energy source taking into account the national

and/or sectoral policies as applicable

In neither scenario 1 or 2 above is a choice of baseline fuel applicable. Therefore, this step is omitted.

Step 3: Step 2 and/ or Step 3 of the latest approved version of the “Tool for the demonstration and

assessment of additionality” shall be used to identify the most plausible baseline scenario by eliminating

non-feasible options

Section B.5 shall demonstrates that scenario 2 (Proposed activity not undertaken as a CDM activity) is

not economically attractive given its equity IRR of 11.32%, which falls short of the benchmark of 13%.

The proposed project activity is financially unattractive to AIS if it is not undertaken as a CDM Project

activity. Please see Section B.5 Step 3.

Therefore only one baseline scenario remains:

Baseline options Scenario

Waste energy Power Description of situation

1 W2 P6 WECM is released to the atmosphere and electricity is

obtained from the grid.

Step 4: If more than one credible and plausible scenario remain, the alternative with the lowest

baseline emissions shall be considered as the most likely baseline scenario.



page 17

Only one baseline scenario remains so this step is not applicable.

Conclusion:

The baseline scenario has been determined to be:

Baseline Scenario

Waste

energy Power


W2 P6 WECM is released to the atmosphere and electricity is obtained from

the grid.

B.5. Description of how the anthropogenic emissions of GHG by sources are reduced below

those that would have occurred in the absence of the registered CDM project activity (assessment

and demonstration of additionality):

According to ACM0012, the additionality of the project should be assessed using the latest version of the

“Tool for the demonstration and assessment of additionality” (in this case version 5.02, EB39).

Step 1. Identification of alternatives to the project activity consistent with current laws and

regulations

Sub-step 1a. Define alternatives to the project activity:

According to the Additionality Tool, these alternatives shall include:

(a) The proposed project activity undertaken without being registered as a CDM project activity

– this is represented in Scenario 2.

(b) Other realistic and credible alternative scenario(s) that deliver comparable outputs – this is

represented by both Scenarios 1 and 2.

(c) Continuation of the current situation – this is represented by Scenario 1.

As discussed in section B.4, there are two realistic and credible baseline alternatives that provide outputs

comparable with the proposed CDM project activity:

Baseline options

Scenario Waste

energy Power


1 W2 P6 WECM is released to the atmosphere and electricity is obtained

from the grid.

2 W2 P1 WECM is released to the atmosphere and the Proposed Project

activity is not undertaken as a CDM Project activity

Outcome of Step 1a: identified realistic and credible alternative scenario(s) to the project activity are

shown in the table above.



page 18

Sub-step 1b: Consistency with mandatory laws and regulations

Both of the alternative combinations W1/P6 and W2/P1 are consistent with current mandatory laws and

regulations. The Project activity is not the only alternative amongst the ones considered above, therefore

the proposed CDM project activity passes this Step.

Outcome of step 1b:

The realistic and credible alternative scenarios to the activity are the same as for sub-step 1a above.

Step 2. Investment analysis

Determine whether the proposed project activity is not:

(a) The most economically or financially attractive; or

(b) Economically or financially feasible, without the revenue from the sale of certified emission

reductions (CERs).

Sub-step 2a. Determine appropriate analysis method

Since the Project generates benefits other than CDM-related income through the electric power that will

be produced, simple cost analysis is not employed. Instead this project will apply benchmark analysis

(Option III).

Sub-step 2b – Option III. Apply benchmark analysis

The financial indicator most suitable for the project type and decision context is the equity IRR. This

analysis is based on parameters that are standard in the market, considering the specific characteristics of

the project type.

The benchmark used by the proposed project activity is taken from a government/official source that

determines the financial feasibility of investment decisions according to economic sector. According to

“Methods and Parameters for Economic Assessment of Construction Project (version 3),” a proposed

project in the iron and steel sector is considered financially feasible only if its internal rate of return (IRR)

surpasses the sectoral benchmark IRR. Although the Project is a power generation project, AIS’s core

field, including for investment decisions, is the iron and steel industry and the investment that would

otherwise go toward the expansion of iron and steel production. The iron and steel industry sectoral

benchmark is the appropriate and relevant benchmark equity IRR, which is 13%.2

Sub-step 2c. Calculation and comparison of financial indicators (only applicable to options II and

option III)

2 National Development and Reform Commission and Ministry of Commerce. “Methodology and Parameters for

Economic Evaluation of Construction Projects,” version 3, Beijing, 2006, p. 204.



page 19

The major parameters and assumptions are listed in the following table.

Table 1. Parameters and Assumptions for Financial Assessment

Item Units Amount

Generation Capacity MW 15

Total Investment Million RMB 68.13

Ratio: Equity % 40

Loan % 60

Estimated annual delivered generation GWh/a 54.5

Tariff (excluding VAT)* RMB/kWh 0.3992

Annual O&M cost Million RMB 9.35

VAT rate % 17

Income tax rate % 33

Expected CER price € /tCO2 8.69

Lifetime Years 11

CDM Crediting Period Years 10 * The electricity tariff of RMB0.3992/kWh is based on the tariff from the approved feasibility study of

RMB0.4671/kWh, net of 17% tax.

The operation and maintenance cost includes power and water, wage & welfare and maintenance costs as

follows. Electrical power costs are included because the revenue of the project has been calculated using

gross power generation without subtracting the parasitic load of the generating plant itself. Fixed values

for power tariff and O&M costs are used because the sector benchmark is also calculated using fixed

input values. This is because in China Design Institutes are required to conduct the investment analysis

of an FSR in accordance with the guidance taken from “Method and Parameters of economic

assessment for project construction (Version 3)”, published by the NDRC and the Ministry of

Construction of China. The guidance states that tariff rates for both output and input values should be

predicted at the beginning of the operation period and that these predictable tariff rates will be fixed and

applied throughout the operation period.3

The financial indicators obtained based on the above

parameters are presented in the following Table,

including IRR with and without CER revenue.

Without CER revenue, the equity IRR of the Project

is below the benchmark at 11.32%. According to government investment guidelines, the project is not

financially attractive and the investment should not be made.

Once anticipated CER revenue is included in the financial assessment, the equity IRR of the Project is

greatly improved to 18.05%. This is well above the benchmark, which makes the Project financially

attractive.

Table 2. Comparison of IRR with and without CER revenue

3 P84 Method and Parameters (Version 3). Provided also as PDF

Power and water 3.55m RMB

Wage and welfare 1.25m RMB

Maintenance and safety 4.55m RMB

TOTAL 9.35m RMB



page 20

Item Unit Without CER revenue Benchmark With CER revenue

Total investment IRR % 11.32 13 18.05

Sub-step 2d. Sensitivity analysis (only applicable to options II and III):

The sensitivity analysis checks whether the financial attractiveness of the Project is robust to reasonable

variations in the critical assumptions, i.e., whether investment analysis could consistently support the

conclusion that the Project is unlikely to be financially attractive if not undertaken as a CDM project.

Accordingly, the sensitivity of the IRR to CER price is not included in the analysis. The factors assessed

are those which account for more than 20% of total project costs.

The following four parameters are considered in the sensitivity analysis:

1. Total investment

2. Annual generation

3. Electricity tariff

4. Annual O&M cost

The analysis shows that the IRR of the proposed project activity is most sensitive to the amount of total

investment required, which will exceed the benchmark (14.68%) if the total investment is 5% less than

expected. While reduced investment cost would be very welcome, it is highly unlikely. As previously

noted, AIS has been in discussion with technology suppliers since late 2007 without having found

suitable equipment, and construction is not expected to begin until October 2009. Lower than anticipated

total investment is highly unlikely, and it would be unreasonable to expect the project’s equity IRR to

reach the benchmark.

The IRR is also sensitive to the annual output and electricity tariff; note that variations in these two

parameters cause the IRR to change in identical fashion. If the project should over-perform by 5%, the

IRR will surpass the benchmark (14.48%) and the project would become financially attractive. This is

unlikely to happen given the difficulty of generating power with low temperature, low pressure steam,

which suffers from low efficiency. This is due to the ease of steam re-condensation, as well as the

inability to use the steam in a normal steam turbine. The project requires a specially designed turbine,

operated by staff that must be trained to maintain and run it. The project feasibility study anticipates the

project’s smooth operation for 5500 hours (out of a maximum of 6570 hours of the year when there is

surplus steam), which is ambitious and optimistic. Yet, if the operational level foreseen in the feasibility

study can be attained, the project’s equity IRR will still fall short of the benchmark. The likelihood that

the project will overperform is very low. In parallel, cost savings from the electricity tariff will reflect

the amount of annual power generation. Power tariffs for each Province are set by the government and

although they can change from year to year, they are unlikely to fluctuate beyond the rate of inflation,

which the government seeks to control in the interest of social stability. At the time that the decision was

taken to invest in the project, the expectation was that the tariff would not change significantly from

current levels.

Annual operation costs would need to be 10% less than estimated for this parameter to exceed the

project’s benchmark. Given the lack of previous experience with this project type anywhere in the



page 21

region of the CCPG, there are no relevant case studies of actual costs based on operational experience.

The estimated operation cost is based on the unit cost of power and water inputs, wages and welfare,

maintenance and safety and the project owner cannot rely on these estimates being lower than expected

to justify proceeding with the project.

Sensitivity Analysis

0123456789

1011121314151617181920

-10% -5% 0% 5% 10%

% Change

Total Investment

Annual Output

Electricity Tariff

Annual Operation Costs

Figure 1. Sensitivity analysis of the Equity IRR

Outcome of Step 2:

The sensitivity analysis shows that the project’s equity IRR is sensitive to several parameters. However,

it is highly unlikely that these parameters will in fact enable the project to be profitable. Prior to project

implementation, the reasonable expectation is that the project equity IRR will be unable to reach the

benchmark.



page 22

Step 3. Barrier analysis

Omitted because additionality ahs been demonstrated through investment analysis.

