CPA VALIDATION REPORT

Transcription

1 CPA VALIDATION REPORT Title of CPA: CarbonSoft Pan Africa PA001 1 Title of PoA to which CPA is to be included: CarbonSoft Open Source PoA, LED Lighting Distribution: Pan Africa 2 Report No. CCL0037/ CSKSL/ Revision No In the CPA DD published for GSC, the CPA title was CarbonSoft East Africa CPA [01], [Light After Dark in Malawi] 2 In the PoA DD published for GSC, the PoA title was CarbonSoft Open Source PoA: LED Lighting Distribution in East Africa Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 1 FM 4.9 PoA Rev. 02; Date: 10/11/2012

2 CDM VALIDATION REPORT NO CCL0037/CSKSL/ CPA Title: CarbonSoft Pan Africa PA001 (formerly titled as CarbonSoft East Africa CPA [01], [Light After Dark in Malawi] ) GHG reducing measure/technology of the CPAs of the PoA: Managing Entity: CarbonSoft Corporation Ltd The Hub, 34b York Way London, N1 9AB, United Kingdom Telephone: +44 (0) Sebastian@carbonsoft.net Report No.: CCL0037/CSKSL/17/08/2011 Technical Reviewer: Vikash Kumar Singh Country: Republic of Malawi Estimated CERs (tco 2 e): 41,850 annual average (CPA- 01) The CPA involves replacement of fossil fuel based lighting system (kerosene lamps) with renewable energy charged (solar) LED lamps. The kerosene based lamps(baseline lamps) which burn fossil fuel, where as solar LED lamps(project lamps) produce light using solar energy, which is a clean form of energy and does not lead to CO 2 emissions. Therefore the use of solar LED ligting systems displaces combustion of fossil fuel for lighting purposes and leads to greenhouse gas emission reduction. CPA Implementer: Solar Solutions Ltd 4 th Floor, Chilembwe Road NBS Building Blantyre Malawi johann.heyns@btinternet.com Revision: 03 Approved by (Final Report): Priyesh Ramlall Date of this report: 28/11/2012 Date of approval: 28/11/2012 Date of approval: 03/12/2012 GPS coordinates of the first CPA: The verified range of geographic coordinates of locations under the first CPA are /B07-7/ /B07-8/: Location Latitude Longitude Blantyre : S E Chikwawa 16 46' 0"S 35 17' 0"E Chiradzulu 15 42' 0"S 35 11' 0"E Mulanje 16 2' 0"S 35 30' 0"E Nsanje S E Phalombe 15 48' 0"S 35 39' 0"E Thyolo S E Report Distribution: Unrestricted Distribution Limited Distribution No Distribution (without permission from the Client or responsible organisational unit) Organisational unit: Carbon Check (Pty) Ltd Methodology Number: AMS-III.AR. Version: 03.0 Title: Substituting fossil fuel based lighting with LED/CFL lighting systems. Scale: Small Scale SS(s): 1 TA: 1.2 Carbon Check Pty Ltd., (CCL) is commissioned by CarbonSoft Corporation Ltd to perform the validation of the Program of activities CarbonSoft Open Source PoA, LED Lighting Distribution: Pan Africa, with regard to the relevant requirements for CDM activities. Summary of the CPA Validation and inclusion Opinion: The review of the CPA design documentation and the subsequent follow-up interviews have Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 2 FM 4.9 PoA

3 Technical Reviewer Co- Technical Reviewer Technical Expert Team Member (Auditor) Trainee Auditor Team Leader VALIDATION REPORT CDM VALIDATION REPORT NO CCL0037/CSKSL/ provided CCL with sufficient evidence for the determination of the CPA s fulfillment of all stated criteria in the PoA. In our opinion, the CPA meets all relevant UNFCCC requirements for the CDM. Therefore, CCL recommends the CPA for inclusion/registration under the PoA to the CDM Executive Board (CDM-EB). The review of the CPA design documentation and the subsequent follow-up interviews has not provided CCL with sufficient evidence for the determination of the CPA s fulfillment of all stated criteria in the PoA. Therefore, CCL will not recommend the CPA for inclusion under the PoA and will inform the PoA managing entity, CPA implementer(s) and the CDM Executive Board of this decision. VALIDATION TEAM Full Name Appointed for Sectoral scopes (Technical Areas) ROLE Ravi Shankar 1.2, 2.1, 2.2, 3.1, 13.1 X X Amit Anand 1.2 X Anubhav Dimri 1.2 X Vikash Kumar Singh 1.2, 3.1, 13.1 X Validation Phase Desk Review Follow up interviews Resolution of outstanding issues Validation Status Corrective Actions / Clarifications requested Full approval and submission for registration Rejected Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 3 FM 4.9 PoA

4 CDM VALIDATION REPORT NO CCL0037/CSKSL/ Validation Opinion Under the validation (by means of document review and on-site interviews with stakeholders), the validation team considers that the CPA description in CPA titled- CarbonSoft Pan Africa PA001 as described in the CDM-SSC-CPA-DD of Date 21/11/2012, version 6 is accurate and complete; meets the requirements to be included in the PoA titled CarbonSoft Open Source PoA, LED Lighting Distribution: Pan Africa, version 6 (date 21/11/2012) and correctly applies the baseline and monitoring methodology AMS-III.AR. (Version 03.0). Standard auditing techniques have been used for the validation of the project. An analysis, as provided by the applied methodology, demonstrates that the proposed CPA is not a likely baseline scenario. Emission reductions attributable to the CPA are additional to any that would occur in the absence of the project activity. Given that the CPA is implemented as designed, the project is likely to achieve the estimated amount of emission reductions as specified within the CPA-DD /02/. The validation is based on the information made available to Carbon Check (Pty) Ltd., as well as the engagement conditions detailed in this report. The validation has been performed following the VVM requirements. The validation was executed in the following steps so far: Receipt of PoA-DD, CPA-DD (generic) and CPA-DD (real case) without any version number and, dated 01/09/2011 for global stakeholder comments 3. Global stakeholder comment process (12/10/2011 to 10/10/2012) On-site visit with stakeholder interviews (23/10/2011) Issue of checklist with corrective action requests (s) and clarification requests (CLs) and the draft validation report and protocol Desk review of revised DDs applying AMS-III.AR. (Version 03.0) Review of responses for s/cls Issue of the final validation report and protocol During the course of validation a total of thirteen (13) Corrective Action Requests (s) and eleven ( 11) Clarification Requests (CLs) were identified on webhosted CPA-DD/01/ (without any version number and, dated 01/09/2011 for global stakeholder comments 4 ). Upon evaluation of responses provided by the Project Participant (CPA implementer) all the identified issues were closed successfully. The single purpose of this report is its use during the inclusion process (of the real case CPA) at the time of requesting registration. The review of the CPA-DD /02/, subsequent follow-up interviews, and further verification of references have provided Carbon Check (Pty) Ltd., with sufficient evidence to determine the fulfilment of stated criteria in the PoA-DD /20/ and g-cpa-dd /21/. In the opinion of Carbon Check (Pty) Ltd., the CPA meets all relevant UNFCCC requirements for the CDM if the underlying assumptions do not change. Carbon Check (Pty) Limited recommends the CPA project for inclusion under the PoA Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 4 FM 4.9 PoA

5 CDM VALIDATION REPORT NO CCL0037/CSKSL/ Abbreviations ART BE CC CCL CDM CDM M&P CER(s) CH4 CL CO2 CO2e CME CPA CPA-DD DBT DR DNA DOE EB EIA ER FAR GHG(s) GWP I IPCC LoA MoV MP MR NGO ODA PE PoA PoA-DD PP(s) Ref. SD SRT SS(s) UNFCCC VVM Autonomous Run Time Baseline Emissions Corrective Action Request Cross Check Carbon Check (Pty) Ltd Clean Development Mechanism Modalities and Procedures CDM Certified Emission Reduction(s) Methane Clarification Request Carbon dioxide Carbon dioxide equivalent Coordinating/managing entity and participants of PoA CDM Programme Activity CDM Programme Activity design document Daily Burn Time Document Review Designated National Authority Designated Operational Entity Executive Board Environmental Impact assessment Emission Reductions Forward Action Request Greenhouse gas(es) Global Warming Potential Interview or any follow up action Intergovernmental Panel on Climate Change Letter of Approval Means of Verification Monitoring Plan Monitoring Report Non-governmental Organization Official Development Assistance Project Emission Programme of Activities Programme of Activities design document Project Participant(s) Document Reference Sustainable Development Solar Run Time Sectoral Scope(s) United Nations Framework Convention on Climate Change Validation and Verification Manual Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 5 FM 4.9 PoA

6 CDM VALIDATION REPORT NO CCL0037/CSKSL/ Table of Contents Page 1 Introduction Objective Scope Methodology Document Review Follow-up actions Resolution of outstanding issues Internal quality control Validation team and the technical reviewer(s) Validation Summary CPA Design Document CPA Description Eligibility Criteria for CPA Inclusion Additionality Prior consideration of CDM Approach for demonstrating CPA additionality Emission Reduction Parameters determined ex-ante Baseline emission reduction calculation Monitoring Plan Stakeholder Consultation Environmental Ananlysis Appendix A: Validation Protocol Appendix B: Certificate of Competence Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 6 FM 4.9 PoA

7 CDM VALIDATION REPORT NO CCL0037/CSKSL/ INTRODUCTION CarbonSoft Corporation Limited (CSCL) (hereafter referred as CME ) has commissioned the DOE Carbon Check (Pty) Ltd., to assess the information in the CDM-CPA-DD for the CPA title CarbonSoft Pan Africa PA001 (hereafter called the CPA ) against the requirements for including CPAs to the PoA CarbonSoft Open Source PoA, LED Lighting Distribution: Pan Africa and further documentation requirements for including CPAs to a PoA. This report summarizes the findings of the validation of the CDM Programme Activity Design Document (CPA-DD), performed on the basis of UNFCCC criteria for the PoAs under the CDM, as well as criteria given to provide for consistent programme operations, monitoring and reporting. The term UNFCCC criteria refers to Article 12 of the Kyoto Protocol, the CDM modalities and procedures, the modalities and procedures for CDM project activities, and the subsequent decisions by the COP/MOP and CDM Executive Board. In addition to these criteria, host country criteria are also taken into account. 1.1 Objective The assessment of a CPA requesting to be included in a PoA shall ensure that all the requirements determined in the PoA are met. The assessment was performed on the basis of the eligibility and additionality criteria established in the PoA and the UNFCCC criteria for including CPAs to programme of activities under the Clean Development Mechanism (CDM), as well as criteria given to provide for consistent project operations, monitoring and reporting according to AMS-III.AR. (Version 03.0). 1.2 Scope The scope of the validation is an independent and objective review on the small-scale CDM CPA design document (hereinafter referred to as 'CPA-DD') and other relevant documents. The DOE shall scrutinize the information in the CPA-DD to assess compliance with the eligibility criteria and criteria for demonstrating additionality established by the PoA, to check correct application of AMS-III.AR. (Version 03.0), and to check compliance with documentation requirements for CPAs. The validation is not meant to provide any consulting towards the programme participants. However, stated requests for clarifications and/or corrective actions may have provided input for improvement of the project design. 2 METHODOLOGY The validation consists of the following four phases: I. A desk review of the specific CPA-DD with relevant information to be included in PoA. II. III. On-site visit and follow-up interviews with programme stakeholders; and The resolution of outstanding issues and the issuance of the final validation report and opinion. The following sections outline each step in more detail. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 7 FM 4.9 PoA

8 CDM VALIDATION REPORT NO CCL0037/CSKSL/ Document Review The following table lists the documentation that was reviewed during the validation. Reference No. Documents /01/ CPA-DD (webhosted version) - CarbonSoft East Africa CPA [01], [Light After Dark in Malawi], Date -01/09/2011 /02/ CPA-DD (final version) - CarbonSoft Pan Africa PA001, Version 6, Date 21/11/2012 /03/ Emission reduction spread sheet corresponding to /01/ /04/ Emission reduction spread sheet corresponding to /02/ /05/ 1. Letter of Approval from the DNA of Republic of Malawi (dated 21/05/2012; Reference No.: EAD/99/07/26A), authorizing CarbonSoft Corporation Limited along with Solar Solutions Malawi Limited to participate in the CDM project. 2. from DNA of Republic of Malawi (dated 14/08/2012) confirming the change of name of PoA. /06/ Modalities of communication /07/ CPA Inclusion Management System, Version 1.0 (dated 13/02/2012). /08/ Declaration from the CME (dated 13/11/2012) on: 1. PoA is a voluntary action by CME and is not mandated by any law or regulations of republic of South Africa. 2. CPA implementers/operators are aware and agree for participation in PoA voluntarily. 3. No ODA involved/diverted as a result of the PoA. 4. The proposed CPA, PA001, is the first CPA in the CarbonSoft Open Source PoA, LED lighting distribution: Pan-Africa. 5. No Official Development Assistance (ODA) or Public Funding has been used in the design and development of the above-mentioned CPA. 6. The CPA operator is aware and agreed that the project activity is included in the present PoA. 7. The CPA operator undertakes that no emission reduction benefit from the Project shall be claimed by it through any other instrument either as a standalone Project or through bundle or as a CPA to any other PoA. 8. The CPA has not yet been applied / included in another Programme of Activities or has not yet been applied or registered as a single CDM Project activity. 9. That CPA meets the applicability criteria for methodology AMS.III.AR. Version The target group of the project lamp will be residential and/or nonresidential households or communities or Small and Medium Enterprises (SMEs). /09/ PA001 Implementation Plan /10/ De-bundling check spreadsheet /11/ Agreement for distribution of LED light under a CDM Programme of Activities between CarbonSoft Corporation Ltd., and Solar Solutions Ltd., Dated 24/10/2011 /12/ Environmental Management Act (EMA), (Act NO, 23, 1996) on 28 June 1996 ( /13/ Relevant proof of LSC: 1. Stakeholder meeting invitation letter/advertisement 2. Stakeholder attendance list 3. Stakeholder minute of meeting/list of stakeholders who raise question /14/ Contract between the CME and DOE for the validation. /15/ Presentation titled Methodologies for Carbon Finance Monitoring and Evaluation by Evan Mills, Lumina Project, Lawrence Berkley Laboratory at Lightning Africa Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 8 FM 4.9 PoA

