VERIFICATION REPORT OF INNER MONGOLIA HANGJIN YIHEWUSU WIND POWER PROJECT

Transcription

1 VERIFICATION REPORT OF INNER MONGOLIA HANGJIN YIHEWUSU WIND POWER PROJECT Document Prepared By China Environmental United Certification Centre Co., Ltd. Project Title Inner Mongolia Hangjin Yihewusu Wind Power Project Version 2.0 Report ID Report Title Client Verification Report of Inner Mongolia Hangjin Yihewusu Wind Power Project Inner Mongolia Xinjin Wind Power Co., Ltd. Pages 22 Date of Issue 26/02/2013 Prepared By China Environmental United Certification Centre Co., Ltd. Contact Add : 10th Floor, No.1 Yuhuinanlu, Chaoyang District, Beijing, China, Tel : cdm@mepcec.com Website : Approved By Work Carried Out By SONG Tiedong YIN Yun, CUI Xiaodong 1

2 Summary: China Environmental United Certification Centre Co., Ltd. (CEC) has performed the verification of Inner Mongolia Hangjin Yihewusu Wind Power Project (hereinafter referred to as the project ) of Inner Mongolia Xinjin Wind Power Co., Ltd. with regard to the requirements of VCS Standard Version 3.3 and ACM0002 version 11. The verification scope is defined as a periodic independent review and ex-post determination by the Designed Operational Entity of the monitored reductions in GHG emissions during defined verification period, and consisted of the following three phases: 1) Desk review of the project design and the baseline and monitoring plan; 2) on-site visit and follow-up interviews with project stakeholders; 3) Resolution of outstanding issues and the issuance of the final verification report and opinion. The overall verification, from Contract Review to Verification Report and Opinion, was conducted according to CEC s internal procedures. The findings from the desk review of the original project activity documents and the findings from interviews during the follow up visit are summarized. The verification of the Project issued 1 Corrective Action Request (CAR). The Project Participant revised the Monitoring Report. The CAR was successfully closed. The verification is based on the monitoring report, the monitoring plan as set out in the validated PD, the validation report, emission reduction calculation spreadsheet and supporting documents made available to CEC by the project participant. CEC confirms that the project is implemented as planned and described in the CDM PDD and VCS PD. Installed equipments being essential for generating emission reduction run reliably and are calibrated appropriately. The monitoring system is in place and the project is ready to generate GHG emission reductions. The GHG emission reduction is calculated without material misstatements. Our opinion relates to the project s GHG emission and resulting GHG emission reductions, i.e. Voluntary Carbon Units (VCUs) reported and related to the valid and registered project baseline and monitoring plan, and its associated documents. Based on the information we have seen and evaluated, the verification team confirms the actual amount of VCUs is associated with the project specific monitoring report that has been verified and we confirm the following statement: Reporting period 14/03/2008 to 17/12/2010 Baseline emissions (VCUs) 282,087 tco 2 e Project emissions (VCUs) 0 tco 2 e Leakage (VCUs) 0 tco 2 e Emission Reductions (VCUs) 282,087 tco 2 e 2

3 Table of Contents Table of Contents Introduction Objective Scope and Criteria Level of assurance Summary Description of the Project Validation Process, Findings and Conclusion Validation Process Validation Findings Gap Validation Methodology Deviations Project Description Deviations New Project Activity Instances Validation Conclusion Verification Process Method and Criteria Document Review Interview Site Inspections Resolution of Any Material Discrepancy Verification Findings Project Implementation Status Accuracy of GHG Emission Reduction or Removal Calculations Quality of Evidence to Determine GHG Emission Reductions or Removals Management and Operational System Verification conclusion Appendix A: Certificates of Competence 3

4 1 INTRODUCTION Inner Mongolia Xinjin Wind Power Co., Ltd. has commissioned China Environmental United Certification Center Co., Ltd. (CEC) to carry out the verification of emission reductions generated by the Inner Mongolia Hangjin Yihewusu Wind Power Project for the period from 14/03/2008 to 17/12/2010. The report was carried out as per Verified Carbon Standard (VCS) Version 3.3. This report contains the findings from the verification and a statement for the verified emission reductions. 1.1 Objective Verification is the periodic independent review and ex post determination by the verification body of the monitored reductions in GHG emissions during defined verification period. The objective of the verification is 1. To verify that the project is implemented as stated in the registered CDM PDD and VCS PD. 2. To confirm that the monitoring system is in place and fully functional. 3. To assure that the project has generated verifiable emission reductions. The verification shall consider both qualitative and quantitative information on emission reductions. Quantitative data comprises the monitoring reports submitted by the project entity to the auditor. Qualitative data comprises information on internal management controls, calculation procedures, frequency of emission reports, and review of calculations. 1.2 Scope and Criteria The verification scope is defined as an independent and objective review of the VCS Project Document (PD), the project s baseline study and monitoring plan, including the monitored data and other relevant documents. The verification follows VCS criteria and latest policy announcements, presently applicable to the verification of project activity. The verification is not meant to provide any consulting towards the client. However, stated requests for forward actions and/or corrective actions may provide input for improvement of the project monitoring towards reductions in the GHG emissions. The verification team was provided with a monitoring report, covering the period 14/03/2008 to 17/12/2010. Based on this documentation, a document review and an on-site audit (performed on 31/01/2013) was conducted. The monitoring report version 2.0, dated 26/02/2013 serves as the basis for the final assessment presented herewith. 4