Step 4. Common practice analysis

Sub-step 4a. Analyze other activities similar to the proposed project activity:

There are over 20 iron and steel plants in Henan province alone, of which AIS is the largest. No other

similar plant utilizes surplus waste heat for power generation in their operations. Use of low-pressure and

temperature steam for power generation is generally very rare in an industrial context. There are no

similar projects at iron and steel plants anywhere on the Central China Power Grid, including the

provinces of Henan, Hubei, Jiangxi, Hunan, Sichuan and Chongqing city. The Project is the first of its

kind in the CCPG.

Sub-step 4b. Discuss any similar options that are occurring:

There are no similar project activities being undertaken in the CCPG region. This supports the

conclusion of Step 2 and Step 3 that the Project is not financially attractive and faces prohibitive barriers.

B.6. Emission reductions:

B.6.1. Explanation of methodological choices:

Baseline Emissions (BEy)

The baseline emissions for the year y shall be determined as follows:

yflstyEny BEBEBE ,, +=

Where:

BEy: The total baseline emissions during the year y in tons of CO2;

BEEn,y: The baseline emissions from energy generated by project activity during the year y in tons of CO2;

BEflst,y: Baseline emissions from steam generation, if any, using fossil fuel, that would have been used

for flaring the waste gas in absence of the project activity (tCO2e per year), calculated as per

equation 1c. This is relevant for those project activities where in the baseline steam is used to

flare the waste gas.

As in the baseline, there is no waste gas and no steam used to waste gas. Therefore, BEflst,y=0, and



page 23

yBE = yEnBE , .

The calculation of baseline emissions depends on the identified baseline scenario. Since the proposed

project involves only generation of electricity the baseline emissions for the proposed project are

determined as follows:

yTheryElecyEn BEBEBE ,,, +=

Where:

BEElec,y : Baseline emissions from electricity during the year y in tons of CO2;

BETher,y : Baseline emissions from thermal energy (due to heat generation by element process)

during the year y in tons of CO2

As there is no heat generation in the proposed project, BETher,y,=0. Therefore yEnBE , = BEElec,y.

(a.i) Baseline emissions from electricity (BEelectricity,y) Type-1 activities:

∑∑=j i

yjiElecyjiwcmcapyElec EFEGffBE )*(** ,,,,,,

Where:

BEElec,y Baseline emissions due to displacement of electricity during the year y in tons of CO2;

EGi,j,y The quantity of electricity supplied to the recipient j by generator, which in the absence of the

project activity would have been sourced from ith source (i can be either grid or identified

source) during the year y in MWh. In this case auxiliary electricity consumption has already

been deducted from the gross electricity generation; and

EFElec,i,j,y The CO2 emission factor for the electricity source i (i=gr (grid) or i=is (identified

source)), displaced due to the project activity, during the year y in tons CO2/MWh;

fwcm Fraction of total electricity generated by the project activity using waste energy. This fraction

is 1 if the electricity generation is purely from use of waste energy. Note: for this project,

electricity is purely generated from surplus, low temperature and pressure steam, hence, fwg =

1.

fcap Energy that would have been produced in project year y using waste energy generated in base

year expressed as a fraction of total energy produced using waste source in year y. The ratio is

1 if the waste energy generated in project year y is same or less than that generated in base

year. The value is estimated using in the section Capping Baseline Emissions below.

BEElec,y = 0.8027 * 1 * 54,500 MWh * 0.9970 t CO2/MWh = 43,614 t CO2

Calculation of EFElec,gr,j,y

For the proposed project, the displaced electricity is supplied by a connected grid system. According to

ACM0012, the CO2 emission factor of the electricity EFelec,gr,j,y shall be determined following the

guidance provided in the “Tool to calculate the emission factor for an electricity system.”



page 24

Step 1. Identify the relevant electric power system

The project electricity system is defined as the spatial extent of the power plants that are physically

connected through transmission and distribution lines to the project activity and that can be dispatched

without significant transmission constraints. The Chinese DNA has published a delineation of the

project electricity system. The relevant electric power system is the Central China Power Grid (CCPG),

which consists of Henan province, Hubei province, Hunan province, Jiangxi province, Sichuan province

and Chongqing municipality.

The operating margin emission factor may be determined using one of the following four options:

(a) 0 tCO2/MWh, or

(b) The weighted average operating margin (OM) emission rate of the exporting grid; or

(c) The simple operating margin emission rate of the exporting grid; or

(d) The simple adjusted operating margin emission rate of the exporting grid.

This project activity will employ option (c) to calculate the OM emission factor of the CCPG.

Step 2. Select an operating margin (OM) method

The calculation of the operating margin emission factor (EFgrid,OM,y) is based on one of the following

methods:

a) Simple OM

b) Simple adjusted OM

c) Dispatch data analysis OM

d) Average OM

It is appropriate to use the “Simple OM” to calculate the Operating Margin emission factor (EFOM,y) for

the following reasons:

• In China, the detailed dispatch information is not publicly available;

• According to the China Electric Power Yearbook (2003-2007), the CCPG is a coal-dominated

power grid. The installed capacity of low cost and must run plants account for 35.95%, 43.81%,

37.89%, 38.60% and 35.12% of total capacity in 2002, 2003, 2004, 2005 and 2006 respectively,

is less than 50%.

For simple OM, the emission factor can be calculated using either of the two following data vintages:

Ex ante option: A 3-year generation weighted average, based on the most recent data available at the time

of submission of the CDM-PDD for validation, without requirement to monitor and recalculate the

emissions factor during the crediting period, or

Ex post option: The year in which the project activity displaces grid electricity, requiring the emission

factor to be updated annually during monitoring. If the data required calculating the emission factor for

year y is usually only available later than six months after the end of year y.

The “ex ante” will be used for OM calculation of the project.



page 25

Step 3. Calculate the operating margin emission factor according to selected method.

According to the “Tool to calculate the emission factor for an electricity system”, the Simple OM

emission factor is calculated as the generation-weighted average CO2 emissions per unit net electricity

generation (tCO2/MWh) of all generating power plants serving the system, not including low-operating

cost / must-run power plants / units. It may be calculated:

• Based on data on fuel consumption and net electricity generation of each power plant/unit (Option A)

• Based on data on net electricity generation, the average efficiency of each power unit and the fuel

type(s) used in each power unit (Option B)

• Based on data on the total net electricity generation of all power plants serving the system and the

fuel types and total fuel consumption of the project electricity system (Option C)

Data on fuel consumption, power generation and average efficiency of individual power stations is not

publicly available in China. Therefore, Option C is used and the following formula is employed:

y

i

yiCOyiyi

yOMsimplegridEG

EFNCVF

EF∑ ××

=

,,2,,

,,

Where:

yOMsimplegridEF ,, Simple operating margin CO2 emission factor in year y (tCO2/MWh)

FCi,y Amount of fossil fuel type i consumed in the project electricity system in year y

(mass or volume unit),

NCVi,y Net calorific value (energy content) of fossil fuel type i in year y (GJ/mass or volume

unit)

EFCO2,i ,y CO2 emission factor of fossil fuel type i in year y (tCO2/GJ)

EGy Net electricity generated and delivered to the grid by all power sources serving the

system, not including low-cost / must-run power plants / units, in year y (MWh)

i All fossil fuel types combusted in power sources in the project electricity system in year

y,

y Either the three most recent years for which data is available at the time of submission of

the CDM-PDD to the DOE for validation (ex-ante option) or the applicable year during

monitoring (ex post option), following the guidance on data vintage in step 2

Based on data and calculations from the Chinese DNA (see Annex 3), the OM Emission Factor of the

CCPG is 1.27834 tCO2/MWh.

Step 4: Identify the cohort of power units to be included in the build margin

The sample group of power units m used to calculate the build margin consists of either:

(a) the set of five power plants that have been built most recently, or

(b) the set of power capacity additions in the electricity system that comprise 20% of the system

generation (in MWh) and that have been built most recently;



page 26

The set of power units that comprise the larger annual generation should be used. Option (b) is the

appropriate choice.

In terms of the vintage of the data, the proposed project activity selects Option 1: For the first crediting

period, the build margin emission factor is calculated ex-ante based on the most recent information

available on units already built for sample group m at the time of CDM-PDD submission to the DOE for

validation. This option does not require monitoring the emission factor during the crediting period.

Step 5: Calculate the build margin emission factor

The build margin emissions factor is the generation-weighted average emission factor (tCO2/MWh) of all

power units m during the most recent year y for which power generation data is available, calculated as

follows:

∑

∑ ×

=

m

ym

m

ymELym

yBMgridEG

EFEG

EF,

,,,

,,

Where:

EFgrid,BM,y Build margin CO2 emission factor in year y (tCO2/MWh)

EGm,y Net quantity of electricity generated and delivered to the grid by power unit m in year y

(MWh)

EFEL,m,y CO2 emission factor of power unit m in year y

m Power units included in the build margin

y Most recent historical year for which power generation data is available

Following guidance issued by the CDM Executive Board in response to a request for guidance from an

accredited DOE on the determination of the Build Margin in methodology AM0005 in China, EFBM,y is

calculated as the capacity weighted average emissions factor of new installed capacity rather than the

generation weighted factor. Furthermore, it is suggested in the same guidance note that the efficiency

level of the best technology commercially available in the provincial/regional or national grid of China

shall be used as a conservative proxy for each fuel type in estimating the fuel consumption when

calculating the Build Margin. This approach is employed to determine the Build Margin.

