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Reports of MRV Demonstration Studies: FY2012

Title of Study MRV Demonstration Study using a model project
Bagasse-based Power Generation including Waste Heat Utilisation
FYFY 2012
Main Implementing EntityNippon Koei Co., Ltd.
Study PartnersDhampur Sugar Mills Limited
Location of Project/ActivityIndia (Bijnor district, Uttar Pradesh state)
Category of Project/ActivityBiomass Utilisation
Study Report

Note: Preliminary drafts of MRV Methodology and Calculation Sheet are the result of the study. They have neither been officially approved, nor are guaranteed to be officially approved under the JCM/BOCM.
Description of Project/ActivityThis study is conducted on bagasse-based power generation project including waste heat utilization in Dhampur Sugar Mills factory located in Bijnor district in Uttar Pradesh state in Northern India. In 2006, the sugar factory generated its power with 7 low pressure boilers and 4 turbines utilizing bagasse produced in the sugar production and utilized the power for the operation of the factory. Then, 2 high pressure boilers and high pressure turbines which are two of 30 MW has been installed additionally since 2008, in order to initiate cogeneration system utilizing waste heat produced from the turbines. The part of power generated by the cogeneration system has been utilized in the factory and the other power has been sold to the grid.
Eligibility Criteria
  1. The types of biomass to be used as fuel should be bagasse and can include other biomass residues. However, bagasse should be the dominant fuel. Domestic wastes or other wastes shall not be used. Co-combustion of fossil fuel can be accepted within 15% at calorie base.
  2. The project shall be an installation of new plant or expansion of existing plant for bagasse-based power generation or upgrading of existing power cogeneration plant.
  3. Bagasse shall not be stored for more than one (1) year.
  4. The project shall not only replace consumption of grid electricity and/or fossil fuel but also supply electricity to the grid.
  5. Specification of installed boiler in the project shall be more than 45kg/cm2.
Reference Scenario and Project/Activity BoundaryReference Scenario
In this methodology, reference scenarios are assumed as the following:
    -Installation of new plant or expansion of existing plant:
    The possible reference scenario is a low pressure bagasse based co-generation system to sufficiently meet the requirement of heat and power of sugar mill factory.
    -Existing cogeneration plants:
    The power and heat demand of the sugar mill factory is met by bagasse based cogeneration plant/s. Some fossil fuels may be used for heat and power generation. There may be power import/export from grid.

Boundary
The project boundary shall include the following: "the bagasse-based power generation plant, including waste heat utilization plant" and "All grids connected power stations". Also, the emission sources in the boundary are as follows: "CO2 emissions from usage of fossil fuel for heat and power consumption by the project activity" and "CO2 emissions from all fossil fuel based power plants connected to the grid"
Calculation Method OptionsAs for the calculation option, it is considered the situation of bagasse power generation plant and condition of data storage of fossil fuel which is used for co-combustion as options since those items impact MRV methodology.
MRV methdology is developed considering usability of the business owner of sugar industry based upon three options;
(1) the situation of bagasse power genearation plant,
(2) the situation of storage of fossil fuel data which is used for co-combustion,
(3) confirmation of availability of default value.
Default Values set in MethodologyAs for default values, there are three values;
(1) CO2 emission factor for grid electricity in year y ( [tCO2/MWh] : EFgrid,y),
(2) Unit calorific value of fuel i ([GJ/kL, t, 1000Nm3 etc] : NCVi),
(3) CO2 emission factor of fuel i ([tCO2/GJ] : COEFi).
Monitoring MethodMain monitoring data regarding bagasse are, 'amount of power use from grid in year y after the project [MWh/yr]', 'amount of power supply to grid in year y after the project [MWh/yr]' or 'amount of fuel consumption for heat or/and power production with fuel i before the project [kL, t, 1000Nm3/yr etc]' etc.
These data are considered confirming constantly, however it is necessary to monitor at least once a month. As for default values, checking grid emission factor is once a year, and unit calorific value of fuel is once before opening of business.
Result of Monitoring ActivityPeriod 1:
7 days from 10th of December to 16th of December 2012, Average amount of electric power sold to grid : 855.81 [MWh/day].

Period 2 :
1 years' data in 2011-12, total amount of electricity power sold to grid : 187,870 [MWh/yr]
GHG Emissions and its ReductionsBased on the last season's data (2011-12), 187,870 [MWh/yr] was supplied to the grid from the project and the emission factor of connected grid which is combined margin (CM) is 0.91tCO2/MWh. With the value, GHG emission reduction of the project is calculated as 54,515tCO2/yr.
Method and Result of VerificationMethod of verification
As a preliminary verification meeting, the study team and the verifier (SGS India) exchange their opinions with a draft MRV methodology and relating data/information. Then, SGS India conducted site investigation at Dhampur sugar mill factory and checked some points. Also, they confirmed data availability, evidence of eligibility criteria, GHG emission calculation, etc.

Result of Verification
At the verification, the following points were confirmed by verifier.
  • Data/information required by MRV methodology and additional data /information in terms of bagasse-based generation plant operation
  • Calibration data/information in the factory
  • Evidence/information on eligibility criteria etc.
Environmental ImpactsDhampur Sugar Mills Ltd. acquires a certification of EIA in 2007 which started the cogeneration system in the factory. Also, it conducts monitoring of waste water and effluent gas from the factory, and any infraction is not confirmed to the present. In turn, as for the positive impact, it is considered GHG emission reduction by bagasse power generation and contribution of local economy by generation of job opportunity.
Promotion of Japanese TechnologyThe sugar industry in India has faced its diversification and expansion of business and it causes promotion of installment of bagasse power generation and cogeneration system which makes opportunity of participating in the industry for Japanese companies. It is, however, that the price of Japanese products is higher than other countries' products since the recent appreciation of Yen and it gives Japanese companies difficult competition with Chinese products. Under such condition, it is necessary to subsidy lower the burden of Japanese products in order to promote the products such as provision of soft loan and lease service of equipments.
In addition, a business appeal connecting after care service and quick and trustworthy service by Japanese companies with high quality products will be strong appeal point differentiating other country's products.
Sustainable Development in Host CountryHost country (India) has been rapid economic growth, and has issue on energy demand. To respond it, bagasse power generation seems to be a good candidate because of less dependent fossil fuel and activation of existing local industry.
Especially, Ministry of New and Renewable Energy (MoNRE) focus on biomass power generation including bagasse in the Strategic Plan for New and Renewable energy Sector for the period of 2011- 2017.
Also, bagasse-based power generation has been already wide-spread in India comparing with other biomass power generation. Accordingly, this MRV methodology can contribute to sustainable development of renewable energy in India.

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