workshop on cdm methodologies and technical issues associated with power generation and power saving...

Workshop on CDM Methodologies Workshop on CDM Methodologies and Technical Issues Associated with and Technical Issues Associated with Power Generation and Power Saving Power Generation and Power Saving

Project ActivitiesProject Activities

Review of approved and proposed energy efficiency projects and methodologies and identification of gaps

World Bank, Carbon Fund

Pedro Maldonado

Programa de Estudios e Investigaciones en Energía

Universidad de Chile

Montreal, December 3rd, 2005

Approval process status of Approval process status of CDM EE projectsCDM EE projects

Status of EE CDM projects Meth

EE CDM projects/ Total projects

Approved 4/25 Under revision 4/43 Not approved 15/56

Energy Efficiency: a valid Energy Efficiency: a valid option for CDM projects?option for CDM projects?

Insufficient EE methodologies submitted

Not approved EE methodologies exceed their relative importance in connection with the methodologies submitted

Are PP submitting EE Meth less rigorously than those submitting energy renewable projects?

Exists any bias against the EE projects affecting the methodologies reviews?

Is it more complex to develop Baseline and Monitoring methodologies in the case of EE CDM projects?

The CDM philosophy from the very beginning was to make easy the technological transference through joint venture. EE is one of the best ways of accelerate the technological transfer.

Not approved CDM EE Not approved CDM EE projectsprojects

Type of projects

DSM in the Commerce Sector EE improvements in the Industrial

Process EE improvements in the Electric Power

System EE retrofitting of District Heating EE programs (electric motors) Power factor improvement in a water

utility

Justification for not Justification for not approval of EE CDM approval of EE CDM

projects’ methodologiesprojects’ methodologies Reasons for non-approval of proposed

methodologies applicable to any type of CDM projects

Reasons for non-approval of proposed methodologies in the case of EE CDM projects

Insufficiently developed BL methodologies

Insufficiently developed monitoring methodologies

General reasons for non-General reasons for non-approvalapproval

The information used to assess project additionality should be in the public domain

Monitoring Methodology is inconsistent with the proposed Baseline Methodology

It is not clear that the baseline scenario is a conservative one.

In the process of BL determination it should be shown how the subsidized fuel prices are addressed

Scope of the Meth is too broad, involving the DOE in methodological tasks

Barriers are not adequately identified or the way in which CDM projects will trigger the overcoming of barriers

Specific reasons for non-Specific reasons for non-approval of EE CDM project approval of EE CDM project

MethodologiesMethodologies Baseline Methodology

On the one hand, PP usually proposes only one BL scenario, which is normally the keeping of facility operation, which also shows deteriorating performance. On the other hand, if several BL scenarios are identified, the Meth doesn’t specify how the BL scenario has been chosen

A service increase is not adequately considered in the BL scenario. Similarly, the project might increase production or displace production in other facilities

Projects related to generation or energy transport could be affected by autonomous DSM measures, but usually DSM is ignored in scenarios development

In some cases it is needed measurements and estimation of dozens of mass and heat flow variables, which is extremely complex

Specific reason for non-Specific reason for non-approval of EE CDM project approval of EE CDM project


Uncertainties are not always adequately considered, which is particularly central when EE improvements are reduced

In cases like the electric motors program, the methodology doesn’t address properly the variable load. It should be considered different sub groups assuming different operating hours, loads, remaining life and baseline efficiency. Sample definitions

Usually no free riders are considered

When the product mix change, specific energy consumption need to be adjusted, normally the Meth ignores this adjustment



In the case of District Heating CDM project activities, it should be noted that: a) individual heating devices impact is insufficiently considered neither in the BL nor in the project scenario, b) the same goes for insulation standards affecting new buildings, c) BL should consider the demand increase due to the replacement of individual heating devices by DH.