Because capacities of technologies using coal, oil and gas cannot be separated from the total thermal

power generation using available data, the following method is used for the calculation: first, use the

most recent one year available energy balance data and calculate percentages of CO2 emissions of power

generation using solid, liquid and gas fuel in the total CO2 emission. Second, calculate grid thermal

power emission factors, using the percentages (as weights) and emission factors of technologies

corresponding to best available efficiencies. Lastly, the thermal power emission factor is multiplied by

the percentage of thermal power in the newest 20% capacity in the grid, and the result is the Build

Margin emission factor of the grid.

The steps and equations are as follows:



page 27

1: Calculate percentages of CO2 emission of power generation using solid, liquid and gas fuel in total

CO2 emissions.

, , ,

,

, , ,

,

i j y i j

i COAL j

Coal

i j y i j

i j

F COEF

F COEFλ

∈

×

=×

∑

∑

, , ,

,

, , ,

,

i j y i j

i OIL j

Oil

i j y i j

i j

F COEF

F COEFλ

∈

×

=×

∑

∑

, , ,

,

, , ,

,

i j y i j

i GAS j

Gas

i j y i j

i j

F COEF

F COEFλ

∈

×

=×

∑

∑

Where:

Fi ,j, amount of fuel i (tce) consumed by power plants m in year y,

COEFi,j y CO2 emission coefficient of fuel i (tCO2 /tce), taking into account the carbon content of

the fuels used by power plants m and the oxidation percent of the fuel in year(s) y,

COAL, OIL and GAS refers to coal fuel, oil fuel and gas fuel in the subscript set.

2: Calculate thermal emission factor

, , ,Thermal Coal Coal Adv Oil Oil Adv Gas Gas AdvEF EF EF EFλ λ λ= × + × + ×

Where:

EFCoal,Adv, EFOil,Adv and EFGas, Adv are emission factors corresponding to commercially optimal efficient

power generation technology using coal, oil and gas.

3. Calculate the BM of the Grid

,Thermal

BM y Thermal

Total

CAPEF EF

CAP= ×

Where:

TotalCAP is the new added total capacity,

ThermalCAP is the new added thermal power capacity.

The data used to calculate OM and BM emission factors are all publicly available. The generation data

and average self consumption rate data are from the publicly available China Electric Power Yearbooks.

The data of fuel consumption per electricity generated and net calorific values of fuels are from the

China Energy Statistical Yearbooks. The OXIDi and EFCO2,i data by fuels are from the “2006 IPCC



page 28

Guidelines for National Greenhouse Gas Inventories,” Volume 2 Energy.

The 600 MW sub critical coal fired unit is considered to be the best advanced coal fired generation

technology in China. According to the announcement “China's Regional Grid Baseline Emission Factors

Renewed,” the weighted average of coal consumption per kWh supplied by 30 newly built 600 MW sub

critical units in 2006 is adopted to determine the emission factor of the best advanced coal fired

generation technology, which is 329.94gce/kWh. In other words, the efficiency of the best advanced coal

fired generation technology is 37.28%. The maximum electricity supplied efficiency of oil and gas fired

generation plants are regarded as approximate estimations of commercially optimal efficiency

technology. Similarly, the fuel consumption per kWh supplied of best advanced oil and gas fired

generation technology is determined to be 252 gce/kWh, which means a generation efficiency of 48.81%.

Based on calculation from the China DNA (see Annex 3), the BM Emission Factor of the CCPG is

0.7156 tCO2/MWh.

Step 6. Calculate the combined margin emissions factor

The combined margin emissions factor is calculated as follows:

BMyBMgridOMyOMgridyCMgrid EFEFEF ωω ×+×= ,,,,,,

Where:

EFgrid,OM,y Operating margin CO2 emission factor in year y (tCO2/MWh)

EFgrid,BM,y Build margin CO2 emission factor in year y (tCO2/MWh)

wOM Weighting of operating margin emissions factor (%)

wBM Weighting of build margin emissions factor (%)

The following default values are used for wOM and wBM,: wOM = 0.5 and wBM = 0.5:

EFgrid,CM,y = (1.2899 x 0.5) + (0.6592 x 0.5) = 0.9970 tCO2/MWh

Capping of baseline emissions

As a measure of conservativeness, ACM0012 requires that baseline emissions be capped. Two methods

are outlined in the methodology for calculating this. For the proposed project, method 1 is chosen as this

proposed project activity does not use waste pressure to generate electricity and is not implemented in a

new facility.

Method 1: The baseline emissions are capped at the maximum quantity of waste gas flared/combusted or

waste heat released into the atmosphere under normal operation conditions in the 3 years previous to the

project activity. According to the methodology, fcap is estimated according to Case 3 (where waste energy

is recovered in the form of enthalpy), as follows:

),(,

),(,

refyWCMyxWCM

refBLWCMBLxWCMcap

HHQ

HHQf

−

−

=



page 29

Where:

QWCM,BL Average quantity of WECM released (or flared or wasted) in atmosphere in three years

prior to the start of the project activity. (mass unit (kg) of WECM or other relevant unit).

QWCM,,y Quantity of WECM used for energy generation during year y (mass unit (kg));

HWCM,BL Average enthalpy of WECM in three years prior to the start of the project activity (kJ/kg

or any other appropriate unit).

HWCM,y Average enthalpy of WECM in year y (kJ/kg or any other appropriate unit).

Href Reference enthalpy to be used to determine available energy in WECM (0kJ/kg or other

appropriate enthalpy with proper justification)

The average amount of surplus steam released to the atmosphere in the three years prior to the start of the

project activitiy (2006-2008) was 118 t/h; QWCM,BL = 118 t/h.

The quantity of WECM used for energy generation during year y shall be monitored. For the purposes of

this ex ante estimate, we take the amount of surplus waste steam in 2008; QWCM,,y = 147 t/h.

The Average enthalpy of WECM in the three years prior to the start of the project activity is 2783kJ/kg;

HWCM,BL = 2783 kJ/kg.

The average enthalpy of WECM in year y shall be monitored. For the purposes of this ex ante estimate,

the project assumes that the figure will remain constant; HWCM,y = 2783 kJ/kg.

The reference enthalpy used to determine available energy in WECM shall be 0 kJ/kg, i.e., Href = 0.

Therefore, fcap = 0.8027

Project Emissions (PEy)

The GHG emissions induced by the project activity can be calculated according to the following formula:

PEy = PEAF,y + PEEL,y + PEEL,Import,y

Where:

PEy Project emissions due to project activity;

PEAF, y Project activity emissions from on-site consumption of fossil fuels by the cogeneration

plant(s), in case they are used as supplementary fuels, due to non-availability of waste

energy to the project activity or due to any other reason. There is no cogeneration plant

so this parameter is not applicable.

PEEl, y Project activity emissions from on-site consumption of electricity for gas cleaning

equipment. There is no gas cleaning equipment so this parameter is not applicable.



page 30

PEEL,Import,y Project activity emissions from on-site consumption of electricity for gas cleaning

equipment. There is no gas cleaning equipment so this parameter is not applicable.

Therefore, Project Emissions (PEy ) are equal to zero.

Leakage

According to ACM0012, no leakage is applicable under this methodology.

Emission Reductions (ERy)

The emission reductions, ERy, from the project activity during a given year y is the difference between

the baseline emissions and project emissions (PEy), as follows:

yyy PEBEER −=

Where:

ERy Total emissions reductions during the year y in tons of CO2

BEy Emissions from the project activity during the year y in tons of CO2

PEy Baseline emissions for the project activity during the year y in tons of CO2, applicable to

Scenario 2

Since the project emission and leakage are both zero, the emission reductions of the proposed project are

equal to the baseline emission.

ERy = BEy = 43,614 t CO2

B.6.2. Data and parameters that are available at validation:

Data and parameters not monitored

Data / Parameter: fwg

Data unit: None

Description: Fraction of total energy generated by the project activity using WECM

Source of data used: Default value

Value applied: 1



page 31

Justification of the

choice of data or

description of

measurement methods

and procedures

actually applied :

No fossil fuel can or will be used to run the steam turbines. Therefore the

fraction of WECM is always 1.

Any comment: None

Data / Parameter: fcap

Data unit: None

Description: Energy that would have been produced in year y using WECM generated in

base year expressed as a fraction of total energy produced using WECM in year

y

Source of data used: Last 3 years’ data as baseline ; FSR expected quantity as estimation of WECM

production in year y

Value applied: 0.8027


choice of data or

description of

measurement methods

and procedures

actually applied :

Last 3 years data is best available for the baseline. FSR expected quantity is

best estimate of expected WECM availability during each year of project.

Any comment: Calculation described in section B.6.1

Data / Parameter: QWCM,BL

Data unit: Tons / hour (t/h) of WECM

Description: Average quantity of WECM released to atmosphere in the three years prior to

the start of the project activity.

Source of data used: Feasibility study

Value applied: 118 t/h


choice of data or

description of

measurement

methods and

procedures actually

applied :

The value is based on the average of the three most recent years of data for

which a full year’s steam quantity was available at the time of PDD writing.

Any comment: The quantity of surplus steam over the last three years (118 t/h) is greater than



page 32

the amount of surplus steam noted in the feasibility study (69 t/h). Because the

methodology requires three-year data, the project will use the more recent,

three-year data rather than the FSR data.

Data / Parameter: Href

Data unit: kJ / kg

Description: Reference enthalpy to be used to determine available energy in WECM.

Source of data used: Methodology ACM0012

Value applied: 0


choice of data or

description of

measurement

methods and

procedures actually

applied :

According to the methodology, the value used should be 0 kJ/kg. Another

appropriate enthalpy can be used if proper justification is provided.

Any comment:

Data / Parameter: HWCM,BL

Data unit: kJ / kg

Description: Average enthalpy of WECM in the three years prior to the start of the project

activity.

Source of data used: AIS / project owner

Value applied: 2783


choice of data or

description of

measurement

methods and

procedures actually

applied :

According to AIS, the enthalpy of saturated waste heat steam from the steel

production process is 2783kJ/kg at 1.2 MPa pressure.