5 1.3 Level of assurance As the VCS Version 3.3 only recognizes verified emission reductions, CEC has focused on providing a reasonable level of assurance that the emission reduction calculation methodology used is appropriate and correctly applied, and that emission reductions have been accurately monitored. The verification report is based on VCS PD, VCS Monitoring Report, supporting evidences made available to the verifier and information collected through performing interviews and during the on-site visit. The verification conclusion is assured the credibility of all above. 1.4 Summary Description of the Project Title of Project Activity Inner Mongolia Hangjin Yihewusu Wind Power Project UNFCCC Registration Number 3936 Registration Date of the Project Activity 18/12/2010 Crediting Period 18/12/2010 to 17/12/2017 (renewable) Monitoring Period Covered in this Report 14/03/2008 to 17/12/2010 Project Participants Inner Mongolia Xinjin Wind Power Co., Ltd. Location of the Project Activity Hangjin County, Eerduosi City, West Inner Mongolia Autonomous Region, People s Republic of China UNFCCC Link SUED /view Inner Mongolia Hangjin Yihewusu Wind Power Project (hereafter referred to as the project ) is a wind power project with the total installed capacity of 49.5MW (66*0.75MW). The key equipment installed in the Project that described in the registered PDD, VCS PD, and Monitoring Report is in line with that in the Equipment purchase contract. The Project involves installation and operation of 66 sets of wind turbines, each of which has a rated capacity of 0.75MW. The electricity exported by the project is sold to North China Power Grid (NCPG). The project helps reduce GHG emissions generated from the high-growth, coal-dominated power generation. The project is located in Hangjin County, Eerduosi City, West Inner Mongolia of China. Its diagonal geographical coordinates are Longitude , Latitude During this monitoring period, the total net electricity supplied by the project amounted to 262, MWh, and the total emission reduction during this monitoring period is 282,087 tco 2 eq. 2 VALIDATION PROCESS, FINDINGS AND CONCLUSION 2.1 Validation Process The VCS validation scope is defined as an independent and objective review of the VCS PD, the Project s baseline study, monitoring plan and other relevant documents, and consisted of the following three 5

6 phases: i) desk review of the Project design and the baseline and monitoring plan; ii) follow-up interviews with Project stakeholders; iii) resolution of outstanding issues and the issuance of the final validation report and opinion. On 31/01/2013, CEC s VCS validation and verification team performed a physical site inspection and onsite interviews with project stakeholders. Representatives of the PP and the consultant were interviewed. The installation and operation situation of the project was checked. 2.2 Validation Findings The CDM validation report (report No ) dated 16/08/2010 was issued by TÜV SÜD. The VCS validation report (report No ) dated 26/02/2013 was issued by CEC. The validation reports have been checked by the verification team and no remaining unsolved issue was found Gap Validation In compliance with the VCS Standard, the gap validation is to cover a validation of the cover page and sections 1.2, 1.3, 1.5, 1.6, 1.7, 1.9, 1.10, , , , and 1.13 of the VCS Project Description template. The detailed validation content and conclusions please refer to the VCS validation report version 1.0 dated 26/02/2013 issued by CEC Methodology Deviations There is no methodology deviation during previously validation and verification Project Description Deviations There is no project description deviation during previously validation and verification New Project Activity Instances The Project is not a grouped project; therefore the new project activity instance is not available to the project. 2.3 Validation Conclusion The CDM validation report (report No ) dated 16/08/2010 issued by TÜV SÜD and the VCS validation report (report No ) dated 26/02/2013 issued by CEC confirmed that the project complies with the validation criteria for CDM and VCS Standard. Moreover, the 1 st CDM verification report (report No. BVC/CHINA-VR/8431/2011) dated 11/06/2012 issued by BUREAU VERITAS have been checked by the verification team and no remaining unsolved issue was found. 6