Default efficiency values are not a conservative approach, measurements is suggested specially in the case of boilers

Additionality assessment is not sufficiently covered. Investment barriers and not-common-practices are insufficiently justified


MethodologiesMethodologies Monitoring Methodology

It is not always clear how key parameters should be collected and monitored, even, some key data is missing in the Meth

QA/QC procedures need to be strengthened

Leakage is ignored. This is unacceptable if the low efficiency equipment is transferred to another activity

The data items to be monitored should be adequately linked with their use in the calculation of the ER

CDM EE project activities CDM EE project activities optionsoptions

Improved efficiency of Electrical Power System

Improved District Heating System

Demand-Side energy efficiency programs for specific technologies (lamps, ballasts, motors, refrigerators)

Demand-Side energy efficiency in the industrial and mining sectors

Energy Efficiency Standards for new state-subsidized dwellings

Energy Efficient MotorsEnergy Efficient Motors : a key : a key program-based CDM project program-based CDM project

activitiesactivities

6×10 1

MOT (x+1) = × × econ × penPROJP ×0.746 LoadF × NMED

xx+1

E x+1 -E

hours

x-2000

Mot = NUM × econ × pen × fMot nx+1 2000 x+1obs years

The energy-efficient motors: an The energy-efficient motors: an interesting option for a CDM interesting option for a CDM

programprogram New projects or expansion of existing

installations

Replacement of existing motors about out of order

Energy Savings estimation at year Energy Savings estimation at year 2010 (GWh/year)2010 (GWh/year)

Motors Argentina Brasil Chile Paraguay Uruguay

1-5 HP 348,8 1.309,9 292,8 18,6 24,5

5,1-20 HP 195,1 715,0 161,7 10,4 13,7

21-50 HP 281,0 1.014,8 230,9 15,0 19,8

51-125 HP 554,5 1.985,3 455,1 29,6 39,0

> a 125 HP 447,8 1.961,8 530,3 23,9 31,5

Total 1.827,2 6.986,7 1.670,9 97,6 128,4

Some examples of Some examples of Demand-Side energy Demand-Side energy

efficiency in the efficiency in the industrial and mining industrial and mining

sectorssectors Energy intensity reduction in the Chilean copper industry

Use of frequency converters in underground mining ventilation

EE improvement through operation control at the concentration area

EE improvement in flotation cells

Replacement of motors with inefficient performance and subject to a high probability of flaw

GLOBAL UNITARY CONSUMPTION OF THE CHILEAN COPPER MINING SECTOR 1992-2000

0,000

5,000

10,000

15,000

20,000

25,000

1992 1993 1994 1995 1996 1997 1998 1999 2000

MJ/

ton

ne

fin

e co

pp

er

0,000

0,500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

kto

nn

e fi

ne

cop

per

Electricity Fuels Total Energy Copper Production

Evolution of energy intensity in the Chilean copper industry

Operation control at the Operation control at the concentration areaconcentration area

Power consumption versus air flow

Multi pole motors for flotation cellsMulti pole motors for flotation cells

600 RPM

Efficient motorReduced flawsReduced noiseSavings around 10%

100 RPM

ChagresChuquicamata

CaletonesPotrerillos

Ventanas

Paipote

ConclusionsConclusions The CDM philosophy, from the very beginning,

was to make easy the technology transfer through joint venture. EE projects fill up properly with this requirement in a wider scope of activities

There is a lot of EE opportunities to be developed as CDM project activities, conducting to GHG emissions reduction and technology transfer

In order to implement those opportunities it is possible to ask ourself if:

The PDD and Methodology forms could be more friendly designed?

Is there any bias against EE projects suspicious of having financially attractive options?

Could the PP develop more proper Baseline and Monitoring Methodologies?

Conclusions (2)Conclusions (2)

EE CDM projects should be based mostly on homogeneous and simple to monitor technologies

So, there is an urgent need for a comprehensive summary of information available and for centralized recommendations aiming to minimize the rejection of CDM EE projects.

workshop on cdm methodologies and technical issues associated with power generation and power saving...

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