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

CDM Executive Board


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CLEAN DEVELOPMENT MECHANISM PROJECT DESIGN DOCUMENT FORM (CDM-PDD) Version 03 - in effect as of: 28 July 2006 CONTENTS A. B. C. D. E. General description of project activity Application of a baseline and monitoring methodology Duration of the project activity / crediting period Environmental impacts 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

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SECTION A. General description of project activity A.1 Title of the project activity: >> Bekasi Power CCPP project in Indonesia Version 2.5 Date 12/05/2009 A.2. Description of the project activity: > The project activity is an installation of 130 MW combine cycle power plant (CCPP) connected to the grid and firing natural gas. The project activity is undertaken by PT. Bekasi Power at Pasirgombang village, Cikarang sub district, Bekasi, in West Java, Indonesia. The project technology consists of two Gas Turbine Generator (GTG) units each capacity of 42.1 MW (ISO Rated). This will be combined with two Heat Recovery Steam Generators (HRSGs) and one Steam Turbine Generator (STG) unit of 50 MW rated capacity along with all electrical systems, controls and instrumentation. The project will supplement the installed electricity generating capacity supplying the grid, and displace the production of existing and new and more carbon intensive generation. The electricity will be sold to the state-owned electricity company (Perusahaan Listrik Negara or PLN) in the Java-Bali-Madura (herein after referred to as JAMALI) grid and to private customers connected to the JAMALI grid. PT. Perusahaan Gas Negara (Persero) Tbk. (PGN) and PT. Bayu Buana Gemilang (BBG) have agreed to supply the natural gas to the project activity. For detailed technical description please refer to section A.4.3. Contribution to sustainable development Benefits for Local Economy: The successful supply of power to the region will increase capacity, voltage and peaking power and significantly create opportunities for the local economy and development. The construction and operation of the power plant will directly create employment for the local skilled and semi-skilled population. About 150 people will be employed during the construction phase and 70 people during the operation phase. Benefits to the environment: The generation of power from natural gas will reduce the dependence on coal of existing and planned grid based electricity generation. This will have a positive impact not only through a reduction of greenhouse gas emissions but also through a reduction of other harmful emissions.

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A.3. Project participants: >> Name of Party involved ((host) indicates a host Party) Indonesia (host) United Kingdom A.4.

Private and/or public entity(ies) project participants (as applicable) PT. Bekasi Power Agrinergy Pte Ltd

If Party wishes to be considered as a project participant No No

Technical description of the project activity: A.4.1. Location of the project activity:

>> Pasirgombang village, Cikarang sub district, Bekasi District, in West Java, Indonesia. A.4.1.1. >> Indonesia A.4.1.2. >> West Java A.4.1.3. >> Bekasi District A.4.1.4. Detail of physical location, including information allowing the unique identification of this project activity (maximum one page): >> The geographical GPS coordinates of the project activity are: Latitude: 0616S Longitude: 10710E. City/Town/Community etc: Region/State/Province etc.: Host Party(ies):

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Figure 1: Location map of Indonesia The project activity is located in Pasirgombang, Cikarang sub district, Bekasi, West Java. It is 35km from Jakarta, 65km from Soekarno Hatta Airport and 56 km from Tanjung Priok.

Figure 2: Location map of West Java, Indonesia

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Figure 3: Location map of project activity location

A.4.2. Category(ies) of project activity: >> Category 1: Energy industries (renewable-/ non renewable sources) A.4.3. Technology to be employed by the project activity: >> The project activity has two Gas Turbine Generator (GTG) units each with a capacity of 42.1 MW (ISO Rated). This will be combined with two Heat Recovery Steam Generators (HRSGs) and one Steam Turbine Generator (STG) unit of 50 MW rated capacity along with all electrical systems, controls and instrumentation. Technical details of gas turbines (2 set) Manufacturer : General Electric Model : PG 6581 B Fuel : Dual (Natural gas & Diesel oil) Fuel pressure : 22 bar (g) (at inlet gas turbine) ISO Rated 15 1 42,100 11,220 530,000 548 Site Rated 32 1 37,970 11,491 492,600 558.9

Inlet air temperature, C Inlet air pressure, bar (g) Design output, kW Design heat rate, kJ/kWh Design exhaust flow, kg/h Exhaust temperature, C

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High temperature gas coming out of the turbines will pass to two sets of Heat Recovery Steam Generators (HRSGs) to produce steam. The HRSGs are manufactured by Thermax Babcox & Wilcox and will deliver a Maximum Continuous Rating (MCR) of 86 tph. The type of the HRSG is dual pressure: high and low pressure. Technical details of HRSG Input temperature Outlet temperature Steam quantity Steam pressure Steam temperature Supplementary firing

: 589.31C : 158C : 78-86 tph (Control range per HRSG) : 92 kg/cm2 : 535C : 0.95MMSCFD

Technical details of steam turbine Manufactures model : C11-R16-X Generation capacity : 50 MW Steam pressure : 88 kg/cm2 Steam temperature : 530C Steam quantity : 165.8 tph The steam turbine is a single shaft, single cylinder condensing type turbine. Other auxiliary systems including a water cooling treatment and disposal plant, chemical system compressed air system, lifting equipment, main station fire fighting system, ventilation and air conditioning will also be installed. Fuel Supply PGN and BBG have agreed to supply a minimum of 0.5 million MMBTU per month of natural gas to PT Bekasi Power. The pressure of gas supplied by PGN is approximately 8-15 bars - it will be necessary to install a compressor to raise the pressure to 20-22 bars to ensure it matches the pressure required by the gas turbine. High speed diesel (HSD) will be used only if there is a disruption to the gas supply.

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A.4.4 Estimated amount of emission reductions over the chosen crediting period: >> A 10 year crediting period has been chosen for the project activity. Year Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total estimated reductions (tonnes CO2e) Total number of crediting years Annual average over the crediting period of estimated reductions (tonnes of CO2e) Annual estimation of emission reductions in tonnes of CO2e 369,225 369,225 369,225 369,225 369,225 369,225 369,225 369,225 369,225 369,225 3,692,250 10 369,225

A.4.5. Public funding of the project activity: >> The project has not received any public funding. 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: >> Approved baseline methodology AM0029 - Methodology for Grid Connected Electricity Generation Plants using Natural Gas - Version 03 Version 05 - Tool for demonstration assessment and of additionality Version 01 - Tool to calculate emission factor for an electricity system

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B.2 Justification of the choice of the methodology and why it is applicable to the project activity: >> Applicability conditions Project activity

The project activity is the construction and This condition is satisfied as the project activity is operation of a new natural gas fired grid- the construction and operation of a new natural connected electricity generation plant gas fired grid-connected electricity generation plant. PT. Bekasi Power is finalising negotiations with PLN on a cooperation agreement for the sale of electricity. The CCPP is expected to operate at full capacity from December 2009. The geographical/physical boundaries of the Yes, the geographical/physical boundaries of the baseline grid can be clearly identified and baseline grid (JAMALI grid) are clearly identified. information pertaining to the grid and estimating The data pertaining to the grid and for estimation baseline emissions is publicly available of baseline emissions is publicly available. Natural gas is sufficiently available in the region Natural gas is sufficiently available in Indonesia. or country, e.g. future natural gas based power Further, implementation of the project activity capacity additions, comparable in size to the does not divert natural gas that would have been project activity, are not constrained by the use of used elsewhere. natural gas in the project activity

B.3. Description of the sources and gases included in the project boundary >> The spatial extent of the project boundary, as indicated below, includes the project site and all power plants connected physically to the baseline grid.

Power generation by project activity Project Boundary

Power generation by existing capacity and capacity additions in the baseline grid (i.e. JAMALI Grid)

The greenhouse gases included in or excluded from the project boundary are shown in Table below. Source Power generation in the baseline Gas CO2 Baseline CH4 N20 Included? Yes No No Justification/Explanation Main emission source Excluded for simplification. This is conservative. Excluded for simplification. This is conservative

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Project activity

On-site fuel combustion due to the project activity

CO2 CH4 N20

Yes No No

Main emission source Excluded for simplification Excluded for simplification

B.4. Description of how the baseline scenario is identified and description of the identified baseline scenario: >> The baseline scenario is identified as per the guidance given in AM0029, Version 03. Step 1 Identify plausible baseline scenarios Alternatives to be analysed should include: 1. The project activity not implemented as a CDM project; 2. Power generation using natural gas, but technologies other than the project activity; 3. Power generation technologies using energy sources other than natural gas; 4. Import of electricity from connected grids, including the possibility of new interconnections. Table 1: Baseline scenario assessment Alternatives Plausibility/Eligibility 1. The project activity not implemented as a CDM project Natural Gas CCGT without CDM Plausible. This is a plausible alternative that can deliver similar services to the proposed project activity. Meets all eligibility conditions. 2. Power generation using natural gas, but technologies other than the project activity Natural Gas Open Cycle Gas Turbine Not plausible. An open cycle gas turbine has a relatively lower thermal efficiency and is now rarely implemented. Alternative (2) is not a plausible baseline scenario of the proposed project. 3. Power generation technologies using energy sources other than natural gas (a) Coal-fired power plant Plausible. Power generation in Indonesia is dominated by coalbased power plants for both base and peak load and therefore (a) represents a plausible baseline scenario. A typical 2x65 MW coal based power plant can provide services similar to the proposed project activity and is a credible alternative. (b) Oil-fired power plant Not plausible. At the project start date, oil prices were too high to be considered a plausible baseline scenario. Moreover, the Indonesian government is trying to reduce its dependence on oil. Therefore, option (b) can not be considered a plausible baseline scenario. (c) Nuclear power plant and Not plausible. Indonesia is yet to commission its first nuclear power plant. (d) Hydro power plant Not plausible. Hydro power plants are of seasonal nature with low plant load factors and involve higher capital cost and higher gestation periods. (e) Wind power plant Not plausible. Wind is not viable in Indonesia without

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government subsidies. (f) Biomass power plant Not Plausible. Not a realistic and credible alternative. There are currently in Indonesia no comparable biomass based power plants constructed recently. (g) Geothermal power plant Not Plausible. Not a realistic and credible alternative. Geothermal power plants are very difficult to finance and implement. 4. Import of electricity from connected grids, including the possibility of new interconnections. Import from neighbouring power grids Not plausible. The Sumatra, Kalimantan, and Sulawesi grids are not connected to the JAMALI grid.