7 In summary, it is CEC s opinion that project meets all relevant VCS requirements. The project is likely to achieve the emission reduction specified in the Project Design documents. CEC thus requests the registration of the Project as a VCS Project activity. 3 VERIFICATION PROCESS 3.1 Method and Criteria Standard auditing techniques have been adopted. The verification team performed a desk review and follow-up interviews with relevant project stakeholders. The next step was to close out findings through direct communication with the PPs and finally prepared the verification report. This verification report and other supporting documents then underwent an internal quality control by the technical review department of CEC before submission to request for issuance. The criteria of this verification include the relevant rules and steps as set out in VCS Standard. The methodology applied for the proposed project is ACM0002 version 11. Related tools referred by the methodology are also applied. The overall verification process, from contract review to verification report and opinion, was conducted according to CEC internal procedures. Table 1 List of verification team and technical reviewer Name Role Qualification Specific Scope Participated in the on-site visit YIN Yun Team Leader Auditor CUI Xiaodong Team Member Auditor Technical reviewer Role Specific scope Participated in the on-site visit ZHANG Ruizhi Technical reviewer -- WANG Yanping Technical reviewer -- Yin Yun is a lead Greenhouse Gas(GHG) assessor. She worked in Metallurgical Industry for 17 years as technician and electric engineer, and later in technical management position for over 10 years. Since 2007, Ms. Yin has been involved in various CEC CDM training courses, and she is also a qualified senior EMS auditor, and has participated in over 30 validation/verification CDM /VCS projects in the areas of hydropower, wind power, waste heat recovery and biomass power generation, she has extensive experience in renewable energy sector in sectoral scope 1 (energy industries). Cui Xiaodong is a Greenhouse Gas (GHG) assessor. He is a qualified QMS Auditor and Environmental Labeling lead auditor, he has attended various internal and external training courses on QMS, EMS, ISO14064, Energy audit, VCS, CDM and related knowledge since He has participated in and finished over 30 validation/verification CDM/VCS projects both in China and 7

8 abroad in the areas of hydropower, wind power, coal mine methane recovery and utilization and biomass power generation. He has also participated in Energy Saving Audit, ISO Audit and PAS2050 Audit. Zhang Ruizhi is a lead Greenhouse Gas(GHG) assessor. She worked in a Machinery company for over 30 years in various areas, such as products techniques management, quality inspection and quality management, environmental monitoring and statistics, safety and occupation health. She is an experienced senior QMS, EMS and OHSMS auditor with over 10 years accreditation organization working and management experience, and she has completed various CEC CDM training courses. Ms. Zhang has participated in over 30 validation/verification CDM projects in the areas of hydropower, wind power and waste heat recovery, most of the projects are in sectoral scope 1 (energy industries), which gives her rich experience in renewable energy sector. Wang Yanping is a lead Greenhouse Gas(GHG) assessor. She worked for 17 years in the area of geography, meteorology & climatology, and ecological & environmental protection. Since 2008, she has completed various CEC CDM training courses as well as ISO14000 training courses, and has participated in over 20 validation/verification CDM/VCS projects in the areas of hydropower, wind power and biomass power generation. Besides CDM auditing, Dr. Wang has participated in the assessment of hydroelectric projects against the criteria set by the World Commission on Dams. 3.2 Document Review The VCS Monitoring Report, Project Description and related evidence documents were assessed as a part of the verification. Also the baseline estimations and the monitoring plan contained in the registered VCS PD were also assessed. 3.3 Interview The verification team has carried out interviews in order to assess the information included in the project documentation and to gain additional information regarding the compliance of the project with the relevant criteria applicable for the VCS. During verification the verification team has performed interviews to confirm selected information and to resolve issues identified in the document review. The main topics of the interviews are summarized in Table 3. Table 2 Interviewed topics Interviewed organization Beijing Karbon Energy Consulting Co., Ltd. (Consultant) Inner Mongolia Xinjin Wind Power Co., Ltd. (Project participant) Topics Project design and implementation Monitoring Plan Monitoring data and Monitoring Report GHG Calculations Project design and implementation Technical equipment, including calibration and operation Monitoring Plan and management procedures Monitoring data Data uncertainty and residual risks (QA/QC) Table 3 List of interviewees 8

