Pilot cases on standardized Baseline Pil t t d di d B li - - PDF document

Pil t t d di d B li Pilot cases on standardized Baseline Biomass Gasification in Cambodia

Akiko Fukui Market Mechanism Group i f l b l i l i Institute for Global Environmental Strategies

Low electricity access rate High carbon intensity energy source

Electrification rate in Cambodia: 24% (IEA) 80.5% of population live in rural area,

Most of industrial plants

80.5% of population live in rural area, where electrification rate is much lower

Hydropower Coal

Most of industrial plants including rice millers have an in house

4% Wood,

• ther bio

mass 2%

have an in‐house generation system using diesel

Diesel/HFO 93% mass 1%

diesel

Electricity source in grid system

Source: Electricity Authority of Cambodia

Potential of rice husk utilization bi f l as biomass fuel

• Gasification with rice husk reduces 60-75%of diesel consumption
• 6 k

f i h k i i l 1L f di l

• 6 kg of rice husk is equivalent to 1L of diesel
• Some portion of rice husk is used as fuel for heating, other is decayed.
• Government promotes to increase milled rice for export.

Seed and Post‐ harvest loss 8 9

Rice production Component of rice consumption

Million tone Million tone harvest loss 0.95 13% Surplus (expecting for

Official

5 6 7 Domestic consumption 3.14 42% ( p g export) 3.32 45%

exported rice 0.02Mt

3 4 5 20002001200220032004200520062007200820092010 Source: Ministry of Agriculture, Floristries and Fishery Source: The Supreme National Economic Council

Steps for establishing standardized baseline

Step 1: Identify host countries, sectors, outputs and measures Host Country: Cambodia (Potential level of aggregation: countries in same conditions) (Potential level of aggregation: countries in same conditions) Sector: Rice milling factory (garment factory, and ice factory, etc.) Measure: Switch of technology with change of energy source Measure: Switch of technology with change of energy source Technology : Generating power by gasification of biomass Technology : Generating power by gasification of biomass (e.g. rice husk) replaced with diesel

5

Step 2 Establish additionality criteria for the identified measures Power source in rice milling factory (Assumption) Step 3: Identify the baseline for the measures Power source in rice milling factory (Assumption) Rice millers in Cambodia : about 27,000 Ri ill l i ifi ti ith i h k 48

T1 T2 T3 T4 T5 Other

Rice millers applying gasification with rice husk: 48

Sauce: Ministry of Environment of Cambodia, NEDO and SME renewable energy Ltd.

Source of Power

Supply from mini-grid Captive plant with diesel Supply from Phnom penh grid Gasification with biomass Other renewable energy

CO2 emission f t factors

0.8 x 0.66 y

% of rice milled

A % B% C% D% E% (t-CO2/MWh) 0% 100%

Additional Level Baseline Level

Additionality demonstration

No regulation

mandating use of the activities mandating use of the activities

Financial barrier

i i i l i

Technology barrier

Lack of experts & Large initial equipment cost Lack of experts & service providers

Common practice

Low prevailing rate of the technology

Exemption from demonstrating additionality

 Projects up to 5 MW that employ renewable energy technology  Projects up to 5 MW that employ renewable energy technology the geographic location of the project in one of LDCs/SIDs

Step 4: Determine the baseline emission factor

Emission Reductions Baseline Emissions Project Emissions

=

• Leakage
• 0 t-CO2

0 t-CO2 X

BE EG BL EF EG y

O ti 1

= X

BE y EG BL, y

Quantity of net electricity displaced

EF EG,y

Option 1.

= X

BE y FC BL, y

Quantity of diesel consumption for diplaced electricity generation

EF FC,y

Option 2.

= X

BE y MR y

Q i f ill d i d i

EF mr,y

Option 3.

Quantity of milled rice production

Benefit

 Standardized baseline can be applied for other type of small scale factories (e.g. garment, ice making, etc) as well as in other country having similar conditions

Issues

 How much accurate data is required? q

• Survey is based on hearing plant owners who

are SME and don’t have their record are SME and don t have their record.

• How many sample is required to determine

baseline / additional level baseline / additional level

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