From the above baseline scenario assessment analysis, scenario 1 and scenario 3(a) are considered the plausible alternatives applicable to the project activity. Step 2 Identify the economically most attractive baseline scenario alternative Investment analysis is used to identify the most attractive baseline scenario. Levelised Cost of Electricity Generation (IDR/kWh) has been chosen as a suitable financial indicator for the alternatives remaining after step 1. Table 2: Fuel price comparison per unit of energy Fuel Type Natural Gas Coal 5.49 54 Fuel price USD/mmBTU1 USD/tonne2 Energy in Joule 1,055 J/BTU 23,027 TJ/tonne Price of fuel Cts USD/ TJ 5.21 2.19 Emission Factor KgCO2/TJ 64,200 96,100

Coal has a lower cost of energy compared to natural gas The basic levelised cost of electricity generation methodology used in this PDD is based on Projected Costs of Generation Electricity: 2005 update published by International Energy Agency (IEA)3. The formula applied to calculate the levelised electricity generation cost (EGC) is the following:

[( It + Mt + Ft ).(1 + r ) t ] EGC = [ Et.(1 + r ) t ]


t t

Where: EGC Average lifetime levelised electricity generation cost per kWh Capital expenditure in the year t It

1 Source: Gas purchase agreements - 5.495 USD/MMBTU from BBG (50%) and 5.5 USD/MMBTU from PGN (50%) 2 Source: Jakarta Stock Exchange, 30 May 2007 (KOB Kalimantan 5900kcal/kg cif prices) cif = cost + insurance + freight (avg freight prices) 3 Source: http://www.iea.org/Textbase/publications/free_new_Desc.asp?PUBS_ID=1472, Annex 5

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Mt Ft Et r n

Operation and maintenance expenditures in the year t Fuel expenditure in the year t Electricity generation in the year t Discount rate Lifetime of the System

Summary of assumptions taken for levelised cost calculation

Table 3: Specific assumptions for CCPP comprising advance class gas turbine Assumptions S1. Value Units Capacity of the plant 130 MW Capital expenditure (initial) 148,610,772 USD It O&M in the year t 385,000 USD Mt Fuel expenditure Fp*Fq USD Ft Fuel quantity Fq 7,313,509 MMBTU Fuel price Fuel escalation Electricity generation in the year t (Net) Discount rate Lifetime of the System Electricity Generation Cost Fp 5.49 USD/MMBTU 2.5 943,540 10 25 % (2 years) MWh % Years cents 6.59 USD/kWh

Source

Feasibility study Gas purchase agreements Feasibility study Calculated4

Et r n
EGC

4 Source: Levelised Electricity Generation Cost calculation is performed in the supporting doc financial analysis excel spreedsheet

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Table 4: Specific assumptions for Coal based power plant Assumptions S1. Value Capacity of the plant 2 x 65 Capital expenditure (initial) 166,664,000 It O&M in the year t 479,606 Mt Fuel expenditure Fp x Fq Ft Fuel quantity Fq 429,883 Fuel price Fuel escalation Electricity generation in the year t (Net) Discount rate Lifetime of the System Electricity Generation Cost Fp

Units MW USD USD USD tonnes

Source NA PT PLN Persero PLTU Crash programme Calculated5 Jakarta Stock Exchange, 30 May 2007 NA Calculated

54 USD/tonne 1.5 943,540 10 25 % MWh % years cents 4.91 USD/kWh

Et r n
EGC

Table 5: Levelized costs of generation Alternatives Generation cost of electricity6 Natural Gas cents USD/kWh 613.1 IDR/kWh 6.59 Coal cents USD/kWh 457.1 IDR/kWh 4.91 From the above assessment, it is clear that the project activity has a lower financial indicator (higher cost of generation) compared to coal. Sensitivity analysis A sensitivity analysis has been performed to confirm the conclusion regarding the financial indicator. The financial indicators are calculated for a variation of the following critical parameters: - Plant load factor - Cost of fuel The sensitivity analysis was conducted for scenarios with variations in each and both of the above factors to assess

5 6

Source: DIJPE data on GEF - Based on JAMALI average of 33.2% thermal efficiency

Based on the conversion rate at time of the decision (9300 IDR/USD)

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Table 6: Sensitivity analysis for each option Parameter Alternative Fuel Price Project activity not implemented as a CDM project, i.e. 130 MW gas based combined cycle power plant with advance class gas turbine. 2 x 65 MW coal fired pit head based power plant using conventional technology Load Factor Project activity not implemented as a CDM project, i.e. 130 MW gas based combined cycle power plant with advance class gas turbine. 2 x 65 MW coal fired pit head based power plant using conventional technology

Variation +/-5 +/-10 +/-5 +/-10 +/-5 +/-10 +/-5 +/-10

Levelised Cost (IDR/kWh) 603.7/623.5 656.6/569.5 468.0/446.1 479.0/435.2 603.7/623.5 595.3/635.2 446.6/468.9 437.1/482.1

The results of the sensitivity analysis conducted confirm that the cost of power generation using coal is the cheapest option and this is considered as the most economically attractive baseline scenario. Figure 1: Variation of levelised cost with load factor

Figure 2: Variation of levelised cost with fuel cost

Additionality Project additionality as per the methodology has been described in the subsequent section B.5.

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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): >> As recommended in AM0029, the project proponent is required to establish that the GHG reductions arising from the projects activity are additional to those that would have occurred in absence of the project activity as per the latest version of the Tool for the demonstration and assessment of additionality. As per the national and local existing legislation /regulation, there are no legal restrictions in Indonesia relating to the utilization of any fuel for grid connected generating stations. Since 2007, PT Bekasi Power was aware of the benefits from CDM, and hosted and participated in a CDM seminar in Jababeka in February 2007. Based on the CDM incentive, PT Bekasi Power decided to proceed with the project activity as a CDM project and this was notified in the following board meeting (March 2007) as well as in the earliest feasibility study (April 2007). The board of directors approved the investment and concluded an engineering, procurement & construction contract (Start date) later in July 2007. In order to demonstrate that the project activity is not the baseline scenario, the methodology provides a set of steps. For AM0029, the following steps are required: Step 1: Benchmark Investment Analysis. This step consists of the additionality tool step 2, sub-step 2b (Option III: Apply benchmark analysis); sub-step 2c (Calculation and comparison of financial indicators) and sub-step 2d (Sensitivity analysis) Step 2: Common practice analysis. This step consists of step 4 of the additionality tool Step 3: Impact of CDM registration. Step 1: Benchmark Investment Analysis Sub-step 2b: Option III Application of benchmark analysis According to the methodology AM0029, the benchmark investment analysis is undertaken and the generation cost of electricity is taken as the most appropriate financial/economic indicator. Sub-step 2c: Calculation and comparison of financial indicators Corresponding levelized tariff for all the plausible options to the proposed project activity has been calculated and presented in Section B.4 above. The cost of electricity generation for the proposed CDM project activity is IDR 613.1 per kWh against 457.1 IDR/kWh for the coal based alternative. On analyzing this data, it can be clearly seen that the project activity is not the most economical for power production. Using coal as fuel is economically the most feasible investment for producing power in the Western Java grid. Sub-step 2d: Sensitivity analysis The findings of sensitivity analysis on levelized tariff of generation for natural gas and coal presented in section B.4 above further substantiates that even with reasonable variations in price of fuel and PLF, the electricity generation cost using natural gas remains more expensive than that using coal.

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Step 2: Common practice analysis As recommended in AM0029 methodology, the project proponent is required to establish that the project activity is not common practice in the relevant country and sector, by applying step 4 (common practice analysis) of the latest version of the Tool for the demonstration and assessment of additionality. Sub-step 4a: Analyze other activities similar to the proposed project activity: The Indonesian power system is divided into four independent regional grids, namely Sumatra, JavaMadura-Bali (JAMALI), Kalimantan and Sulawesi. The JAMALI interconnections system is the largest (77% of power consumption) in the country, and the power generating capacity of this system totals 22,296 MW7 linked with extra high voltage transmission cables of 500 kV, and high voltage transmission cables of 150 kV and 70 kV. The common practice analysis will only consider ssimilar activities as CCGTs and Coal power plant operating or under implementation, and located in the JAMALI grid. Table 7: Natural gas and coal based power plants developed in the JAMALI grid Operation Capacity Project owner Power Plant Location Type of Fuel Year (MW) Tanjung Tanjung Jati B Tanjung Jati 2006 1320 Coal Jati B Gas & PT PLN Cilegon Cilegon, Banten 2006 740 HSD Oil (Persero) PT Sumberenergi Cilacap Cilacap 2006 600 Coal Sakti Prima PT Krakatau Krakatau Krakatau 2003 80 Coal Daya Listrik Gas & PT. Cikarang Cikarang Cikarang, Bekasi 2003 150 diesel Listrindo Paiton II Paiton I Muara Tawar Tanjung Priok Tambak Lorok Gresik Grati Paiton Paiton Bekasi, West Java Jakarta Raya Semarang East Java Pasuruan, East Java 2000 1999 1995 1993-1994 1993 1990 1964 1220 1290 2035 2 x 590 2x 530 2260 2 x 462 Coal Coal Gas & HSD Oil Gas & HSD Oil Gas & HSD Oil Gas & diesel Gas & HSD Oil PT Java power PT Paiton Energi PT PLN (Persero) PT Indonesia Power PT PLN (Persero) PT PLN (Persero) PT Indonesia Power