9 Name WANG Zheng WU Chen XU Anning ZHOU Jiyou Organization Beijing Karbon Energy Consulting Co., Ltd. Beijing Karbon Energy Consulting Co., Ltd. Inner Mongolia Xinjin Wind Power Co., Ltd. Inner Mongolia Xinjin Wind Power Co., Ltd. 3.4 Site Inspections On 31/01/2013, CEC performed an on-site visit, the below content was confirmed by the verification team: Confirmed the implementation and operation of the project; Resolved issues identified during document review; Confirmed the correct procedure of implementation for operations and data collection; Cross-checked information provided in the MR documentation with other sources (raw data); Checked the monitoring equipments against the requirements of the PD and the approved methodology, including calibrations, maintenance, etc.; Identified if the quality control and quality assurance procedures are in place to prevent or correct errors or omissions in the reported parameters. 3.5 Resolution of Any Material Discrepancy As an outcome of the verification process, the verification team can raise different types of findings. Findings established during the initial verification could either be seen as a non-fulfillment of criteria ensuring the proper implementation of a project or where a risk to deliver high quality emission reductions is identified. Corrective Action Request (CAR) is issued, where: Non-conformities with the monitoring plan or methodology are found in monitoring and reporting, or if the evidence provided to prove conformity is insufficient; Mistakes have been made in applying assumptions, data or calculations of emission reductions which will impair the estimate of emission reductions; Issues identified in a FAR during validation to be verified during verification have not been resolved by the project participants. Clarification Request (CL) is issued, where: 9

10 Information is insufficient or not clear enough to determine whether the applicable VCS requirements have been met. Forward Action Request (FAR) is issued, where: The monitoring and reporting require attention and/or adjustment for the next verification period. 4 VERIFICATION FINDINGS The findings from the desk review of the original project activity documents and the findings from interviews during the follow up visit are summarized. The verification of the project resulted in 1 Clarification Requests. After the modification and correction, all were successfully closed. 4.1 Project Implementation Status The verification team has performed an on-site visit to verify the real implementation of the project against the description in the VCS PD. All facilities and equipments as described in the VCS PD are in place and the PP has operated the Project as per the VCS PD. All wind turbines are manufactured by Goldwind Science &Technology Co., Ltd., which is a China company. Main parameters of facilities are listed in below table and verified by the verification team through checking the signed contracts and installed name plates. Table 4 Information of facilities Type S50/750 Parameters Unit Index Rated capacity kw 750 Number of blades - 3 Hub height M 65 Swept Area m Rated wind speed m/s 14 Cut-in wind speed m/s 3.5 Cut-out wind speed m/s 25 Life time year 20 <Power System> It was confirmed by document review and on-site visit that the electricity generated from the project was transmitted to local substation connected to North China Power Grid (NCPG). All facilities and equipments are in place and the project participant has operated the project as per registered PDD. < Monitoring System> One pair of electricity meters, which are installed for monitoring the electricity generated by the project have been found in place as per the registered MP, including: Key meter and check meter have been installed at the high voltage side of on-site 220kV main transformer to measure the electricity exported and imported by the Project to the North China Power Grid. 10

11 The PP has operated the Project as per registered PDD and the monitoring plan. The monitoring organization has been set up and all monitoring staffs have been trained. Meter reading records of all the meters are based on continuous measurement and monthly recorded by the PP. The grid company issues the Electricity Sale Receipts to the PP every month to confirm the amounts of electricity exported to and imported from the grid. CDM Monitoring &Management Manual and internal training records have been provided and verified by the verification team. The parameters required by the monitoring plan and the way CEC has verified the information flow (from data generation, aggregation, to recording, calculation and reporting for these parameters) including the values in the monitoring reports is described below: EG facility,y is the net electricity supplied to NCPG by the Project during the year y. The readings of the key meter are continuously measured and monthly recorded by the PP. The cut-off time for exported and imported electricity is at 24:00 of the last day of each month during the monitoring period. The grid company issued Electricity Sale Receipts to the PP every month to confirm the records followed the PPA. According to the registered Monitoring Plan, the data of parameters above would be check against with the Electricity Sale Receipts. The verification team has verified the values provided in the monitoring report against the relevant documented evidences i.e. the MRRs and the Electricity Sale Receipts and found them to be consistent with the evidences. The MRRs and the Electricity Sale Receipts can cover this monitoring period from 14/03/2008 to 17/12/2010. The parameters determined ex-ante is described below: EF grid,cm, y is the emission factor of the grid. The emission factor of the 1st crediting period of the Project has been determined ex-ante in the registered PDD. The emission factor used in the monitoring report has been verified against the PDD and found them to be consistent. By on-site interview with the operators of the project owner, the monitoring process is cross checked to be consistent with the registered monitoring plan. The monitoring staffs record the daily data of each meter through the hand-written copy. If there are something wrong among the records of the meters, they will ask the relevant authority to calibrate and maintain the meters immediately to avoid uncertainty data is recorded. By on-site interview with the operators of the project owner, the monitoring process is cross checked to be consistent with the registered monitoring plan: i. The monitoring staffs record the daily data of each meter through the hand-written copy. If there are something wrong among the records of the meters, they will ask the relevant authority to calibrate and maintain the meters immediately to avoid uncertainty data is recorded. At the same time, the electronic data of the reading of key meter will be archived; ii. The project owner and grid company read and check the main meter and record the data every month; iii. The project owner provides an electricity sales invoice to the grid company. A copy of the receipt is stored by the project owner, together with a record of the payment by the grid company; 11

