THE GOLD STANDARD MICRO-SCALE SCHEME PROJECT DESIGN DOCUMENT FORM - Version 2.2

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1 THE GOLD STANDARD MICRO-SCALE SCHEME PROJECT DESIGN DOCUMENT FORM - Version 2.2 CONTENTS A. General description of the micro scale project activity B. Application of an existing or new baseline and monitoring methodology C. Duration of the project activity and crediting period D. Stakeholders comments Annexes Annex 1: Contact information on participants in the proposed micro scale project activity Annex 2: Information regarding Public Funding Annex 3: Results of WBT testing 1

2 SECTION A. General description of micro-scale project activity A.1 Title of the micro-scale project activity: Title: Version: Smokeless Cook Stoves for Rural Districts of Nepal 0.2 (Draft Version) Date of completion: 28/12/2012 Completed by: Die Ofenmacher e.v. This document was developed under the requirements of the Gold Standard. A.2. Project participants: Name of Party involved (*) ((host) indicates a host Party) Government of Nepal (Host) Germany Private and/or public entity(ies) project participants (*) (as applicable) Private Entity (NGO): Swastha Chulo, Nepal Private non-profit association: Die Ofenmacher e.v., Munich Kindly indicate if the Party involved wishes to be considered as project participant (Yes/No) No No (*) GS Microscale project. No approval from parties required A.3 Description of the micro-scale project activity: A.3.1. Location of the micro-scale project activity: A Host Country: Federal Democratic Republic of Nepal A Region/State/Province etc.: The project is located in the foothills and mountain areas in the Central Development Region of Nepal. The project area includes districts Dolakha, Kavrepalanchok and Ramechhap. Their administrative boundaries are also representing the actual project boundaries. Map of project districts: 2

3 A City/Town/Community etc: The project activity will be implemented in villages and households in various VDCs 1 of districts Dolakha, Kavrepalanchok and Ramechhap which want to participate in the project ( eligible households ). 1 VDC means village development committee and is the smallest administrative unit of a district. Nepal is divided administratively into 5 development regions, 14 zones, 75 districts and about 3,995 Village Development Committees. 3

4 Map of Dolakha: (source: wikipedia) 4

5 Map of Kavrepalanchok: (source: wikipedia) 5

6 Map of Ramechhap: (source: wikipedia) A Details of physical location, including information allowing the unique identification of this micro-scale project activity: Coordinates of the project area: Coordinates Latitude 27 o 44 N (+27,73 o) Longitude 85o 58 E (+85,97 o) The values of the latitude and longitude are mean values and are correlated to the central point of the project region. 6

7 A.3.2. Description including technology and/or measure of the micro-scale project activity: Purpose of the project activity The objective of the project is the installation of mud brick cook stoves in individual households in designated VDCs in three rural districts of Nepal in order to substitute the traditional fire places for cooking without discharge of the smoke into the environment. The widespread energy resources of the increasing population in Nepal for cooking are fuel wood from surrounding forests in the rural area. Fuel wood is the main source of energy for almost 99 percent of the population in the mountains and 88 percent in the hills. 2 Physiographical, the per-capita requirement of fuel wood is more in the Mountain Region (640 kg per person per annum) than in the Terai Region (479 kg). 3 Beyond that the dependence is not only on fuel wood for energy, but also for fodder to maintain a large number of livestock, timber for construction and other economic uses. These facts together with the scarcity of agricultural land have put heavy pressure on Nepal's forest resources and resulted in a widespread deforestation in Terai and Hill districts. 4 The requirements for fuel wood will be steadily high above the production of fuel wood and therefore exceed the available renewable woody biomass. 5 The traditional three-stone fire places or other common used fire places (see picture below) result in high indoor air pollution with high concentration of smoke gases and particulate matter because all these substances remain within the house. Therefore the common used fire places have several serious drawbacks for the families: - The people have to live in their houses with almost permanently irritation by smoke from the fire place. - Frequently accidents occur with open fire which often result in severe burns and mostly affecting children. - Frequently chronic diseases of the respiratory system, the lungs and vessels are developed by the users - The smoky atmosphere is a permanent irritation of the eyes and the respiratory system - The cooking procedure is inefficient and a lot of fuel wood is needed for this. Women and small children are mainly affected by the polluted atmosphere in the house because they stay most of the time in their houses. Women have to cook the meals for their families and take their small children with them during that procedure. Women are also concerned by sourcing of fuel wood from surrounding forests. 2 FAO (1999) FRA2000-Forest resources of Nepal, country report, ftp://ftp.fao.org/docrep/fao/007/ae154e/ae154e00.pdf. 3 Same document as before. 4 FAO (1999) FRA2000-Forest resources of Nepal, country report, ftp://ftp.fao.org/docrep/fao/005/ac612e/ac612e.pdf 5 FAO (1999) FRA2000-Forest resources of Nepal, country report, ftp://ftp.fao.org/docrep/fao/007/ae154e/ae154e00.pdf. 7