Source: POWER GENERATING INDUSTRY IN INDONESIA - July 2008 - http://www.datacon.co.id/powergenerating.html

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Sub-step 4b: Discuss any similar Options that are occurring: Indonesia is facing a crisis in electric power supply, as demand is growing by 8% a year as against production growth of only 3% per year8. For the most recent 10 years, coal-based power plants have accounted for over 80% of the total installed capacity above. Indonesia is the second9 largest exporter for coal in the world. Technology: Out of the seven CCGT power plants mentioned above, six (Cilegon, Muara Tawar, Tanjung Priok, Tambak Lorok, Gresik, and Grati) are publicly owned by the Indonesian government. Those multi-fuel fired CCGTs have the flexibility to choose between a range of fuels, depending on economics and availability and are thus better able to diversify fuel risks and dispatch risks. The only similar CCGT plant (Cikarang), built in 2003, benefits from a substantially lower gas price10.This IPP experienced a decline of 33%11 in its power output between 2004 and 2006. Similarly, several other power plants using gas as fuel in the country facing the similar barriers: inadequate pipeline infrastructure, uncertainty in domestic gas supply resulting in delay in the construction and interruption of the process of production. Cilegon and Gresik (PLTGU) have experienced a shortage in gas supply12 and many gas-fired power plants have been forced to revert to fuel oil. Between 2002 and 2006 the share of public and private gas based power plants decreased to 27%13 of total generation, whilst the share of oil and coal increased by 41.3% and 34.5% respectively. In light of abundant availability of cheap coal and to reduce dependence on fuel oil, the Indonesian government has undertaken a Crash Program. This program involves the construction of 24 new coal fired power plants units (PLTU) with a total capacity of 8,192 MW. In Java, 10 units of PLTU with a total capacity of 7,140 MW will be built (plants will have a capacity of 300 MW to 660 MW). The current trend in Indonesia is clearly focused on the construction of coal based power plants. Mainly due to the governments plan to encourage coal based power projects it is likely that the share of power generation fired by natural gas will decline. Therefore, we consider that this evidence supports the fact that the project activity is not common practice in Indonesia. Step 3: Impact of CDM registration When the project activity is successfully approved and registered as a CDM project, the income from CERs sales will improve the financial attractiveness of the project activity and act to offset the higher cost of electricity generation. As validation takes place after start date we provide a chronology of events below:

8 Source: POWER GENERATING INDUSTRY IN INDONESIA - July 2008 - http://www.datacon.co.id/powergenerating.html 9 Source: World Coal Institute Coal facts2008 - http://www.worldcoal.org/assets_cm/files/PDF/coalfacts08.pdf 10 Source: Pt Cikarang Listrindo invoice, price of gas: 2.45 USD/MMBTU 11 Source: Directorate General of Electricity and Energy Utilization, Gvt of Indonesia. JAMALI fuel consumption (2002-2006) 12 Source: POWER GENERATING INDUSTRY IN INDONESIA - July 2008 - http://www.datacon.co.id/powergenerating.html 13 Source: Directorate General of Electricity and Energy Utilization, Gvt of Indonesia. JAMALI fuel consumption (2002-2006)

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Table 8: Chronology of events EPC Construction Prior consideration contract start date March 2007 July 2007 October 2007

Stakeholder meeting May 2008

EIA approval May 2008

Expected COD December 2009

B.6.

Emission reductions: B.6.1. Explanation of methodological choices:

>> In line with the methodology, the emission reductions are calculated as explained below.

ER y = BE y PE y LE y
Where:

(1)

ER y BE y PE y LE y

Emissions reductions in year y (t CO2e) Emissions in the baseline scenario in year y (tCO2e) Emissions in the project scenario in year y (tCO2e) Leakage in year y (t CO2e)

Baseline emissions Baseline emissions are calculated by multiplying the electricity generated in the project plant (EGPJ,y) with a baseline CO2 emission factor (EFBL,CO2,y), as follows:

BE y = EG PJ , y EFBL ,CO 2, y
Where:

(2)

EGPJ , y EFBL ,CO 2, y

Net electricity generated in the project activity during the year y, MWh Baseline CO2 emission factor, tCO2/MWh

As per AM0029, to address the baseline uncertainties in a conservative manner, EFBL,CO2,y should be determined as the lowest emission factor among the following three options: Option 1: The build margin, calculated according to Tool to calculate emission factor for an electricity system; and Option 2: The combined margin, calculated according to Tool to calculate emission factor for an electricity system, using a 50/50 OM/BM weight. Option 3: The emission factor of the technology (and fuel) identified as the most likely baseline scenario under Identification of the baseline scenario above, and calculated as follows:

EFBL ,CO 2, y (tCO2 / MWh ) =


Where:

COEFBL

BL

3.6GJ / MWh (3)

COEFBL

Fuel emission coefficient (tCO2e/GJ), based on Table 2.2 of 2006 IPCC Guidelines for National Greenhouse Gas Inventories

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BL

Energy efficiency of the technology, as estimated in the baseline scenario analysis above

According to AM0029, this determination will be made once at the validation stage based on an ex ante assessment and once again at the start of each subsequent crediting period (if applicable). If either option 1 (BM) or option 2 (CM) are selected, they will be estimated ex post, as described in Tool to calculate emission factor for an electricity system. Option 1: Build Margin, calculated based on Tool to calculate emission factor for an electricity system

Build Margin emission factor The build margin refers to a cohort of power units that reflect the type of power units whose construction would be affected by the proposed CDM project activity. The value of build margin emission factor is calculated based on the generation-weighted average emission factor (tCO2/MWh) of representative power units during the 5 most recent years or the most recent 20% of the generating units built. The BPPT (Agency for the Assessment and Application of Technology, Indonesia) calculated a build margin emission factor of 0.937 tCO2/MWh which has been officially approved by Ministry of Environment of Indonesia and Directorate General of Electricity and Energy Utilization. The build margin emission factor is 0.937 tCO2/MWh. Option 2: The combined margin, calculated based on Tool to calculate emission factor for an electricity system, using a 50/50 OM/BM weight

As per the Tool to calculate emission factor for an electricity system, the combined margin emission factor is calculated as combination of operating margin (OM) and build margin (BM) emission factors. According to AM0029, the weighting of OM and BM is 50/50.

EFCM , y = wOM .EFOM , y + wBM .EFBM , y


Where: wOM + wBM = 1

(4)

Operating Margin emission factor The operating margin refers to a cohort of power plants that reflect the existing power plants whose electricity generation would be affected by the proposed CDM project activity. The simple operating margin approach is not appropriate to calculate operating margin emission factor because the low-cost/must-run resources for the Jawa-Madura-Bali (JAMALI) grid constitute 61.4%14 of the total grid generation in average of the five most recent years. Therefore, the average operating margin has been preferred. The BPPT (Agency for the Assessment and Application of Technology, Indonesia) calculated an operating margin emission factor of 0.844 tCO2/MWh, which has been officially approved by Ministry of Environment of Indonesia and Directorate General of Electricity and Energy Utilization.
14

Source: Directorate General of Electricity and Energy Utilization, Gvt of Indonesia. JAMALI LCMR Ratio (2002-2006)

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EFCM , y = wOM .EFOM , y + wBM .EFBM , y EFCM , y = 0.5 * 0.844 + 0.5 * 0.937
Applying a 50/50 weight to the values for operating margin and build margin emission factors provided in the BPPT database, the Combined Margin emission factor calculated is 0.891 tCO2/MWh15. Option 3: The emission factor of the technology identified as the most likely baseline scenario under Identification of the baseline scenario

As demonstrated under section B.4 earlier, coal fired power plant represents the technology that represents an economically attractive course of action and therefore coal fired power plant has been identified as the baseline scenario. The emission factor of the coal fired power plant is calculated using this equation as follows:

EFBL ,CO 2, y (tCO2 / MWh ) =

COEFBL

BL

3.6GJ / MWh

Based on the IPCC default value for coal emission coefficient ( COEFBL ), the value used for the emission factor calculation is 0.0946 tCO2/GJ16. And the value of the energy efficiency ( BL ) is 31.8%17.

EFBL ,CO 2 , y = EFBL ,CO 2 , y

0.0946 (tCO 2 /GJ) * 3.6 (GJ / MWh ) 31.8% = 1.070 tCO 2 e/MWh

The result of the baseline emission factor for coal fired power plant is 1.070 tCO2/MWh. Baseline Emissions Factor Emission factors determined using the three options are summarised in the table below Table 9: Emission factors determined using the three options: Options Emission (tCO2e/MWh) Option 1 : Build Margin for JAMALI Grid 0.937 Option 2 : Combined Margin for JAMALI Grid 0.891 Option 3 : Emission factor of coal based power plant 1.070

Factor

The lowest of all the three options for JAMALI Grid is Option 2 (Combined Margin) and hence this is the appropriate Baseline Emission Factor. Accordingly, the Baseline Emission Factor value applicable to the project activity is 0.891 tCO2e/MWh.