12 iv. The grid company provides an Electricity Sale Receipt to the project owner and the receipt is stored by the project owner; v. The project owner records the net electricity supplied to the grid; vi. The project owner keeps and safeguards the records of the key meter s data readings for verification. 4.2 Accuracy of GHG Emission Reduction or Removal Calculations As per the methodology ACM0002 Version 11 and the registered monitoring plan, no leakage emission is considered. The emission reductions for the Project are calculated as the baseline emissions minus the project emissions. Hence the emission reduction is determined by the following formula: ER y =BE y PE y Where: ER y BE y Emission reductions Baseline emissions PE y Project emissions Therefore, the emission reduction equals to baseline emission. BE y = EG facility,y *EF grid,cm,y Where: EG facility,y Net electricity supplied to NCPG by the Project during the year y EF grid,cm,y Emission factor of the grid The ex ante fixed data and parameter used to calculate the emission reduction is EF Grid,CM,y, which was determined at registration and not monitored during the monitoring period. The value of EF Grid,CM,y, is tco 2 e/mwh, it is checked to be valid and established ex-ante in the first crediting period. The net supplied electricity is calculated as the following equation: EG facility,y = EG export,y EG import,y In which: EG facility,y EG export,y EG import,y Net electricity supplied to NCPG by the Project during the year y (MWh) Electricity supplied to the Grid by the Project activity in year y (MWh) Electricity purchased from the Grid by the Project activity in year y (MWh) The EG facility,y has been crosschecked with ESRs(Electricity Sale Receipts), and the ESRs is consistent with EG facility,y. The calculation of net electricity supplied to the grid in each month is listed in the below table. Table 5: EG facility,y calculation in each month Time Verified Verified Verified EG export,y A EG import,y B EG facility,y C=A- B 12

13 MWh MWh MWh A B C=Min (A,B) 14/03/ /03/2008 7, ,056 7, /04/ /04/2008 9, , /05/ /05/2008 9, , /06/ /06/2008 6, , /07/ /07/2008 7, , /08/ /08/2008 7, , /09/ /09/2008 7, , /10/ /10/2008 9, , /11/ /11/ , , /12/ /12/ , , Subtotal of , , /01/ /01/2009 9, , /02/ /02/2009 7, , /03/ /03/2009 7, , /04/ /04/2009 8, , /05/ /05/ , , /06/ /06/2009 7, , /07/ /07/2009 5, , /08/ /08/2009 5, , /09/ /09/2009 6, , /10/ /10/2009 8, , /11/ /11/2009 8, , /12/ /12/2009 8, , Subtotal of , , /01/ /01/2010 6, , /02/ /02/2010 5, , /03/ /03/ , , /04/ /04/ , , /05/ /05/ , , /06/ /06/2010 6, , /07/ /07/2010 5, , /08/ /08/2010 2, , , /09/ /09/2010 3, , /10/ /10/2010 5, , /11/ /11/2010 9, , /12/ /12/2010 3, , Subtotal of , , , , 2009 and 2010 total 267, , , Table 6: EG export,y calculation in each month Time Monthly Reading Electricity Sale Verified Records Receipts EG output,y EG export,y EG export,y 13