8 (source: Die Ofenmacher e.v.) The project objective is to replace the traditional fire places by built-on-site mud brick cook stoves with an outlet for the firing gases directly outside the house. Therefore the atmosphere in the house is smokeless with only little pollution (see picture below) which prevents burning accidents and improves the health situation while preventing diseases of the household members. The second main effect of the cook stove is the considerable efficiency increase of the combustion of fuel wood. This leads to a reduction of the necessary amount of fuel wood for cooking. The project activity will reduce greenhouse gas (GHG) emissions by replacing the traditional fire places by more efficient mud brick cook stoves and saving therefore fuel wood from non-renewable sources. The type of cook stove is known in Nepal as improved cook stove (ICS). 8

9 (source: Die Ofenmacher e.v.) The advantages of smokeless cook stoves: - accidents with open fire are prevented, these accidents are often resulting in severe burns and mostly affecting children - chronic diseases of the respiratory system, the lungs and vessels are prevented - irritation of the eyes and the respiratory system is significantly reduced - savings of fuel wood and savings of time to collect fire wood - reduction of the CO 2 emissions and preservation of the forests - savings of effort and time for cooking All together the improved cook stoves provide a much better living quality for every household for about 5 to 7 persons. This will also contribute to improvement in quality of lives of the targeted people through reduction of drudgery, time and money spent on fuel wood collection and through improvement of indoor air quality and environment. It is also a factor for the whole development of the rural parts of the country. And it empowers and disburdens especially women in rural regions. Technology to be employed The disseminated cook stoves are built directly in the kitchen of a house, normally at the same or near the place where the traditional fire place has been. The stoves are made of mud bricks and have a chimney with an outlet of the firing gases outside the house. The model is called improved cook stove (ICS) and is developed and 9

10 promoted by Biomass Energy component of Energy Sector Assistance Programme under the Alternative Energy Promotion Centre (AEPC). The improved cook stove provides better heat transfer to the cooking pots and reduces overall cooking time. In the past there have been disseminated improved cook stoves in the mid-hill areas and also in Chitawan, a district of Terai. A video about the construction process of a cook stove from the fabrication of the mud bricks to the finished stove is displayed on The video shows the same process the project will implement. The built cook stoves are two pot stoves with two variants: with step from one pot to the other without step Other models of cook stoves also exist (one pot or three pots) but are not considered in the project activity. The efficiency of these stoves is above 20% and fuel saving is about 40-50% compared to the existing traditional stoves in use. The most frequent used and demanded model is the two pot stove which provides two heating places for cooking at a time and reduces overall cooking time. The variant with a step provides the second heating place one-brick-step above the first heating place. The picture shows the design of an improved cook stove: The ranges of dimensions of the two pot ICS are: Diameter 1 st pot hole Diameter 2 nd pot hole Length Breadth Height Width of fire gate Length of chimney cm cm 90 cm 40 cm 28 cm 15 cm cm 10

11 Planned implementation schedule for the project: Period Planned Average number of cook stove operating (at the end of year) , , , ,000 When the users request for an improved cook stove, normally the existing fire place or stove will be dismantled during the installation procedure in order to prevent it from being used by other people in or out of the project area. The evidence of the dismantled traditional fire place is easy because the new cook stove is built at or near the same place in the kitchen where the old stove has been. During the monitoring procedure it will be documented whether the traditional fire place still exists or again exists in the individual household. This is done for the verification of dismantling of traditional stoves. A coding system has been developed to uniquely identify the installed stoves. The code consists of two letters for the promoter of the stove followed by an ongoing serial number. The coding scheme for example is as below: Promoters Name Promoters Code Serial Number Bel Bahadur Tamang BB 0001 to. Saduram Bista SB 0001 to. Anish Tamang AT 0001 to. The combination of these components will generate a unique code for each installed stove. Sample codes could be like: BB-0066 or SB For each built stove a label with the code number will be produced. The label is fixed at the door case of the house where the stove was built in. Furthermore normally a photograph will be taken of the stove together with the label and the owner. According to that picture the built-in stove can be easily identified and documented. The code number and the picture are integrated into the projects database. The project promoters assume that the lifetime of a cook stove extends five years or more. The evidence for that is the fact that there exist several improved cook stoves in the mid-hills areas of Nepal operating since five years or more. During a field visit of representatives of Die Ofenmacher e.v. in Amppipal, Western Region, those cook stoves have been found working properly. Each cook stove should be maintained during its lifetime and repaired if it does not work anymore. In the case repairing is not possible such a cook stove has to be newly reconstructed. The new installation of stoves which have been broken-down is also part of the project activities. If a stove is not repaired or reconstructed it will be removed from the list of installed stoves. 11