15 16

Source: http://dna-cdm.menlh.go.id/Downloads/Others/KomnasMPB_Grid_Sumatera_JAMALI_2008.pdf Source: IPCC Guidelines for National Greenhouse Gas Inventories, Table 2.2 (2006) 17 Source: Refer to Annex 3 for the calculation of energy efficiency for coal technology

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As per AM0029, in case the Build Margin or the Combined Margin is selected as the Baseline Emission Factor, the Baseline Emission Factor (Combined Margin) will be determined ex-post, as described in Tool to calculate emission factor for an electricity system. In line with the ex-post determination of the baseline emission factor the Build Margin must be updated annually ex-post for the year in which the actual generation and associated emission reduction occur. Project emissions The project activity is on-site combustion of natural gas to generate electricity. The CO2 emissions from electricity generation (PEy) are calculated as follows:

PE y = FC y COEFy
Where:

(5)

FC y COEFy

Total volume of natural gas combusted in the project plant (m3 or similar) in year y CO2 emission coefficient (tCO2/m3 or similar) in year y for natural gas and is calculated as follows:

COEFy = NCV y EFCO 2, y OXID f


Where:

(5a)

NCV y EFCO 2, y OXID f

Net calorific value per volume unit of natural gas (GJ/m3) in year y as determined from the fuel supplier, wherever possible, otherwise from local or national data; CO2 emission factor per unit of energy of natural gas in year y (tCO2/GJ), from IPCC; Oxidation factor of natural gas

For start-up fuels, IPCC default calorific values and CO2 emission factors are acceptable, if local or national estimates are unavailable. The values for the above parameters are referred in the B.6.2. section:

COEFy = NCV y EFCO 2, y OXID f


Leakage Leakage may result from fuel extraction, processing, liquefaction, transportation, re-gasification and distribution of fossil fuels outside of the project boundary. This includes mainly fugitive CH4 emissions and CO2 emissions from associated fuel combustion and flaring. Since the project activity does not use LNG, the leakage emissions are given as follows:

LE y = LECH 4, y
Where:

(6) Leakage emissions during the year y in tCO2e Leakage emissions due to fugitive upstream CH4 emissions in the year y in tCO2

LE y LECH 4, y

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Fugitive methane emissions For the purpose of estimating fugitive CH4 emissions, the quantity of natural gas consumed by the project in year y is multiplied with an emission factor for fugitive CH4 emissions (EFNG,upstream,CH4) from natural gas consumption and subtracted by the emissions from fossil fuels used in the absence of the project activity, as follows:

LECH 4 , y = FC y NCV y EFNG ,upstream,CH 4 EGPJ , y EFBL ,upstream,CH 4 GWPCH 4 (7)


Where:

LECH 4 , y FC y NCVNG , y

Leakage emissions due to fugitive upstream CH4 emissions in the year y in t CO2e Quantity of natural gas combusted in the project plant during the year y in m Average net calorific value of the natural gas combusted during the year y in GJ/m transportation, distribution, and, in the case of LNG, liquefaction, transportation, regasification and compression into a transmission or distribution system, in tCH4 per GJ fuel supplied to final consumers Electricity generation in the project plant during the year in MWh project activity in tCH4 per MWh electricity generation in the project plant Global warming potential of methane valid for the relevant commitment period

EFNG ,upstream,CH 4 Emission factor for upstream fugitive methane emissions of natural gas from production,

EGPJ , y

EFBL ,upstream,CH 4 Emission factor for upstream fugitive methane emissions occurring in the absence of the GWPCH 4

The emission factor for upstream fugitive CH4 emissions occurring in the absence of the project activity (EFBL,upstream,CH4) should be calculated consistent with the baseline emission factor - Option 2(EFBL,CO2). As presented in the Annex 3, the emission factor was found to be the lowest with Combined Margin method for the JAMALI grid, so the same calculation procedure has been adopted to calculate EFBL,upstream,CH4, as presented below:

FF
EFBL ,upstream,CH 4 = 0.5
Where:
j

j ,k

EFk ,upstream,CH 4 + 0 .5
j j

FF
i

i ,k

EFk ,upstream,CH 4

EG

EG
i

(8)

EFBL ,upstream,CH 4
j

Emission factor for upstream fugitive methane emissions occurring in the absence of the project activity in tCH4 per MWh electricity generation in the project plant Plants included in the build margin Quantity of fuel type k (a coal or oil type) combusted in power plant j included in the build margin Emission factor for upstream fugitive methane emissions from production of the fuel type k (a coal or oil type) in tCH4 per MJ fuel produced Electricity generation in the plant j included in the build margin in MWh/a

FF j ,k EFk ,upstream,CH 4 EG j

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FFi ,k EGi

Plants included in the operating margin Quantity of fuel type k (a coal or oil type) combusted in power plant i included in the operating margin Electricity generation in the plant i included in the operating margin in MWh/a

As per AM0029, since the Combined Margin has been selected as the Baseline Emission Factor (Option 2), the factor for upstream fugitive CH4 emissions occurring in the absence of the project activity will be determined ex-post, and will be calculated in consistent with the Baseline Emission Factor, as described in Tool to calculate emission factor for an electricity system. Table 10: Default emission factors for fugitive CH4 upstream emissions Defaul Parameter Unit Source Remarks t value EFcoal,upstream,CH4 0.8 tCH4 /kt coal Table 2 of AM0029: Since the predominant sources in Default emission the region are currently using factors for fugitive CH4 surface mining coal18, the default upstream emissions emission factor value used is 0.8 tCH4 /kt coal. EFoil,upstream,CH4 4.1 tCH4 / PJ Table 2 of AM0029: This value includes production, Default emission transport, refining and storage of factors for fugitive CH4 the oil. upstream emissions This value includes production, EFNG,upstream,CH4 296 tCH4 / PJ Table 2 of AM0029: Default emission processing transport and factors for fugitive CH4 distribution of natural gas. It is upstream emissions applicable for the rest of the world. The calculation of leakage emissions are provided in Annex 6.

18

Source: http://www.energybangla.com/index.php?mod=article&cat=CoalSector&article=1531

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B.6.2. Data and parameters that are available at validation: The data/ parameters that are available at validation include the following: Data / Parameter:

EFBM , y

Data unit: tCO2/MWh Description: Build Margin Emission factor of JAMALI Grid Source of data to be Official Information on Baseline Emission Factor in JAMALI Electricity Grid used: by Ministry of Environment of Indonesia dated Januari 19, 2009 http://dnacdm.menlh.go.id/Downloads/Others/KomnasMPB_Grid_Sumatera_JAMALI_2 008.pdf Value applied 0.973 Justification of the Build Margin Emission Factor has been calculated by BPPT (Agency for the choice of data or Assessment and Application of Technology, Indonesia) in accordance with description of Tool to calculate emission factor for an electricity system and its usage in measurement methods CDM project has been officially approved by Ministry of Environment and and procedures actually Directorate General of Electricity and Energy Utilization applied: Any comment: Data / Parameter: Data unit: Description: Source of data used:

EFOM , y
tCO2/MWh Operating Margin Emission factor of JAMALI Grid Official Information on Baseline Emission Factor in JAMALI Electricity Grid by Ministry of Environment of Indonesia dated Januari 19, 2009 http://dnacdm.menlh.go.id/Downloads/Others/KomnasMPB_Grid_Sumatera_JAMALI_ 2008.pdf 0.844 Operating Margin Emission Factor has been calculated by BPPT (Agency for the Assessment and Application of Technology, Indonesia) using average OM approach in accordance with Tool to calculate emission factor for an electricity system and its usage in CDM project has been officially approved by Ministry of Environment and Directorate General of Electricity and Energy Utilization. -

Value applied: Justification of the choice of data or description of measurement methods and procedures actually applied : Any comment: Data / Parameter: Data unit: Description:

COEFBL

tCO2e/TJ Emission factor of coal which has been identified as the baseline scenario fuel. This data is used to calculate the emission factor of coal based power generation. Source of data to be Table 2.2 of 2006 IPCC Guidelines for National Greenhouse Gas Inventories

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used: Value applied Justification of the choice of data or description of measurement methods and procedures actually applied: Any comment: Data / Parameter: Data unit: Description: Source of data used:

As per AM0029, the fuel emission coefficient is to be determined based on national average fuel data if available, otherwise IPCC default value is considered.

Calculated with NCV of gas is monitored.

BL of coal power plant


% Energy efficiency of the coal fired power plant which has been identified as the baseline scenario Calculated as the average of energy efficiency for the most recent coal fired power plant, connected to the JAMALI grid. Values used are fuel consumption, NCV of coal and net electricity generated and published by Indonesian Directorate General of Electricity and Energy Utilization. 31.8% Official Information on Baseline Emission Factor in JAMALI Electricity Grid published by Indonesian Directorate General of Electricity and Energy Utilization.

Value applied: Justification of the choice of data or description of measurement methods and procedures actually applied : Any comment: Data / Parameter: Data unit: Description: Source of data used: Value applied:

Coal consumption in coal fired power plants in JAMALI region kilotonnes These data are used as inputs to calculate the Energy efficiency of the coal fired power plants JAMALI Grid Build Margin and Operating Margin calculation database. Quantity of fuel Coal Power Plant consumed (kilotonnes) Paiton I 4,437 Paiton II 4,273 Krakatau 0.8 Cilacap 764.1 Tanjung Jati B 1,525 PT. PJB2,753 steam/coal IP-Steam coal 13,165 The source of data comes from the official data given by Indonesian Directorate General of Electricity and Energy Utilization. The same data is

Justification of the choice of data or

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description of measurement methods and procedures actually applied : Any comment: Data / Parameter: Data unit: Description: Source of data used: Value applied:

used to calculate the official JAMALI Grid

Electricity generated from Coal fired power plants in the JAMALI Grid GWh These data are used as inputs to calculate the Energy efficiency of the coal fired power plants JAMALI Grid Build Margin and Operating Margin calculation database. Coal Power Plant Gross electricity generation (GWh) 9,116 9,109 2.2 1,937 3,869

Justification of the choice of data or description of measurement methods and procedures actually applied : Any comment: Data / Parameter: Data unit: Description: Source of data used: Value applied: Justification of the choice of data or description of measurement methods and procedures actually applied : Any comment: Data / Parameter: Data unit:

Paiton I Paiton II Krakatau Cilacap Tanjung Jati B PT. PJB4,929 steam/coal IP-Steam coal 23,875 The source of data comes from the official data given by Indonesian Directorate General of Electricity and Energy Utilization. The same data is used to calculate the official JAMALI Grid

NCVy of Coal
TJ/Gg Net calorific value per mass unit of coal Indonesia Mineral, Coal and Geothermal Statistic 2006, pp. 28 24.03 This value is based on national statistic and published by Indonesian Ministry of Energy and Mineral Resources.