9 CDM VALIDATION REPORT NO CCL0037/CSKSL/ Business conference, Nairobi (18/05/ /05/2010) /16/ A New Framework for Estimating Greenhouse-Gas Reductions from Replacing Fuel-based Lighting with LED Systems by Evan Mills, Lumina Project, Technical Report No.: 5, Lawrence Berkley Laboratory date 09/04/2010 ( /17/ Off-grid energy services for the poor:introducing LED lighting in the Millennium Villages Project in Malawi, Journal of Energy Policy, Volume 38, Issue 2, February 2010, Pages /18/ Presentation titled Sustainability and social impacts of off-grid lighting by Gerhard Mair at Lightning Africa 2010 Business conference, Nairobi (18/05/ /05/2010) /19/ Technical specifications of Mandarin Ultra (Project LED lamps) by Illumination (manufacturer of LED Lamps) /20/ A declaration from the CEO of Illumination Headquarters Ltd., on: 1. Rated average life 2. Battery charging efficiency at time of purchase 3. Warranty /21/ Test results Mandarin Ultra (Project LED lamps) by Lighting Africa Quality Assurance. /22/ Test results Mandarin Ultra (Project LED lamps) by Lighting Africa Quality Test Method by Schatz Energy Research Centre, Humboldt State University dated 20/08/2012 /23/ POA-DD for CarbonSoft Open Source PoA, LED Lighting Distribution: Pan Africa, Version 3, Date 20/09/2012 /24/ Final CPA-DD template /25/ 1. Invoice for project lamps from Solar Solutions Ltd., to Finca Malawi Limited 2. Proof of payment to Solar Solutions Ltd., to Finca Malawi Limited /26/ Declaration from CPA implementer (dated 16/11/2012): 1. No Official Development Assistance (ODA) or Public Funding has been used in the design and development of the above-mentioned CPA. 2. The CPA operator is aware and agreed that the project activity is included in the present PoA. 3. The CPA has not yet been applied / included in another Programme of Activities or has not yet been applied or registered as a single CDM Project activity. 4. That CPA meets the applicability criteria for methodology AMS.III.AR. Version The CPA is the first CPA (under this PoA) in host country Malawi. 6. The target group of the project lamp will be residential and/or non-residential households or communities or Small and Medium Enterprises (SMEs) and CPA Implementer will distribute the project lamps to residential and/or nonresidential households or communities or Small and Medium Enterprises (SMEs). 7. The CPA is exempted from de-bundling checks as per the 10, Annex 13, EB 54. Detailed description is provided in section A.4.6 of the CPA-DD. /27/ Declaration from CPA implementer (dated 13/11/2012): 1. The CPA operator undertakes that no emission reduction benefit from the Project shall be claimed by it through any other instrument either as a standalone Project or through bundle or as a CPA to any other PoA. 2. Voluntary participation in PoA /28/ 1. Baseline survey by Solar Solutions Ltd., and CarbonSoft for kerosene consumption in Malawi (excel sheet) 2. Survey Questionnaires /29/ 1. Understanding the economics behind off-grid lighting products for small businesses in Kenya A Master of Science thesis by Kristen Radecsky Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 9 FM 4.9 PoA

10 CDM VALIDATION REPORT NO CCL0037/CSKSL/ presented to Humboldt State University, dated May 2009 (Table 9, Page 50) 2. Key policy initiatives and capacity-building on gender mainstreaming: focus on science and technology: Women BAREFOOT solar engineers A community solution by Bunker Roy presented at 55 th session on United Nations Commission on the Status of Women (22 February 4 March 2011) ( 1, Page 2) 3. Proposed tax reforms on Renewable energy and Energy Efficiency technologies by Tanzania Solar energy Association ( 1, Page 29) Referred documents/websites: /B01/ CDM Validation and Verification Manual version EB 55 (Annex 1) /B02/ AMS-III.AR Substituting fossil fuel based lighting with LED/CFL lighting systems (Version 03.0) /B03/ Tool to calculate the emission factor for an electricity system, version , EB 63 (Annex 19) /B04/ PoA Specific guidelines / standards published by UNFCCC: 1. CDM programme of activities design document form (CDM-PoA-DD) Version 01, EB CDM programme activity design document form (CDM-CPA-DD) Version 01, EB Procedures for registration of a programme of activities as a single CDM project activity and issuance of certified emission Reductions for a programme of activities, Version 04.1, EB 55 (Annex 38) 4. Procedures for review of erroneous inclusion of a CPA, version 03, EB 61 (Annex 22) 5. Standard for demonstration of additionality, development of eligibility criteria and application of multiple methodologies for programme of activities, version 01, EB 65 (Annex 03) 6. Guidelines on demonstration and prior consideration of CDM, version 04, EB 62 (Annex 13) 7. Standard for sampling and surveys for CDM project activities and programme of activities, version 02.0, EB 65 (Annex 2) 8. Best practices examples focusing on sample size and reliability calculations version 01.0, EB 67 (Annex 6) 9. Standard for sampling and surveys for CDM PAs and PoAs, version 03.0, EB 69 (Annex 4) 10. Guidelines for sampling and surveys for CDM project activities and programme of activities, version 02.0 EB 69 (Annex 5) 11. Guidelines on assessment of de-bundling for SSC project activities, Version 03, EB 54 (Annex 13) 12. Guidelines for the consideration of interactive effects for the application of multiple CDM methodologies for a programme of activities, version 01.0, EB 68 (Annex 3) 13. Guidelines on the demonstration of additionality of small-scale project activities, version 09.0, EB 68 (Annex 27) /B05/ General Guidelines for SSC CDM methodologies, version 19.0, EB 69 (Annex 27) /B06/ Glossary of CDM terms, version 06, EB 66 (Annex 6) /B07/ Websites: Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 10 FM 4.9 PoA

11 CDM VALIDATION REPORT NO CCL0037/CSKSL/ The changes between the specific CPA-DD (without version number) /01/ 5, published for the 30 days stakeholder commenting period /01/ and the final version submitted for registration /02/ are addressed in the table 2 of the validation protocol as a part of this report. The main changes between the CPA-DD (without version number) /01/ 6 published for the 30 days stakeholder commenting period and the final version /02/ submitted for registration are presented in the below table as follows: Topic CPA-DD - GSC/01/ Final CPA-DD/02/ Assessment PoA title CarbonSoft Open Source PoA: LED Lighting Distribution in East Africa CPA title CPA Implementer Scope Methodology / Activity Amount of emission reductions (tco 2 ) Real case CPA starting Date CPA Location CarbonSoft East Africa CPA [01], [Light After Dark in Malawi] CarbonSoft Open Source PoA: LED Lighting Distribution in Pan Africa CarbonSoft Pan Africa PA001 Solar Solutions Limited Solar Solutions Limited No Change 1: Energy Industries (renewable / non-renewable sources) AMS-III.AR. (Version 02.0) / Small-scale 1: Energy Industries (renewable / nonrenewable sources) AMS-III.AR. (Version 03.0) / Small-scale Title of the PoA has been changed (please refer to closure of 2 in table 2 of protocol in PoA validation report) Title of the CPA has been changed (please refer to closure of 2 in table 2 of protocol in CPA validation report) No change Due to revision in the applied methodology by UNFCCC 344, ,956 Emission reductions have been changed (please refer to closure of CL 7 in table 2 of protocol in CPA validation report) 10/10/ /04/2012 Starting date has been changed to 12/04/2012 (please refer to closure of 5 in table 2 of protocol). Lower southern region of Republic of Malawi. The CPA will comprise of the following districts: 1. Blantyre, 2. Chikwawa, 3. Chiradzulu, 4. Mulanje, 5. Nsanje, 6. Phalombe 7. Thyolo. Lower southern region of Republic of Malawi. The CPA will comprise of the following districts: 1. Blantyre, 2. Chikwawa, 3. Chiradzulu, 4. Mulanje, 5. Nsanje, 6. Phalombe 7. Thyolo. No change Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 11 FM 4.9 PoA

12 CDM VALIDATION REPORT NO CCL0037/CSKSL/ Follow-up actions In order to reach to a Validation Opinion a site visit along with an interview was planned for 23/10/2011. Prior to the interview salient points to be discussed were planned. Date of interview, interviewee and points discussed are given in the following table. Sr. No. Date Name and Role Organization Topic /a/ 23/10/2011 Sebastian Foot, CarbonSoft CME coordinating CDM CME Corporation Ltd. functions and responsibilities. Discussion on eligibility criteria and inclusion of a typical CPAs in the PoA including the real case CPA. Discussion on Additionality justification on PoA level and on typical CPA level including the real case CPA. Discussion on record keeping, monitoring plan and manual. Discussion on double counting Discussion on financing pattern (means of finance) of the CPAs (including real case) and involvement of public funding /b/ 23/10/2011 Johann Heyns, Solar Solutions Discussion on the CPA Implementer Limited operational and management arrangements of the CPA. Discussion on LSC (on real case CPA) and statutory clearances required for the implementation of the CPA. /c/ 23/10/2011 Sydney Kampria Solar Solutions Discussion on record Limited keeping, monitoring plan and manual. Discussion on double counting Discussion on the operational and management arrangements Discussion on LSC and statutory clearances required for the implementation of the CPA. Validation Team considered the views obtained in these interviews while arriving at Validation Opinion. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 12 FM 4.9 PoA

13 CDM VALIDATION REPORT NO CCL0037/CSKSL/ Resolution of outstanding issues The objective of this phase of the validation is to resolve any outstanding issues, which need be clarified prior to Carbon Check s conclusion on the CPA design. In order to ensure transparency a validation protocol is customised for the programme. The protocol shows in transparent manner criteria (requirements), means of verification and the results from validating the identified criteria. The validation protocol serves the following purposes: It organises, details and clarifies the requirements a CPA is expected to meet; It ensures a transparent validation process where the validator will document how a particular requirement has been validated and the result of the validation. The completed validation protocol for the CPA CarbonSoft Pan Africa PA001 (formerly titled as CarbonSoft East Africa CPA [01], [Light After Dark in Malawi] ) is enclosed in Appendix A to this report. Findings established during the validation could either be seen as a non-fulfilment of CDM criteria or where a risk to the fulfilment of programme objectives is identified. Corrective action requests () are issued, where: (i) The project participants have made mistakes that will influence the ability of the project activity to achieve real, measurable additional emission reductions; (ii) The CDM requirements have not been met; (iii) There is a risk that emission reductions cannot be monitored or calculated. A request for clarification (CL) may be raised if information is insufficient or not clear enough to determine whether the applicable CDM requirements have been met. A forward action request (FAR) may be raised during validation to highlight issues related to project implementation that require review during the first verification of the project activity. Figure 1 Validation protocol tables Validation Protocol, Table 1 - Requirement checklist Checklist Question Ref. MoV Comments Draft Conclusion The various Makes Explain how The is used if requirements reference conformance with the discussion the in Table 1 to checklist question is on how the information are linked to documents investigated. conclusion and evidence checklist where the Examples are is arrived at provided is questions the answer to document review and the adequate to project the (DR), interview or any conclusion demonstrate should meet. checklist other follow-up on the compliance The checklist question or with CDM is organized item is in different sections. seven found. actions (I), cross checking (CC) with available information relating to projects, (N/A) means not applicable. compliance with checklist question so far. requirements. For, CL and FAR see the definitions above. Final Conclusion is used if the information and evidence provided is adequate to demonstrate compliance with CDM requirements. Validation Protocol, Table 2 - Resolution of Corrective Action Requests and Clarification Corrective action Reference to Table 2 Response by project Validation requests and/or participants Conclusion clarification requests The and/or Reference to the The responses given by The validation team s CLs raised in table checklist question the project participants to assessment and final 1 are repeated number in Table 1 address the s and/or conclusion of the Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 13 FM 4.9 PoA

14 Technical Reviewer Reporting support Technical Expert Input Report & protocol writing Site visit & Interview Desk review Supervision of work VALIDATION REPORT CDM VALIDATION REPORT NO CCL0037/CSKSL/ here. where the or CL is explained. CLs. s and/or CLs. Validation Protocol, Table 3 - Forward Action Requests Forward action Reference to Table 2 Response by project participants Validation request Conclusion The FAR raised in table 1 is repeated here. Reference to the checklist question number in Table 1 where the FAR is explained. Response by the project participants on how forward action request will be addressed prior to first verification. 2.4 Internal quality control Before the assessment begins, members of the team covering the technical area(s), sectoral scope(s) and relevant host country experience for evaluating the CDM PoA/CPA are appointed. The validation report including the validation findings underwent a technical review. A technical reviewer qualified in accordance with Carbon Check s qualification scheme for CDM validation and verification performed the technical review. 2.5 Validation team and the technical reviewer(s) The validation team and the technical reviewers consist of the following personnel: Validation Team Full Name Appointed for Sectoral scopes (Technical Areas) Type of Involvement Ravi Shankar 1.2,2.1, 2.2, 3.1, 13.1 X X X Amit Anand 1.2 X X X Anubhav Dimri 1.2 X X Vikas Kumar Singh 1.2, 3.1, 13.1 X Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 14 FM 4.9 PoA