12 Project measures The project will be implemented with pre-investment from the German non-profit organization Die Ofenmacher e.v. in return of future VERs. The stoves are disseminated to the very poor people in rural districts of Nepal for a small contribution of about 100 NRPs. This funding enables the project to disseminate up to 11,000 fuel efficient stoves in the project area during the next 4 years. The NGO Swastha Chulo located in Kathmandu conducts the project activities for Die Ofenmacher e.v. in Nepal. For that reason it collaborates with local partner organisations (LPOs) wherever it makes sense. The employed stove promoters are educated by training courses of organizations like AEPC or CRT (Center for Rural Technology) Nepal. By that means stove building skills and technology are transferred to the local people. Priority will be given to women and people belonging to poorer sections. The selected individuals will be educated in construction of cook stove and its repair and maintenance. The trained technicians will then install the stoves in individual households in the project area. The participation for the project activity is on demand and strictly voluntary. Prior to the stove building activities, pre-visits are held in each community to explain the plans and modalities of the project. Alongside women groups, forest user groups and the VDC (village development committee) are contacted to define a local counterpart for the collection of the demands. The selected partner committee will provide a demand list and will nominate the very poor people in the community to receive the stove for free. This way the project makes sure that the resulting list of participants is based on a community decision. Experience shows that the vast majority of people asks for a stove. Project policy is to provide all requested stoves in the community without exception. Once built, women are the beneficiaries of the stoves as cooking is the traditional role of women in rural households in Nepal. When a user receives a cook stove which is built in his house he will be the owner of that stove. However, as VER funding is subsidising the installation of stoves the beneficiary has to sign a user contract. In this contract it is acknowledged that the user agrees to transfer the legal rights, incomes, loans, interests and advantages obtained from emission reduction of green house gas to NGO (Swastha Chulo Nepal). The NGO Swastha Chulo will transfer these emission reduction rights from the beneficiaries to the non-profit organization Die Ofenmacher e.v. in Germany by a mutual agreement. This will help Ofenmacher to reobtain the preinvestment and to be able to expand the dissemination of improved cook stoves and other developing activities. Swastha Chulo will collect the stove user data and record all relevant information necessary for monitoring in a project database. The preparation of the monitoring report is the responsibility of both Swastha Chulo and Die Ofenmacher e.v. A.3.3 Estimated amount of emission reductions over the chosen crediting period: The project activity will reduce greenhouse gas emissions because open fire places for cooking will be replaced by more efficient mud brick cook stoves. The saved amount of non-renewable fuel wood will reduce the output of greenhouse gases. According to the implementation schedule of the project the following reduction values are estimated: Year Number of installed stoves (at the end of Annual estimation of emission reduction 12

13 year) (tco 2 e) ,000 1, ,000 4, ,000 6, ,000 9, ,000 9, ,000 9, ,000 9, ,000 9, ,000 9, ,000 9,900 Total emissions reduction (tons of CO 2 e) 80,550 Total number of crediting years 10 Annual average over the crediting period of estimated reductions (tons of CO 2 e) 8,055 A.3.4. Public funding of the micro-scale project activity: >> Please refer to ODA declaration form (Annex D) All donations come from the German non-profit organisation "Die Ofenmacher e.v." pre-financing. That is an NGO with the objective to support the building of improved cook stoves in poor countries like Nepal or African countries to reduce indoor air pollution and to prevent accidents and diseases 13

14 from open fire cooking. The donations are primarily granted by private donors. The donations are transferred to the Nepalese NGO Swastha Chulo which pays for the expenditures. There is no public funding involved in the project. VER revenues will be utilized for the entire cost of implementing project activity including the subsidy for efficient cook stoves. Costs which are beyond the Carbon credits revenues will be funded by donations. 14

15 SECTION B. Application of an existing baseline and monitoring methodology or of a new methodology submitted as part of this project activity B.1. Title and reference of the existing or new baseline and monitoring methodology applied to the micro-scale project activity: The project follows the methodology outlined in the small scale project activity category in Type II.G. / Version 03 EB 60 Energy Efficiency Measures in Thermal Applications of Non-Renewable Biomass B.2 Justification of the choice of the methodology and applicability: The II.G/Version 03 EB 60 document states that 1. "This category comprises appliances involving the efficiency improvements in the thermal applications of non-renewable biomass. Examples of these technologies and measures include the introduction of high efficiency biomass fired cook stoves or ovens or dryers and/or improvement of energy efficiency of existing biomass fired cook stoves or ovens or dryers." The mud brick cook stoves which will be installed and operated under the project proposed reduce the consumption of biomass as fuel wood from non-renewable sources. Therefore the project qualifies under the section II.G of the small scale guidelines. The proposed project activity involves dissemination of improved efficiency biomass fired cook stoves and saves non-renewable woody biomass that otherwise would have been consumed by less efficient traditional fire places. The II.G/Version 03 EB 60 document further states that 2. "Project participants are able to show that non-renewable biomass has been used since 31 December 1989, using survey methods or referring to published literature, official reports or statistics." The people in the proposed project area have been using non-renewable biomass since 31 December Justification: According to FAO data the total forest cover in Nepal decreased since The Forest Resource Assessment Country Report for Nepal (2000) revealed that the forest cover has shrunk from 45% in 1964 to 29% in The national annual rate of change (deforestation) of forest is about 1.7% between 1978 and The FRA2010-Global Forest Resources Assessment 2010 Country Report Nepal states that the forest area decreased from 4.817,000 Hectares in 1990 to 3.636,000 Hectares in Therefore the annual average rate of change (deforestation) of forest is again about 1.7% between 1990 and 2005 (page 8). 8 According to the CDM SSC WG non-renewable biomass is still used 6 FRA 2000 FOREST RESOURCES OF NEPAL COUNTRY REPORT ftp://ftp.fao.org/docrep/fao/007/ae154e/ae154e00.pdf 7 FRA 2000 FOREST RESOURCES OF NEPAL COUNTRY REPORT ftp://ftp.fao.org/docrep/fao/007/ae154e/ae154e00.pdf 8 FAO (1999) FRA2010-Global Forest Resources Assessment 2010 Country Report Nepal, 15