14 kwh kwh kwh A B C=Min (A,B) 14/03/ /03/2008 7,537,904 10,298,200 7,537,904 01/04/ /04/2008 9,705,168 9,705,168 9,705,168 01/05/ /05/2008 9,174,440 9,174,440 9,174,440 01/06/ /06/2008 6,454,360 6,454,360 6,454,360 01/07/ /07/2008 7,737,400 7,737,400 7,737,400 01/08/ /08/2008 7,112,072 7,112,072 7,112,072 01/09/ /09/2008 7,094,824 7,094,824 7,094,824 01/10/ /10/2008 9,385,816 9,385,816 9,385,816 01/11/ /11/ ,248,664 13,248,664 13,248,664 01/12/ /12/ ,022,448 14,022,448 14,022,448 01/01/ /01/2009 9,346,744 9,346,744 9,346,744 01/02/ /02/2009 7,161,704 7,161,704 7,161,704 01/03/ /03/2009 7,620,624 7,620,624 7,620,624 01/04/ /04/2009 8,112,016 8,112,016 8,112,016 01/05/ /05/ ,359,512 12,359,512 12,359,512 01/06/ /06/2009 7,788,088 7,788,088 7,788,088 01/07/ /07/2009 5,538,280 5,538,280 5,538,280 01/08/ /08/2009 5,799,640 5,799,640 5,799,640 01/09/ /09/2009 6,056,688 6,056,688 6,056,688 01/10/ /10/2009 8,811,968 8,811,968 8,811,968 01/11/ /11/2009 8,104,800 8,104,800 8,104,800 01/12/ /12/2009 8,230,464 8,230,464 8,230,464 01/01/ /01/2010 6,776,528 6,776,528 6,776,528 01/02/ /02/2010 5,120,808 5,120,808 5,120,808 01/03/ /03/ ,361,824 10,361,824 10,361,824 01/04/ /04/ ,693,408 10,693,408 10,693,408 01/05/ /05/ ,143,176 11,143,176 11,143,176 01/06/ /06/2010 6,706,392 6,706,392 6,706,392 01/07/ /07/2010 5,079,096 5,079,096 5,079,096 01/08/ /08/2010 2,981,000 2,981,000 2,981,000 01/09/ /09/2010 3,094,960 3,094,960 3,094,960 01/10/ /10/2010 5,850,064 5,850,064 5,850,064 01/11/ /11/2010 9,802,056 9,802,056 9,802,056 01/12/ /12/2010 3,508,384 9,647,880 3,508,384 Total 267,521, ,421, ,521,320 Table 7: EG import,y calculation in each month Time Monthly Reading Electricity Sale Verified Records Receipts EG import,y EG import,y EG import,y kwh kwh kwh A B C=Max (A,B) 14/03/ /03/ ,648 67,056 67,056 01/04/ /04/ ,936 34,936 34,936 01/05/ /05/ ,784 36,784 36,784 01/06/ /06/ ,608 47,608 47,608 01/07/ /07/ ,304 40,304 40,304 14

15 01/08/ /08/ ,680 42,680 42,680 01/09/ /09/ ,992 35,992 35,992 01/10/ /10/ ,272 41,272 41,272 01/11/ /11/ ,072 28,072 28,072 01/12/ /12/ ,808 60,808 60,808 01/01/ /01/ , , ,592 01/02/ /02/ ,280 82,280 82,280 01/03/ /03/ ,432 58,432 58,432 01/04/ /04/ ,712 41,712 41,712 01/05/ /05/ ,936 34,936 34,936 01/06/ /06/ /07/ /07/ ,328 31,328 31,328 01/08/ /08/ ,616 44,616 44,616 01/09/ /09/ ,824 43,824 43,824 01/10/ /10/ ,896 49,896 49,896 01/11/ /11/ ,912 54,912 54,912 01/12/ /12/ ,584 78,584 78,584 01/01/ /01/ , , ,520 01/02/ /02/ ,856 64,856 64,856 01/03/ /03/ ,016 38,016 38,016 01/04/ /04/ ,792 55,792 55,792 01/05/ /05/ , , ,344 01/06/ /06/ , , ,816 01/07/ /07/ , , ,216 01/08/ /08/2010 1,838,848 1,838,848 1,838,848 01/09/ /09/ , , ,680 01/10/ /10/ ,360 63,360 63,360 01/11/ /11/ ,944 64,944 64,944 01/12/ /12/ ,504 94,952 94,952 Total 5,161,112 5,236,968 5,236,968 So the emission reductions in this verified period is: ER y =BE y =EG facility,y *EF grid,cm,y =262, MWh* tco 2 e/mwh=282,087 tco 2 e The emission Reductions in each year is summarized in the below table. Table 8: Emission Reductions in each year GHG Emission Reductions in each year VCUs (tco 2 e) , , ,755 The verification team has confirmed that the calculation of the emission reductions is correct. Corresponding to the paragraph 246 of VVS version 02.0 and VCS Standard version 3.3, CEC has ensured that: 15