NCVy of HSD, IDO and MFO


GJ/ kiloliter fuel

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Description:

Source of data used:

Value applied: Justification of the choice of data or description of measurement methods and procedures actually applied : Any comment: Data / Parameter: Data unit: Description: Source of data used: Value applied: Justification of the choice of data or description of measurement methods and procedures actually applied : Any comment:

Net calorific value per volume unit. This data are used as inputs for calculating the Emission factor for upstream fugitive methane emissions occurring in the absence of the project activity. NCV values of HSD, IDO and MFO found in the calculation of JAMALI Grid build margin and operating margin by BPPT (Agency for the Assessment and Application of Technology, Indonesia). Refer to Annex 6 The source of data comes from the data given by Indonesian Directorate General of Electricity and Energy Utilization. The same data is used to calculate the official JAMALI Grid.

EFCO 2, f , y of natural gas


tCO2/GJ The CO2 emission factor per unit of energy of natural gas in year y IPCC default value has been applied (Chapter 2, 2006 IPCC Guidelines for National Greenhouse Gas Inventories) 56.1 tCO2/TJ As there are no national data available for the emission factor of the fuel used, default value based on Table 2.2 of 2006 IPCC Guidelines for National Greenhouse Gas Inventories has been applied.

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B.6.3 Ex-ante calculation of emission reductions: >> As per methodology AM0029, the emission reductions by the project activity is calculated as follows:

ERy = BE y PE y LE y
Where:

ER y BE y PE y LE y

Emissions reductions in year y (t CO2e) Emissions in the baseline scenario in year y (tCO2e) Emissions in the project scenario in year y (tCO2e) Leakage in year y (t CO2e)

Baseline Emissions Baseline Emissions (tCO2e): BE y = EGPJ , y . EFBL ,CO2 , y

EGPJ , y = Annual expected net electricity generated in the project activity (MWh)
= Gross electricity generated Auxiliary power consumption @ 3.71% of gross generation

EGPJ , y = [[2*(8640*37.97) + (8640*50)] - [2*(8640*1.3) + (8640*2)]]*90%


= 943,540 MWh And baseline emission factor value is: EFBL ,CO2 , y = 0.891 tCO2e/MWh

(Refer to section B.6.1. Option 2)

Therefore baseline emission is: BE y = 943,540 x 0.891 = 840,694 tCO2e Project Emissions Since the consumption of natural gas is provided in MMBTU, the project emission is calculated by applying a conservative equivalence between MMBTU and Joule of (1 Btu = 1055.056 Joule). Nevertheless, for the purpose of the monitoring plan, the actual project emission with the exact COEFy , as per AM0029 will be calculated. Project Emissions (tCO2e): PE y = 7,313,509 (MMBTU) * 1.055,056 (GJ/MMBTU) * 0.0561 (tCO2e /GJ)

PE y = 432,877 tCO2e
Leakage Leakage emissions due to fugitive upstream CH4 emissions (refer to Annex 6 for details of calculation) Likewise the project emission, the leakage is calculated using a conservative equivalence between MMBTU and Joule of (1 Btu = 1055.056 Joule). Nevertheless, for the purpose of the monitoring plan, the actual leakage with the exact NCV y , as per AM0029 will be calculated.

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LE y = [7,313,509 (MMBTU) * 1.055,056 (GJ/MMBTU) * 0.000296 (t CH4 per GJ)]


[943,540 (MWh) * 0.000473 (t CH4 per MWh)] * 21 LE y = 38,592 tCO2e Emissions reductions ER y = 840,694 - 432,877 - 38,592 = 369,225 tCO2e B.6.4 Summary of the ex-ante estimation of emission reductions: >> A summary of the ex-ante estimation of emission reductions for all years of the crediting period has been presented in the table below. Estimation of project activity emissions (tCO2e) 432,877 432,877 432,877 432,877 432,877 432,877 432,877 432,877 432,877 432,877 4,328,770 Estimation of baseline emissions (tCO2e) 840,694 840,694 840,694 840,694 840,694 840,694 840,694 840,694 840,694 840,694 8,406,940 Estimation of leakage (tCO2e) 38,592 38,592 38,592 38,592 38,592 38,592 38,592 38,592 38,592 38,592 385,920 Estimation of overall emission reductions (tCO2e) 369,225 369,225 369,225 369,225 369,225 369,225 369,225 369,225 369,225 369,225 3,692,250

Year Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total (tCO2e)

B.7 Application of the monitoring methodology and description of the monitoring plan: >> Monitoring methodology and monitoring plan for the project activity has been prepared using the guideline provided in Approved monitoring methodology AM0029 Version 03, Grid Connected Electricity Generation Plant using Non- Renewable and Less GHG Intensive Fuel. The applicability of this methodology to the proposed CDM project activity has been discussed in Section B.2 above. All the data to be monitored to estimate project, baseline and leakage emissions for verification and issuance will be kept for two years after the end of the crediting period or the last issuance of CERs for the project activity, whichever occurs later.

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The primary parameters to be monitored for calculating project emissions are listed below. Other parameters will be calculated using the primary parameters. For project emissions: 1. Annual fuel (s) consumption in project activity. 2. Net Caloric Values (s) of the fuel used in the project activity. 3. Fuel emission factors for fuel used in the project activity. B.7.1 Data and parameters monitored: >> The following tables include specific information on how the data and parameters that need to be parameters would actually be collected during monitoring for the project activity. Data / Parameter: Data unit: Description: Source of data to be used: Value of data applied for the purpose of calculating expected emission reductions in section B.5 Description of measurement methods and procedures to be applied: QA/QC procedures to be applied:

FC NG , y
m3 Natural gas combusted in the project activity during the year y Daily fuel flow meter reading at project boundary For ex-ante calculation is 7,313,509 MMBTU

This data will be recorded daily. There will be two main flow meters which will be installed by the supplier. There will be two crosscheck meters which will be installed by the project proponent.

The gas flow meters will be maintained and calibrated as per standard procedures at least once in year to ensure accuracy. The readings of the main, cross-checked, and master meters can be checked as QA/QC.

Any comment: Data / Parameter: Data unit: Description: Source of data to be used: Value of data applied for the purpose of calculating expected emission reductions in section B.5 Description of measurement methods

NCV NG , y
GJ/m3 (or kcal/SCM) The Net Calorific Value (energy content) per volume unit of Natural Gas in year. Fortnightly fuel supplier data NCV of Natural Gas is not applied for the ex-ante calculation.

Data will be recorded and archived electronically/paper by project proponent fortnightly.

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and procedures to be applied: QA/QC procedures to be applied: Any comment:

No additional QA/QC procedures may need to be planned. -

Data / Parameter: Data unit: Description: Source of data to be used: Value of data applied for the purpose of calculating expected emission reductions in section B.5 Description of measurement methods and procedures to be applied: QA/QC procedures to be applied: Any comment: Data / Parameter: Data unit: Description: Source of data to be used: Value of data applied for the purpose of calculating expected emission reductions in section B.5 Description of measurement methods and procedures to be applied: QA/QC procedures to be applied: Any comment:

FC HSD , y
Liters ( or kilo liters) Quantity of High Speed Diesel (HSD) combusted in the project activity during the year y. As per plant records For ex-ante calculation, HSD consumption is considered as zero.

As HSD will only be used during emergencies, the monitoring using flow meter will occur as and when HSD is used.

This can be crosschecked against the supplier receipts. -

NCVHSD , y
kcal/kg The Net Calorific Value (energy content) per mass unit of HSD in year. As per plant records As HSD consumption is considered as zero, The Net Calorific Valued of HSD Gas is not applied for the ex-ante calculation.

This value will be obtained from the suppliers. If the value from supplier is not available then IPCC value will be used. Data from supplier will be recorded and archived electronically/paper by project proponent.

No additional QA/QC procedures may need to be planned. -

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Data / Parameter: Data unit: Description: Source of data to be used: Value of data applied for the purpose of calculating expected emission reductions in section B.5 Description of measurement methods and procedures to be applied: QA/QC procedures to be applied:

EG PJ , y
MWh Net electricity exported to the grid by the project activity in the year y The kWh output will be measured and recorded from the electronic meters installed at the project site. 943,540 MWh

Electricity supplied to PLN and grid connected private users will be metered at the point of delivery and is therefore net of transmission losses. All data will be transmitted electronically back to a master meter at the plant. The daily reading at the master meter will be archived electronically. Data archive will be maintained for two years after the end of the crediting period. Net electricity generated can be crosschecked against electricity sales invoices and the gross electricity generation date which is also metered and stored. Calibration will be done once a year as per standard and procedure. -

Any comment: Data / Parameter: Data unit: Description: Source of data to be used: Value of data applied for the purpose of calculating expected emission reductions in section B.5 Description of measurement methods and procedures to be applied:

ECO2 , f , NG
tCO2e/TJ CO2 Emission Factor of Natural Gas Table 1.4 of 2006 IPCC Guidelines for National Greenhouse Gas Inventories 56.10 tCO2e/TJ

Default values for Carbon Emission Factor of Natural Gas as 2006 IPCC Guidelines for National Greenhouse Gas Inventories has been considered. This data will be recorded annually based on latest IPCC information available and will be archived in electronic/paper form. Archived data will be kept up to two years from the end of crediting period or the last issuance, which ever occurs later. QA/QC procedures to No additional QA/QC procedures may need to be planned be applied: Any comment: Carbon Emission factor of natural gas will be updated as per the latest guidelines available from IPCC on national greenhouse gas inventory on year to year basis. Data / Parameter:

OXID f , NG

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Data unit: Description: Source of data to be used: Value of data applied for the purpose of calculating expected emission reductions in section B.5 Description of measurement methods and procedures to be applied:

Oxidation Factor of Natural Gas Table 1.4 of 2006 IPCC Guidelines for National Greenhouse Gas Inventories 1

Default values as 2006 IPCC Guidelines for National Greenhouse Gas Inventories: Reference Manual has been considered. This data will be recorded annually based on latest IPCC information available and will be archived in electronic/paper form. Archived data will be kept up to two years from the end of crediting period or the last issuance, which ever occurs later. QA/QC procedures to No additional QA/QC procedures may need to be planned be applied: Any comment: Oxidation factor of Natural Gas will be updated as per the latest guidelines available from IPCC on national greenhouse gas inventory on year to year basis. Data / Parameter: Data unit: Description: Source of data to be used: Value of data applied for the purpose of calculating expected emission reductions in section B.5 Description of measurement methods and procedures to be applied:

ECO2 , f , HSD
tCO2e/TJ CO2 Emission Factor of HSD Table 1.4 of 2006 IPCC Guidelines for National Greenhouse Gas Inventories 74.10 tCO2e/TJ

Default values for Carbon Emission Factor of Natural Gas as 2006 IPCC Guidelines for National Greenhouse Gas Inventories has been considered. This data will be recorded annually based on latest IPCC information available and will be archived in electronic/paper form. Archived data will be kept up to two years from the end of crediting period or the last issuance, which ever occurs later. QA/QC procedures to No additional QA/QC procedures may need to be planned be applied: Any comment: Carbon Emission factor of natural gas will be updated as per the latest guidelines available from IPCC on national greenhouse gas inventory on year to year basis. Data / Parameter:

OXID f , HSD

Data unit: Description: Oxidation Factor of HSD Source of data to be Table 1.4 of 2006 IPCC Guidelines for National Greenhouse Gas Inventories used:

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Value of data applied for the purpose of calculating expected emission reductions in section B.5 Description of measurement methods and procedures to be applied:

Default values as 2006 IPCC Guidelines for National Greenhouse Gas Inventories: Reference Manual has been considered. This data will be recorded annually based on latest IPCC information available and will be archived in electronic/paper form. Archived data will be kept up to two years from the end of crediting period or the last issuance, which ever occurs later. QA/QC procedures to No additional QA/QC procedures may need to be planned be applied: Any comment: Oxidation factor of Natural Gas will be updated as per the latest guidelines available from IPCC on national greenhouse gas inventory on year to year basis.

Data / Parameter:

EFCM , y

Data unit: tCO2/MWh Description: Combined Margin Emission Factor for JAMALI grid Source of data to be Official Information on Baseline Emission Factor in JAMALI Electricity Grid used: by Ministry of Environment of Indonesia dated January 19, 2009 http://dnacdm.menlh.go.id/Downloads/Others/KomnasMPB_Grid_Sumatera_JAMALI_2 008.pdf Value of data applied 0.891 tCO2/MWh for the purpose of calculating expected emission reductions in section B.5 Description of No measurement required. Combined Margin Emission Factor has been measurement methods calculated by BPPT (Agency for the Assessment and Application of and procedures to be Technology, Indonesia) using the average of the Build Margin and the average applied: Operating Margin in accordance with Tool to calculate emission factor for an electricity system and its usage in CDM project has been officially approved by Ministry of Environment and Directorate General of Electricity and Energy Utilization. QA/QC procedures to No additional QA/QC procedures may need to be planned. be applied: Any comment: -.

B.7.2 Description of the monitoring plan: >> The Monitoring and Verification (M&V) procedures define a project-specific standard against which the project's performance (i.e. GHG reductions) and conformance with all relevant criteria will be monitored

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and verified. It includes developing suitable data collection methods and data interpretation techniques for monitoring and verification of GHG emissions with specific focus on technical performance parameters. It also allows scope for review, scrutiny and benchmarking of all this information against reports pertaining to M & V protocols. The monitoring plan is prepared considering in following areas of Project Activity: 1. Establishing and maintaining the appropriate monitoring systems for consumption of NG and electricity generated by the proposed project. 2. Quality control at Project Activity and measurements. 3. Assigning monitoring responsibilities to personnel. 4. Data storage and filing system. 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 baseline study and application of baseline methodology was completed on 01/01/2009 by: Donald Gautier and Marrisa Girsang, PT Agrinergy Indonesia. Not a project participant. Contact information: PT Agrinergy Indonesia. Wisma Pondok Indah 2, 17th floor, Suite 1704. Jalan Sultan Iskandar Muda Kav V-TA, Jakarta 12310. Tel. +62 21 7592 2999

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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: >> 09/07/2007 C.1.2. Expected operational lifetime of the project activity: >> 25 years C.2 Choice of the crediting period and related information: C.2.1. Renewable crediting period C.2.1.1. >> 01/11/2009 C.2.1.2. >> 10 years 00 months Length of the first crediting period: Starting date of the first crediting period:

C.2.2. Fixed crediting period: C.2.2.1. >> NA C.2.2.2. >> NA Length: Starting date:

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SECTION D. Environmental impacts >> D.1. Documentation on the analysis of the environmental impacts, including transboundary impacts: >> PT Bekasi Power implemented an Environmental Impact Assessment (EIA) /Analisa Mengenai Dampak Lingkungan (AMDAL) in compliance with the environmental regulations: Law Number 23 Year 1997 about Environmental Management and Regulation of the State Minister of Environment Number 8 Year 2006 about Writing Guidelines of EIA. The EIA is the revision of earlier EIA in April 1999 of Jababeka Industrial Estate Phase III, where PT Bekasi Power is located. This EIA has been approved by Governor of West Java Province in 19th May 2008. The construction project of the PLTGU is consisted of 3 phases: pre-construction (preparation), construction and operational phase. The preparation phase comprises of several activities such as engineering preparation, involving feasibility study, permit process and confirmation of gas supply. Construction process involves material and heavy equipment transports, land opening and processing, work force mobilization, construction of ME and demobilization of heavy equipments. Operational process involves work force mobilization, commissioning, gas supply, operations of the power plant, waste treatment and maintenance. Table 11: Construction Phase Environmental Possible Impacts Environmental Management Plan Component Air Quality Decreasing air quality due to the Managing the truck loading schedule increase of gas wastes (HC, CO2, Localizing source of impact by installing NOx, and SO2) and dust due to fences around the construction site various construction activities. Frequent maintenance of soil excess around the construction site and spraying around the construction site to reduce the amount of dust Noise Noise and vibration resulted from Project schedule management the usage of machines such as Foundation construction plan utilizes the compactor, bulldozer, back hoe, Bore Pile method excavator and other construction equipment. Surface water Material/soil excess and liquid waste, resulting from the workers domestic activities. Maintenance of drainage plan to mitigate waste risk and sedimentation due to construction activities. Liquid waste management (lubricating oil & domestic waste )

Local fidgetiness

Employment business

Risk of local complaints due to the To provide hotline service for response declining air quality, noise purposes and inputs from locals pollution and traffic and The locals will benefit from To provide priority for locals by employment demands and increase considering the work qualification

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opportunity

of per-capita income from the required in the project. existence of the project activity To inform the locals concerning employment opportunity and the requirements necessary. To provide wage in accordance with the applicable standard, education level and work expertise

Table 12: Operation Phase Environmental Possible Impacts Component Air quality The existence of gas pollution containing CO2, NOx, H2O and hot air.

Environmental Management Plan Constructing Buffer Zone along the inhabitant borders with wall of 4 meters tall and to plant pollutant absorbing vegetation. Plantation of trees with high lushness factor such as mahogany, rubber tree, etc. To conduct flare stack air up to 20 meters high in order to mitigate over pressured gas risk. Installments of latex absorber to cover the joints of windows and doors. To install noise emitting machines in a noise absorbent building. To cover the production machines in order to reduce noise emission. To instruct employees to wear earplugs. The liquid waste will be transmitted to the containment tube before being directed to the liquid waste treatment unit for industrial area. Waste oil and lubricant are contained in an oil catcher. The waste is then gathered into sealed drums and handed over to third parties that possess the permit from the Ministry of Environment. Waste is managed through selection of organic and non organic waste. The waste is collected and transported by cleaning units everyday, which then will be transported to the final disposal site. To provide hotline service for response purposes and inputs from locals

Noise

Noisy from blow down action

Surface water

Liquid waste from domestic activity operation and waste oil Hazardous waste in form of waste oil and lubricant

Solid waste

Solid waste produced from domestic activities

Local fidgetiness

Risk of local complaints due to the declining air quality, noise pollution and traffic

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Employment business opportunity

and The locals will benefit from To provide priority for locals by employment demands and increase considering the work qualification of per-capita income from the required in the project. existence of the project activity To inform the locals concerning employment opportunity and the requirements necessary. To provide wage in accordance with the applicable standard, education level and work expertise

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: >> There are no significant environmental impacts of the project.

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SECTION E. Stakeholders comments >> E.1. Brief description how comments by local stakeholders have been invited and compiled: >> PT Bekasi Power applied / communicated to the relevant stakeholders to comments. The stakeholders list includes the government and non-government parties, which are involved in the project activity at various stages. All the identified stakeholders are invited by PT Bekasi Power by sending written letters explaining the purpose of the meeting. PT Bekasi Power also posted a notice in a local newspaper on 9th May 2008 for announcing the stakeholder meeting to the public. The notice indicated the agenda of meeting, venue and time of meeting. PT Bekasi Power has conducted a stakeholder consultation process in an open and transparent manner on 15/05/2008 at President Executive Club- Bekasi. They have invited all identified stakeholder explaining clearly about the project and sought their view on the project. The meeting was attended by the representatives of the identified stakeholders. The list of participants with their signature and comments are kept for record and photographs of the event were also taken. The stakeholders identified for the project are as under. Deputy of Regent of Bekasi Regency Chief of Tanjung Sari Village, North Cikarang Subdistrict Elected body of representative administering the local area (village Tanjung Sari) Chief of Environmental Control & Mining Agency, Bekasi Regency Chief of Police of North Cikarang Sektor (Representative) Gas Supplier (PGN and BBG) Contractor CDM Consultant Local community The agenda of the stakeholder consultation included: Presentation of Project activity by PT Bekasi Power Analysis of CDM project and sustainable benefits by Agrinergy Open discussion and question and Answer session E.2. Summary of the comments received: >> There were a number of comments received from the stakeholders attending the meeting. These have been summarized below: Table 13: Comments received from the stakeholders Comments 1. PT Bekasi Power is expected to conduct reforestation in the project area and around the project location especially in critical area, to reduce negative impact from the waste gas emission from the power plant and also to support the Million Tree project in Bekasi Regency. 2. The locals expect that the negative impact to the society will be mitigated in regards to the construction and operation of the

From Mr.Drs.Bambang Sulaksana, MM (Chief of Environmental Control & Mining Agency, Bekasi Regency) Mr.Nuraedi (Representative of

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3.