16 in Nepal today. The default value of the fraction of non-renewable biomass in Nepal was found to 84%. 9 Uncontrolled access to and use of forest resources at many places is leading to forest degradation in Nepal. The forest fuel wood meets about eighty one percent of the total fuel consumption (WECS, 1997) 10 and forest fodder satisfies about thirty seven percent of total fodder needs of livestock in Nepal. (FAO-2000 report) 11. Furthermore the accessible forest is about 50% of the whole forest area in Nepal and for that reason the forest degradation of these areas is even higher than of the whole forest in Nepal. The people in Nepal use fuel wood and other biomass since long time for cooking at their traditional fire places. Based on these findings, one can reasonably assume that Non-Renewable Biomass has been used since 31 December CDM Small Scale limit: The threshold limit of the small-scale activity is 180 GWh annual thermal energy savings (equivalent to 60 GWh electrical energy). 12 Thermal energy savings of efficient stoves are calculated by multiplying the annual biomass savings of each efficient stove with the calorific value of fuel wood: Thermal Energy Savings = B y,savings * NCV biomass Where: = B y * (1- η old / η new ) * NCV biomass = 2.0t * (1-0.10/0.20) * 4167*10-6 GWh/t = GWh B y η old η new Quantity of woody biomass used in the absence of project activity in tonnes (see Section B.4.) Efficiency of the system being replaced (see Section B.4.) Efficiency of the system being deployed as part of the project activity (see Section B.4.) NCV biomass Net calorific value of the non-renewable biomass that is substituted (IPCC default for wood fuel, TJ/tonne, corresponding to 4167 kwh/t) (see Section B.4.) The maximum number of efficient stoves eligible to be operational in any year during the project activity is therefore limited to 180 GWh/ GWh = 43,196 stoves. As part of monitoring it will be 9 Information note Default values of fnrb for LDCs and SIDs 10 Wood Energy in Nepal, Water and Energy Commission Secretariat 11 FRA 2000 FOREST RESOURCES OF NEPAL COUNTRY REPORT ftp://ftp.fao.org/docrep/fao/007/ae154e/ae154e00.pdf 12 General Guidelines to SSC CDM methodologies, Version 17 (EB61 Report, Annex 21) 16

17 ensured that the total energy saved through efficiency gains by the stoves installed under the project will not exceed 180 GWh for any year of the crediting period. According to the information regarding stove efficiency available at validation the approximate maximum number of stoves that may be operated at the same time is 11,000. Gold Standard Micro Scale limit: The Gold Standard Micro Scale limit of 10,000 VERs per year applies. As the current project is requested as a Gold Standard Micro Scale project CDM Small Scale limit does not count here. The valid limit for a micro scale project is an annual emission reduction of 10,000 tonnes of CO 2 due to the project s activity. If the actual emission reduction would exceed this micro scale limit the project will nevertheless claim maximum emission reduction of 10,000 tonnes of CO 2 for crediting. B.3. Description of the project boundary: The geographical project boundary is the number and area of households that install and use the builtin-site mud brick cook stoves in Village Development Committees in Dolakha, Kavre-Palanchok and Ramechhap where non-renewable biomass is the dominant fuel used. The fuel wood consumed by project beneficiaries is collected from the forests in the mentioned VDCs. At the unit level, the project boundary is defined by the individual sites and refers to the operation of the mud cook stoves at the household level in the project area. Emission savings from reduced biomass transport due to reduced consumption are not taken into account. 17

18 B.4. Description of the baseline and its development as per the chosen methodology: According to AMS II.G, the baseline scenario would be the use of fossil fuels for meeting similar thermal energy needs by the project households. Thus the baseline scenario is determined by calculating baseline emissions. In absence of the project activities, the intended beneficiaries of the project would continue using the traditional cooking places in the households, consuming high quantity of non-renewable biomass. Therefore, emission reductions are calculated by multiplying the thermal energy from annual biomass savings stemming from non-renewable biomass with an emission factor for fossil fuels. Baseline emissions would be calculated as: Where: ER y = B y * f NRB,y * NCV biomass * EF projected_fossilfuel ERy B y fnrb,y NCV biomass EFprojected_fossilf uel Emission reductions during the year y in tco 2 e Quantity of woody biomass used in the absence of the project activity in tonnes Fraction of woody biomass saved by the project activity in year y that can be established as non-renewable biomass Net calorific value of the non-renewable woody biomass that is substituted (IPCC default for wood fuel, TJ/tonne) Emission factor for the substitution of non-renewable woody biomass by similar consumers. The substitution fuel likely to be used by similar consumers is taken according to AMS II G., version 3 default value: 81.6 tco 2 /TJ Determination of baseline emissions In order to determine the baseline emissions and emission reduction by the project the following steps are accomplished Step Description Data sources 1 Determination of the average annual biomass consumption per household (B y ) and Calculation of emissions per source 2 Determination of the share of Non-Renewable biomass (f NRB,y ) 3 Determination of the fossil fuel most likely to be used by similar consumers (EF projected_fossilfuel ) Literature; Estimation; Other projects CDM default data AMS II G., version 3 data 18