15 CDM VALIDATION REPORT NO CCL0037/CSKSL/ VALIDATION SUMMARY Under the validation by means of document review and on-site interviews with stakeholders, the validation team considers that the CPA description in CPA titled CarbonSoft Pan Africa PA001, as described in the CDM-CPA-DD of Date 21/11/2012, version 6 is accurate and complete; meets the requirements to be included in the PoA titled CarbonSoft Open Source PoA, LED lighting distribution: Pan-Africa and correctly applies the baseline and monitoring methodology AMS-III.AR. (Version 03.0). Several clarifications and corrective actions have been raised in during the course of validation and successfully closed (please refer to table-2 of appendix A for details of closure). 3.1 CPA Design Document The CPA-DD is in compliant with relevant form and guidance as provided by the CPA-DD template /24/ for the POA and UNFCCC requirements under the PoA. CCL considers that the guidelines for the completion of the CPA documents in their most recent version have been followed. The Managing Entity and the CPA Implementer/s provided relevant information in the applicable CPA-DD sections. 3.2 CPA Description The following description of the proposed CDM programme activity as per CPA-DD /02/ was verified: The project is developed under the small-scale Programme of Activities (PoA) entitled CarbonSoft Open Source PoA, LED lighting distribution: Pan-Africa. The programme will reduce greenhouse gas (GHG) emissions by replacing fossil fuel based lighting applications with installation of solar charged LED lamps. The main objective of PoA is to promote the use of solar charged LED based lighting applications at domestic/non-residential level. The PoA aims to support sustainable development in the host country, republic of Malawi. The coordinating/management entity (CME) of this PoA is CarbonSoft Corporation Ltd. The proposed small scale CDM Programme activity CarbonSoft Pan Africa PA001 (hereafter referred to as the The CPA ) is developed by Solar Solutions Limited, (hereafter referred to as CPA implementer ). The CPA involves reduction of greenhouse gases through the replacement of the domestic/non-residential lighting traditionally fuelled from kerosene by solar LED lamps. As verified from the CPA DD /02/, the CPA is located in lower southern regions of Republic of Malawi, in following districts: LOCATION LATITUDE LONGITUDE Blantyre S E Chikwawa 16 46' 0"S 35 17' 0"E Chiradzulu 15 42' 0"S 35 11' 0"E Mulanje 16 2' 0"S 35 30' 0"E Nsanje S E Phalombe 15 48' 0"S 35 39' 0"E Thyolo S E The spatial extent of CPA and the geo-coordinates have been verified using tools like Google Earth /B07-7/ or Google Maps /B07-8/. The target area for CPA includes urban, semi-urban and rural household /02/. The baseline scenario is based on the literature available on fuel using pattern of the target area, like Off-grid energy services for the poor: Introducing LED lighting in the Millennium Villages Project in Malawi /17/, published in Journal of Energy Policy. The baseline literature /17/ provides the quantitative assessment of the lighting patterns in Malawi. It provides details on the current lighting habits, consumers of the lighting systems, expenditure on current lighting systems, and modern lighting systems available. The baseline literature covers rural as well as urban population and households. Kerosene is the main energy source used to provide light and power appliances in Malawi. Almost 96.3% of the respondents provided kerosene as the primary Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 15 FM 4.9 PoA

16 CDM VALIDATION REPORT NO CCL0037/CSKSL/ source for lighting. Electric grids (2.4%), candles (0.3%) are other source lighting households in the country. PRIMARY LIGHT SOURCE SECONDARY LIGHT SOURCE Kerosene 96.3% 1.1% Electric Grid 2.4% 0.0% Candles 0.3% 82.5% Others 1.0% 16.4% This literature is publicly available at Lighting Africa website /B07-5/ and has been verified from there by the validation team. The distribution structure to be followed for distribution and sales of lamps under all the futures CPAs is as: The distribution and sales framework covers the movement of product lamps from manufacturing to end-user (the final point of use). It is well demonstrated, as this structure shall be replicated throughout all distribution points within the CPA. The Lamps under this CPA are being sold indirectly through FINCA Malawi a non-profit micro-finance organization. The CPA implementer sells the lamps to FINCA for further sell to the end users. The same was verified through invoice of solar solutions to FINCA /25-1/ and proof of payment made by FINCA /25-2/. The distribution structure presented is in line with the CME Implementation and monitoring plan /09/. The project involves distribution of LED lamps in a phase-wise manner over the entire 7 years of the renewable crediting period chosen for the CPA. A varying number of LEDs would be distributed each year. The CPA involves distribution of LED lamps that will generate emission reductions for 2 years in accordance with Option 1 of 11 of the applied methodology /B02/. As the CPA involves the distribution of lamps over the length of crediting period, hence the operational lifetime of CPA is 7 years. However, the operational lifetime of bulbs is 2 year, as they will generate emission reductions over 2 year period and then phased out. The distribution / phase-wise implementation schedule of the CPA as provided in CPA-DD /02/ is as: Year Schedule for lamp distribution under project activity /09/ Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 16 FM 4.9 PoA

17 CDM VALIDATION REPORT NO CCL0037/CSKSL/ , , , , , , , The same was verified through review of CME Implementation and monitoring plan /09/ of the CME and through interviews with CME /a/ and CPA implementer /b/ /c/ during site visit. The CPA involves distribution of Mandarin Ultra solar LED lights manufactured by Illumination Headquarters Ltd s (incorporated in Hong Kong) Light. The technical specifications of project lamp are as: Parameters Unit Value In line with Source of data for the requirements of cross check by validation AMS-III.AR. /B02/ team No. of LEDs in lamp N/A 12 N/A Technical specifications from the manufacturer /19/ Lamp wattage Watt 0.3 N/A Technical specifications from the manufacturer /19/ Luminous flux Lumen 39 Yes in line with requirements of 5 (a) Rated lamp life Hour 5,840 Yes in line with requirements of 3 and option 1 of 11 Type and rated capacity of the renewable energy equipment used for battery-charging Type and rated capacity of battery Watt 0.6 (Solar) Ampere hour 3 x AA 600 Amh NiMH Test results of project lamps by Lighting Africa Quality Assurance /21/ Technical specifications from the manufacturer /19/ N/A Technical specifications from the manufacturer /19/ Yes in line with 7 (d) Technical specifications from the manufacturer /19/ Daily Burn Time Hour 4.27 Yes in line with 5 (b) (i) Based on the pilot study conducted by CME and CPA implementer in Malawi /28-1/ /28-2/ Autonomous Time Hour 6.5 Yes in line with 5 Test results of project (b) (ii) lamps by Lighting Africa Quality Assurance /21/ Solar Run Time Hour 5.2 Yes in line with 5 Test results of project (b) (iv) lamps by Lighting Africa Quality Assurance /21/ Warranty Year 1 Yes in line with 4 Technical specifications Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 17 FM 4.9 PoA

18 CDM VALIDATION REPORT NO CCL0037/CSKSL/ Physical protection against environmental factors N/A IP44 Yes in line with 12 (c) (i) from the manufacturer /19/ Technical specifications from the manufacturer /19/ The CPA is expected to result in an average annual emission reduction of 41,850 tco 2 e /02/, /05/ for renewable crediting period of 7 years /02/. The start date of crediting period of the CPA as per the CPA-DD /02/ is 01/02/2013 or date of registration of PoA whoever is later. Moreover, the expected starting date of crediting period for the CPA is in-line with the provisions provided under generic CPA- DD template. The CPA has not received and will not be seeking public funding from Annex 1 countries; hence no official development assistance (ODA) will be diverted from any funding from Annex 1 parties /08/. The starting date of the CPA is 12/04/2012, which is the date of invoice for sell of solar lamps by CPA implementer to FINCA Malawi /25-1/ and is after the first publication for global stakeholder consultation. i.e. 12/10/2011 and hence acceptable to the validation team. The validation team has assessed from UNFCCC website /B08-1/ and on-site interviews /a/ that there is no other similar PoA or CDM project occurring in the CPA area and the CPA is neither registered as an individual CDM project activity or is part of another Registered PoA The same has been confirmed by a letter from CME of the PoA /08/. 3, 4, 5, 6, 9, 10 and CL 1, 2, 3, 4, 5, 6 and 8 were raised to gain more information on implementation plan, schedule, distribution framework, non-involvement of ODA, stat date of CPA and technical specifications of project lamp. All the issues identified were successfully closed upon review of information provided by PP. The information presented in the CPA documents is consistent with the actual planning and implementation of the activity confirmed in the following ways: A review and cross check of data and information. During site visit, via interviews of relevant stakeholder and personnel with project specific knowledge. In case of doubt, further cross checks through additional interviews were conducted. A review of information related to similar projects or technologies, which have been used if available to validate the accuracy and completeness of the project description. In conclusion, CCL confirms that the CPA project description is sufficiently accurate and complete in order to comply with the requirements of the PoA. CPA Boundary The CPA boundary was assessed considering information gathered from the physical site inspection, interviews with CME /a/ and CPA implementer /b/ /c/. According to the methodology AMS-III.AR (version 03.0) /B02/, the project boundary is the physical, geographical site where each project lamp is utilized. In addition if the project lamps are charged by a renewable energy system, which is the case of the proposed CPA, then the project boundary includes the physical, geographical site of the renewable energy system. During the site visit it was verified that the project boundary consists of households without grid access where the solar LED lamps will be deployed. According to the methodology /B02/, only the CO 2 emissions from baseline lamps fuel consumption are considered in the project boundary. According to the methodology /B02/, there are no project emissions if the project lamp charging mechanism utilized is based on a renewable energy system (e.g. photovoltaic systems or mechanical systems such as wind battery chargers). Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 18 FM 4.9 PoA

19 CDM VALIDATION REPORT NO CCL0037/CSKSL/ The CPA does not involve possible GHG sources other than the ones specified in the methodology. Therefore the identified boundary covers all possible sources linked to the CPA. Validation team has checked the geographical boundary, geo-coordinates provided in the CPA-DD /02/ and confirmed the same during the site visit and also through use of tools such as Google map /B08-7/ and Google earth /B08-8/. Validation team confirms that the CPA is within the geographical boundary of PoA, i.e. Republic of Malawi. Validation team confirms that the identified boundary and selected sources and gases are justified for the CPA and have been considered in a clear and transparent manner. 3.3 Eligibility Criteria for CPA Inclusion Review of PoA-DD /23/, CPA-DD template /21/ and on-site interview with representatives of CME reveals that the CME of the PoA employs clear and unambiguous criteria for the inclusion of the CPAs. The eligibility criteria have been stated and validation team confirms the eligibility criteria are in line with requirement of 14, annex 3 of EB 65 /B04-5/. Additionality and applicability of the applied methodology are the eligibility criteria as per the PoA-DD /23/, which is deemed appropriate and acceptable to the validation team. The eligibility criteria can be checked at the CPA level by the CME and shall be confirmed by the DOE before inclusion of the CPAs in the PoA. The subject CPA meets all eligibility criteria of the PoA as assessed below: Sl. Eligibility Criteria as stated in No. section B.2 of the CPA-DD /02/ and section A of the registered PoA-DD /23/ 1. The CPA shall be located within the geographical boundary of the PoA. 2. (a) Project lamps distributed by the CPA shall be marked with unique identification of the CPA. (b) The CPA has not yet been included in another Programme of Activities or has not yet been registered as a single CDM Project activity. Status marked in CPA-DD /02/ Yes NO Yes NO Assessment by the Validation Team Through the validation of geographical coordinates provided in the CPA it was confirmed that CPA lies within the geographic boundary of Republic of Malawi /B08-7/ /B08-8/. It was further substantiated through: The letter of approval from DNA of Republic of Malawi /05/. Agreement of distribution signed between CME and CPA implementer /11/. Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. Compliance with eligibility criteria was substantiated through: Unique identification of Project lamps (CS-PA001) as per the CME Implementation and monitoring plan /10/ duly signed by CPA implementer. Agreement of distribution signed between CME and CPA implementer /11/. Duly signed declaration by CME /08/ and CPA implementer /26/ Conclusion: Based on the above assessment, Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 19 FM 4.9 PoA