16 The data used for the determination of the emission reductions are available and monitored in accordance with the registered monitoring plan without conservative assumption; The relevant commercial invoices have been cross checked and found consistent; The appropriate methods and formulae for calculating baseline emissions, project emissions and leakage have been properly followed the methodology and the registered monitoring plan ; The emission factor of NCPG determined ex-ante in the registered PDD is applied in the monitoring report and the calculations have been justified. 4.3 Quality of Evidence to Determine GHG Emission Reductions or Removals The meters have been installed and calibrated in accordance with the registered PDD. The calibration is conducted at the frequency of once a year, as specified in monitoring plan of the registered PDD, this complies with the applied methodology. The calibration information of the meters is summarized in the below tables. Table 9 Calibration of meters Key meter Check meter Accuracy class 0.2s 0.2s Serial No Calibration frequency Yearly Yearly Date of calibration 14/12/2007; 10/12/2008; 07/12/2009; 02/12/ /12/2007; 10/12/2008; 07/12/2009; 02/12/2010. Validity Period 14/12/2007 to 01/12/ /12/2007 to 01/12/2011 Energy Measurement Center of Inner Mongolia Electric Power Research Institute with the certification paper (No. (Meng)faji(2009)15021), which was accredited by Calibration Entity Inner Mongolia Quality and Quarantine Supervision Bureau valid until 01/01/2014. Comment PDD did not specify the calibration frequency of the main meter and backup meter. The calibration frequency, once a year for main meter and once half a year for backup meter were in accordance with the domestic electric power industry regulations, which was deemed a good monitoring practice in China by CEC. The 2 meters are calibrated by Energy Measurement Center of Inner Mongolia Electric Power Research Institute. The certificate of this organization is checked to be valid. The calibration certificates have been provided and found in conformity with the standards of DL/T CL01 16

17 Description of finding Summary of project owner response Please add the detailed information of the check meter in the MR. The monitoring equipment table had been revised and the detailed information of the check meter had been added in the MR. Conclusion During the documents review and on-site visit, the verification team verified the detailed information of the check meter had been added and confirmed to be correct. As required by the VVS, the verification team is able to confirm that the monitoring has been carried out in accordance with the approved methodology ACM0002 version 11 which was applied by the proposed CDM project activity and the monitoring plan contained in the registered PDD and VCS PD. All parameters are appropriately monitored; update of the parameters is not applicable. The actual project activity does not contain changes which may impact the additionality or scale of the project activity or applicability of baseline methodology. Thus no deviation of methodology, modification of monitoring plan or report of changes is needed. The value of parameters has been verified against the monitoring plan and monitoring report, and found complete and accurate. The verification team has verified the reported data and procedures implemented by the PP during document review and on site verification and confirmed that: the monitoring actions have been carried out in accordance with the approved methodology ACM0002 version 11 which was applied by the proposed CDM project activity and the monitoring plan contained in the registered PDD and VCS PD. The actual project activity does not contain changes which may impact the additionality or scale of the project activity or applicability of baseline methodology. Thus no deviation of methodology, modification of monitoring plan or report of changes is needed. The operational and management structure was checked via reviewing CDM Monitoring Manual and interviewing relevant staffs of the project owner, the verification team confirms that the management system of the project is in place and the responsibilities are properly identified based on monitoring plan in registered PDD, VCS PD and the MR for this period. Key parameters and date are measured and reviewed periodically as per the procedures in registered PDD and VCS PD. According to the applied methodology, there are no other external data required for determining the emission reductions of the project as the emission factor of the first crediting period has been determined ex-ante in the registered PDD and VCS PD. The verification team has verified and confirmed that the emission factor used in the monitoring report is in compliance with the registered PDD and VCS PD. The verification team checked and confirmed that the operation logs, and confirmed that the actual operation hours of both units are less than the estimated operation hours in the registered PDD and VCS PD in this monitoring period. 17

18 CEC has ensured that: The data used for the determination of the emission reductions are available and monitored in accordance with the monitoring plan without conservative assumption; The relevant commercial receipts (ETN ) have been cross checked and found consistent; The appropriate methods and formulae for calculating baseline emissions, project emissions and leakage have been properly followed the methodology, VCS PD and the registered monitoring plan ; The emission factor of NCPG determined ex-ante in the registered VCS PD is applied in the monitoring report and the calculations have been justified. All necessary and requested documentation was provided by the project participants so that a complete verification of all relevant issues could be carried out. On site assessment was granted to the only and all installations of the plant which are relevant for the project performance and the monitoring activities. There are no open issues regarding the implementation of the project activity and the steps to claim emission reductions which might not be in compliance with the UNFCCC criteria and relevant guidance provided by the COP/MOP and the CDM EB (clarifications and/or guidance). 4.4 Management and Operational System In order to verify data quality, especially the value of net electricity supplied to grid, the operational and management structure was checked through interviewing with relevant staffs and reviewing documents. CEC can confirm that the management system of the project is in place, with the responsibilities properly identified based on monitoring plan in VCS PD. And the key parameters are measured and reviewed periodically as per the procedures. 18