19 4 Ex-ante calculation of emission reductions: Estimation of the number of new systems in use (N y ) Project implementation plan Step #1: Determination of the average annual biomass consumption per household and Calculation of emissions per source Fuel wood is the main source of energy for almost 99 percent of the population in the mountains and 88 percent in the hills (SGFFU, 1998) 13. According to AMS II.G, section 6, for the estimation of annual biomass savings one of three options can be used. We use option 2 which says the annual biomass savings are calculated by multiplying the average annual consumption of biomass per appliance (tonnes/year) without the project activity (called B old in AMS II.G) with the efficiency gains of the new system being deployed. According to AMS II.G, section 7, option (a) the average annual consumption without the project activity can be derived from historical data or a survey of local usage. The project did not make a survey of the fuelwood consumption because this is very extensive. The project has chosen rather the option of usage of historical data. Historical data: The FAO report 2000 states for the central region of Nepal a household fuelwood requirement of 484 kg/capita per year. 14 One household in the project area has about 5 to 6 members for whom the cooking has to be done every day. That means an average fuelwood consumption of to kg per household and year. The value of the FAO report is a mean value with a certain variance. An assumed variance of +/- 20 % seems to be realistic because one can already see from the table of this FAO report that there is great variance between the mentioned development regions Central, Western, Eastern,.. and also between Mountain and Terai regions. There are no data about the districts of the project area rather single VDCs. The data of the Mountains region contain all altitudes. It seems to be realistic that the people in higher regions use more fuelwood because they will also heat their houses. The project activities are limited to an altitude of 2,500 meters. Therefore the value of fuelwood consumption should be some less than the mean value of the Central region. Another factor is the number of people living in one household. It can also differ from one district to another. The project has decided not to monitor the number of people living in a beneficiaries' household and not to monitor the biomass consumption. For all these reasons we take a conservative overall value of 2.0 tons of fuelwood for a household for one year which lies about 20% below the literature value of 2.4 tons if 5 household members are considered.according to the assumption above the energy baseline per cook stove (or household) is 13 FRA 2000 FOREST RESOURCES OF NEPAL COUNTRY REPORT ftp://ftp.fao.org/docrep/fao/007/ae154e/ae154e00.pdf 14 FRA 2000 FOREST RESOURCES OF NEPAL COUNTRY REPORT ftp://ftp.fao.org/docrep/fao/007/ae154e/ae154e00.pdf 19

20 2.0 t * TJ/t = TJ per household and year There is one other registered CDM project in the category AMS II.G in Nepal Efficient Fuel Wood Cooking Stoves Project in Foothills and Plains of Central Region of Nepal 15, registered on 15 th March This project calculates with an amount of 2.7 t per household and year. The Gold Standard project WWF Nepal Gold Standard Biogas Voluntary Emission Reduction (VER) Project uses 3.32 t per household and year. 16 In comparison to other projects in Nepal the assumption of 2.0 t per household and year is a very conservative one. The emission baseline is calculated by multiplying the energy baseline by the emission factor. According to AMS II.G., the emission factor for the substitution fuel that should be taken as default value is 81.6 tco 2 /TJ. That means the emission is TJ * 81.6 tco 2 /TJ = 2.45 tco 2 per cook stove (or household) and year The emission for the 11,000 cook stoves to be installed by the project is 29,376 tco 2 per year. That is not the baseline emission of the project because it includes the emissions of renewable and nonrenewable energy sources. The baseline emissions are determined later on. Step #2: Determination of the share of Non-Renewable biomass (f NRB,y ) The household non-renewable fuel wood share of total wood consumption is identical to the fraction of woody biomass saved by the project activity in year y that can be established as non-renewable biomass fnrb,y. The CDM SSC WG has set default values for the fraction of non-renewable biomass for all Least Developed Countries (LDC) and the Small Island Developing States (SID). 17 The default value for Nepal is fnrb,y = 0,86 15 See PDD of 16 WWF Nepal Gold Standard Biogas Voluntary Emission Reduction (VER) Project nmdf9348r09dmfasdfk See 20

21 Step #3: Determination of the fossil fuel most likely to be used by similar consumers (EF projected_fossilfuel ) According to AMS II. G., the emission factor for the substitution fuel likely to be used is 81.6 tco 2 /TJ. Therefore EF projected_fossilfuel = 81.6 tco 2 /TJ Step #4: Calculation of the baseline emissions Baseline emissions are calculated according to: ER y = B y * f NRB,y * NCV biomass * EF fossilfuelprojected_biomass Therefore the baseline emissions per appliance (cook stove or household) are ER y = 2.0t * 0.86 * * 81.6 tco 2 /TJ = 2.11 tco 2 /appliance/year Baseline emissions of the project Years Number of fire places Annual average baseline emissions (tco 2 e) ,000 23, ,000 23, ,000 23, ,000 23, ,000 23, ,000 23, ,000 23, ,000 23, ,000 23, ,000 23,158 Total emissions 254,739 21