4.

power plant. Mr Nuraedi also raised following questions: a. Will there be any inspection conducted routinely to ensure that the project will not generate negative impact? b. Will the electricity generated by the power plant available for sale to the community? The authority expects that PT Bekasi Power can mitigate safety risks in relation to the community and environment and also to encourage the community to purse alternative dispute resolution if there exists an issue between them and PT. Bekasi Power. Due to its vital nature, the authority will also secure the site professionally based on the standard security procedure. Will the project benefit the industry and the society by providing employment opportunity to the locals?

Tanjung Sari Community)

Iptu Sawon (Representative of Chief of Police of North Cikarang Sector)

Edi Efendi (Representative of Tanjung Sari Community)

E.3. Report on how due account was taken of any comments received: >> Following are the responses on the comments: Table 14: Responses on the comments No Answers 1. PT Bekasi Power has conducted reforestation including critical areas (as much as 16,000 hectares) in Bekasi Region to mitigate negative impact generated from the disposal of waste gas emission of the power plant 2. PT Bekasi Power will ensure that the negative impacts will be mitigated from the development and operation of the power plant by applying technical expertise, such as selective usage of pipe and implant of pipe. Aside from that, according to the Clean Development Mechanism (CDM), the power plant project will be monitored routinely alongside with verification process. The electricity generated by the power plant is intended for industrial purposes at Jababeka Region, 3rd phase. The contractor ensures that the construction and operation of the power plant will apply safety procedures and healthy work environment. Negative impact will also be mitigated using technical methods such as automatic shutdown mechanism, should leakage occur to the systematically monitored device. In addition, the project will also utilize devices to monitor waste gas emission 3. Bekasi Power is grateful for the support from the authority and also expects similar support from all parties in order to materialize the continuity of the project 4. While generating benefit to the society by reducing Greenhouse gas emission through the usage of a clean fuel the project will also bring social and economic benefit by increasing employment opportunity to the community both directly and indirectly.

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Annex 1 CONTACT INFORMATION ON PARTICIPANTS IN THE PROJECT ACTIVITY Organization: Street/P.O.Box: Building: City: State/Region: Postfix/ZIP: Country: Telephone: FAX: E-Mail: URL: Represented by: Title: Salutation: Last Name: Middle Name: First Name: Department: Mobile: Direct FAX: Direct tel: Personal E-Mail: PT. Bekasi Power Jalan Niaga RayaKav 1-4 Plaza JB / Jababeka Center Bekasi Cikarang Baru 17550 Indonesia (021) 8984 1770 /72 /73 (021) 8984 1911 http://www.jababeka.com Teguh Setiawan Managing Director Mr.

(021) 572 7338 (021) 572 7337 teguh.setiawan@jababeka.com

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Organization: Street/P.O.Box: Building: City: State/Region: Postfix/ZIP: Country: Telephone: FAX: E-Mail: URL: Represented by: Title: Salutation: Last Name: Middle Name: First Name: Department: Mobile: Direct FAX: Direct tel: Personal E-Mail:

Agrinergy Pte Ltd 10 Hoe Chiang Road #08-04 Keppel Towers Singapore 089315 Singapore +65 6592 0400 +65 6592 0401 www.agrinergy.com Director Mr Atkinson Ben

+65 6592 0401 +65 6592 0400 ben.atkinson@agrinergy.com

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Annex 2 INFORMATION REGARDING PUBLIC FUNDING No public funds have been used in the project activity.

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Annex 3 BASELINE INFORMATION Grid Emission Factors The Operating Margin data for the most recent three years and Build Margin data for the Jawa Madura Bali (JAMALI) Grid based on database in Directorate General of Electricity and Energy Utilization and approved by Ministry of Environment of Indonesia are as follows: Average Operating Margin Total GHG reduction in 2004, 2005, 2006 (tCO2) Total net electricity produced in 2004, 2005, 2006 (MWh) Average Operating Margin for the most recent three years (tCO2/MWh) Build Margin Total GHG reduction in 2006 (tCO2) Total net electricity produced in 2006 (MWh) Build Margin (tCO2/MWh) Combined Margin Build Margin (tCO2/MWh) (50%) Average Operating Margin (tCO2/MWh) (50%) Combined Margin (tCO2/MWh) Calculation of energy efficiency of coal fird power plant

243,312,048 288,316,859 0.844

27,161,539 28,937,555 0.937

0.937 0.844 0.891

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Annex 4 MONITORING INFORMATION Monitoring Plan for CDM activity: The general conditions set out in this monitoring plan for metering, recording, meter inspections, test & checking; and communication shall be applicable for both electrical energy and natural gas, where relevant and applicable. The monitoring and controls are part of Distributed Control System (DCS) of entire plant. All monitoring and control functions are done as per the internally accepted standards and norms. Data for Calculation of CER: The Emission Reductions (ERy) will be calculated based on calculations for Project Emissions (PEy); Baseline Emissions (BEy) and Leakage (LEy) ERy = BEy PEy - LEy The parameters that would be monitored for PEy are: 1. Natural Gas Consumption (FCf,NG): Based on daily meter readings for the total natural gas consumption, archived electronically/ paper. 2. Net Calorific Value of Natural Gas (NCVf,NG): Based on fortnightly fuel supplier data , archived electronically/ paper. 3. HSD Consumption (FCf,HSD): Based on plant records data, archived electronically/paper . 4. Net Calorific Value of HSD (NCVf,HSD): Based on fuel supplier data, archived electronically/ paper. The parameters that would be monitored for BEy are: 5. Net Electricity Generation (EGy): Based on daily meter readings of the net electricity generated. 6. .Emission Factor based on Combined Margin (EFCM,y) for the JAMALI grid of Indonesia: Official Information on Baseline Emission Factor in JAMALI Electricity Grid by Ministry of Environment of Indonesia dated January 19, 200919. I. Monitoring for Net Electricity Generation (EGy): Electricity supplied to PLN and grid connected private users will be metered at the point of delivery and is therefore net of transmission losses. All data will be transmitted electronically back to a master meter at the plant. The daily reading at the master meter will be archived electronically. Data archive will be maintained for two years after the end of the crediting period. The energy meter shall be tested for accuracy at least once a year against an accepted laboratory standard meter in accordance with electricity standards by an accredited third party. The meters shall be deemed to be working satisfactory if the errors are within specifications for meters of 0.2 accuracy class. II. Monitoring for Natural Gas Consumption: Natural gas is supplied by two of gas supplier companies, PGN and BBG. The natural gas consumption metering is done by using two main meters and two check meters. The main meters are installed and owned by the Gas Supplier and check meters are installed and owned by the project proponent. The main meters and check meters are installed both in the gas pipeline of PGN and BBG at the gas compression facility area. Project proponent will also install the master meter before the gas turbine to ensure that
19

http://dna-cdm.menlh.go.id/Downloads/Others/KomnasMPB_Grid_Sumatera_JAMALI_2008.pdf

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total gas that coming from the two pipelines equal to gas that enter gas turbine. The meter reading are displayed in the plant DCS and is recorded from DCS on daily basis in electronic format. The joint meter reading indicating the natural gas consumed for the month are recorded and signed by project proponent, PGN, and BBG at the end of each month. The joint meter readings are archived in paper form. The metering equipment shall be maintained in accordance with relevant standards. The natural gas meter shall be tested for accuracy once a year against an accepted laboratory standard meter in accordance with prescribed standards. The meters shall be deemed to be working satisfactory if the errors are within specifications of meters. The consumption registered by the main meter will hold well as long as the error in the meters is within the permissible limits. If the recorded reading of the main meter and the check meter differ by more than two percent in a month, both the meters will be tested and calibrated immediately one after the other. If any of the meter is found to be not working or faulty, the meter will be taken out of service and calibrated / tested immediately. Calibration / test of the natural gas meters shall be done by an accredited third party as per a reputed & relevant international standard. All the calibration certificates including that of the master laboratory meter shall be maintained by the project participant. III. Monitoring for Net Calorific Value of Natural Gas The natural gas calorific value measurement shall be done using chromatograph by the gas supplier and transmitted to project proponent. The calorific value of the gas would be provided fortnightly by the supplier and recorded/archived electronically/paper by the project participant.. The calibration of the on line chromatograph shall be established by certified calibration gas. IV. Monitoring for High Speed Diesel (HSD) Consumption: High Speed Diesel (HSD) may be used in case there is a distraction of gas supply or during emergencies. As per the applicability of AM0029, Natural Gas should be the primary fuel. Small amounts of other starup or auxiliary fuels can be used, but can comprise no more than 1% of total fuel use, on energy basis. As HSD will only be used during emergencies, the monitoring using flow meter will occur as and when HSD is used. The amount of HSD used can be crosschecked against the supplier receipts. V. Monitoring for Net Calorific Value of HSD: The HSD calorific value measurement will be obtained from the suppliers. If the value from supplier is not available then IPCC value will be used. VI. Team for CDM Monitoring Plan Implementation: The organization structure and division of responsibilities for implementation of CDM project activity is described below:

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Director (Project Proponent) - Appointed of CDM Team Appointed person (C) (Project Proponent) - Implementation & Administration of CDM Project Activity - Resolution of conflicts, discrepancies and mistakes

Appointed person (B) - Verification of data collected - Archiving of Data - Monitoring Calibration Plan
Note: Appointed Person (A) and (B) might be from Independent Company, since the O & M will done by the Independent (Outsourcing) Company

Appointed person (A) - Collecting and recording of data as required by CDM Project Activity

Director shall be responsible for appointment of CDM team for the implementation of CDM project activity. Any change in the CDM team composition or responsibilities shall be notified by Director. Project proponent will outsource an independent company to do O&M (Operation and Maintenance) of the power plant. The Appointed (A) person shall be responsible for collecting and recording all the data as required by the PDD and monitoring plan. The Appointed person (B) is responsible for verifying the data collected and recorded on a day to day basis and archiving of the data. He is also responsible for ensuring the calibration of all the instruments are done according to the schedule and the requirement of monitoring plan. The Appointed person (C) is responsible for the overall implementation & administration of the monitoring plan. Conflicts, Discrepancies, Mistakes etc in relation to the monitoring plan of the CDM project activity shall be referred to appointed person (C) for resolution and his resolution in this regard shall be final and binding.

