MARE MANASTIR 39.2 MW WIND FARM PROJECT, TURKEY

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1 page 1 GOLD STANDARD VOLUNTARY EMISSION REDUCTION 3 RD PERIODIC MONITORING REPORT MONITORING PERIOD: 01/01/ /02/2010 MARE MANASTIR 39.2 MW WIND FARM PROJECT, TURKEY CONTENTS A. General project activity and monitoring information B. Key monitoring activities C. Quality assurance and quality control measures D. Calculation of GHG emission reductions E. Gold Standard Sustainable Development Indicators F. Open issues from previous verifications Annex Annex 1: Definitions and acronyms

2 page 2 SECTION A. General project activity information A.1 Title of the project activity: Mare Manastir 39.2 MW Wind Farm Project - Turkey A.2. Gold Standard registration: Validation date: 09/11/2007 Registration date: 13/11/2007 A.3. Short description of the project activity: The project involves the operation of a 39.2 MW onshore wind farm in the region of İzmir-Çeșme-Manastır in Turkey. The project is constructed and operated by Demirer Holding, under the name Mare Manastır Rüzgar Enerjisi Santralı Sanayi ve Ticaret Anonim Șirketi1 and consists of 49 wind turbines, supplied by Enercon. 32 units are installed at an altitude of 55m and 17 units are installed at 50m altitude. The project activity includes the construction of 700 m of new transmission line to establish a connection between the project and the national grid. The project is connected to the 154 kv high-voltage transmission lines between the Alaçatı and Urla trans-former stations to deliver the generated electricity to the Turkish national grid. By replacing fossil fuel power generation the greenhouse gas emission in Turkey is reduced. A.4. Monitoring period: Monitoring period covered by this report: 01/01/ /02/2010 (both days are included)

3 page 3 A.5. Methodology applied to the project activity: The reference for Baseline and Monitoring methodology is the following methodology: Approved consolidated baseline and monitoring methodology ACM0002 Consolidated baseline methodology for grid-connected electricity generation from renewable sources, and Consolidated monitoring methodology for zero-emissions grid-connected electricity generation from renewable sources, version 6 of 19 May A.6. Status of implementation including time table for major project parts: The project installation is finished according to the description in the PDD and completely operational. The most important milestones are included in the following table: Date Milestone 30 Nov 05 Start of construction 20 Nov 06 Completion of the installation 30 Nov 06 First day of full operation 01 Jan 07 Start of the first crediting period and first monitoring period 09 Nov 07 Validation of project activity 13 Nov 07 Gold Standards Registration of project activity 31 Dec 07 End of the first monitoring period 01 Jan Dec 08 Second monitoring period 01 Jan Feb 10 Third monitoring period A.7. Intended deviations or revisions to the registered PDD or monitoring plan: No deviations to the monitoring procedure documented in the registered monitoring plan occurred. A.8. Changes since last verification: This is the third verification. There is no change since the second verification. A.9. Person(s) responsible for the preparation and submission of the monitoring report: Vincent Layec CO2 operations, Monitoring, Verification and Review Team Orbeo, Am Wassermann Cologne, Germany T: +49 (0) F: +49 (0) E: vincent.layec@orbeo.com or MVR@orbeo.com W: 1

4 page 4 SECTION B. Key monitoring activities according to the monitoring plan for the monitoring period stated in A.4. B.1. Monitoring equipment: B.1.1. Table providing information on the equipment used: PDD Identification code ID 1 ID 1 ID1 Device Manufacturer Model Electricity meter (primary) Electricity meter (secondary) Electricity meter (secondary) CIRCUTOR CIRCUTOR CIRWATT D / 402 LT1A-29D CIRWATT D / 402 LT1A-29D Serial number Date of installation Date of Initialcalibration /04/ /02/ /04/ /02/2008 ACTARIS SLB /02/ /02/2010 According to the test certificates, the accuracy of CIRWATT meters is given as 0.2s (active) and 0.5s (reactive). The test certificate for ACTARIS meter refers to an accuracy of 0.5s (active) and 0.5s (reactive). B.1.2. Calibration procedures: The calibration of the monitoring equipment was carried out according to the information provided in the PDDs. The PDD mainly includes the following obligation for the calibration of the appropriate meters: TEIAŞ is responsible for calibration and maintenance of the devices. If any difference occurs between primary and secondary device TEIAŞ performs the necessary maintenance and calibration. According to the usage agreement with the grid operator, recalibration is required every five years. B.2. Data collection (accumulated data for the whole monitoring period): B.2.1. List of fixed default values: PDD Identification code Parameter EF y Default value tco 2 -eq/mwh Description Emission factor of the Turkish grid estimated ex-ante B.2.2. Data concerning GHG emissions by sources of the baseline: PDD Identification code Data variable Unit ID 1 EG y MWh Description Annual electricity supplied by the project activity to the grid.