22 (tons of CO2e) Total number of crediting years 10 Annual average over the crediting period of estimated (tons of CO2e) 25,473 The monitoring as per AMS.II.G requirements (sections 15 to 21) shall be carried out at the time of verification of the project. B.5. Description of how the anthropogenic emissions of GHG by sources are reduced below those that would have occurred in the absence of the registered micro-scale project activity: The project reduces the amount of green house gases (GHGs) emitted through use of non-renewable biomass (firewood) as cooking fuel by introducing widespread use of efficient wood stoves which replace existing inefficient traditional stoves usually 3 stone open fire or with semi enclosures or the equivalent system. Demonstration of Additionality of Microscale Project Activities According to "STANDALONE MICRO- SCALE SCHEME RULES" (GS version 2.2 Annex T) there are some conditions to demonstrate additionality of the project. Part 7, Additionality says "Regular cycle projects that meet any one of the criteria defined below (and meet the eligibility requirements under section 1) shall be deemed additional: i. The project is located in a Least Developed Country (LDC), Small Island Developing States (SIDS) or Land Locked Developing Country (LLDC)4. Nepal is an LDC and an LLDC country. Therefore the additionality of the project is given.according to "STANDALONE MICRO SCALE SCHEME RULES" (GS version 2.2 Annex T) there are some conditions to demonstrate additionality of the project. Part 7, Additionality says "Regular cycle projects that meet any one of the criteria defined below (and meet the eligibility requirements under section 1) shall be deemed additional: i. The project is located in a Least Developed Country (LDC), Small Island Developing States (SIDS) or Land Locked Developing Country (LLDC). Nepal is an LDC and an LLDC country. Hence additionality of the project is given. 22

23 B.6 Emission reductions: B.6.1. Explanation of methodological options or description of new proposed approach: According to AMS-II G it is assumed that in the absence of the project activity, the baseline scenario would be the use of fossil fuels for reaching similar thermal energy needs. Emission reductions are therefore calculated by multiplying the thermal energy from annual biomass savings originating from non-renewable biomass with an emission factor for fossil fuels. In order to determine B y,savings AMS.II.G, Paragraph 6, Option 2 is chosen. The application of the following steps enables the estimation of the emission reductions Baseline emissions would be calculated as: Where: ER y = B y * f NRB,y * NCV biomass * EF projected_fossilfuel ER y B y f NRB,y NCV biomass EF projected_fossilfuel Emission reductions during the year y in tco 2 e Quantity of woody biomass used in the absence of the project activity in tonnes Fraction of woody biomass saved by the project activity in year y that can be established as non-renewable biomass Net calorific value of the non-renewable woody biomass that is substituted (IPCC default for wood fuel, TJ/tonne) Emission factor for the substitution of non-renewable woody biomass by similar consumers. The substitution fuel likely to be used by similar consumers is taken according to AMS II G., version 3 default value: 81.6 tco 2 /TJ Determination of baseline emissions In order to determine the baseline emissions and emission reduction by the project the following steps are accomplished Step Description Data sources 1 Determination of the average annual biomass consumption per household (B y ) and Calculation of emissions per source 2 Determination of the efficiency of the replaced (η old ) and the deployed (η new ) system for calculation of biomass savings per source Literature; Estimation; Other projects IPCC data (η old ) and experiment (η new ) 3 Determination of the share of Non-Renewable biomass CDM default data 23

24 (f NRB,y ) 4 Determination of the fossil fuel most likely to be used by similar consumers (EF projected_fossilfuel ) AMS II G., version 3 data 5 Leakage (L y ) AMS II G., version 3 data 6 Ex-ante calculation of emission reductions: Estimation of the number of new systems in use (N y ) Project implementation plan Step #1: Determination of the average annual biomass consumption per household (B y ) and Calculation of emissions per source The determination of B y was already derived in chapter B.4. A value for B y of 2.0 tonnes of fuel wood per household and year is taken for the calculation of the emission reduction. Step #2: Determination of the efficiency of the replaced (η old ) and the deployed (η new ) system for calculation of biomass savings per source The baseline system is a traditional fire place, a three stone fire or an equivalent system. According to the AMS II.G version 3 for such a system A default value of 0.10 may be optionally used if the replaced system is a three stone fire, or a conventional system with no improved combustion air supply or flue gas ventilation system, i.e. without a grate or a chimney.. Therefore the value for efficiency η old of 0.10 may be used as the default value of the efficiency of the baseline system. The efficiency of the improved cook stove, the mud brick cook stove, was tested at Kathmandu University, School of Engineering, Department of Mechanical Engineering. For that purpose two improved cook stoves for two pots were built on the department s site. The first type of stove was a Plain Type, the other one was of Raise Type. These are exactly the types of stoves which are built during the project s activity. Both stoves were thoroughly dried before testing. And the experiments were conducted according to the well-known Water Boiling Test procedure. The WBT is accepted by AMS II.G version 3. The results of all tests lie in the range between 21% and 24%. The results of the simmering test can be ignored because there is only one pot considered in the calculation of the efficiency. See Annex 3 for the WBT results of Kathmandu University. By reason of conservativeness a value for η new of 0.20 for the two types of improved cook stoves is taken for the calculation of the emission reduction. That efficiency of 20% means that such a system saves approximately 50 % energy resp. fuel wood in comparison to the old system. Step #3: Determination of the share of Non-Renewable biomass (f NRB,y ) Annex 20 of the report of the 35 th CDM-SSC WG meeting is an information note about the Default values of fnrb for LDCs and SIDs. The information note is especially intended for the methodologies AMS-I.E and AMS-II.G. The document says 24