Any comment:

Data / Parameter: EFy

Data unit: tCO2/MWh

Description: CO2 Emission factor of CCPG

Source of data used: EFOM, y and EFBM, y data and calculations – see below.



choice of data or

description of

measurement

methods and

Data to calculate EFOM, y and EFBM, y is from official government sources.

These parameters are used to calculate EFy as an equally weighted average.



page 33

procedures actually

applied :

Any comment:

Data / Parameter: EFOM, y

Data unit: tCO2 / MWh

Description: CO2 Operating Margin Emission factor of CCPG

Source of data used: China Energy Statistical Yearbooks (2004-2006), China Electric Power

Yearbook (2004-2006), Revised 2006 IPCC Guidelines for National

Greenhouse Gas Inventories.



choice of data or

description of

measurement methods

and procedures

actually applied :

The Operating Margin data of the CCPG is updated and published annually by

the government of China. The Tool stipulates that the Revised 1996 IPCC

Guidelines must be used. However, this calculation is based on those of the

Chinese DNA’s most recent published data and calculations, which use IPCC

2006 default values. Data and calculations comply with the Tool.

Any comment: See Annex 3 for data and calculation method.

Data / Parameter: EFBM, y

Data unit: tCO2 / MWh

Description: CO2 Build Margin Emission factor of CCPG

Source of data used: China Electric Power Yearbooks (2003, 2004,2006), China Energy Statistical

Yearbook (2005), The General Code for Comprehensive Energy Consumption

Calculation (Chinese National Standard GB2589-90), Revised 2006 IPCC

Guidelines for National Greenhouse Gas Inventories



choice of data or

description of

measurement methods

and procedures

actually applied :

The relevant data of the CCPG is updated and published annually by the

government of China. Because data on the five power plants built most

recently are not available in China, an Executive Board-approved deviation is

implemented. Accordingly, the fuel consumption for the best commercially

available technology and the share of incremental installed capacity of fuel-

fired power in the whole incremental installed capacity are used as parameters

for BM calculation.

Any comment: See Annex 3 for data and a description of the calculation method.

Data / Parameter: Fi j,y

Data unit: t(m3)

Description: The total amount of fossil fuels i used by power plants of province j in year y

Source of data used: China Electric Statistical Yearbook

Value applied: Refer to Annex 3


choice of data or

description of

The data is from official channels



page 34

measurement

methods and

procedures actually

applied :

Any comment:

Data / Parameter: GENj,y

Data unit: GWh

Description: The electricity generated by power plants of province j in year y

Source of data used: China Electric Power Year



choice of data or

description of

measurement methods

and procedures

actually applied :

The data is from official channels

Any comment:

Data / Parameter: ConsumptionAux

Data unit: %

Description: auxiliary electricity consumption rate for power plants of province j

Source of data used: China Electric Power Yearbook



choice of data or

description of

measurement methods

and procedures

actually applied :

The data is from China Electric Power Yearbook which is reliable

Any comment:

Data / Parameter: OXIDj

Data unit: %

Description: Oxidation factor of power generation fuel

Source of data used: IPCC



choice of data or

description of

measurement

methods and

procedures actually

IPCC default value is used because no national specific data is publicly issued.



page 35

applied :

Any comment:

Data / Parameter: NCVj

Data unit: MJ/t (kJ/m3)

Description: Net caloric value

Source of data used: IPCC



choice of data or

description of

measurement

methods and

procedures actually

applied :


Any comment:

Data / Parameter: EFco2,i,y

Data unit: tCO2/GJ

Description: CO2 emissions coefficient of fuels used in connected grids

Source of data used: IPCC default vaules



choice of data or

description of

measurement

methods and

procedures actually

applied :


Any comment:

Data / Parameter: CAPj

Data unit: MW

Description: Newly installed capacity of many kinds of fuel in CCPG

Source of data used: China Electric Power Year Book



choice of data or

description of

measurement

methods and

procedures actually

applied :

The data is from official channels.

Any comment:



page 36

Data / Parameter: Effj

Data unit: %

Description: Power generation efficiency by current commercially usable technology of

many kinds of fuel i in CCPG.

Source of data used: China CDM DNA



choice of data or

description of

measurement

methods and

procedures actually

applied :

According to an EB deviation, the efficiency value used is the maximum of all

representative technologies. This follows a conservative principle.

Any comment:

B.6.3 Ex-ante calculation of emission reductions:

As stated in section B.6.1, the emission reduction of the proposed project is equal to the baseline scenario

emissions, which are given as:

BEy = BEElec,y = 0.8027 * 1 * 54,500 MWh * 0.9970 t CO2/MWh = 43,614 t CO2

The CCPG emission factor in the baseline scenario is 0.9970 tCO2/MWh, which is determined ex-ante by

China’s CDM DNA. It will be fixed during the first crediting period. According to feasibility study

report of the proposed project, the electricity delivered is designed to be 54.5GWh per year.

Therefore, the annual emission reduction of the proposed project is estimated to be: 43,614 tCO2e.

B.6.4 Summary of the ex-ante estimation of emission reductions:

The estimated emission reduction of the Project during its 10 year fixed crediting period is as follows:

Year Estimation of

project activity

emissions

(tonnes of CO2e)

Estimation of

baseline

emissions

(tonnes of CO2e)

Estimation

of

leakage

(tonnes of

CO2e)

Estimation of

overall emission

reductions

(tonnes of CO2e)

2011 (15 Mar – 14 Nov) 0 43,614 0 43,614

2012 (15 Mar – 14 Nov) 0 43,614 0 43,614

2013 (15 Mar – 14 Nov) 0 43,614 0 43,614

2014 (15 Mar – 14 Nov) 0 43,614 0 43,614

2015 (15 Mar – 14 Nov) 0 43,614 0 43,614

2016 (15 Mar – 14 Nov) 0 43,614 0 43,614



page 37

2017 (15 Mar – 14 Nov) 0 43,614 0 43,614

2018 (15 Mar – 14 Nov) 0 43,614 0 43,614

2019 (15 Mar – 14 Nov) 0 43,614 0 43,614

2020 (15 Mar – 14 Nov) 0 43,614 0 43,614

Total

(tonnes of CO2e)

0 436,140 0 436,140

B.7 Application of the monitoring methodology and description of the monitoring plan:

B.7.1 Data and parameters monitored:

Data and parameters monitored

Data / Parameter: QWCM,,y

Data unit: t/h

Description: Quantity of WECM used for energy generation during year y

Source of data: Generators of energy

Value applied: 147

Measurement

procedures (if any):

Direct Measurements by project participants through flow meter.

Monitoring frequency: Continuously

QA/QC procedures: Flow meter to be regularly maintained and calibrated.

Any comment: The ex ante estimated value of 147 t/h is based on the amount of surplus

steam during the latest year for which a full year’s data was available at the

time of PDD writing.

Data / Parameter: HWCM,y

Data unit: kJ/kg

Description: Average enthalpy of WECM in year y

Source of data: To be referred from the engineering data books (e.g., steam tables)

Value applied: 2783

Measurement

procedures (if any):

Temperature shall be measured using a thermal couple and pressure readings

will be taken using a pressure meter to determine steam enthalpy.

Monitoring frequency: Temperature and pressure measured daily, averaged yearly. Determine

enthalpy at average temperature and pressure of WECM.

QA/QC procedures:

Any comment: The ex ante value used here is the enthalpy of saturated waste heat steam

from the steel production process at 1.2MPa pressure.

Data / Parameter: EG,i,j,y

Data unit: MWh

Description: Quantity of electricity supplied to the recipient plant j by the project activity

during the year y in MWh



page 38

Source of data to be used: Electricity meter at recipient site and generation plant

Value of data applied for

the purpose of calculating

expected emission

reductions in

section B.5

54,500 MWh/yr

Description of

measurement methods

and procedures to be

applied:

The total generation will be measured continuously and automatically by the

Distribution Control System (DCS) of the plant at the connection point to

the transformer station, which will be recorded and collected daily, and

archived in electronic form every month by the CDM workgroup. The

electricity meter has an accuracy rating of 0.2s. The calibration standard is

JJG596-1999, and will be calibrated accordingly in a nine-step process:

(1) Anti-pressure test conducted under working level frequency (50 Hz).

(2) Visual inspection while switching on of electricity meter

(3) Start-up test to detect movement under non-working conditions.

(4) Electricity meter adjustment

(5) Determination of basic error in electric energy measurement

(6) Estimation of standard error for electric energy measurement

(7) Determination of time error over the course of a day and switching

among peak, flat, and bottom usage periods.

(8) Determination of required quantity error

(9) Determination periodic error of required quantity

Data measurement: The electricity meters and DCS computer will both

measure the total electricity generated.

Data recording: Data will be recorded by the electricity meters (on-line) and

the DCS computer.

Data archiving: Data will be archived by hand (by the Data Collector) and

by the DCS computer.

Monitoring frequency: Monthly

QA/QC procedures to be

applied:

The meters and DCS system will be regularly maintained following the

relevant regulation and standard. Highly accurate meters (0.2s rating) will

be used.

Any comment: This quantity is already net of auxiliary used in the project activity. There is

no waste gas and so no gas cleaning.

