Understanding CDM Methodologies - SuSanA

Baseline Scenario
Matrix
Baseline Fuel
Available in
Abundance
Scenario
Selection through
Investment or
Barrier Test
Default Efficiency
for Captive Power
Plant 60%
Share of Steam
produced by
Waste Gas is
Proxy for Energy
Discount due to
Increase of Waste
Gas Production
Greenfield
Projects to use
average Waste
Gas Production
Rate as per
Nameplate
Default Boiler
Efficiency 100%
Baseline scenario and additionality: The baseline scenario is to be
the most plausible of all realistic and credible alternatives to the project,
which would provide output equivalent to the combined output of the
all the sub-systems in the project case with fuels available at the project
site. The alternatives can include several sub-systems to cover steam and
power requirements and possible alternative uses of waste gas/heat/
pressure. They have to cover the three elements covered by the project
boundary, which gives rise to 4 possible alternatives for the use of waste
gas, 8 alternatives for electricity generation and 9 alternatives for heat
generation. These alternatives are to be combined in a scenario matrix;
only certain combinations are covered by the applicability conditions. The
fuel used for the baseline energy provision has to be the fossil fuel with the
lowest carbon emission factor available “in abundance” in the host country.
Subsequently, the investment or barrier test of the latest approved version of
the consolidated additionality tool is used to eliminate non-feasible options.
Among the remaining alternatives, the alternative with the lowest baseline
emissions is chosen as baseline scenario.
Additionality is assessed using the consolidated additionality tool.
Baseline emissions
Under the baseline scenario where electricity and heat are generated
separately in existing facilities, for each facility receiving electricity/heat, the
energy received is multiplied by the applicable emissions factor from energy
generation.
In case of electricity supplied by an electricity grid, ACM 0002 or AMS I.D are
used to determine the emissions factor.
If a captive power plant is the baseline, the efficiency of the plant is to be
estimated conservatively. Here, developers can choose among assumed
optimal operation conditions, the higher of two power plant manufacturer
nameplate efficiencies, an estimate based on load-efficiency curves or a
default efficiency of 60%.
The emissions derived for the baseline scenario are then multiplied by the
share of electricity provided from waste gas. The share is calculated on the
basis of the amount and the heat rates of fossil fuels and the waste gas used.
If the heat rate of the waste gas cannot be measured, one shall measure the
share of the steam provided by burning waste gas of total steam produced..
A discount factor is introduced if the quantity of waste gas generated and
used in the project is higher than in the pre-project situation. The discount
equals the ratio of pre-project waste gas generation (maximum reached
during the 3 years before project start) to post-project waste gas generation.
For new plants or plants that use waste pressure, the average waste gas/heat/
pressure generation per unit of product is calculated on basis of equipment
manufacturer’s specifications. The maximum “pre-project” waste gas
generation is then derived by multiplying production with that average rate.
If manufacturer’s specifications are not available, an independent process
expert has to provide an estimate of the average rate.
For heat, an analogous approach is applied, with default boiler efficiency set
at 100%.
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