20 CDM VALIDATION REPORT NO CCL0037/CSKSL/ This programme is specifically for the solar energy charged LED or CFL lamps. There are various types of lamps exist, and these all are valid under this programme till the project lamps comply with standards as mentioned in the methodology AMS-III.AR. (Version 03.0) 4. For the purpose of this PoA, the start date of the CPA will be when the CPA operator will place the first order for lamps. The start date shall be after the date of GSC i.e., 12/10/ CPA shall meet the applicability conditions and other requirements of AMS-III.AR. (Version 03.0) Yes NO Yes NO Yes NO validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. Compliance with eligibility criteria was substantiated through: Technical specifications provided from the manufacturer of solar LED lamps (Mandarin Ultra) /19/. Test results of project lamps (Mandarin Ultra) by Lighting Africa Quality Assurance /21/. Test results Mandarin Ultra (Project LED lamps) by Lighting Africa Quality Test Method by Schatz Energy Research Centre, Humboldt State University /22/ Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. Compliance with eligibility criteria was substantiated through: An invoice from the CPA implementer (Solar Solutions Ltd.) for the purchase of solar LED Lamps /25-1/ dated 12/04/2012. Proof of payment made by CPA implementer (Solar Solutions Ltd.) for the purchase of solar LED lamps /25-2/. The date is after the date of start of global stakeholder process for the PoA (12/10/2011). Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. Compliance with eligibility criteria was substantiated through: Technical specifications provided from the manufacturer of solar LED lamps (Mandarin Ultra) /19/. Test results of project lamps (Mandarin Ultra) by Lighting Africa Quality Assurance /21/. Test results Mandarin Ultra (Project LED lamps) by Lighting Africa Quality Test Method by Schatz Energy Research Centre, Humboldt State University /22/. Duly signed declaration by CME /08/. Validation team based on review of PoA-DD/23/ (section A.4.2.2), CPA-DD Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 20 FM 4.9 PoA

21 CDM VALIDATION REPORT NO CCL0037/CSKSL/ CPA shall demonstrate additionality as per Annex 27 of EB 68 (version 09.0). Each CPA shall meet the following criteria: 1. The proposed project activity shall solely compose of isolated units. 2. The proposed project activity shall distribute Project Lamps to households and SMEs. 3. The proposed project activity in the PoA is a Type III project activity. The 5% of the small-scale CDM threshold is the 3000 tco 2 e per year. Therefore, each Project Lamp shall save less than 3000 tco 2 e per year 7. For CPA under this PoA environmental impact assessment shall be carried out Yes NO Yes NO /02/ and emission reduction spread sheet /04/ along with above-mentioned documents confirms that the subject CPA complies with the requirement of applied version of methodology i.e. AMS-III.AR. (Version 03.0). Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. As the subject CPA involves distribution and installation of solar LED lamps (isolated units) and users of the users of the solar LED lamps are households or communities or Small and Medium Enterprises (SMEs) and the size of each lamp with respect to abatement of GHG emissions is tco 2 e, which is less than 5 % of smallscale threshold value, i.e tco 2 e. The subject CPA meets the requirement of 2 (c) of Annex 28 of EB 67 and doesn t require demonstration of additionality and is automatically additional. The same was substantiated through: Technical specifications provided from the manufacturer of solar LED lamps (Mandarin Ultra) /19/ confirms that the lamps are isolated units. CME Implementation and monitoring plan /10/ duly signed by CPA implementer confirms that the units would be distributed to households, SMEs or small communities. Emission reduction calculation spread sheet /04/ confirms that GHG reductions by each lamp is tco 2 e which is less than 5 % of small-scale threshold value, i.e tco 2 e. Every CPA under this PoA is deemed additional. Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. Validation team based on review of Environmental Management Act (EMA), (Act No. 23, 1996) on 28 June Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 21 FM 4.9 PoA

22 CDM VALIDATION REPORT NO CCL0037/CSKSL/ in line with applicable host country regulations. 8. Local stakeholder consultations will be required and conducted at CPA level, if all of the following conditions are met: 1. The proposed CPA is the first CPA (in this PoA) in the Host Country. 2. DNA of the Host Country does not accept the stakeholder consultation of any another CPA of any another country 9. No official Development Aid shall be involved or diverted as a result of any activities in the CPA under the PoA. 10. For CPA types Where applicable, target group shall be identified in accordance with 2 (c) of Annex 27,EB 68 (version 09.0) 11. For CPA sampling requirements shall be assessed and carried out in line with requirements of Annex 4 & 5 of EB 69. Yes NO Yes NO Yes NO Yes NO 1996 /12/ confirms that CPA is not required by law carry out EIA. Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. Validation team based on the review of CPA-DD /02/ and the following documents /13/: Attendance list of local stakeholders Minute of the meetings of LSC; confirms that the conditions related to local stakeholder consultation are met by CPA. Conclusion: Based on the above assessment, validation team concludes that the CPA complies with eligibility criterion of the PoA. Validation team based on review of declaration (dated 13/11/2012) from CME /08/ and declaration (dated 13/11/2012) from CPA implementer /26/ confirms that there is no involvement or diversion of ODA to this CPA as a result of implementation of activities therein. Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. The compliance with eligibility criteria was substantiated through: CME Implementation and monitoring plan /10/ duly signed by CPA implementer. Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. Validation team based on review of CPA-DD /02/ confirms that the subject CPA doesn t not require sampling for verification of CPA as the CPA involves distribution of light bulbs that will generate emission reductions for 2 years in accordance with Option 1 of 11 of the applied methodology /B02/. Conclusion: Based on the above assessment, Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 22 FM 4.9 PoA

23 CDM VALIDATION REPORT NO CCL0037/CSKSL/ For CPAs under this PoA types Where applicable, the conditions that ensure that CPA in aggregate meets the small-scale or micro-scale threshold criteria and remains within those thresholds throughout the crediting period of the CPA shall be assessed in accordane with either Annex 26 of EB 68 (version 04.0) for micro-scale threshold or CMP.2, 28 for small-scale thresholds. 13 For CPAs under this PoA debundling checks shall be performed in line with EB 54 Annex 13. Yes NO Yes NO validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. The compliance with eligibility criteria was substantiated through: Emission reduction calculation spread sheet /04/, which confirms that the subject CPA under the PoA is within the small-scale threshold of 60kt CO 2. Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. Validation team based on review of PoA-DD/20/ (section A.4.4.1), CPA-DD /02/ and emission reduction calculation sheet /04/ confirms that each of the independent subsystems included in the CPA is no greater than 1% of the small scale thresholds defined by the applied methodology /B02-2/ and the subsystems/measures are indicated to be each implemented at or in multiple locations. Hence, these CDM project activities are exempted from performing a de-bundling check, i.e., considered as being not a de-bundled component of a large-scale activity. Conclusion: Based on the above assessment, validation team concludes that this eligibility criteria of the PoA is complied by the subject CPA. 8 was raised to assess the justification of fulfilment of requirements as stipulated against each eligibility criterion and was closed successfully upon evaluation of PP response. 7 was raised with respect to de-bundling and was successfully closed upon evaluation of PP response. CL 8 was raised with respect to unique identification of lamps and was successfully closed upon evaluation of PP response. According to the requirements of 17 and 18 of annex 3 of EB 65 /B04-5/, the validation team by means of onsite visit interview and through document review /07/ confirms that the CME is competent to check the features of the CPA. The CME system manual /07/ clearly mentions the roles, responsibilities and authorities within the managing entity. The validation team has also confirmed through document review and on site visit interview the procedures to avoid double counting /07/, training and capacity development for personnel, records and documentation control process, Measures for continual improvements of the PoA management /07/. Validation team further by review of CPA DD /02/ and other supportive documents /04/,/17/, /19/,/21/,/28/ confirms that the subject CPA complies to all applicability criteria of the applied methodology AMS III AR, version 03. In conclusion, CCL confirms that the CPA complies with the eligibility criteria requirements of the PoA. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 23 FM 4.9 PoA

24 CDM VALIDATION REPORT NO CCL0037/CSKSL/ Additionality Prior consideration of CDM As per 4 of annex 13, EB 62 /B04-6/, Guidelines for the demonstration and assessment of prior consideration of the CDM do not apply to PoAs, as at present it is expected that no component of the programme will commence prior to the start date of validation Approach for demonstrating CPA additionality Key criteria for assessing additionality at CPA level have been explained in section E.5.1 and E.5.2 of PoA-DD /23/. The additionality was proven at the PoA level. The additionality was justified in accordance with the requirements derived 2 (c) of Annex 27 of EB 68 (version 09.0) /B04-13/. The key criteria derived from assessment of additionality in section E.5.1 and E.5.2 of PoA-DD /20/ have been put forward as eligibility criteria for inclusion of CPA in PoA. The section E.5.2 of the PoA- DD /20/ clearly demonstrates that CPAs fulfilling these eligibility criteria would be deemed additional. As per 2 of EB 68 Annex 27 /B09/ documentation of barriers is not required for the list of technologies and project activity types that are defined as automatically additional for project sizes up to and including the small-scale CDM thresholds. The project falls under 2(c), Project activities solely composed of isolated units where the users of the technology/measure are households or communities or Small and Medium Enterprises (SMEs) and where the size of each unit is no larger than 5% of the small-scale CDM thresholds. The criteria set out and justification of fulfillment is presented below: Sl. No. Eligibility Criteria as stated in section A.4.3 and E.5.2 of the PoA-DD /23/ 1. Each CPA shall meet the following criteria: The proposed CPA shall solely compose of isolated units. The proposed CPA shall distribute Project Lamps to households and SMEs. The proposed CPA in the PoA is a Type III project activity. The 5% of the small-scale CDM threshold is the 3000 tco 2 e per year. Therefore, each Project Lamp shall save less than 3000 tco 2 e per year Status marked in CPA-DD /02/ Yes NO Assessment by the Validation Team Validation team based on review of the following: Technical specifications provided from the manufacturer of solar LED lamps (Mandarin Ultra) /19/ confirms that the lamps are isolated units. CME Implementation and monitoring plan /10/ duly signed by CPA implementer confirms that the units would be distributed to households, SMEs or small communities. Emission reduction calculation spread sheet /04/ confirms that GHG reductions by each lamp is tco 2 e which is less than 5 % of small-scale threshold value, i.e tco 2 e. As the subject CPA involves distribution and installation of solar LED lamps (isolated units) and users of the users of the solar LED lamps are households or communities or Small and Medium Enterprises (SMEs) and the size of Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 24 FM 4.9 PoA

25 CDM VALIDATION REPORT NO CCL0037/CSKSL/ each lamp with respect to abatement of GHG emissions is tco 2 e, which is less than 5 % of small-scale threshold value, i.e tco 2 e. The subject CPA meets the requirement of 2 (c) of Annex 28 of EB 67 and doesn t require demonstration of additionality and is automatically additional. Conclusion: Based on the above assessment, validation team concludes that the subject CPA fulfils the requirement as per 2 (c) of Annex 27 of EB 68 (version 09.0) and is automatically additional and this eligibility criteria of the PoA is complied with. Based on the assessment above the CCL confirms the following: The criteria are sufficient to demonstrate additionality of the 1st CPA under this PoA. The starting date of the CPA complies with the glossary of terms (version 06), and EB 60, Annex 6 guidelines /B06/. As per the Guidelines on the demonstration of additionality of small-scale project activities (version 09.0), Annex 27 of EB68 /B04-13/, the project is additional. All the arguments and parameters in the CPA-DD are well evidenced. 3.5 Emission Reduction Parameters determined ex-ante The parameters that are determined ex-ante are: DATA/ UNIT VALU SOURCE OF PARAMETER E DATA GF y Fraction 1.0 Default value when charging option defined in paragraph 2(a) of the methodology, AMS-III.AR is used. O Hours/Day 3.5 Default value as per applied methodology. EF kgco 2 /litre 2.4 Default value as per applied methodology. LF Dimensionl ess 1.0 Default value from the methodology, AMS-III.AR is used. ASSESSMENT BY VALIDATION TEAM Grid Factor in year y has been fixed ex-ante which is in line with the applied methodology AMS-III.AR, version 03 /B03/. The batteries for project lamps are charged by renewable energy system included as part of the project lamp (solar PV). Utilization rate has been fixed exante, which is in accordance with the applied methodology AMS- III.AR, version 03. /B03/ Fuel emissions factor for kerosene is fixed ex-ante, which is in accordance with the applied methodology AMS-III.AR, version 03. /B03/ Leakage factor is fixed ex-ante, which is in accordance with the applied methodology AMS-III.AR, version 03. /B03/ Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 25 FM 4.9 PoA

26 CDM VALIDATION REPORT NO CCL0037/CSKSL/ n Dimensionl ess 1.0 Default value from the methodology, AMS-III.AR is used. FUR Liters/hour Value calculated with the data available from the Pilot Study conducted by CME and CPA implementer for Malawi /28-1/ /28-2/. Number of fuel-based lamps replaced per Project Lamp is fixed ex-ante which is in accordance with the applied methodology AMS- III.AR, version 03. /B03/ Fuel use rate is fixed ex-ante which is in accordance with the applied methodology AMS-III.AR, version 03 /B03/. It is calculated based on average monthly expenditure on kerosene and average price of kerosene per litre. The CME and CPA implementer conducted a Pilot Study in Malawi to assess the pattern of fuel usage which gave a value of for FUR/28-1/ /28-2/. The value of FUR (0.049) used for estimation of emission reduction is the average value arrived at after analysis of value for fuel usage provided in various studies like thesis /29-1/, presentations made at United Nations Commission on the Status of Women /29-2/ and policy paper submitted to ministry of Finance, Tanzania by Tanzania Solar Energy Association /29-3/. DV tco 2e Value calculated based on calculation from the values of the parameters available. DB y Dimensionl 1.0 Default value from ess the methodology, AMS-III.AR is used. The value of FUR used is conservative and hence acceptable to validation team. Lamp emission factor has been calculated fixed ex-ante from the value of FUR and other default values, which is in accordance with the applied methodology AMS- III.AR, version 03. /B03/ Dynamic baseline factor is fixed exante, which is in accordance with the applied methodology AMS- III.AR, version 03. /B03/ 11, 12 and CL 7 and 11 were raised with respect to suitability of parameters, choice of data and values and have been successfully closed. In summary, the parameters determined ex-ante has been presented correctly according to requirements Baseline emission reduction calculation The CPA-DD /02/ confirms to meet the procedures provided in the methodology /B02-2/ and PoA-DD /23/. The formulae are correctly presented for the determination of emission reductions. a) Baseline Emissions The Baseline emissions associated with the PoA are calculated as: Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 26 FM 4.9 PoA

