Download Baseline - JI

Baseline setting and monitoring
under Joint Implementation
UNFCCC Technical Workshop on JI
Bonn, 13-14 February 2007
Lennard de Klerk
Global Carbon BV
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Global Carbon B.V.
Global Carbon B.V. is an international consultant with an
exclusive focus on JI projects
Areas of operation are Bulgaria, Ukraine, and the Russian
Federation.
Enthusiastic team based in The Hague, Berlin, Sofia, and Kyiv.
Expanding with currently 10 experts active in all different JI
project types.
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Outline
Experience in baseline setting:
•
“Introduction of energy efficiency measures at ISTIL mini
steel mill”
Experience in standardizing baselines:
•
“Standardized electricity baseline of Ukraine”
Experience in monitoring:
•
“Utilization of CMM at the Coal Mine named after A.F.
Zasyadko”
Experience in determination:
•
“Switch from wet-to-dry process at Podilsky Cement”
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Baseline setting
Example JI project №0018: “Introduction of energy efficiency
measures at ISTIL mini steel mill”
A total of four investments are being made to improve efficiency:
1. Reducing losses in transformer for Electric Arc Furnace
2. Improving efficiency of steam generation
3. Reducing electricity consumption at oxygen unit
4. Increasing natural gas efficiency at soaking pits
Project has been determined. The buyer is the Netherlands’
Carbon Fund under the EBRD.
Total reductions 400,000 tCO2 in 2006 – 2012.
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Baseline setting (cont’d)
No CDM methodology was available for this type of project.
The following approach was taken:
•
Baseline scenario is continuation of the existing situation
•
Specific baseline consumption factors were fixed ex-ante
based on average of past five years
•
Technical lifetime of existing equipment did not expire
before 2012 and was able to produce projected
production volumes
Subproject
Baseline (fixed ex-ante)
Project (expected)
Electrical arc furnace
472 kWh/ton steel
370 kWh/ton steel
Steam generation
21%
89%
Oxygen production
1.25 kWh/m3 O2
0.895 kWh/m3 O2
Soaking pits
53.8 m3 NG/ton steel
40.5 m3 NG/ton steel
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Monitoring plan
Example JI project №0035: “Utilization of Coal Mine Methane at
the Coal Mine named after A.F. Zasyadko”
Characteristics:
•
The project will utilize CMM for the production of electricity
and heat using mini-CHPs and for vehicle fuel
•
Reductions of 12.3 million tCO2 in period 2004 – 2012
•
CDM methodology ACM0008 was applied
•
Verification of the emission reductions over 2004, 2005 and
2006 is in progress
Specific issue:
•
The project takes place at four different sites making the
monitoring plan complex
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Monitoring plan methane
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Monitoring plan electricity
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Monitoring plan heat
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Standardized electricity baseline
On request of the Ukrainian Ministry of Environment and the
Ministry of Energy a standardized electricity baseline has
been developed.
This baseline will replace the standardized baseline of the
ERUPT programme which was used so far.
The baseline was calculated for the whole of Ukraine. Basis for
the baseline was ACM0002. A separate emission factor for
demand-side projects was developed to include grid losses.
Specific issues:
•
Difficulty to obtain complete data of all Ukrainian power
plants;
•
ACM0002 had to be modified for grids with a large
overcapacity (e.g. mothballed power plants)
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Determination
JI project №0001: “Switch from wet-to-dry at Podilsky Cement”
Reduction of energy consumption of 50% by implementing a
different production technology;
Replacement of 4 wet kilns with 1
dry kiln;
Reductions are estimated 3 million
ERU in 2009-2012;
Investment of 140 million Euro will
be the largest investment in
the cement industry since
Ukrainian independence.
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Determination (cont’d)
TÜV SÜD determined the project in the period June –
September 2006
The project was approved by Ukraine on the 29th of December
2006 and by Ireland on the 19th of January 2007
The project has been submitted for final determination under the
JISC on the 27th of January 2007
If no review is requested before the end of March 2007, this will
be the first JI project receiving final determination.
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Conclusions
“Guidelines on criteria of baseline setting and monitoring” are
practical: They encourage to use CDM methodologies, but
provide the necessary flexibility when no methodology is
available.
Most projects use CDM additionality tool. No experience in
projects not using the CDM tool.
Other issues:
•
Necessity for unilateral JI
•
Appraisal procedure too complex
•
Requirement of MoU in some Host Countries
•
‘Modalities of communication’ is missing
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Contacts
Global Carbon Berlin
Lennard de Klerk
Tel.: +49 30 40056286
[email protected]
Offices in The Hague, Berlin, Sofia, and Kyiv
For more information see: www.global-carbon.com
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