25 Project proponents have an option to use these conservative country specific default values or determine project specific values by undertaking a study in the project region as prescribed in the methodology. Therefore these default values are not mandatory to apply. The value for f NRB,y of 0.86 for the country of Nepal is taken for the calculation of the emission reduction. For comparison: The above mentioned CDM project in Nepal Efficient Fuel Wood Cooking Stoves Project in Foothills and Plains of Central Region of Nepal 18 derived an f NRB value of The Gold Standard project WWF Nepal Gold Standard Biogas Voluntary Emission Reduction (VER) Project calculated an an f NRB value of Step #4: Determination of the fossil fuel most likely to be used by similar consumers (EF projected_fossilfuel ) According to AMS-II.G version 3 a value for EF projected_fossilfuel of 81.6 tco 2 /TJ is taken for the calculation of the emission reduction. Step #5: Leakage (L y ) According to AMS-II.G version 3 paragraph 13 (a) the potential source of leakage shall be considered: The use/diversion of non-renewable woody biomass saved under the project activity by non-project households/users that previously used renewable energy sources. Alternatively to case surveys a leakage factor of 0.95 can be applied. Therefore a value for L y of 0.95 is taken for the calculation of the emission reduction. Step #6: Estimation of the number of new systems in use (N y ) The number of new systems is the number of planned installed improved cook stoves under the project activity. B.6.2. Data and parameters that are available at validation: Data / Parameter: Data unit: B y tonnes/household/year 18 See 19 WWF Nepal Gold Standard Biogas Voluntary Emission Reduction (VER) Project nmdf9348r09dmfasdfk

26 Description: Quantity of woody biomass used in the absence of the project activity in tonnes Source of data used: Historical data from FAO report 20 Value applied: 2.0 Justification of the choice of data or description of measurement methods and procedures actually applied: Any comment: According to AMS II.G. section 7 the project has chosen the option of usage of historical data. See detailed description of section B.4. The project has chosen a very conservative value for this parameter which is not monitored during the crediting period. Data / Parameter: η old Data unit: % Description: Source of data used: Efficiency of the baseline system being replaced. AMS II G, version 3 default value Value applied: 10 (or factor 0.10) Justification of the choice of data or description of measurement methods and procedures actually applied: According to AMS II.G., version 3 a default value of 0.10 can be used if the replaced system is the three stone fire or a conventional system lacking improved combustion air supply mechanism and flue gas ventilation system i.e., without a grate as well as a chimney. Any comment: Data / Parameter: η new Data unit: % Description: Efficiency of the improved cook stoves being installed by the project Source of data used: Results of Water Boiling Tests at Kathmandu University (see Annex 3) Value applied: 20% (or a factor 0.20) 20 ftp://ftp.fao.org/docrep/fao/007/ae154e/ae154e00.pdf 26

27 Justification of the choice of data or description of measurement methods and procedures actually applied: Any comment: According to AMS II.G., version 3 the efficiency can be determined by conducting measurements following the procedures of the WBT. A conservative value below the results is applied to cover uncertainties. Data / Parameter: f NRB,y Data unit: % Description: Source of data used: Fraction of woody biomass saved by the project activity in period y that can be established as non-renewable biomass Default value for Nepal according to the information note of Annex 20 of the report of the 35 th CDM-SSC WG meeting Value applied: 86% (or a factor 0.86) Justification of the choice of data or description of measurement methods and procedures actually applied: According to the information note of Annex 20 of the report of the 35 th CDM- SSC WG meeting a project that applies methodology AMS II.G., version 3 can take the listed country specific default values for f NRB,y. Any comment: Data / Parameter: Data unit: Description: Source of data used: NCV biomass TJ/t Net calorific value of the non-renewable woody biomass that is substituted AMS II G, version 3 default value Value applied: Justification of the choice of data or description of measurement This is the IPCC default value for wood fuel as provided by AMS II.G version 3, par. 6 27

28 methods and procedures actually applied: Any comment: Data / Parameter: Data unit: Description: Source of data used: EF projected_fossilfuel tco 2 /TJ Emission factor for the substitution of non-renewable biomass by similar consumers AMS II G, version 3 default value Value applied: 81.6 Justification of the choice of data or description of measurement methods and procedures actually applied: According to AMS II.G, section 5, a value of 81.6 tco 2 /TJ can be used. Any comment: Data / Parameter: Data unit: Description: Source of data used: L y Fraction Leakage adjustment factor period y AMS II G, version 3 default value Value applied: 0.95 Justification of the choice of data or description of measurement methods and procedures actually applied: According to AMS II.G., section 13, a net to gross adjustment factor of 0.95 can be applied to account for leakage in which case surveys are not required. With that factor B old has to be multiplied. Any comment: 28