27 CDM VALIDATION REPORT NO CCL0037/CSKSL/ where, DV = Lamp Emission Factor GF y = Grid Factor in year y DB y = Dynamic Baseline Factor BE y = DV GF y DB y (1) DV is calculated as per equation (2) provided below in accordance with applied methodology AMS-III.AR. (Version 03.0) /B02/: where, DV= FUR O U EF/1000 LF n NTG (2) FUR = Fuel use rate O = Utilization rate U = Annual utilization EF = Fuel emissions factor LF = Leakage factor n = Number of fuel-based lamps replaced per project lamp NTG = Net-to-gross adjustment factor The project involves distribution of LED lamps in a phase-wise manner over the entire 7 years of the renewable crediting period chosen for the CPA. On an average 281,839 lamps will be distributed each year over the 7 years crediting period. The CPA involves distribution of light bulbs that will generate emission reductions for 2 years in accordance with Option 1 of 11 of the applied methodology /B02/. The distribution / phase-wise implementation schedule of the CPA as provided in CPA-DD /02/ is as: Year Schedule /09/ for lamp distribution under project activity , , , , , , ,000 Total 750,000 The same was verified through review of CME Implementation and monitoring plan /09/ of the CME and through interviews with CME /a/ and CPA implementer /b/ /c/ during site visit. b) Project Emissions There are no project emissions (PE y = 0) if the project lamp charging mechanism utilized is using renewable energy systems such as the photovoltaic systems as envisioned for the project activity. c) Leakage No leakage emissions are accounted under this methodology d) Emission Reduction According to the applied methodology (AMS-III.AR, version03), the emission reductions (ER y ) by the project during the crediting period is calculated as follows: Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 27 FM 4.9 PoA

28 CDM VALIDATION REPORT NO CCL0037/CSKSL/ ER y = (3) where, ER y = Emission reductions in year y (tco 2 e) BE y,i = Baseline emissions per project lamp in year y (tco 2 e) PE y,i,j = Average project emissions in year y (tco 2 e) per project lamp N i,j = Number of project lamps distributed to end users of type i with charging method j OF y,i,j = Percentage of project lamps distributed to end users that are operating and in service in year y, for each lamp type i and charging method j. Assumed to be equal to 100% for years 1, 2 and 3, and equal to the value determined in paragraph 22, for years 4, 5, 6 and 7. Parameters Description Values Source of Data Emission reductions in year y 41,851 Calculated as per equation (tco 2 /y) (3) above Baseline emissions in year y (tco 2 /y) Calculated as per equation (1) above Project emissions in year y (tco 2 /y) 0 As per the applied methodology AMS-III.AR. (Version 03.0) /B02-2/ Percentage of project lamps 100% As per the applied distributed to end users that are methodology AMS-III.AR. operating and in service in year y, for (Version 03.0) /B02-2/ each lamp type i and charging method j Number of project lamps distributed 750,000 As per the CME to end users of type i with charging implementation and method j monitoring plan /09/ ER y BE y PE y CCL has assessed the calculations of emission reductions. Corresponding calculations have been carried out based on calculation spreadsheets /04/. The parameters and equations presented in the CPA-DD /02/, as well as other applicable documents, have been compared with the information and requirements presented in the PoA-DD /23/, CPA-DD template /24/ and the methodology /B02/. The assumptions and data used to determine the emission reductions are listed in the PoA-DD /23/, CER spread sheet /04/ and all the sources have been checked. In summary, the calculations of emission reductions are considered to be correct and according to requirements. 3.6 Monitoring Plan The monitoring plan presented in the CPA-DD /02/ complies with the requirements of the PoA-DD /23/, the applied monitoring methodology /B02/. The assessment team has verified all parameters in the monitoring plan against the requirements of the methodology and no deviations have been found. The assessment team through document review and interviews with the relevant personnel has reviewed the procedures. Monitoring procedures are based on Option 1 of 11 of the methodology /B02/. The information provided has allowed the assessment team to confirm that the proposed monitoring plan is feasible within the project design. The relevant points of monitoring plan have been discussed with the CME and the CPA implementer. Specifically, these points include the monitoring methodology, data management, quality assurance and quality control procedures to be implemented in the context of the activity. The parameters that are to be monitored ex-post are: Number of project lamps distributed to end users of type i with charging method j (N i,j ) In summary, the parameters determined ex-post have been presented correctly according to requirements and are considered in accordance with the applied methodology /B02/. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 28 FM 4.9 PoA

29 CDM VALIDATION REPORT NO CCL0037/CSKSL/ CL 10 was raised in relation to operation and management structure and procedure for data collection and archiving and was successfully closed upon evaluation of PP response. The responsibilities and institutional arrangements for data collection and archiving have been clearly provided. The information provided in the CPA-DD /02/ could be confirmed based on the on-site interviews and also through the submitted documentary evidence namely CME management system /07/ covering all requirements as stated in section E.7.2 of PoA DD /23/. Based on the same, it can be confirmed that the CME and the CPA implementer will be able to implement the monitoring plan and the achieved emission reductions can be reported ex-post and verified. 3.7 Stakeholder Consultation It has been indicated in the PoA-DD /23/ that the local stakeholder consultation shall be done at the CPA Level taking into consideration the differences of circumstances and opinions of each and every community in which each CPA in the host country. The Local stakeholder consultation meetings will be held at SSC-CPA level to ensure customers and affected persons will be able to share their opinions of the Project and be provided with essential feedback on the CPA s proposed activities. This is deemed appropriate and acceptable to the validation team. A local stakeholder consultation /13/ was held at the Chadzunda village near Blantyre city, Malawi at 6:30 am on 02/10/2011 to introduce the project to the local stakeholders. Personal invitations (verbal) /13/ were sent to call for participation of the stakeholders. This LSC is before the publication of programme DDs on the UNFCCC website for GSC and hence deemed appropriate. Sydney Kampria /13/ of Solar Solutions Ltd. (CPA implementer) spoke at the meeting where the agenda items included explanation of the goals of the project activity, demonstrations of project lamps, explanation on benefits of solar lights, discussions on how carbon revenues can make the lamps cheaper and more accessible to people and answer the questions raised by local people. The validation team noted that all the relevant stakeholders identified /13/ are in line with the definition of stakeholders as per latest version of CDM Glossary of terms /B06/. A summary /13/ of the comments received and a note on how due account was taken of the concerns raised in the above public consultation are included in section D.3 of the CPA-DD /02/. From the summary of the stakeholder comments, it can be deduced that major concerns of the stakeholders were related to durability and performance of the product, cost of the product and availability of batteries. Validation team reviewed all relevant information of local stakeholder consultation meeting and confirms that the LSC meeting meets to the requirement of 127 of VVM (Version 01.2) /B01/. 13 was raised with respect to inviting the stakeholder and timing of meetings and was successfully closed upon evaluation of PP response. The validation team confirms that the process for conducting the local stakeholders meeting is adequate and credible. 3.8 Environmental Analysis It has been indicated in the PoA-DD /23/ that environmental analysis shall be provided at the CPA level. This is deemed appropriate and acceptable to the validation team. EIA is not required for the CPA in accordance with the Environmental Management Act (EMA), (Act NO, 23, 1996) by Republic of Malawi /12/. Validation team confirms the same through crosschecks with above mentioned regulations and the technical specifications of the solar LED lamps /19/. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa 29 FM 4.9 PoA

30 APPENDIX A THE VALIDATION PROTOCOL FOR CDM PROGRAMME OF ACTIVITIES Title of CPA: CarbonSoft Pan Africa PA001 7 Title of PoA to which CPA is to be included: CarbonSoft Open Source PoA, LED Lighting Distribution: Pan Africa 8 Report No. CCL0037/ CSKSL/ In the CPA DD published for GSC, the CPA title was CarbonSoft East Africa CPA [01], [Light After Dark in Malawi] 8 In the PoA DD published for GSC, the PoA title was CarbonSoft Open Source PoA: LED Lighting Distribution in East Africa Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-1

31 Table 1: Conformity of CDM Programme of Activities CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final A. GENERAL DESCRIPTION OF SMALL-SCALE CDM PROGRAMME ACTIVITY (CPA) A.1. Title of the small-scale CPA: A.1.1. Does the used CPA title clearly enable to identify the unique CDM programme activity? /01/ The title stated in the CPA-DD is not in line with the title of PoA and does not clearly enables to identify the unique CDM programme of activities and the same has not been confirmed through host party approval. Hence is raised. 1 1: The title of the CPA mentioned in the section A.1 of the CPA-DD is not in line with the title of PoA. 2 A.1.2. Are there any indications concerning the revision number and the date of the revision? 2: The PP has provided a No Objection Certificate (NOC) from Environmental Affairs Department, Ministry of Natural Resources, Energy and Environment, Republic of Malawi (Reference No.: EAD/99/06/04C) dated 04/07/2011 but the name of the project activity mentioned CarbonSoft Solar Lighting Project East Africa is not the same as the name of CPA / PoA provided for GSCP. /01/ Yes, the GSP-CPA-Specific indicates the date of the document as 01/09/2011 but the version number of the document is missing. Hence is raised. 3 A.1.3. Is this consistent with the time line of the programme s history? 3: In section A.1 of the CPA-DD the version number of the document has not been provided and thus are no indications concerning the revision number of the document. /01/ No, this is not consistent in time line of the programme s history. Hence a CL is raised. CL 1 CL 1: The date provided in the section A.1 of CPA-DD is 01/09/2011 which is before the date of completion of application of the baseline study and monitoring methodology for PoA-DD. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-2

32 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final PP is requested to clarify how the date mentioned in section A.1 of CPA- DD is consistent with the time line of the programme s history. A.2. Description of the small-scale CPA: A.2.1. Is the description delivering a transparent overview of the CPA? A.2.2. Is the project implementation schedule available; are there any risks for delays? /01/ The description is delivering a transparent overview of the CPA. The project activity involves installation of solar powered LED lamps in the Republic of Malawi. These LED lamps will replace the kerosene fired lamps thereby reducing the fossil fuel consumption and associated GHG emissions. /01/ The CPA-DD in section A.2, just mentions that the CPA involves replacement of kerosene used for lighting purpose in Malawi, with LED lamps but the detailed implementation schedule for the same is missing. Hence CL is raised. CL 2 A.2.3. Is CPA specific data clearly indicated as per CPA template? A.2.4. What proofs are available demonstrating that the programme description is in compliance with the actual situation or planning? CL 2: PP is requested to provide the schedule of implementation plan for the LED lamps across the Republic of Malawi and evidence for the same. /01/ Yes, CPA specific data is clearly indicated as per CPA template. /01/ The CPA-DD in section A.2, just mentions that the CPA involves replacement of kerosene used for lighting purpose in Malawi, with LED lamps but no proofs are available to demonstrate that the programme description is in compliance with the actual situation or planning. Hence the CL is raised. CL 3 A.2.5. Is the information provided by these proofs consistent with the information provided by the CPA-DD and the PoA-DD? A.2.6. Is all information presented consistent with details provided by further chapters of the CPA-DD and the PoA-DD? CL 3: The PP needs provide evidences / proofs which can demonstrate that the programme description is in compliance with the actual situation or planning to substantiate the same by providing the sales agreement and other evidences. /01/ Depends on closure of CL 3 above. Refer CL 3 /01/ Depends on closure of CL 3 above. Refer CL 3 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-3

33 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final A.3. Entity/individual responsible for the small scale CPA: A.3.1. Does it become evident which entity/individual is responsible for the CPA (the CPA implementer)? A.3.2. Is there any document substantiating that the stated entity/individual is responsible for the implementation of the CPA? A.3.3. Is all information on the CPA implementer provided in consistency with details provided by further chapters of the CPA-DD (in particular annex 1)? A.4. Technical description of the small-scale CPA: A.4.1. Identification of the small scale CPA: A Is the Host Party stated and consistent with the information provided in the PoA- DD? A Does the information provided on the location of the programme activity allow for a unique identification of the location and the boundary of the CPA in terms of the geographical area? A Are the geographic reference and the means of identification transparent and clear? Is GPS data provided? /01/ It is evident from the CPA-DD that Solar Solutions Ltd., Malawi is the entity responsible for CPA i.e., CPA implementer. /01/ No, there is no documentary evidence to establish that Solar Solutions Ltd., Malawi is the entity responsible for the implementation of the CPA. CL 4: PP needs to provide documentary evidences to substantiate that that the stated entity/individual is responsible for the implementation of the CPA. /01/ Yes, information on the CPA implementer provided is in consistency with details provided in Annex 1 of the CPA-DD. /01/ Yes, Republic Of Malawi has been indicated as the host country. /01/ No, the information provided on the location of the programme of activity does not allow for a unique identification of the location and the boundary of the CPA in terms of the geographical area. Hence CL is raised. CL 5: The PP is requested to provide the documentary evidence to validate the area covered under this CPA. /01/ No, the geographic reference and the means of clear and transparent identification of the CPA are not provided. Hence is raised. 4: In the section A.4.1.2, the description of geographic reference or other means of identification allowing the unique identification of the small-scale CPA is not in line with the requirements of CDM-SSC-CPA-DD Form (version 01) as it does not provide: The contact details of the entity responsible for CPA Geographic refernce of the CPA Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-4 CL 4 CL 5 4