5 page 5 Monitoring frequency of the meters is continuous, the data is measured hourly, and the recording frequency is monthly. B.2.3. Data concerning leakage: No leakage needs to be considered. B.2.4. Data concerning environmental impacts: For this paragraph we refer to the Gold standard sustainable development indicators (Section E). B.3. Data processing and archiving: Data handling was carried out according to the description in the PDD. The officials from TEIAŞ performed monthly the measurements for both the primary and secondary device, under the control of the plant personnel of Demirer. The TEIAŞ personnel came to the plant in the first days of the month for reading the recorded values obtained at 24:00 of the last day of the month before. A reading protocol was signed by both parties. An invoice (receipt of sale) was prepared by Demirer and delivered to TEIAŞ. B.4. Special event log: There were no special events additional to the milestones described in section A.6

6 page 6 SECTION C. Quality assurance and quality control measures The Project owner is Demirer Holding and is therefore responsible for the operation and the monitoring of the project activities. C.1. Documented procedures and management plan: C.1.1. Roles and responsibilities: For Demirer Holding Mr. Egemen Girgin is the plant manager responsible for monitoring issues within this project. C.1.2. Trainings: The plant engineer and two service technicians have been trained in 2009 and in 2010 by Enercon. The rest of staff of the Mare wind farm has already been trained in 2007 or in (See also Section E). C.2. Involvement of Third Parties: Support and consultancy regarding the Gold Standard VER obligations is provided by OneCarbon International B.V., a company purchased by orbeo. C.3. Internal audits and control measures: There is analysis- and maintenance system (SCADA) operated by Enercon. This system records automatically all electricity generation data and wind parameters of each single windmill. In this way jumps or periods with not normal operating conditions can be identified and explained. C.4. Troubleshooting procedures: As the measuring devices are sealed by TEIAŞ, Demirer cannot intervene with the devices. In case of unforeseen problems or failures of the meters or if any differences occurs between primary and secondary devices TEIAŞ has to be informed for necessary maintenance and calibration. There is an agreement between Demirer and TEIAŞ that in case of problems or failures of the meters TEIAŞ reacts as fast as possible to solve the problem. Furthermore, a logbook is written all the time where observations and all other information necessary to document are included.

7 page 7 SECTION D. Calculation of GHG emission reductions D.1. The used formulas: The total emission reductions can be calculated with the results of the below described equations. The emission reduction is equal to the baseline emissions minus project emissions and leakage emissions. Leakage emissions in this project are considered to be zero. The project emissions are negligible in this kind of project. The general equation is as follows: ERy = BEy (PEy + Ly) (1) Where: ERy BEy PEy Ly = Emission reduction = Baseline emissions = Project emissions = Leakage According to the applied methodology version the emission reductions are the baseline emissions calculated as the electricity supplied to the grid multiplied by the grid emission factor. ERy = BEy = EFy * EGy (2) Where: ERy = Emission reduction in tonnes CO 2 -eq BEy = Baseline emissions in tonnes CO 2 -eq EFy = Grid emission factor in tco 2 -eq/mwh EGy = Net electricity supplied to the Grid in MWh (ID 1) The electricity meters are measuring two parameters: The electricity supplied to the grid (EG export ) and the electricity consumption from the grid (EG import ). To achieve the net amount of supplied electricity, the difference has to be calculated: EGy = EG export EG import (3) Where: EGy = Net electricity supplied to the Grid in MWh (ID 1) EG export = Electricity supplied to the Grid in MWh = Electricity consumption from the Grid in MWh EG import D.2. GHG emission reductions (referring to B.2. of this document): D.2.1. Project emissions: The project emission is negligible.