19 5 VERIFICATION CONCLUSION CEC has performed a verification of Inner Mongolia Hangjin Yihewusu Wind Power Project. The verification is based on the currently valid VCS Standard Version 3.3. Inner Mongolia Xinjin Wind Power Co., Ltd. is responsible for the preparation of the GHG emissions data and reporting the GHG emission reductions of the Project on the basis set out within the monitoring plan in the VCS PD. The development and maintenance of records and reporting procedures are in accordance with the plan. The calculation and determination of GHG emission reductions from the Project is the responsibility of the management of the project. CEC verified the VCS monitoring report version 2.0, dated 26/02/2013 for the reporting period and the result is indicated below. CEC confirms that the project is implemented as planned and described in the VCS PD. Installed equipment being essential for generating emission reduction runs reliably and is calibrated appropriately. The monitoring system is in place and the Project is ready to generate GHG emission reductions (VCUs). CEC can confirm that the GHG emission reduction is calculated without material misstatements. Our opinion is related to the Project s GHG emissions and the resulting GHG emission reductions reported, as well as the project baseline, monitoring activity and its associated documents. Based on the information we have seen and evaluated, we confirm the actual amount of VCUs associated with the project specific monitoring report that has been verified as the following statement: Emission reductions in total (14/03/2008 to 17/12/2010): 282,087 tco 2 e GHG Emission Reductions VCUs Baseline Emissions 282,087 tco 2 e Project Emissions 0 Leakage 0 Net GHG emission reductions or removals 282,087 tco 2 e Emission reductions in total each year: GHG Emission Reductions in each year VCUs , , ,755 Beijing, 26/02/2013 Beijing, 28/02/2013 YIN Yun Verification Team Leader SONG Tiedong Chairman of Board 19

20 Reference 1. Monitoring Report version 1.0 and version 2.0; 2. Emission Reduction Calculation Spreadsheet; 3. Project Design Document, version 8.0, 05/08/2010; 4. IRR calculation spreadsheet; 5. CDM Validation Report, 05/02/2010; 6. CDM Validation Report, 16/08/2010; 7. CDM Verification Report, 11/06/2012; 8. Submission Confirmation Letter issued by UNFCCC Secretariat CDM Team 9. Equipment purchase contract; 10. Nameplates of major equipments; 11. Daily operational and maintenance record of major equipments, 14/03/2008 to 17/12/2010; 12. Power Transmission Line Connection Diagram; 13. Power Purchase Agreement; 14. Calibration report of monitoring equipment, Inner Mongolia Electricity Science Research Institute Electricity Measurement and Testing Center; 15. Calibration report of monitoring equipment, Energy Measurement Center of Inner Mongolia Electric Power Research Institute; 16. Qualification of Energy Measurement Center of Inner Mongolia Electric Power Research Institute; 17. Daily manual records and monthly records of power generation, 14/03/2008 to 17/12/2010; 18. Receipts from electricity sales and purchase, 14/03/2008 to 17/12/2010; 19. CDM Training record; 20. ACM0002: Consolidated baseline methodology for grid-connected electricity generation from renewable sources, version 11; 21. Tool to calculate the emission factor for an electricity system, version 02; 22. Tool for the demonstration and assessment of additionality version 05.2; 23. DL/T : Technical Administrative Code of Electric Energy Metering 20

21 Annex A: Certificate of Competence YIN Yun Qualification in accordance with CEC-4001C-B/7 Operation Instruction for Personal Competence Assessment for CDM CDM Auditor: Yes Industry Sector Expert for Technical Area(s): 1.1, 1.2, 2.2, 3.1 Beijing, 01 Dec 2011 ZHANG Xiaodan XU Linghua CDM Supervisor, Technical Director Quality Assurance Management Division CUI Xiaodong Qualification in accordance with CEC-4001C-B/8 Operation Instruction for Personal Competence Assessment for CDM CDM Auditor: Yes Industry Sector Expert for Technical Area (s): 1.2 Beijing, 27 Jun 2012 ZHANG Xiaodan XU Linghua CDM Supervisor, Technical Director Quality Assurance Management Division 21

22 ZHANG Ruizhi Qualification in accordance with CEC-4001C-B/7 Operation Instruction for Personal Competence Assessment for CDM CDM Auditor: Yes Industry Sector Expert for Technical Area(s): 1.2 Beijing, 01 Dec 2011 ZHANG Xiaodan XU Linghua CDM Supervisor, Technical Director Quality Assurance Management Division WANG Yanping Qualification in accordance with CEC-4001C-B/7 Operation Instruction for Personal Competence Assessment for CDM CDM Auditor: Yes Industry Sector Expert for Technical Area(s): 1.2, 15.1 Beijing, 01 Dec 2011 ZHANG Xiaodan XU Linghua CDM Supervisor, Technical Director Quality Assurance Management Division 22