34 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final A How is it ensured and/or demonstrated, /01/ In section A.4 of the CPA-DD, the PP provides information on key product CL 6 that the project proponents can implement characteristic but fails to ensure how they can implement the project. the project (ownership, licenses, contracts Hence CL is raised. etc.)? CL 6: PP needs to demonstrate through suitable evidences how it can ensure the implementation of the project? A.4.2. Duration of the small scale CPA:Description of a typical small-scale CDM programme activity (CPA) A Is the starting date of the small scale CPA provided? A Is the starting date consistent with the PoA timeline and the requirements of the PoA procedures (Procedures para 5d, considering exception according to EB47, meeting report, para 72)? A Is the operational lifetime of the small scale CPA clearly defined and plausible? /01/ Yes, the starting date of the small scale CPA is provided as 10/10/2011 in the CPA-DD. /01/ No, the starting date of CPA mentioned in section A of the CPA-DD is consistent with the starting date of the PoA, its timeline and the requirements of the PoA procedures but both the dates are before the date of start of GSCP. Hence a is raised. 5: The starting date of the CPA as mentioned in the section A of CPA- DD is prior to the date of publication of CPA-DD and PoA-DD for global stakeholder consultation process and eligibility of Programme of Activity (PoA) is doubtful. /01/ No, the lifetime has not been clearly defined and is not plausible. Hence is raised. 5 6 A.4.3. Choice of the crediting period and related information: A Is the starting date of the crediting period stated and plausible (in accordance with the PoA procedures)? A Is it evident that fixed crediting period is chosen, what is the length of the crediting period? A.4.4. Estimated amount of emission reductions over the crediting period: A Estimated amount of emission reductions stated? 6: In section A of the CPA-DD the operational lifetime of the CPA has not been provided. /01/ Yes, the starting date of the crediting period of the CPA is clearly stated and plausible. /01/ Renewable crediting period has been chosen and the length of crediting period chosen is 7 years. /01/ it is not clear how some of the parametric values required for emission reduction calculation have been arrived at and is not transparently CL 7 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-5

35 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final documented in CPA-DD. Hence & CLs are raised. A Is the estimated amount consistent with section B 5 of the CPA-DD? A.4.5. Public funding of the small-scale programme activity A Is the information provided on public funding provided in compliance with the actual situation or planning? A Is all information provided consistent with the details given in remaining chapters of the CPA-DD (in particular annex 2)? CL 7: In section B.5.1 of the CPA-DD: PP has used an average value of Fuel Use Rate (FUR) of litres/hour for East African countries. PP needs to demonstrate the appropriateness, relevance of the data and also demonstrate how the value arrived at is conservative. For the determination of parameter DB y, PP has used an average value of 5% of annual real GDP growth in place of national growth rate of kerosene fuel use in lighting. PP needs to demonstrate the appropriateness, relevance of the data and also demonstrate how the value arrived at is conservative. PP needs to substantiate the value of 0.3 used for parameter W i, with documentary evidence. /01/ Depends on the closure of CL 7 above. Refer CL 7 /01/ No, the information on public funding provided or diversion of ODA is not clear and evident. Hence CL is raised. CL 8: In the section A.4.5 of PP needs to justify and demonstrate that no ODA has been diverted in this project activity. /01/ Please refer to CL 8 above. CL 8 A.4.6. Information to confirm that the proposed small scale CPA is not a de-bundled component (considering PoA-de-bundling guidance): A Is there a system or procedure to detect /01/ No, In section A.4.6 of the CPA-DD there is no system or procedure whether a SSC-CPA to be included in the defined to detect whether a SSC-CPA to be included in the PoA is not a 7 PoA is not a de-bundled component of de-bundled component of another CPA or CDM project. Hence is another CPA or CDM project? raised. 7: The justification provided in the section A.4.6 of the CPA-DD on whether a CL 8 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-6

36 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final SSC-CPA to be included in the PoA is not a de-bundled component of another CPA or CDM project is not as per the guidelines provided in EB 54, Annex 13, paragraph 10. A.4.7. Confirmation that the SSC CPA is neither registered as an individual CDM project activity or is part of another registered PoA A Confirmation provided by /01/ The PP in section A.4.7 of the CPA-DD states that For other CPAs of the coordinating/managing entity or CPA Carbon Soft Open Source PoA.. double counting is prevented by implementer? assigning individual reference numbers to each individual project lamp. But the reference numbering system has not been clearly detailed. Hence CL is raised. CL 9 A Is the CPA implementer undertaking another similar project activity in the same region? If yes, are the project activities uniquely identified and not overlapping with this CPA? B. ELIGIBILITY OF THE SMALL SCALE CPA AND ESTIMATION OF EMISSION REDUCTIONS: B.1. Title and reference of the registered PoA to which the small scale CPA is added: B.1.1. Are the title and reference correctly provided? B.2. Justification of why the small-scale CPA is eligible to be included in the registered PoA: B.2.1. Criterion 1: The geographical boundary of the CPA including any time-induced boundary consistent with the geographical boundary set in the PoA CL 9: PP needs to explain in detail what is the speciality of the reference numbering system used to identify each project lamp, which makes it so unique so as to prevent double counting. /01/ Depends on the closure of CL 9 above. Refer CL 9 /01/ Depends on the closure of 1 Refer 1 /01/ Depends on the closure of CL 5 above. 8: In the section B.2 of the CPA-DD, the PP has not explained the inclusion of CPA under the PoA by justifying the applicability under each eligibility criteria for inclusion of a SSC-CPA in the PoA in line with Standard for demonstration of additionality, development of eligibility criteria and application of multiple methodologies for programme of activities (version 01.0) EB 65 Annex 3. 8 & Refer CL 5 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-7

37 B.2.2. B.2.3. CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final Criterion 2: Conditions that avoid double /01/ Depends on the closure of 8 & CL 9 above. Refer counting of emission reductions like unique identifications of product and enduser locations (e.g. programme logo); 8 & Criterion 3: The specifications of technology/measure including the level and type of service, performance specifications including compliance with testing/certifications; /01/ In section A.4 of the CPA-DD, PP does provide technical design specification of project lamps but they are not in line with the design specification criteria mentioned under paragraph 6 of the applied methodology. Hence is raised. 9: The technical design specifications provided for the project lamps in the section A.4 of the CPA-DD is in line with the design specification criteria mentioned under paragraph 6 of the applied methodology. CL 9 9 & Refer 8 B.2.4. Criterion 4: Conditions to check the start date of the CPA through documentary evidence; B.2.5. Criterion 5: Conditions that ensure compliance with applicability and other requirements of single or multiple methodologies applied by CPAs; B.2.6. B.2.7. Criterion 6: The conditions that ensure that CPAs meet the requirements pertaining to the demonstration of additionality as specified in Section A of PoA-DD; Criterion 7: The PoA-specific requirements stipulated by the CME including any conditions related to undertaking local stakeholder consultations and environmental impact analysis; B.2.8. Criterion 8: Conditions to provide an affirmation that funding from Annex I Depends on the closure of 8 above. /01/ Depends on the closure of 5 & 8. Refer 5 & 8 /01/ Depends on the closure of 8. Refer 8 /01/ Depends on the closure of 8. Refer 8 /01/ Depends on the closure of 8. Refer 8 /01/ Depends on the closure of 8. Refer Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-8

38 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final parties, if any, does not result in a diversion of official development assistance; 8 B.2.9. Criterion 9: Where applicable, target group /01/ Depends on the closure of 8. Refer (e.g. domestic/commercial/industrial, rural/urban, grid- connected/off-grid) and 8 distribution mechanisms (e.g. direct installation); B Criterion 10: Where applicable, the conditions related to sampling requirements for a PoA in accordance with the approved guidelines/standard from the Board pertaining to sampling and surveys; B Criterion 11: Where applicable, the conditions that ensure that every CPA in aggregate meets the small-scale or microscale threshold criteria and remains within those thresholds throughout the crediting period of the CPA; B Criterion 12: Where applicable, the requirements for the de-bundling check, in case CPAs belong to small-scale (SSC) or micro-scale project categories. /01/ Depends on the closure of 8. Refer 8 /01/ Depends on the closure of 8. Refer 8 /02/, /09/ Depends on the closure of 8. B.3. Assessment and demonstration of additionality of the SSC CPA, as per eligibility criteria listed in the registered PoA: B.3.1. B.3.2. B.3.3. Are the key criteria and data for assessing additionality of a SSC-CPA that are included into the PoA addressed? Are the key criteria and data for assessing additionality of a SSC-CPA that are included into the PoA met? Does it become evident how these criteria were applied to assess the additionality of Refer 8 /01/ Depends on the closure of 17 of section E.5.1 of PoA section. Refer 17 of PoA /01/ Depends on the closure of 17 of section E.5.1 of PoA section. Refer 17 of PoA /01/ Depends on the closure of 17 of section E.5.1 of PoA section. Refer Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-9

39 B.3.4. CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final the CPA? 17 of PoA Does this list include at least one of the following barriers? /01/ Depends on the closure of 17 of section E.5.1 of PoA section. Refer 17 of PoA B.4. Description of the sources and gases included in the project boundary and proof that the small scale CPA is located within the geographical boundary of the registered PoA B.4.1. B.4.2. B.4.3. B.4.4. Does the SSC-CPA boundary include the physical and geographical location where the programme activities take place? Is there any proof that the CPA is located within the geographical boundary of the registered PoA? Are all sources and gases within the boundary considered in a clear manner? B.5. Emission reductions: Do the spatial and technological boundaries as verified on-site comply with the discussion provided by / indication included to the PoA-DD or CPA-DD? B.5.1. Data and parameters that are available at validation (B.5.1.): B Are the equations, including fixed parametric values, to be used for calculation of emission reductions of a SSC-CPA, completely presented? B Is the list of parameters presented in chapter B.5.1 considered to be complete with regard to the requirements of the /01/ Depends on the closure of 4 & CL 5. Refer 4 & CL 5 /01/ Depends on the closure of 4 & CL 5. Refer 4 & /01/ Yes, the sources and gases within the boundary have been considered in a clear manner. CO 2 has been included in the baseline as well as project activity. CL 5 /01/ Depends on the closure of 4 & CL 5. Refer 4 & CL 5 /01/ Depends on the closure of CL 7 above. Refer CL 7 /01/ Depends on the closure of CL 7 above. Refer CL 7 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-10

40 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final applied methodology? B.5.2. Ex-ante calculation of emission reductions (B.5.2.): B Are the GHG calculations documented in a complete and transparent manner? B Is the data provided in this section consistent with data as presented in other chapters of the PoA-DD or CPA- DD? B.5.3. Summary of the ex-ante estimation of emission reductions (B 5.3) B Will the programme activity result in fewer GHG emissions than the baseline scenario? B Is the form/table required for the indication of projected emission reductions correctly applied? B Do these values comply with smallscale criteria for every year? B Is the projection in line with the envisioned time schedule for the programme s implementation and the indicated crediting period? B Is the data provided in this section in consistency with data as presented in other chapters of the PoA- or CPA-DD? B.6. Application of the monitoring methodology and description of the monitoring plan B.6.1. Description of the monitoring plan for the SSC-CPA B Is the operational and management structure clearly described and in compliance with the envisioned situation? /01/ Depends on the closure of CL 7 above. Refer CL 7 /01/ Depends on the closure of CL 7 above. Refer CL 7 /01/ Depends on the closure of CL 7 above. Refer CL 7 /01/ Yes, the form/table required for the indication of projected emission reductions has been correctly applied in section B.5.3 of the CPA-DD. /01/ Depends on the closure of CL 7 above. Refer CL 7 /01/ Depends on the closure of 5 above. Refer 5 /01/ Depends on the closure of CL 7 above. Refer CL 7 /01/ No, the operational and management structure has not been clearly described in the section B.6.1 of CPA-DD and hence it cannot be ascertained whether it is in compliance with the envisioned situation. Hence CL is raised. CL 10: In section B.6.1 of the CPA-DD, clarify: Operational and management structure along with procedure for CL 10 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-11

41 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final flow of information The procedure for monitoring, data collection, recording, checking, data transfer and archiving system for CPA and justify how it is consistent for all CPAs. B Are responsibilities and institutional /01/ Depends on the closure of CL 10 above. Refer arrangements for data collection and CL 10 archiving clearly provided? B Does the monitoring plan provide current good monitoring practice? /02/ The monitoring plan provided in the section B.6.1 of the CPA-DD is not complete and hence does not provide current good monitoring practices. Hence CLs is raised. 10: As per methodology for project lamps to claim emission reductions for 7 years the project lamps shall have Useful Life (UL) of hours. But under the parameter UL a useful life of 5000 hours is chosen which is in contradiction with the renewable crediting period of 7 years chosen for the CPA. 10 & CL 11 B If applicable: Does annex 4 provide useful information enabling a better understanding of the envisioned monitoring provisions? B Is the list of parameters presented in chapter B.6.1 considered to be complete with regard to the CL 11: The PP is requested to explain the applicability of the following parameters mentioned in section B.6.1 of PoA-DD with respect to their applicability and requirement for emission reduction calculation and ex-post monitoring: D intro Φ v (t) TP IL SF AT GI /01/ NA /01/ Depends on closure of 10 & CL 11 above. Refer 10 & Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-12