8 page 8 D.2.2. Baseline emissions: The baseline emissions for the project activity according to the PDD are included in the following table: Month (A) Electricity supplied to the grid [MWh] (B) Electricity consumption from the grid [MWh] (C) = (A) - (B) EGy (ID1) Net electricity supplied to the grid [MWh] Baseline emission (acc. formulae 2: ERy = EGy * EFy) [t CO 2 -eq] Jan 09 11, , , Feb 09 12, , , Mar 09 8, , , Apr 09 5, , , May 09 6, , , Jun 09 7, , , July 09 11, , , Aug 09 13, , , Sep 09 8, , , Oct 09 7, , , Nov 09 8, , , Dec 09 12, , , Jan 10 14, , , Feb 10 12, , , Sum , , , Sum , , , Sum 3 rd PV , , , D.2.3. Leakage: Leakage is considered to be zero (see also section B.2.3). D.2.4. Summary of the emissions reductions during the monitoring period: According to the general equation ERy = BEy = EFy * EGy Emission reduction = Baseline emissions = Emission Factor * Supplied Electricity It can be followed that the emission reductions of the project activity is equal to the baseline emissions. The emission reductions for the period which is covered by this monitoring report is therefore

9 page 9 103,684 t CO 2 -eq. D.2.5 Comparison of the ex-post achieved emission reductions against the ex-ante estimated The ex-ante estimated yearly volume in the PDD was 93,791 tco 2 -eq and therefore a total of 108,951 tco 2 -eq 2 could be extrapolated for a period of 424 days. The ex-post achievements are slightly lower but consistent with performance monitored during the two previous years of operation. 2 (93,791 tco 2 -eq ex-ante est./365 days)*424 days = 108,951 tco 2 -eq

10 page 10 Section E: Gold Standard sustainable development indicators According to the requirements of the Gold Standard, the project activity must be assessed against a matrix of sustainable development indicators. The contribution of the proposed project activity to the sustainable development of the country is based on indicators of local/global environmental sustainability, social sustainability & development and economic & technological development. Three indicators were added to the monitoring plan. All documents regarding these additional parameters have been presented to the DOE during the on-site visit: ID 2: Description: Employment (job quality, fulfilment of labour standards) Number of staff trained certificated by Enercon and Demirer Holding regarding technical and security issues. The plant engineer attended an electrical training of 12 days by the technology provider in October 2009 and two service technicians attended a generator training of 3 days in January The rest of staff of the Mare wind farm has already been trained in 2007 or in ID 3: Description: Employment (numbers) Number of employment created by the project monitored by the monthly salary payment sheet It could be shown that the project activity creates a respectable number of permanent and high qualified jobs. Currently 12 full time positions for local people are directly related to the project (1 wind farm manager, 4 positions for service technicians, 3 positions for security personal and 4 positions for high voltage switchgear operators). Moreover, additional jobs are created at technology suppliers and service and consultancy providers. Various of these additional positions are filled by local people as well. ID 4: Description: Technological self reliance (including project replicability, hard currency liability, skills development, institutional capacity, technology transfer) Number of staff trained certificated by Enercon Servis Turkey, Demirer Holding and TEIAS regarding technical and security issues (high voltage). It could be shown that the project activity induces technology transfer to Turkey and increases the technological sustainability. It could also be shown that knowledge transfer to local people has taken place due to training of the mentioned employees (ID3). Knowledge transfer is the prerequisite to create sustainable technological self reliance.

11 page 11 SECTION F. Open issues from previous verification From the previous verification, that took place in January 2009 regarding the 2 nd monitoring period, no Forward Action Request (FAR) was formulated.

12 page 12 Annex 1 Definitions and acronyms ACM CDM DOE GHG GS IPCC PDD STP TEIAŞ tco2-eq UNFCCC VER : Approved Consolidated Methodology : Clean Development Mechanism : Designated Operational Entity : Greenhouse Gases : Gold Standard : Intergovernmental Panel on Climate Change : Project Design Document : Standard temperature and pressure : Turkish Electricity Transmission Company : Amount of greenhouse gases emission equivalent to the emission of one ton of carbone dioxide. : United Nations Framework Convention on Climate Change : Verified Emission Reductions