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Annex 5 LEAKAGE CALCULATIONS Leakage may result from fuel extraction, processing, liquefaction, transportation, re-gasification and distribution of fossil fuels outside of the project boundary. This includes mainly fugitive CH4 emissions and CO2 emissions from associated fuel combustion and flaring. Since the project activity does not use LNG, the leakage emissions are given as follows:

LE y = LECH 4, y
Where:

(6) Leakage emissions due to fugitive upstream CH4 emissions in the year y in tCO2

LECH 4, y

LECH 4, y = FC y NCV y EFNG ,upstream,CH 4 EG PJ , y EFBL ,upstream,CH 4 GWPCH 4 (7)


Where:

LECH 4, y FC y NCVy EFNG ,upstream,CH 4

Leakage emissions due to fugitive upstream CH4 emissions in the year y in t CO2e Quantity of natural gas combusted in the project plant during the year y in m Average net calorific value of the natural gas combusted during the year y in GJ/m Emission factor for upstream fugitive methane emissions of natural gas from production, transportation, distribution, and, in the case of LNG, liquefaction, transportation, re-gasification and compression into a transmission or distribution system, in t CH4 per GJ fuel supplied to final consumers Electricity generation in the project plant during the year in MWh Emission factor for upstream fugitive methane emissions occurring in the absence of the project activity in t CH4 per MWh electricity generation in the project plant, as defined below: Global warming potential of methane valid for the relevant commitment period

EGPJ , y EFBL ,upstream,CH 4

GWPCH 4
Combined Margin

FF
EFBL ,upstream,CH 4 = 0.5
Where:
j

j ,k

EFk ,upstream,CH 4 + 0.5


j j

FF
i

i,k

EFk ,upstream,CH 4

EG

EG
i

(8)
i

EFBL ,upstream,CH 4

Emission factor for upstream fugitive methane emissions occurring in the absence of the project activity in t CH4 per MWh electricity generation in the project plant Plants included in the build margin

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FF j ,k EFk ,upstream,CH 4 EG j i FFi ,k


EGi

Quantity of fuel type k (a coal or oil type) combusted in power plant j included in the build margin Emission factor for upstream fugitive methane emissions from production of the fuel type k (a coal or oil type) in t CH4 per MJ fuel produced Electricity generation in the plant j included in the build margin in MWh/a Plants included in the operating margin Quantity of fuel type k (a coal or oil type) combusted in power plant i included in the operating margin Electricity generation in the plant i included in the operating margin in MWh/a

Calculation of EFBL ,upstream ,CH 4 is shown in the table below:


Power Plant in Build Margin

NVC Power Plant in Build Margin Quantity of fuel combusted (FFj,k) Quantity of fuel combusted (FFj,k)

Owner

Fuel Type

unit

unit

GJ/ k t fuel (1) PT Paiton Energi PT Magma Java Power Nusantara ListrindoTexaco Energi Chevron Indonesia Ltd. PT Geo Dipa Energi PT Indonesia Power Cikarang Listrindo Power PT Krakatau Daya Listrik Muara Tawar PT Sumberenergi Sakti Prima Tanjung Jati B Cilegon Paiton I Paiton II Wayangwindu Darajad Dieng Pemaron Cikarang Krakatau Block 3 Block 4 Cilacap Tanjung Jati B Cilegon Steam-Coal Steam-Coal Geothermal Geothermal Geothermal GT-Oil GT-Gas Steam-Coal GT-Oil GT-Oil Steam-Coal Steam-Coal CCGT-Gas 764 kton 1,526 kton 6,666,284 MMBTU Total 7,033.60 TJ 24,030.8 24,030.8 48,000.0 61,422 kltr 4,070,300 MMBTU 0.836 kton 16,294,549 MMBTU 17,192.38 TJ 4,437 kton 4,273 kton (2) 24,030.8 24,030.8

Emission factor for upstream fugitive methane emissions from production of the fuel (EFk,upstream, GJ/ k CH4) ltr fuel (3) 0.8 0.8

unit

Electricity generation (Eg)(MWh)

(FFj,k)* (EFk,upstream, CH4)

(4) tCH4/kton tCH4/kton 9,116,000 9,109,000 922,000 735,000 319,000

(1)* (3) 3,549.9 3,418.4 9.1 1,271.2 0.7 70.5

36.11 4,294.57 TJ 48,000.0 24,030.8 48,000.0

0.0000041 0.296 0.8 0.0041

tCH4/GJ tCH4/TJ tCH4/kton tCH4/TJ

201,325.5 403,000 2,230 1,618,000

0.8 0.8 0.296

tCH4/kton tCH4/kton tCH4/TJ

1,937,000 3,869,000 742,000 28,973,555

611.2 1,220.9 2,081.9 12,233.82

Total electricity generation in the plants included in the build margin (EG j) =

28,973,555 MWh

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Power Plant in Operating Margin


NVC Owner Power Plant in Operating Margin Fuel Type Quantity of fuel combusted (FFj,k) unit Quantity of fuel combusted (FFj,k) unit GJ/ k t fuel (2) 42,728.6 41,019.0

Emission factor for upstream fugitive methane GJ/ k emissions from ltr fuel production (3) 36.1 40.6 0.0000041 0.0000041 0.0000041 0.296 0.8 36.1 40.6 0.0000041 0.0000041 0.296 0.8 0.296 0.8 0.296

unit

(FFj,k)* (EFk,upstream,CH4)

(1) IP IP IP IP IP PT PJB PT PJB PT PJB PT PJB Muara Tawar Tanjung Jati B Cilegon IPP IPP IPP IPP IPP IPP IPP IPP IPP IPP HSD MFO IDO Gas Coal HSD MFO Gas Coal Gas Coal Gas Jatiluhur Dieng Salak 4,5,6 Wayang Windu Drajat II Cikarang Paiton I Paiton II Krakatau Cilacap HSD MFO IDO Gas Coal HSD MFO Gas Coal Gas Coal Gas Hydro Geothermal Geothermal Geothermal Geothermal gas Coal Coal Coal Coal 4,070,300 4,437 4,273 0.836 764 MMBTU kton kton kton kton Total 4,294.57 TJ 2,170,653 461,319 2,343 48,298,358 13,165 1,450,468 1,593,046 71,160,078 2,753 16,294,549 1,525 4,420,921 kilo litre kilo litre kilo litre MMBTU kton kilo litre kilo litre MMBTU kton MMBTU kton MMBTU 4,664.51 TJ 17,192.38 TJ 75,081.00 TJ 50,959.60 TJ

(1)* (3) tCH4/GJ tCH4/GJ tCH4/GJ tCH4/TJ tCH4/kton tCH4/GJ tCH4/GJ tCH4/TJ tCH4/kton tCH4/TJ tCH4/kton tCH4/TJ 321.329 76.808 0.355 0.296 10531.818 214.718 265.236 22223.975 2202.207 5088.944 1220.224 1380.696

41961.0637 36.9257 48000 24030.8 42,728.6 41,019.0 48000 24030.8 48000 24030.8 48000

48000 24030.8 24030.8 24030.8 24030.8

0.296 0.8 0.8 0.8 0.8

tCH4/TJ tCH4/kton tCH4/kton tCH4/kton tCH4/kton

1271.194 3549.866 3418.414 0.669 611.243 52377.991

Total electricity generation in the plants included in the operating margin (EG i) (MWh) =

100,014,611

EFBL ,upstream,CH 4 (Emission factor for upstream fugitive methane emissions occurring in the absence of
the project activity in t CH4 per MWh electricity generation in the project plant) = 0.5 *(12,233.82 tCH4/28,973,555 MWh) + 0.5 * (52,377.99 tCH4/100,014,611MWh) = 0.000473 tCH4/MWh Calculation of Leakage emissions due to fugitive upstream CH4 emissions ( LECH 4, y )in t CO2e is shown in this table below: Sr. Parameter No. Quantity of natural gas combusted in the project 1 plant Emission factor for upstream fugitive methane 2 emissions of natural gas Electricity generation in the project plant during 3 the year Emission factor for upstream fugitive methane 4 emissions occurring in the absence of the project activity 5 Global warming potential of methane Leakage emissions due to fugitive upstream 6 CH4 emissions = [(1)*(2)]-[(3)*(4)]*(5) Unit G Joule t CH4 per GJ MWh t CH4 per MWh Symbol Value/year 7,313,509 0.000296 943,540 0.000473 21 38,592

FC y EFNG ,upstream,CH 4 EGPJ , y EFBL ,upstream,CH 4 GWPCH 4

t CO2

LECH 4, y

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