42 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final requirements of the applied methodology? CL 11 B Parameter Title: n 1 Number of units /01/ 11: sold The data source, value, measurement method and QA/QC procedures are 11 B Parameter Title: D intro Date of purchase of project lamp B Parameter Title: GI General Information B Parameter Title: UL Useful life of LED Lamps B Parameter Title: Φ v (t) Initial luminous flux of lamp distributed not correctly provided for parameter n 1. /01/ 12: The QA/QC procedures are not correctly provided for parameter D intro. 12 /01/ Depends on the closure of CL 11 above efer CL 11 /01/ Depends on closure of 10 above. Refer 10 /01/ Depends on the closure of CL 11 above Refer CL 11 B Parameter Title: TP- Test Period /01/ Depends on the closure of CL 11 above. Refer CL 11 B Parameter Title: n o Number of units in operation and in service /01/ Yes, this parameter has been correctly included in the CPA-DD. B Parameter Title: IL Illumination level /01/ Depends on the closure of CL 11 above. Refer CL 11 B Parameter Title: SF Solar Fraction /01/ Depends on the closure of CL 11 above. Refer CL 11 B Parameter Title: AT- Autonomous /01/ Depends on the closure of CL 11 above. Refer Time CL 11 C. ENVIRONMENTAL ANALYSIS C.1. Definition of the level at which environmental analysis as per requirements of the CDM modalities and procedures is undertaken: C.1.1. C.1.2. Is it defined whether the environmental analysis takes place at PoA or CPA level? Is the choice whether the environmental analysis takes place at PoA or CPA level justified? /01/ Yes, it is defined that environmental analysis takes place at CPA level. /01/ Yes, the choice is justified. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-13

43 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final D. STAKEHOLDERS COMMENTS D.1. Please indicate the level at which local stakeholder comments are invited. Justify the choice: D.1.1. Is there a clear statement whether the stakeholder comments were invited at PoA or CPA level? /01/ Yes it is mentioned in the CPA-DD that the stakeholder comments are invited at CPA level. But the process of identifying and inviting the stakeholders as well as comment is not detailed in a transparent manner in the CPA-DD. Hence is raised : Section D.2 of CPA-DD does not provide: D.1.2. E. ANNEXES 1 4 Is the choice justified in a clear and reasonable manner? E.1. Annex 1: Contact Information E.1.1. E.1.2. Is the information provided consistent with the one given under section A.3? Is the information on all private participants and directly involved Parties presented? E.2. Annex 2: Information regarding public funding E.2.1. E.2.2. Is the information provided on the inclusion of public funding (if any) in consistency with the actual situation presented by the project participants? If necessary: Is an affirmation available that any such funding from Annex-Icountries does not result in a diversion of ODA? Date of advertisement for local stakeholder consultation invitation. Substantiate with evidences that a reasonable time for submission of comments was provided /01/ Depends on the closure of 13 above. Refer 13 /01/ Yes, the information provided is consistent with the one given under section A.3. /01/ Yes, the information on all private participants and directly involved Parties is presented in the CPA-DD. /01/ Depends on the closure of CL 8 above. Refer CL 8 /01/ Depends on the closure of CL 8 above. Refer CL 8 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-14

44 CHECKLIST TOPIC / QUESTION Ref. COMMENTS GSP Final E.3. Annex 3: Baseline information E.3.1. E.3.2. E.3.3. If additional background information on baseline data is provided: Is this information consistent with data presented by other sections of the PoAor CPA-DD? Is the data provided verifiable? Has sufficient evidence been provided to the validation team? Does the additional information substantiate / support statements given in other sections of the PoA- or CPA- DD? E.4. Annex 4: Monitoring information E.4.1. E.4.2. E.4.3. If additional background information on monitoring is provided: Is this information consistent with data presented in other sections of the PoAor CPA-DD? Is the information provided verifiable? Has sufficient evidence been provided to the validation team? Do the additional information and / or documented procedures substantiate / support statements given in other sections of the PoA- or CPA-DD? /01/ Yes, additional information has been provided in Annex 3 of CPA-DD for estimation of Fuel Use Rate (FUR). Depends on the closure of CL 7 above. Refer CL 7 /01/ Depends on the closure of CL 7 above efer CL 7 /01/ Depends on the closure of CL 7 above. Refer CL 7 /01/ No additional background information on monitoring is provided. /01/ NA /01/ NA Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-15

45 Table 2: Resolution of Corrective Action and Clarification Requests Requests by validation team Corrective Action Requests (s) 1: The title of the CPA mentioned in the section A.1 of the CPA-DD is not in line with the title of PoA. Ref. to table 1 A.1.1. / B.1.1. Summary of programme owner response The CPA title in Section A.1 is changed to CarbonSoft Pan Africa PA001 which is in line with the PoA titled CarbonSoft Open Source PoA, LED lighting distribution: Pan Africa Validation team Conclusion In revised CPA-DD, the title has changed from CarbonSoft East Africa CPA[01], [Light after dark in Malawi] to CarbonSoft Pan Africa PA001. The PP has provided a Letter of Approval (LoA) (Reference No.: EAD/99/07/26A) dated 21/05/2012 from Environmental Affairs Department, Ministry of Natural Resources, Energy and Environment, Republic of Malawi. The LoA clearly mentions the name of the project as CarbonSoft Open Source PoA, LED Lighting Distribution: Pan Africa. It was also substantiated from an (dated 14/08/2012) by Ms. Shamiso Nandi Najira (Chief Environmental Officer & Focal Point for CDM) of Environment Affairs Department (DNA) of Malawi /05-2/, which states: I can also confirm that the name change was made by CarbonSoft to reflect that it be recognised to include all African nations and that the two PoAs are the same. So, the revised title of CPA is in line with the revised PoA title. Hence is closed. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-16

46 2: The PP has provided a No Objection Certificate (NOC) from Environmental Affairs Department, Ministry of Natural Resources, Energy and Environment, Republic of Malawi (Reference No.: EAD/99/06/04C) dated 04/07/2011 but the name of the project activity mentioned CarbonSoft Solar Lighting Project East Africa is not the same as the name of CPA / PoA provided for GSCP. A.1.1. The Project Proponents will ensure that the final letter from the DNA, giving HCA will have the correct name of the project. Cover letter to the DNA in Malawi is attached. In revised PoA-DD, the title of PoA has changed from CarbonSoft Open Source PoA: LED Lighting Distribution in East Africa to CarbonSoft Open Source PoA, LED Lighting Distribution: Pan Africa. In revised CPA-DD, the title has changed from CarbonSoft East Africa CPA[01], [Light after dark in Malawi] to CarbonSoft Pan Africa PA001. The PP has provided a Letter of Approval (LoA) (Reference No.: EAD/99/07/26A) dated 21/05/2012 from Environmental Affairs Department, Ministry of Natural Resources, Energy and Environment, Republic of Malawi. The LoA clearly mentions the name of the project as CarbonSoft Open Source PoA, LED Lighting Distribution: Pan Africa. It was also substantiated from a mail (dated 14/08/2012) by Ms. Shamiso Nandi Najira (Chief Environmental Officer & Focal Point for CDM) of Environment Affairs Department (DNA) of Malawi /05-2/, which states: I can also confirm that the name change was made by CarbonSoft to reflect that it be recognised to include all African nations and that the two PoAs are the same. So, the revised title of CPA is in line with the revised PoA title and both reflect the same programme of activities. Hence is closed. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-17

47 3: In section A.1 of the CPA-DD the version number of the document has not been provided and thus are no indications concerning the revision number of the document. A.1.2. Version Number and date has been added. In section A.1 of the CPA-DD the version number of the document and date has been provided in the standard format. The revised CPA_DD in section A.1 has provided the date of document as 22/11/2012 and version as 7. Hence is closed. 4: In the section A.4.1.2, the description of geographic reference or other means of identification allowing the unique identification of the small-scale CPA is not in line with the requirements of CDM-SSC-CPA- DD Form (version 01) as it does not provide: The contact details of the entity responsible for CPA Geographic reference of the CPA A / B.4.1. / B.4.3. / B.4.4. The contact details of the entity responsible for the CPA have been mentioned in Annex 1 of the CPA- DD. The geographic reference of the CPA has been added in Section A of the CPA-DD by means of Latitude and Longitude. The geographic area consists of a very large area, hence precise latitude and longitude of each point is not possible. However, Geographical reference of border points have been provided, the boundary covers the geographical expanse of the region in which CPA will be implemented. The contact detail of the entity responsible for CPA has been provided in Annex -1 of CPA-DD, version 03 and the same is mentioned in the section A of the CPA-DD, version 3. Section A.41.2 of the revised PoA-DD states the geographic reference of CPA as: The CPA will operate across the Lower Southern Region in Malawi, consisting of the regions of Blantyre, Chikwawa, Chiradzulu, Mulanje, Nsanje, Phalombe and Thyolo. The coordinates for all the district have been provided. The contact detail of the entity responsible for CPA has been provided. Hence is closed. 5: The starting date of the CPA as mentioned in the section A of CPA-DD is prior to the date of publication of CPA-DD and PoA-DD for global stakeholder consultation process and eligibility of Programme of Activity (PoA) is doubtful. A / B.2.4. / B Starting date has been revised to 12/04/2012 in the section A of the CPA-DD, version 7. This is the date on which CPA Implementer has raised an Invoice for supply of lamps to FINCA Malawi which is responsible of selling the lamps to end-user. Starting date of CPA as mentioned in section A of revised CPA-DD is 12/04/2012. Validation team based on review of provided evidence /25-1/, /25-2/ in the support of start date in the revised CPA DD /02/ confirms that this date is as per the requirement of CDM glossary of terms and is the earliest date when real action begins for the CPA. There is no activity /09/ so far before the cited date i.e. 12/04/2012 which can be considered as start date as glossary of CDM terms. Hence the revised start date is acceptable to the validation team. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-18

48 The reason for selecting the start date is found to be appropriate. Hence is closed. 6: In section A of the CPA-DD the operational lifetime of the CPA has not been provided. A The Project will continue operating for 7 years renewable crediting period with the option to renew twice (e.g., a total of up to 21 years). The same has been updated in the CPA-DD The operational lifetime of the CPA is 7 years and the same has been updated in section A of CPA-DD, version 03. Section A of the revised CPA-DD, states that operational life time of CPA is 7 years. Hence is closed. 7: The justification provided in the section A.4.6 of the CPA-DD on whether a SSC-CPA to be included in the PoA is not a de-bundled component of another CPA or CDM project is not as per the guidelines provided in EB 54, Annex 13, paragraph 10. A According to Paragraph 10, of Annex 13 of EB 54, If each of the independent subsystems/measures (e.g., biogas digester, solar home system) included in the CPA of a PoA is no larger than 1% of the small-scale thresholds defined by the methodology applied, then that CPA of PoA is exempted from performing de-bundling check i.e., considering as not being a de-bundled component of a large scale activity. Since the independent subsystem in this case is the LED light and its capacity is much less than 1% of 15 KW as specified by the small scale methodology, this CPA of the PoA need not perform the debundling check. The same has been added in the CPA-DD The methodology for this CPA falls under the Type III category. For the Type III projects the small-scale thresholds limit is 60,000 tco2e annual emission reductions. As per the Paragraph 10, of Annex 13 of EB 54 if an individual lamp distributed under this CPA generates less than 600 tco2e annual emission reductions, then this CPA is exempted from performing de-bundling check. The PP has tried to justify why CPAs under the PoA don t need to perform debundling check through 10 of Guidelines on Assessment of debundling for SSC project activities (Annex 13, EB 54). The PP has used 15 MW as the threshold, which is not in line with the methodology (AMS-III.AR.) applied to the PoA. A justification is required on the choice of the threshold limit. In section A.4.2 of the revised PoA-DD, the threshold limit for de-bundling check has been corrected from 15 MW to 60 ktco 2 e, which is in line with the applied methodology AMS-III.AR. (Version 03.0). The emission reduction from each lamp is tco 2 per year which is less than 600 tco 2 e (1% of the small-scale thresholds defined by the methodology applied) The same was confirmed through review of de-bundling threshold criterion spread sheet /10/. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-19

49 As per the calculations, presented in section B.5.2 of this CPA, the emission reductions from each individual lamp will be tco 2 per year. This is under the limit of 600 tco 2 e annual emission reductions. Hence, this CPA is exempted from performing the de-bundling check. Hence is closed. The same is inserted in section A.4.6 of the CPA- DD, version 3. Supporting Excel document: Annex 9 Debundling Threshold 8: In the section B.2 of the CPA-DD, the PP has not explained the inclusion of CPA under the PoA by justifying the applicability under each eligibility criteria for inclusion of a SSC-CPA in the PoA in line with Standard for demonstration of additionality, development of eligibility criteria and application of multiple methodologies for programme of activities (version 01.0) EB 65 Annex 3. B.2.1. / B.2.2. / B.2.3. / B.2.4. / B.2.5. / B.2.6. / B.2.7. / B.2.8. / B.2.9. / B / B /B The Standard for demonstration of additionality, development of eligibility criteria and application of multiple methodologies for programme of activities (version 01.0) EB 65 Annex 3 has been used to check for CPA inclusion and the same has been described in the PoA-DD. It has been added as a table in section B.2 of the CPA-DD Section B.2 of the CPA-DD. version 3 is in line with Standard for demonstration of additionality, development of eligibility criteria and application of multiple methodologies for programme of activities (version 01.0) EB 65 Annex 3. In section B.2 of the revised PoA-DD transparent and verifiable eligibility criteria have been developed in accordance with the requirements of 14 and 15 of Annex 3, EB 65. Hence is closed. It now includes the verifiable criterias that need a CPA needs to fulfil for its inclusion in the PoA. (Column 4 of the table provided in section A ) All the requirements are checked against the requirements of Annex 3, EB 65 and are complete. 9: The technical design specifications provided for the project lamps in the section A.4 of the CPA-DD is in line with the design specification criteria mentioned B.2.3. The technical description is mentioned in A.4 of CPA-DD. The technical description is removed from section In section A.4 of the revised CPA-DD, technical design specifications of project lamps are provided. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-20