Data / parameter: EFCO2,EL,y

Data unit: tCO2/MWh

Description: CO2 emission factor for electricity consumed by the project activity in year y

Source of data: Combined Margin emission factor determined as per the “Tool to calculate

the emission factor for an electricity system”

Value of data applied for

the purpose of calculating

expected emission

reductions in section B.6

0.9970, see Annex 3



page 39

Measurement procedures

(if any):

None

Monitoring frequency: Annual

QA/QC procedures: None

Any comment: Grid factor same as EFy in Section B.6.2

B.7.2 Description of the monitoring plan:

1. Monitoring organization

The project owner will set up a special CDM group to take charge of data collection, supervision,

verification and recording. The group director will be trained and supported in technology by the CDM

consultant. The organization of the monitoring group is as follows:

Data Check Meter Supervisor Data Recorder

Director of CDM Group CDM Consulting Agency

Legal Representative

2. Monitoring procedure

The following parameters shall be monitored:

A. Quantity of steam used for power generation, and steam enthalpy.

The quantity of steam used shall be measured using a flow meter. The steam enthalpy shall be monitored

by recording the pressure and temperature of the steam from the AIS steam network, or the value in units

of kcal/kg, or kJ/kg, shall be measured and recorded as noted in Section B.7.1.



page 40

B. Electricity supplied by the project

The electricity supplied by the project will be calculated as the difference between the total electricity

generated and the auxiliary electricity consumption of the power generating equipment. The EGGEN and

EGAUX shall be measured continuously and automatically by electricity meters and the DCS computer.

Equipment calibration, data measurement, recording and archiving will be carried out as described in

Section B.7.1.

3. Training, Record Keeping, Error handling and Reporting Procedures

Training

Members of staff who are involved in the CDM project will be given training on the CDM and reporting

requirements, prior to registration of the project. New members of staff joining the CDM project team

will also be given training in relation to their responsibilities. Full training procedures and a training

plan will be detailed in the CDM Manual.

Record Keeping and Internal Reporting Procedure

The CDM group appointed by the project owner should keep the monitoring data in electronic archives at

the end of every month, electronic documents should also be printed, to archive as a written document.

Written documents, such as maps, forms, EIA reports etc, should be used with a monitoring plan to check

the authenticity of the data. All of the written data and information should be kept in the archives by the

CDM group; all of the documents should have a backup copy. All of the data should be saved for 2 years

after the crediting period.

Error Handling Procedure

In the event that a meter has lost calibration over the allowable error limit then this shall be corrected at

the earliest opportunity and re-calibrated and the data recorded from this meter since the last successful

calibration shall be ignored.

In the event that there is uncertainty over the accuracy of the data set for net electricity generated from

the main meter (e.g. the meter has lost calibration over the acceptable error limit) then the data from the

back-up meter shall be used.

The check of the CDM Project Officer and then the third party verifier prior to issuance of the CERs is

considered adequate for errors in the calculations. Where errors in the calculations are discovered by

either of these Parties, the monitoring report shall be modified and the corrected version shall be

resubmitted to the verifier.

External Reporting Procedure

After signing by the CDM Project Officer, the report is sent to the 3rd party verifier who is contracted to

verify the emissions reductions during the crediting period of the project.

Procedure for corrective actions arising



page 41

The CDM Project Officer is responsible for identifying corrective actions arising from the above

procedures and for liaising with the purchaser, the 3rd party verifiers and other stakeholders to take

necessary steps to implement the corrective actions.

B.8 Date of completion of the application of the baseline study and monitoring methodology

and the name of the responsible person(s)/entity(ies)

The application of the methodology to the proposed project was completed on October 17, 2008 by the

following person(s) and organization:

Name Project Participant (Yes / No)

Sophie Chou

Andrew Prag

CAMCO International

14th Floor, Lucky Tower A, No. 3 North Road,

East 3rd Ring Road, Chaoyang District,

Beijing 100027, P.R. China

Tel: +86 10 8448 1623

Fax: +86 10 8448 2432

Email:[email protected]

[email protected];

Website: www.camcoglobal.com

Yes



page 42

SECTION C. Duration of the project activity / crediting period

C.1 Duration of the project activity:

C.1.1. Starting date of the project activity:

01/10/2009

C.1.2. Expected operational lifetime of the project activity:

11 years

C.2 Choice of the crediting period and related information:

C.2.1. Renewable crediting period

C.2.1.1. Starting date of the first crediting period:

N/A

C.2.1.2. Length of the first crediting period:

N/A

C.2.2. Fixed crediting period:

C.2.2.1. Starting date:

15/03/2011

C.2.2.2. Length:

10 years



page 43

SECTION D. Environmental impacts

D.1. Documentation on the analysis of the environmental impacts, including transboundary

impacts:

The Project’s environmental impacts analysis report has been approved by the Environmental Protection

Bureau of Henan Province. The major conclusions are presented as follows:

The energy source of the Project is surplus waste heat steam, therefore there are no air pollutants or solid

waste discharged by the Project activity. The major potential pollution is noise.

Noise

Operation of the steam turbine and pump are the major sources of noise. Noise isolation hoods will be

installed in the steam turbine. The pump will be set in a specific pump house with a rubber connector in

the outlet of the pump. The control room of the Project will be noise isolated. The noise level of the

vibrating equipment will be less than 85dB (A) and in the control room it will be less than 70dB (A).

This would comply with the “Code for Noise Control Design of Industrial Enterprises” of China.

Waste Water Discharge

The waste water discharge would comply with the “Discharge Standard of Waste Pollutants for Ion and

Steel Industry (GB13456-92),” and the “Integrated wastewater discharge standard (GB8978-1996).”

Additionally, further effort will be made by the Project to increase the proportion of the plant to15%. The

idle land of the plant will be taken fully advantage of for planting trees and flowers to improve

environmental quality and to reduce pollution. A specific department will be established to take charge of

environmental management of the plant. All the pollution discharged will be monitored periodically by

the environmental monitoring station.

In conclusion, the Project will not have any significant environment impacts. On the contrary, by

reducing fossil energy consumption for generation, the Project will yield environmental benefits.

D.2. If environmental impacts are considered significant by the project participants or the host

Party, please provide conclusions and all references to support documentation of an environmental

impact assessment undertaken in accordance with the procedures as required by the host Party:

According to the EIA approved by the Environmental Protection Bureau of Henan Province, the impacts

of the Project are not considered to be significant.



page 44

SECTION E. Stakeholders’ comments

E.1. Brief description how comments by local stakeholders have been invited and compiled:

The project owner, Anyang Iron & Steel Co., Ltd. (AIS), issued an open invitation to the local

community of Anyang City on November 28, 2006 to participate in a stakeholder consultation on the

Angang Waste Gas Recovery and Generation Project. The invitation was conveyed through Chinese

Communist Party community information distribution channels, which is a very typical and effective

means of widely disseminating information to the general public, and concerned two separate stakeholder

meetings.

The first meeting of the stakeholder consultation took place on December 8, 2006, at the Angang Hotel in

Anyang City. Thirty-seven community representatives responded to the invitation, including local

workers, villagers, intellectuals, teachers, students and deputies to local People's Congress. The meeting

was chaired by Ms. Zhao Yuqin, deputy director of AIS CDM development office. Mr. Zhang Qingyou,

director of AIS CDM development office, made a presentation to introduce the plan to develop the

project. A survey was distributed to participants to complete and return at a follow up meeting. The

survey questions were:

1. Are you satisfied with the present local environment?

2. Do you think it is important to conduct this project?

3. Do you agree with the project being constructed?

4. Do you think the project location chosen is reasonable?

5. What is the main environmental problem addressed by the project?

6. What effect will project construction have on the environment?

7. Do you think the project construction will affect the surrounding environment?

8. Are you satisfied with environmental impact mitigation measures?

9. What do you think will be the impact of project construction on the local economy?

10. What do you think will be the impact of project construction on local employment?

Any ideas or suggestions for the project?

What do you think of any other measures we can do for the project?

A second invitation was issued, through the same channel as the first, for the second stakeholder meeting,

which took place on December 25, 2006 with the same group of 37 participants. All 37 participants

returned completed surveys and were invited to engage in a question and answer session and general

discussion of the project. The questions asked were related to the speed of implementation of the project

and how quickly CER revenue could be established and also concerned the means of recycling steam and

thereby conserving energy. The surveys were analysed and found to unanimously support the

construction of the project.

E.2. Summary of the comments received:

Stakeholder comments from the general discussion of the AIS Angang Surplus Waste Heat Steam

Generation Project are as follows:



page 45

♦ The Project would promote energy efficiency by using a currently wasted energy resource from an

industrial facility to generate power. As such, it meets the requirement of the national sustainable

development strategy.

♦ The Project would contribute to global climate change mitigation by reducing greenhouse gas

emissions.

♦ If developed, the Project would help optimize the local energy mix, improve environment quality,

create employment opportunities, and prompt technology transfer, thereby bringing both social and

environment benefits to the community.

♦ Project registration would achieve significant improvement in the project’s financial position and

help ensure successful implementation.

♦ All participants supported the development of the project and encouraged the project owner to take

full advantage of the CDM opportunity.

E.3. Report on how due account was taken of any comments received:

Considering full support from local stakeholders, the project owner expressed their intention to take full

advantage of the CDM opportunity to facilitate Project implementation. The meeting Chair invited

those present to monitor the construction and implementation of the Angang Surplus Waste Heat Steam

Generation Project in the future.



page 46

Annex 1

CONTACT INFORMATION ON PARTICIPANTS IN THE PROJECT ACTIVITY

Organization: Anyang Iron & Steel Co., Ltd.

Street/P.O.Box: Meiyuanzhuang, Yindu District, Anyang City

Building:

City: Anyang

State/Region: Henan Province

Postfix/ZIP: 455004

Country: China

Telephone: +86-0372-3123383

FAX: +86-0372-3122322

E-Mail: [email protected]

URL: http://www.aysteel.com.cn

Represented by:

Title: Director

Salutation: Mr.

