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Reports of JCM/BOCM Feasibility Studies: FY2012

Title of Study JCM/BOCM Feasibility Study
Prevention of Peat Degradation through Groundwater Management, and Rice Husk-based Power Generation
FYFY 2012
Main Implementing EntityShimizu Corporation
Study PartnersIndonesia:
Ministry of Public Works, Jambi Provincial Government, Government of Regency of East Tanjung Jabung, University of Jambi, Sriwijaya University
Japan:
Geosphere Environmental Technology Corporation, Polytech Add, Inc., University of Tokyo Institute of Industrial Science, Deltares
Location of Project/ActivityIndonesia (East Tanjung Jabung district of Jambi Province, Sumatra)
Category of Project/ActivityLand Use Management, and Biomass 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/Activity
  • Project site:
    Approximately 10,000 ha of irrigated land in the East Tanjung Jabung district of Jambi, Sumatra
  • Project content:
    • To restore water levels in peat soil by building new water gates and improving management of existing ones to inhibit aerobic decomposition of peat and reduce CO2 emissions
    • To raise rice yields by raising water levels, thereby contributing to sustainable development with major benefits for the host region
    • To contribute to further improvements in rural living standards through biomass power generation using rice husks
Eligibility CriteriaEligibility criteria are set for peatland rewetting and for rice husk power generation.
Reference Scenario and Project/Activity Boundary"Business as usual" (BaU) is adopted as the reference scenario on the basis that non-conservation of peatland will continue if the project is not implemented.
The project boundary is the hydrologically and administratively defined delta formed between the Batang Hari and the Berbak Rivers.
Calculation Method OptionsNo calculation options are considered for the peatland rewetting methodology. Regarding rice husk power generation, calculation options were prepared according to whether or not briquette makers’ power consumption is measurable (depending on whether electricity meters are installed).
Default Values set in Methodology
  • Peatland rewetting methodology: The default values are the emission factors for CO2 during peat decomposition, N2O generated during rice cultivation, and CH4 generated when water level rises.
  • Rice husk power generation: The default values are the fuel efficiency, diesel calorie coefficient, and diesel emission coefficient of trucks used for transportation. In all cases, the values determined by the Government of the Republic of Indonesia are used, with the values determined by the IPCC being used where such values are unavailable.
Monitoring Method
  • Peatland rewetting: Reference water levels and project water levels are calculated by hydrological modeling. Both are measured to correct and verify the hydrologic model.
  • Rice husk power generation: Electric power sold is measured by electricity meters.
GHG Emissions and its Reductions1. Reduction potential at site
    The reduction potential of the 10,000 ha site assuming an annual average rise in groundwater levels of 0.3 m is approximately 170,000tCO2/yr.

2. Reduction potential in Indonesia as a whole
    Estimating the area of irrigated peatland located in tidal areas in the host country to be approximately 280,000 ha, the reduction potential is 28 x 170,000tCO2/yr = approx. 4,700,000tCO2/yr
Method of VerificationPeatland rewetting: Third-party verification is performed by an Indonesian consultant based on monitoring reports compiled using water level data obtained from a pilot plot.
Rice husk power generation: Electric power output is determined on the basis of the amount of rice husks obtained from the pilot plot to produce the monitoring reports for third-party verification.
Environmental ImpactsRaising water levels to -40 cm or less will allow peat fires at the site to be prevented. Fires presently occur in up to 14,000 locations across Sumatra each year, and it may be possible to reduce this number to around one quarter. By estimating water levels using satellite data (on topography, precipitation, etc.) and issuing early fire advisories during the dry season during the rollout phase, the project will also help prevent large-scale peat fires.
Financial PlanThe project is estimated to incur an initial cost of 990 million (spent on restoration of water gates, development of canals, installation of gasification and power generation facilities, etc.) and annual running costs of 110 million. Financing is likely to require not only private finance premised on revenue from sale of credits, but also funding from sources including direct injection of public funds by the Japanese government and injection of funds by the Indonesian government covered by lending received by it. The cost of the latter should be countable as GHG mitigation by NAMA by the Indonesian government.
Promotion of Japanese TechnologyThe Japanese technologies that might be used in the project include monitoring technologies and biomass (rice husk) power generation technologies.
Japan's experience also gives it an advantage in monitoring system technologies (including hydrological modeling and satellite data) and rice husk gasification power plants.
Sustainable Development in Host CountrySustained water-level management on existing farmland not previously subject to such management is highly likely to produce increased rice yields per unit of land area, thereby contributing to increased food production and improvements in rural living standards.
Supplying electricity to non-electrified regions by means of rice husk power generation should raise rural living standards and at the same time increase soil fertility and raise productivity through use of burned rice husk ash as a soil stabilizer.

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