50 under paragraph 6 of the applied methodology. A.4 and inserted and revised in section A.2 of the CPA-DD, version 3. Section A.4 of the CPA-DD, version, 03 has been revised and the following specification has been added; Parameters Unit Value No. of LEDs in lamp N/A 12 Lamp wattage Watt 0.3 Luminous flux Lumen 39 Rated lamp life Hour 5,840 Type and rated capacity of Watt 0.6 the renewable energy (Solar) equipment used for batterycharging Type and rated capacity of battery Ampere hour 3 x AA 600 Amh NiMH Daily Burn Time Hour 3.5 Autonomous Time Hour 6.5 Solar Run Time Hour 5.2 Warranty 9 Year 1 Physical protection against N/A IP44 environmental factors The same has been confirmed from technical specifications provided by the manufacturer and third party test results. Hence is closed. 10: As per methodology for project lamps to claim emission reductions for 7 years the project lamps shall have Useful Life (UL) of hours. But under the parameter UL a useful life of 5000 hours B / B / B The parameter UL has been removed in the CPA- DD In the section A.4 of the revised CPA-DD the project lamp s useful life has been mentioned as 5000 hours. The same was confirmed the technical 9 The warranty will be start from the date of sell to end-user. The date of sell will be written by last intermediaries on the Project Lamp or on the warranty card by marker pen/pen. Form that date the one year warranty period will start. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-21

51 is chosen which is in contradiction with the renewable crediting period of 7 years chosen for the CPA. brochure of Mandarin Ultra solar light by Illumination headquarters Ltd., which will be used in the PoA. Each lamp will claim emission reductions for 2 years, but the CPA has chosen for a renewable period. The same is found to be satisfactory. Hence is closed. 11: The data source, value, measurement method and QA/QC procedures are not correctly provided for parameter n1. B n1 has been removed from B.5.1 since the value is not available at validation and has been placed in monitored parameters (B.6.1) Parameter n 1 has been removed from section B.5.1 and included in section B.6.1 as it would be monitored ex-post. Measurement method and QA/QC procedures are provided for the same. Hence is closed. 12: The QA/QC procedures are not correctly provided for parameter Dintro. B Dintro has been removed from B.5.1 since the value is not available at validation and has been placed in monitored parameters (B.6.1) Parameter D intro has been removed from section B.5.1 and included in section B.6.1 as it would be monitored ex-post. Measurement method and QA/QC procedures are provided for the same. Hence is closed. 13: Section D.2 of CPA-DD does not provide: Date of advertisement for local stakeholder consultation invitation. Substantiate with evidences that a reasonable time for submission of comments was provided B.1.1. / B.1.2. The stakeholders were invited by word of mouth and through local village heads. The list of attendees has been provided to the DOE. The section D.2 of the CPA-DD, version 03 has been revised. The motive of the stakeholder consultation has been made clear It is confirmed that, stakeholders were briefed about the benefits that the project would accrue under CDM. Refer minutes of meeting. Photographs of the attendees with solar lamp Section D.2 of the revised CPA-DD states: Stakeholder consultation was undertaken starting in 02/10/2011 when a product distribution trial was established in the village of Chadzunda, which is situated near Blantyre City in Malawi. Stakeholders were invited through word of mouth and through local village heads. A list of attendees has been presented to the DoE. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-22

52 are provided as evidence to prove that stakeholder meeting was really conducted. Moreover, the representatives of Carbon Check during their visit to location of stakeholder meeting personally met many of the people who have attended the stakeholder meetings. Original attendance sheet was presented to the representatives of Carbon Check during its visit to Chadzunda. Hence is closed. Clarification Requests (CLs) CL 1: The date provided in the section A.1 of CPA-DD is 01/09/2011 which is before the date of completion of application of the baseline study and monitoring methodology for PoA-DD. A.1.3. It was a typographical error in the earlier version of the CPA. However the date in the CPA-DD, version 07 has been revised to 22/11/2012 and is consistent with the time line of the programme s history. The date of completion of the CPA-DD has been revised accordingly in section A.1. Hence CL is closed. PP is requested to clarify how the date mentioned in section A.1 of CPA-DD is consistent with the time line of the programme s history. CL 2: PP is requested to provide the schedule of implementation plan for the LED lamps across the Republic of Malawi and evidence for the same. A.2.2. The schedule of implementation and distribution has been described in the CPA-DD. The DOE has also been provided with the contract between the CME and the CPA entity,which describes the same. Implementation schedule has been presented in section A.2 of CPA-DD, version 3 The Implementation schedule has been presented in section A.2 of the revised CPA-DD. The same has been confirmed through review of CME implementation plan. Hence CL is closed. CL 3: The PP needs provide evidences / proofs which can demonstrate that the programme description is in compliance with the actual situation or planning to substantiate the same by providing the sales agreement and other evidences. A.2.4. / A.2.5. / A.2.6. Agreement between the CME and Solar Solutions Ltd, which is the CPA entity have been provided to the DOE. An agreement between CarbonSoft Corporation Ltd., and Solar solutions Ltd., titled Agreement of distribution Malawi East Africa dated 24/10/2011 for distribution of LED lights under CDM Programme of Activities was provide. The same substantiate that the Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-23

53 programme description is in compliance with the actual situation or planning. Hence CL is closed. CL 4: PP needs to provide documentary evidences to substantiate that that the stated entity/individual is responsible for the implementation of the CPA. A.3.2. Agreement between the CME and Solar Solutions Ltd, which is the CPA entity have been provided to the DOE. An agreement between CarbonSoft Corporation Ltd., and Solar solutions Ltd., titled Agreement of distribution Malawi East Africa dated 24/10/2011 for distribution of LED lights under CDM Programme of Activities was provide. The same substantiate that the stated entity/individual is responsible for the implementation of the CPA. Hence CL is closed. CL 5: The PP is requested to provide the documentary evidence to validate the area covered under this CPA. A / B.2.1. / B.4.1. / B.4.3. / B.4.4. The area covered under the CPA falls in the host country, Malawi which is a non Annex I country and the same can be validated using the map provided in the CPA-DD. The CPA is located in Malawi. The same was ascertained through a Letter of Approval (LoA) (Reference No.: EAD/99/07/26A) dated 21/05/2012 from Environmental Affairs Department, Ministry of Natural Resources, Energy and Environment, Republic of Malawi provided by the CME. Hence CL is closed. CL 6: PP needs to demonstrate through suitable evidences how it can ensure the implementation of the project? A The operational and management plan has been described in the CPA-DD. PP is in regular weekly contact with CPA participant Solar Solutions, as can be evidenced by our phone and records. An agreement between CarbonSoft Corporation Ltd., and Solar solutions Ltd., titled Agreement of distribution Malawi East Africa dated 24/10/2011 for distribution of LED lights under CDM Programme of Activities was provide. The operational and management plan is described at PoA level. Kindly refer to section A of the PoA-DD. The operational and management plan is A CME manual and CME implementation plan has been provided and clearly demonstrates that CPA implementer can Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-24

54 same for all the CPAs in the PoA. implement the CPA. PP is in regular weekly contact with CPA participant Solar Solutions, as can be evidenced by our phone and records and an agreement between CarbonSoft Corporation Ltd., and Solar solutions Ltd., titled Agreement of distribution Malawi East Africa dated 24/10/2011 for distribution of LED lights under CDM Programme of Activities have been signed and provided for the validation, which confirms the implementation of the project activity. Hence CL is closed. CL 7: In section B.5.1 of the CPA-DD: PP has used an average value of Fuel Use Rate (FUR) of litres/hour for East African countries. PP needs to demonstrate the appropriateness, relevance of the data and also demonstrate how the value arrived at is conservative. For the determination of parameter DBy, PP has used an average value of 5% of annual real GDP growth in place of national growth rate of kerosene fuel use in lighting. PP needs to demonstrate the appropriateness, relevance of the data and also demonstrate how the value arrived at is conservative. PP needs to substantiate the value of 0.3 used for parameter Wi, with documentary evidence. A / A / B / B / B / B / B / B / B The value is the conservative kerosene consumption value for Malawi based on Pilot studies and publicly available reports and studies available on the region and is further described in Annex 2 of the CPA-DD. In Malawi, the national witnessed growth rate over the past years has been in excess of 6%. Conservative annual growth rate of 5% will be applied to this value to reflect rising consumption of kerosene in Malawi. It has been highlighted that typically, kerosene use exceeds income. The value of 0.3 Watts is obtained from Manufacturer certificates which are attached for the DOE. FUR In section B.5.1 of the revised CPA-DD: PP has used an average value of Fuel Use Rate (FUR) of litres/hour for Malawi. CME and CPA implementer had conducted a pilot study in the same, which gave a value of The value chosen is conservative and found appropriate. For the determination of parameter DBy, PP has used a default value of 1 in accordance with AMS-III.AR. (Version 03.0) PP has the value of 0.3 for parameter Wi, as the output capacity of the lamp. The same was confirmed the technical brochure of Mandarin Ultra solar light by Illumination headquarters Ltd.,. o To arrive at the value of FUR, the PP has conducted the pilot study in the region of the CPA. The value from pilot study is Lit. /hour. To cross check this value, the PP has found so many other values also from the neighbourhood region. The value of data has been found to be same. Therefore, it is assumed was believed that the value (0.051) Hence the CL is closed. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-25

55 o from the pilot study was correct. Therefore, the value Lit./hour could be used for the FUR. But being conservative the average value of has been used. References have been provided in the Annex- 3 of CPA-DD, version 03. The result from the pilot study conducted by the PP has been submitted to the DOE and the same has been validated by the DOE during site visit. DB y The value of DB y has been revised. Being conservative, the PP has chosen the value of 1 as per the methodology. CL 8: In the section A.4.5 of PP needs to justify and demonstrate that no ODA has been diverted in this project activity. A / A / E.1.1. / E.1.2. Document to show no ODA has been diverted, will be provided to the DOE. The supporting documents show no ODA has been diverted has been provided to the DOE. It is the self-declaration from the CME. Supporting Document: Annex 5 Declaration for PA001 A declaration from CME as well as CPA implementer has been provided to substantiate no ODA has been diverted in project activity. Hence, CL is closed. CL 9: PP needs to explain in detail what is the speciality of the reference numbering system used to identify each project lamp, which makes it so unique so as to prevent double counting. A / A / B.2.2. The CPA identification has been described in Section B.2 of the CPA-DD. There was a typographical error in the reference number. The reference number has been corrected to PA001 in the CAP-DD, version 03. In section B.2 of the revised CPA-DD the unique identification of project lamps has been described as: The lamps included within the CPA have been marked with identification to show that the lamps belong to this particular CPA. This will ensure no double counting takes place. The unique identification number of lamps under the CPA will be CS_PA001. CS: Carbon Soft (Name of CPA) PA001: CPA number Hence CL is closed. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-26

56 CL 10: In section B.6.1 of the CPA-DD, clarify: Operational and management structure along with procedure for flow of information The procedure for monitoring, data collection, recording, checking, data transfer and archiving system for CPA and justify how it is consistent for all CPAs. B / B The data flow has been described in the CarbonSoft Monitoring Protocol which has been submitted to the DOE. Section B.6.1 of CPA-DD, version 3 has been revised and Operational and management structure along with procedure for flow of information is provided in section B.6.1. The procedure for monitoring, data collection, recording, checking, data transfer and archiving system for CPA is provided in Annex 4 of the CPA-DD and same is referred in section B.6.1 of the CPA-DD, version 3. The implementation plan provided by the CME states: Operational and management structure along with procedure for flow of information The procedure for monitoring, data collection, recording, checking, data transfer and archiving system for CPA. The same is not reflected in the section B.6.1 of the revised CPA-DD. Hence CL is closed. CL 11: The PP is requested to explain the applicability of the following parameters mentioned in section B.6.1 of CPA-DD with respect to their applicability and requirement for emission reduction calculation and ex-post monitoring: D intro Φv (t) TP IL SF AT B / B / B / B / B / B / B The monitoring parameters have been changed to reflect the requirements of the methodology, AMS III-AR (Version 3). In section B.6.1 of the revised CPA-DD it is stated: D intro : is the date that the Project Lamp was purchased. This is required to conservatively calculate the emission reductions for a verification period. Rest other parameters Φ v (t), TP, IL, SF and AT have been removed. The methodology doesn t require monitoring of these parameters. Hence CL is closed. Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-27

57 Table3: Forward Action Requests Forward action request Reference Response by project participants Validation Conclusion to Table Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-28

58 APPENDIX B CERTIFICATE OF COMPETENCE Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-29

59 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-30

60 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-31

61 Carbon Check (Pty) Ltd Ground Floor Block A 374 Rivonia Boulevard Rivonia Johannesburg 2128 Republic of South Africa Page A-32