Last Name: Zhang

Middle Name:

First Name: Qingyou

Department: Department of Environmental Protection

Mobile: +86 13803726299

Direct FAX: +86 0372-3122322

Direct tel: +86 0372-3123383

Personal E-Mail: [email protected]

Organization: Camco International Limited

Street/P.O.Box: Green Street

Building: Channel House

City: St Helier

State/Region: Jersey

Postfix/ZIP: JE2 4UH

Country: Channel Islands

Telephone: +44 (0)20 7665 1865

FAX: +44 (0)20 7665 1871

E-Mail:

URL: www.camcoglobal.com

Represented by:

Title: Mrs

Salutation: Director

Last Name: Rawlins

Middle Name:

First Name: Madeleine



page 47

Department:

Mobile:

Direct FAX: +86 10 8448 1385

Direct tel: +86 10 8448 2499


Organization: Noble Carbon Credits Limited

Street/P.O.Box: 13 Gilford Road

Building: 1st Floor Gilford Hall

City: Dublin

State/Region: Sandymount

Postfix/ZIP: 4

Country: Ireland

Telephone: +353 1 260 7660

FAX: +353 1 260 7661

E-Mail: [email protected]

URL: www.thisisnoble.com

Represented by: Thorsten Ansorg

Title: Managing Director

Salutation:

Last Name: Ansorg

Middle Name: Andreas

First Name: Thorsten

Department:

Mobile: +49 160 715 0994

Direct FAX: +353 1 260 7662

Direct tel: +353 1 260 76621




page 48

Annex 2

INFORMATION REGARDING PUBLIC FUNDING

No public funding is involved in the Project.

PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 03


Page 49 Annex 3

BASELINE INFORMATION

Data Sources for Baseline Information:

Emission factors of regional power grids in China:

http://cdm.ccchina.gov.cn/WebSite/CDM/UpFile/File1053.pdf

Determination on OM emission factors of regional power grids in China:

http://cdm.ccchina.gov.cn/WebSite/CDM/UpFile/File1052.xls

Determination on BM emission factors of regional power grids in China:

http://cdm.ccchina.gov.cn/WebSite/CDM/UpFile/File1051.pdf

IPCC Good Practice Guidance and Uncertainty Management in National Greenhouse Gas

Inventories: http://www.ipcc-nggip.iges.or.jp/public/gp/english/

2006 IPCC Guidelines for National Greenhouse Gas Inventories (5 Volumes)

http://www.ipcc-nggip.iges.or.jp/public/2006gl/index.htm

Calculation of OM and BM:

Based on the approved methodology ACM0002 , the “tool to calculate the emission factor for an

electricity system”, and the document “China's Regional Grid Baseline Emission Factors Renewed”

released at http://cdm.ccchina.gov.cn/ on 18 July 2008, the emission factor of Central China Power Grid

(CCPG) calculation was shown below:

Step 2. Select an operating margin (OM) method

As shown in table 1, the CCPG is a coal-fired dominated power grid, where the installed capacity of low

cost and must run plants account for 35.95%, 43.81%, 37.89%, 38.60% and 35.12% in 2002, 2003, 2004,

2005 and 2006 respectively, much lower than 50%. So method (a) : Simple OM was chosen to calculate

operating margin (OM).

Table 1. Electricity Generation of Central China Power Grid (2002-2006)

Electricity GenElectricity GenElectricity GenElectricity Generation eration eration eration (UnitUnitUnitUnit：：：：101010108888 K K K KWh)

YearYearYearYear TotalTotalTotalTotal HydroHydroHydroHydro ThermalThermalThermalThermal nuclearnuclearnuclearnuclear OthersOthersOthersOthers

Split of lowSplit of lowSplit of lowSplit of low----cost/mustcost/mustcost/mustcost/must----

run resourcesrun resourcesrun resourcesrun resources

2002 3127.88 1124.40 2003.47 0 0 35.95%

2003 8345.05 3655.70 4689.35 0 0 43.81%

2004 4396.36 1665.89 2730.47 0 0 37.89%

2005 4964.30 1915.48 3048.25 0 0.57 38.60%

2006 5478.59 1922.96 3554.53 0 1.02 35.12%

Sources: China Electric Power Yearbook 2003-2007



Page 50 Step 3. Calculate the operating margin emission factor according to the selected method

Table B1. Electricity Generation of Central China Power Grid in 2004

Electricity

generation of

fuel-fired

power plants

(MWh)

Auxiliary power

ratio (%)

Total Electricity

Supplied to the Grid

(MWh)

Jiangxi 30127000 7.04 28,006,059

Henan 109352000 8.19 100,396,071

Hubei 43034000 6.58 40,202,363

Hunan 37186000 7.47 34,408,206

Chongqing 16520000 11.06 14,692,888

Sichuan 34627000 9.41 31,368,599

Total 249,074,186 Sources: China Electric Power Yearbook 2005


Electricity

generation of

fuel-fired

power plants

(MWh)

Auxiliary power

ratio (%)

Total Electricity


(MWh)

Jiangxi 30000000 6.48 28,056,000

Henan 131590000 7.32 121,957,612

Hubei 47700000 2.51 46,502,730

Hunan 39900000 5 37,905,000

Chongqing 17584000 8.05 16,168,488

Sichuan 37202000 4.27 35,613,475

Total 286,203,305 Sources: China Electric Power Yearbook 2006


Electricity

generation of

fuel-fired

power plants

(MWh)

Auxiliary power

ratio (%)

Total Electricity


(MWh)

Jiangxi 34449000 6.17 32,323,497

Henan 151235000 7.06 140,557,809

Hubei 54841000 2.75 53,332,873

Hunan 46408000 4.95 44,110,804

Chongqing 23487000 8.45 21,502,349

Sichuan 44193000 4.51 42,199,896

Total 334,027,226 Sources: China Electric Power Yearbook 2007; China Energy Statistical Yearbook 2007



Page 51


CD

M –

Exec

utive B

oard

page 52

Page 52

Table

B4. C

alc

ula

tion o

f O

pera

ting M

arg

in E

mis

sion F

acto

r o

f C

entr

al C

hin

a P

ow

er G

rid

in 2

004

Fuel

Fuel

Fuel

Fuel

Unit

Unit

Unit

Unit

Jiangx

Jiangx

Jiangx

Jiangx

i iii A AAA

Henan

Henan

Henan

Henan

B BBB

Hubei

Hubei

Hubei

Hubei

C CCC

Hunan

Hunan

Hunan

Hunan

D DDD

Chong

Chong

Chong

Chong

qing

qing

qing

qing

E EEE

Sichu

Sichu

Sichu

Sichu

an

anan

an F FFF

Total

Total

Total

Total

G GGG=A+

=A+

=A+

=A+ … ………

+ +++F FFF

Em

issi

on

Facto

r1

(tC/TJ)

(tC/TJ)

(tC/TJ)

(tC/TJ)

H HHH

Oxid

atio

n2 (%)

(%)

(%)

(%)

I III

Aver

age L

ow

Calo

ric

Valu

e3

(MJ/t

(MJ/t

(MJ/t

(MJ/t or

oror

or

k kkkm mmm

3 333) )))

J JJJ

CO

COCO

CO

2 222 Emission

Emission

Emission

Emission (tCO

(tCO

(tCO

(tCO

2 222e)

e)e)

e)

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

00 (mass)

00 (mass)

00 (mass)

00 (mass)

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

00 (Volume)

00 (Volume)

00 (Volume)

00 (Volume)

Raw

Coal

104t

1863.8

6948.5

2510.5

2197.9

875.5

2747.9

17144.1

25.8

100

20908

339,092,605

Cleaned coal

104t

2.34

2.34

25.8

100

26344

58,316

Other W

ashed

Coal

104t

48.93

104.22

89.72

242.87

25.8

100

8363

1,921,441

Coke

104t

109.61

109.61

29.2

100

28435

3,337,011

Coke Oven Gas

108m

3

1.68

0.34

2.02

12.1

100

16726

149,900

Other Gas

108m

3

2.61

2.61

12.1

100

5227

60,527

Crude Oil

104t

0.86

0.22

1.08

20

100

41816

33,118

Gasoline

104t

0.06

0.01

0.07

18.9

100

43070

2,089

Diesel Oil

104t

0.02

3.86

1.7

1.72

1.14

8.44

20.2

100

42652

266,627

Fuel Oil

104t

1.09

0.19

9.55

1.38

0.48

1.68

14.37

21.1

100

41816

464,893

LPG

104t

0

17.2

100

50179

0

Refinery Gas

104t

3.52

2.27

5.79

15.7

100

46055

153,506

Natural Gas

108m

3

2.27

2.27

15.3

100

38931

495,775

Other

Petroleum

Products

104t

0

20

100

38369

0

Other Coking

Products

104t

0

25.8

100

28435

0

Other Energy

104t

tce

16.92

15.2

20.95

53.07

0

100

0

0

Total

Total

Total

Total CO

CO

CO

CO

2 222 Emission

Emission

Emission

Emission:

: :

: 346,035,810

346,035,810

346,035,810

346,035,810

Tota

l em

issi

on o

f th

e C

entr

al C

hin

a P

ow

er

Gri

d(t

CO

2e)

346,0

35,8

10

Tota

l ele

ctri

city

gen

era

tion o

f C

entr

al C

hin

a P

ow

er

Gri

d (M

Wh)

249,0

74,1

86

OM

em

issi

on facto

r of th

e C

CPG (tC

O2e/

MW

h)

1.3

8929

Sources: China Electric Power Yearbook 2005

1,2 2006 IPCC Guidelines for National Greenhouse Gas Inventories， Volume 2 Energy, chapter 1, page 1.21-1.24, table 1.3 and 1.4.

3 China Energy Statistical Yearbook 2007,Page 287


CD

M –

Exec

utive B

oard

page 53

Page 53

Table

B5. C

alc

ula

tion o

f O

pera

ting M

arg

in E

mis

sion F

acto

r o

f C

entr

al C

hin

a P

ow

er G

rid

in 2

005

Fuel

Fuel

Fuel

Fuel

Unit

Unit

Unit

Unit

Jiangx

Jiangx

Jiangx

Jiangx

i iii A AAA

Henan

Henan

Henan

Henan

B BBB

Hubei

Hubei

Hubei

Hubei

C CCC

Hunan

Hunan

Hunan

Hunan

D DDD

Chong

Chong

Chong

Chong

qing

qing

qing

qing

E EEE

Sichu

Sichu

Sichu

Sichu

an

anan

an F FFF

Total

Total

Total

Total

G GGG=A+

=A+

=A+

=A+ … ………

+ +++F FFF

Em

issi

on

Facto

r1

(tC/TJ)

(tC/TJ)

(tC/TJ)

(tC/TJ)

H HHH

Oxid

atio

n2 (%)

(%)

(%)

(%)

I III

Aver

age L

ow

Calo

ric

Valu

e3

(MJ/t

(MJ/t

(MJ/t

(MJ/t or

oror

or

k kkkm mmm

3 333) )))

J JJJ

CO

COCO

CO

2 222 Emission

Emission

Emission

Emission (tCO

(tCO

(tCO

(tCO

2 222e)

e)e)

e)

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

00 (mass)

00 (mass)

00 (mass)

00 (mass)

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

00 (Volume)

00 (Volume)

00 (Volume)

00 (Volume)

Raw

Coal

104t

1869.29

7638.87

2732.15

1712.27

875.4

2999.77

17827.75

25.8

100

20908

352,614,497

Cleaned coal

104t

0.02

0.02

25.8

100

26344

498

Other W

ashed

Coal

104t

138.12

89.99

228.11

25.8

100

8363

1,804,669

Coke

104t

25.95

105

130.95

29.2

100

28435

3,986,695

Coke Oven Gas

108m

3

1.15

0.36

1.51

12.1

100

16726

112,054

Other Gas

108m

3

10.2

3.12

13.32

12.1

100

5227

308,897

Crude Oil

104t

0.82

0.36

1.18

20

100

41816

36,185

Gasoline

104t

0.02

0.02

0.04

18.9

100

43070

1,194

Diesel Oil

104t

1.3

3.03

2.39

1.39

1.38

9.49

20.2

100

42652

299,798

Fuel Oil

104t

0.64

0.29

3.15

1.68

0.89

2.22

8.87

21.1

100

41816

286,959

LPG

104t

0

17.2

100

50179

0

Refinery Gas

104t

0.71

3.41

1.76

0.78

6.66

15.7

100

46055

176,572

Natural Gas

108m

3

3

3

15.3

100

38931

655,209

Other

Petroleum

Products

104t

0

20

100

38369

0

Other Coking

Products

104t

1.5

1.5

25.8

100

28435

40,349

Other Energy

104t

tce

2.88

1.74

32.8

37.42

0

100

0

0

Total

Total

Total

Total CO

CO

CO

CO

2 222 Emission

Emission

Emission

Emission:

: :

: 360,323,575

360,323,575

360,323,575

360,323,575

Tota

l em

issi

on o

f th

e C

entr

al C

hin

a P

ow

er

Gri

d(t

CO

2e)

360,3

23,5

75

Tota

l ele

ctri

city

gen

era

tion o

f C

entr

al C

hin

a P

ow

er

Gri

d (M

Wh)

286,2

03,3

05

OM

em

issi

on facto

r of th

e C

CPG (tC

O2e/

MW

h)

1.2

5898

Sources: China Electric Power Yearbook 2006


CD

M –

Exec

utive B

oard

page 54

Page 54

Table

B6. C

alc

ula

tion o

f O

pera

ting M

arg

in E

mis

sion F

acto

r o

f C

entr

al C

hin

a P

ow

er G

rid

in 2

006

Fuel

Fuel

Fuel

Fuel

Unit

Unit

Unit

Unit

Jiangx

Jiangx

Jiangx

Jiangx

i iii A AAA

Henan

Henan

Henan

Henan

B BBB

Hubei

Hubei

Hubei

Hubei

C CCC

Hunan

Hunan

Hunan

Hunan

D DDD

Chong

Chong

Chong

Chong

qing

qing

qing

qing

E EEE

Sichu

Sichu

Sichu

Sichu

an

anan

an F FFF

Total

Total

Total

Total

G GGG=A+

=A+

=A+

=A+ … ………

+ +++F FFF

Em

ission

Facto

r1

(tC/TJ)

(tC/TJ)

(tC/TJ)

(tC/TJ)

H HHH

Oxid

ation

2 (%)

(%)

(%)

(%)

I III

Average L

ow

Ca

lori

c V

alu

e3 (MJ/

(MJ/

(MJ/

(MJ/

t

t t

t or

oror

or k kkkm mmm

3 333) )))

J JJJ

CO

COCO

CO

2 222 Emission (tCO

Emission (tCO

Emission (tCO

Emission (tCO

2 222e)

e)e)

e)

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

00 (mass)

00 (mass)

00 (mass)

00 (mass)

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

K=G*H*I*F*44/12/10

00 (Volume)

00 (Volume)

00 (Volume)

00 (Volume)

Raw

Coal

104t

1926.02

8098.01

3179.79

2454.4

8

1184.3

3285.2

2

20127.82

25.8

100

20908

398,107,508

Cleaned coal

104t

5.79

5.79

25.8

100

26344

144,295

Other W

ashed

Coal

104t

4.51

104.12

8.59

79.21

196.43

25.8

100

8363

1,554,036

Briquette

0.01

0.01

26.6

100

20908

204

Coke

104t

17.23

0.32

17.55

29.2

100

28435

534,299

Coke Oven Gas

108m

3

0.52

1.07

4.24

0.38

0.01

6.22

12.1

100

16726

461,572

Other Gas

108m

3

12.69

3.95

1.7

4.36

0.01

22.71

12.1

100

5227

526,655

Crude Oil

104t

0.49

0.49

20

100

41816

15,026

Gasoline

104t

0.01

0.01

18.9

100

43070

298

Diesel Oil

104t

0.91

2.23

1.41

1.78

0.96

7.29

20.2

100

42652

230,298

Fuel Oil

104t

0.51

1.26

1.31

0.8

0.57

3.49

7.94

21.1

100

41816

256,872

LPG

104t

0

17.2

100

50179

0

Refinery Gas

104t

0.86

8.1

1

0.97

10.93

15.7

100

46055

289,780

Natural Gas

108m

3

0.28

0.16

18.63

19.07

15.3

100

38931

4,164,943

Other Petroleum

Products

104t

0

20

100

38369

0

Other Coking

Products

104t

0.01

0.01

25.8

100

28435

269

Other Energy

104t

tce

17.45

37.36

31.55

18.29

29.35

134

0

100

0

0

Total

Total

Total

Total CO

CO

CO

CO

2 222 Emission

Emission

Emission

Emission:

: :

: 406,286,055

406,286,055

406,286,055

406,286,055

Total em

ission of the Central China Power Grid(tCO

2e)

408,7

76,2

70

Net

ele

ctr

icity im

porte

d fr

om

N

orth

west

C

hin

a

Pow

er G

rid (M

Wh)

3,028,950

Average em

ission factor of

the Northwest China Power

Grid 2006

0.8

2214

Total electricity generation of Central China Power Grid (MWh)

337,0

56,1

76

OM emission factor of the CCPG (tCO

2e/MWh)

1.2

12784

Sources: China Electric Power Yearbook 2007; China Energy Statistic Yearbook 2007


CD

M –

Exec

utive B

oard

page 55

Page 55

Table

B7. W

eig

hte

d-a

ver

age

OM

em

ission facto

r of C

entr

al C

hin

a P

ow

er G

rid

(2004-2

006)

2004

2005

2006

Wei

ghte

d-a

verage O

M e

mission facto

r

Total Emission, tCO2

346,035,810

360,323,575

408,776,270

Total power supply, M

Wh

249,074,186

286,203,305

337,056,176

OM emission factor, tCO2/M

Wh

1.38929

1.25898

1.212784

1.2

7834

Therefore,

simple

OM

grid

EF

,,

＝（346,035,810+ 360,323,575+408,776,270）/ ( 249,074,186+ 286,203,305+ 337,056,176) = 1

.27834 tCO

2e/MWh

Ste

p 5

. C

alc

ula

te the b

uild m

arg

in e

mis

sion fact

or

(EF

grid

,BM

,y)

The Emission Factor, Oxidation, Average Low Caloric Value applied in the calculation of OM and BM emission factor are listed in table C1.

Table

C1 R

ela

ted P

ara

met

ers

Fuel

Emission Factor 1（tc/TJ）

Oxidation 2（%）

Average Low Caloric Value 3

Raw

Coal

25.8

100

20908 kJ/kg

Cleaned Coal

25.8

100

26344 kJ/kg

Other W

ashed Coal

25.8

100

8363 kJ/kg

Briquette

26.6

100

20908 kJ/kg

Coke

29.2

100

28435 kJ/kg

Crude Oil

20

100

41816 kJ/kg

Gasoline

18.9

100

43070 kJ/kg

Kerosene

19.6

100

43070 kJ/kg

Diesel Oil

20.2

100

42652 kJ/kg

Fuel Oil

21.1

100

41816 kJ/kg

Other Petroleum Products

20

100

38369 kJ/kg

Other Coking Products

25.8

100

28435 kJ/kg

Natural Gas

15.3

100

38931 kJ/m

3

Coke Oven Gas

12.1

100

16726 kJ/m

3

Other Gas

12.1

100

5227 kJ/m

3


CD

M –

Exec

utive B

oard

page 56

Page 56

LPG

17.2

100

50179 kJ/kg

Refinery Gas

15.7

100

46055 kJ/kg

Source: 1,2 2006 IPCC Guidelines for National Greenhouse Gas Inventories， Volume 2 Energy, chapter 1, page 1.21-1.24, table 1.3 and 1.4.

3 China Energy Statistical Yearbook 2007,Page 287

Sub-step 1. Calculating the percentages of CO

2 emissions from the coal-fired, oil-fired and gas-fired power plants in total fuel-fired CO

2 emissions.

Table

C2 the p

erce

nta

ges of C

O2 em

issi

ons fr

om

the c

oal-fire

d, oil-f

ired a

nd g

as-

fired

pow

er p

lants

in tota

l fu

el-fired

CO

2 e

mis

sions

Fuel

Unit

Jiangxi

Henan

Hubei

Hunan

Chongqing

Sichuan

Total

Caloric

value

Emission

factor

Oxidation

rate

Emission

A

B

C

D

E

F

G=A+…+F

H (KJ/kg)

I

J

K=F*G*H*I*44/12/100

Raw

Coal

104 t

1926.02

8098.01

3179.79

2454.48

1184.3

3285.22

20127.82

20908

25.8

1

398,107,508

Cleaned Coal 104 t

0

0

0

0

5.79

0

5.79

26344

25.8

1

144,295

Other W

ashed

Coal

104 t

4.51

104.12

0

8.59

79.21

0

196.43

8363

25.8

1

1,554,036

Briquette

104 t

0

0

0

0

0

0.01

0.01

20908

26.6

1

204

Coke

104 t

0

17.23

0

0.32

0

0

17.55

28435

29.2

1

534,299

Subto

tal

400,340,

400,340,

400,340,

400,340,342

342

342

342

Crude Oil

104 t

0

0.49

0

0

0

0

0.49

41816

20

1

15,026

Gasoline

104 t

0

0.01

0

0

0

0

0.01

43070

18.9

1

298

Kerosene

104 t

0

0

0

0

0

0

0

43070

19.6

1

0

Diesel Oil

104 t

0.91

2.23

1.41

1.78

0.96

0

7.29

42652

20.2

1

230,298

Fuel Oil

104 t

0.51

1.26

1.31

0.8

0.57

3.49

7.94

41816

21.1

1

256,872

Other Petroleum

Products

104 t

0

0

0

0

0

0

0

38369

20

1

0

Other Coking

Products

104 t

0

0

0

0

0

0.01

0.01

28435

25.8

1

269

Subto

tal

502,763

502,763

502,763

502,763

Natural Gas

107 m3 0

0

2.8

0

1.6

190.7

190.7

38931

15.3

1

4,164,943

Coke Oven Gas 107m3

0

5.2

10.7

42.4

3.8

62.2

62.2

16726

12.1

1

461,572

Other Gas

107 m

3 126.9

39.5

0

17

43.6

227.1

227.1

5227

12.1

1

526,655

LPG

104 t

0

0

0

0

0

0

0

50179

17.2

1

0


CD

M –

Exec

utive B

oard

page 57

Page 57

Refinery Gas

104 t

0.86

8.1

1

0.97

0

10.93

10.93

46055

15.7

1

289,780

Subto

tal

5,442,950

5,442,950

5,442,950

5,442,950

Tota

l

406,286,055

406,286,055

406,286,055

406,286,055

Sources: China Energy Statistical Yearbook 2007


CD

M –

Exec

utive B

oard

page 58

Page 58

Calculate with relevant data and form

ulae, the value for

yCoal,

λ=98.54%

,

yOil,

λ=0.12%

,

yGas,

λ=1.34%.

Sub-step 2. Calculating the fuel-fired emission factor

yAdv

Gas

yGas

yAdv

Oil

yOil

yAdv

Coal

yCoal

yThermal

EF

EF

EF

EF

,,

,,

,,

,,

,,

×+

×+

×=

λλ

λ

Where:

EFThermal is the fuel-fired emission factor;

EFCoal,Adv，

EFOil,Adv and EFGas ，Adv are corresponding to the em

ission factors of coal, oil and gas fired power plants which are applied by the most advanced

commercialized technologies.

According to the announcement “C

hina's Regional Grid Baseline Emission Factors Renew

ed”, the weighted average of coal consumption per kWh supplied of

30 new

built 600 M

W sub critical units in 2006 is adopted to determine the em

ission factor of the best advanced coal fired generation technology, which is

329.94gce/kWh. In other word, the efficiency of best advanced coal fired generation technology is 37.28%.

The maxim

um electricity supplied efficiency of oil and gas fired generation plants are regarded as approxim

ate estimation of commercially optimal efficiency

technology. Sim

ilarly, the fuel consumption per kWh supplied of best advanced oil and gas fired generation technology is determined to be 252 gce/kWh,

which m

eans a generation efficiency of 48.81% .these data were show as below:

Table

C3 Em

issi

on facto

rs of C

oal, O

il a

nd G

as w

ith the

most

advance

d c

om

mer

cialize

d tec

hnolo

gie

s applied b

y the fuel

-fir

ed p

ow

er p

lants

Param

eters

Fuel consumption rate

Fuel Emission Factor

（tc/TJ）

Oxidation

Emission Factor（

tCO

2/M

Wh）

A

B

C

D=3.6/A

/1000*B*C*44/12

Coal-fired plant

EFCoal,Adv

37.28%

25.8

1

0.9135

Gas-fired plant

EFOil,Adv

48.81%

21.1

1

0.4138

Oil-fired plant

EFGas,Adv

48.81%

15.3

1

0.5706

Sources: The Baseline Emission Factors of Chinese Power Grids, NRDC.

Therefore,

Adv

Gas

Gas

Adv

Oil

Oil

Adv

Coal

Coal

Thermal

EF

EF

EF

EF

,,

,×

+×

+×

=λ

λλ

=0. 9064 tCO

2e/MWh.


CD

M –

Exec

utive B

oard

page 59

Page 59

Sub-step 3. Calculating the Build M

argin Emission Factor.

Thermal

Total

Thermal

yBM

grid

EF

CAP

CAP

EF

×=

,,

Where:

EFBM,y is the Build M

argin emission factor with advanced commercialized technologies for year y;

CAPTotal is the new

capacity additions;

CAPTherm

al is the new

fuel-fired capacity additions.

T

able

C4 Inst

alled

capacity o

f th

e C

entr

al C

hin

a P

ow

er G

rid in 2

006

Installed Capacity

Unit

Jiangxi

Henan

Hubei

Hunan

Chongqing

Sichuan

Total

Fuel-fired

MW

6568

32603

11623

10715

5594

9555

76658

Hydro

MW

3288

2553

8521

8648

1979

17730

42719

Nuclear

MW

0

0

0

0

0

0

0

Wind &

Others

MW

0

106

0

0

0

0

106

Total

MW

9856

35262

20144

19363

7573

27285

119483

Sources：China Electric Power Yearbook 2007

T

able

C5 Inst

alled

capacity o

f th

e C

entr

al C

hin

a P

ow

er G

rid in 2

005

Installed Capacity

Unit

Jiangxi

Henan

Hubei

Hunan

Chongqing

Sichuan

Total

Fuel-fired

MW

5906

26267.8

9526.3

7211.6

3759.5

7496

60167.2

Hydro

MW

3019

2539.9

8088.9

7905.1

1892.7

14959.6

38405.2

Nuclear

MW

0

0

0

15116.7

0

0

0

Wind &

Others

MW

0

0

0

7211.6

24

0

24

Total

MW

8925

28807.7

17615.2

7905.1

5676.2

22455.6

98596.4



CD

M –

Exec

utive B

oard

page 60

Page 60

Table

C6 Inst

alled

capacity o

f th

e C

entr

al C

hin

a P

ow

er G

rid in 2

004

Installed Capacity

Unit

Jiangxi

Henan

Hubei

Hunan

Chongqing

Sichuan

Total

Fuel-fired

MW

5496

21788.5

9590.3

6779.

5 32

71.1

6900.3

53825.

7

Hydro

MW

2549.9

2438

7415.1

7448.

2 14

07.9

13382.9

34642

Nuclear

MW

0

0

0

0 0

0 0

Wind &

Others

MW

0

0

0

0 0

0 0

Total

MW

8045.9

24226.5

17005.4

14227

.7

4679

20283.2

88467.

7


Table

C7. C

alc

ula

tion o

f B

M E

mission F

acto

r o

f C

entr

al C

hin

a P

ow

er G

rid (2004-2

006), M

W

New

Capacity

2004

New

Capacity

2005

New

Capacity

2006

New

Capacity

2005-2006

Percentage of New

Capacity

Additions

A

B

C

D=C-B

Fuel-fired

(MW)

53825.7

60167.2

76658

16490.8

78.95%

Hydro (MW)

34642

38405.2

42719

4313.8

20.65%

Nuclear

(MW)

0

0

0

0

0.00%

Wind(M

W)

0

24

106

82

0.39%

Total

88467.7

98596.4

119483

20886.6

100.00%

Percentage of

Year 2006

74.04%

82.52%

100%

Thermal

Total

Thermal

yBM

grid

EF

CAP

CAP

EF

×=

,,

=0.9064×78.95%=0.7156 tCO

2/M

Wh。

Ste

p 6

. c

alc

ula

te the

com

bin

ed m

arg

in E

mis

sion F

act

or

(EF

y)

EFgrid,CM,y=0.5×EFgrid, O

M，y + 0.5×EFgrid, BM

，y = 0.5 × 1.27834 + 0.5 × 0.7156 = 0.9970 tCO

2/M

Wh


CD

M –

Exec

utive B

oard

page 61

Page 61

Annex

4

MO

NIT

OR

ING

IN

FO

RM

ATIO

N

No additional inform

ation.

PROJECT DESIGN DOCUMENT FORM (CDM PDD) - … Angang WS PDD en final 081128.pdf · PROJECT DESIGN DOCUMENT FORM (CDM PDD) ... PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 03.1.

Documents