29 B.6.3 Ex-ante calculation of emission reductions: Emission reductions would be calculated as: Where: ER y = B y,savings * f NRB,y * NCV biomass * EF fossilfuelprojected_biomass ER y B y,savings f NRB,y NCV biomass EF projected_fossilfuel Emission reductions during the year y in tco 2 e Quantity of woody biomass that is saved in tonnes Fraction of woody biomass saved by the project activity in year y that can be established as non-renewable biomass Net calorific value of the non-renewable woody biomass that is substituted (IPCC default for wood fuel, TJ/tonne) Emission factor for the substitution of non-renewable woody biomass by similar consumers. The substitution fuel likely to be used by similar consumers is taken according to AMS II G., version 3 default value: 81.6 tco 2 /TJ Calculation of biomass savings Where: B y,savings = B y * (1 - η old / η new ) * L y B y η old η new L y Quantity of woody biomass used in the absence of the project activity in tonnes Efficiency of the baseline system/s being replaced, measured using representative sampling methods or based on referenced literature values (fraction), use weighted average values if more than one type of systems are encountered; 0.10 default value may be optionally used if the replaced system is the three stone fire or a conventional system lacking improved combustion air supply mechanism and flue gas ventilation system i.e., without a grate as well as a chimney; for the rest of the systems 0.2 default value may be optionally used Efficiency of the system being deployed as part of the project activity (fraction) Leakage factor 29

30 By setting the values of all required factors into the equations the emission reductions per appliance (household) and year can be determined as ERy = 2.0t * (1 0.10/0.20) * 0.86 * * 81.6 tco 2 /TJ * 0.95 = 1.00 tco 2 /appliance/year This value has to be multiplied by the number of installed improved cook stoves which are used throughout the considered year. The installation of stoves happens during the first 4 years from 2013 to The installation proceeds during each of these years i.e. the number of installed cook stoves at the end of a year is not equal to the average number of cook stoves in operation during the whole year. For this number the operation time during the considered year has to be taken into account. The estimated average number of improved cook stoves is therefore determined according to operation time during the year of consideration. That means 12 N y,installed = N m,installed * m/12 m=1 N y,installed N m, installed m Average number of installed stoves in year y Number of installed stoves operating m months in year y For this number only these stoves are counted which are operating throughout the whole month. Stoves operating only part time of a month are not counted. Number of months According to the project activity plan for the next 10 years the following numbers N installed of improved cook stoves should be operating at the end of each year and the estimated average number of installed improved cook stoves N y,installed should be in use throughout the year: Year Number of installed improved cook stoves N installed Estimated average number of installed improved cook stoves in use N y,installed ,000 1, ,000 4,500 30

31 2015 9,000 7, ,000 10, ,000 11, ,000 11, ,000 11, ,000 11, ,000 11, ,000 11,000 The actual numbers of improved cook stoves in operation are determined by the monitoring procedure. Monitoring reveals the cook stoves in operation and the drop-out rate of the installed cook stoves. Furthermore the monitoring activities determine if the baseline stoves i.e. the traditional fire places or equivalent systems are still used additionally or in parallel. These two fractions, drop-out rate and use rate of baseline stoves have to be considered for the calculation of the number of improved cook stoves actual in use during each monitoring period. N y = N y,installed * (1-DO y ) * (1-UB y ) N y N y, installed DO y UB y Average number of cook stoves in use in year y Average number of installed stoves in year y Drop-out rate of installed stoves (fraction) Use rate of traditional fire places (fraction) Calculation of total emission reductions per year ER y,total = ER y * N y ER y,total N y Total emission reductions in tones CO 2 per year y Average number of cook stoves in use in year y 31

32 B.6.4 Summary of the ex-ante estimation of emission reductions: Assuming 01/01/2013 as the start of crediting period and 31/12/2022 as the end of crediting period. For the ex-ante estimation values a drop-out rate of 0.10 and a use rate of baseline stoves of 0.0 are set. Year Estimation of project activity emission (tco 2 ) Estimation of baseline emissions (tco 2 ) Estimation of leakage (tco 2 )* Estimation of overall emission reductions (tco 2 ) ,158 23,158 N/A ,808 23,158 N/A 1, ,108 23,158 N/A 4, ,408 23,158 N/A 6, ,158 23,158 N/A 9, ,258 23,158 N/A 9, ,258 23,158 N/A 9, ,258 23,158 N/A 9, ,258 23,158 N/A 9, ,258 23,158 N/A 9, ,258 23,158 N/A 9,900 Total (tco 2 ) 174, , ,550 *As per AMS II.G. if Leakage has to be considered then B old is adjusted to account for the quantified leakage. Therefore, leakage emissions shall be considered in the baseline emissions calculation (Adjustment default factor for Leakage: 0.95) Please note that emission reductions above the micro-scale limit are not claimed by the project. 32

33 B.7 Application of a monitoring methodology and description of the monitoring plan as per the existing or new methodology applied to the micro-scale project activity: According to AMS II.G version 3 1. Monitoring shall consist of checking the efficiency of all appliances or a representative sample thereof, at least once every two years (biennial) to ensure that they are still operating at the specified efficiency ( η new ) or replaced by an equivalent in service appliance. Where replacements are made, monitoring shall also ensure that the efficiency of the new appliances is similar to the appliances being replaced. 2. Monitoring shall also consist of checking of all appliances or a representative sample thereof, at least once every two years (biennial) to determine if they are still operating or are replaced by an equivalent in service appliance. 3. In order to assess the leakage described above, monitoring shall include data on the amount of woody biomass saved under the project activity that is used by non-project households/users (who previously used renewable energy sources). Other data on non-renewable woody biomass use required for leakage assessment shall also be collected. 4. Monitoring shall ensure that: (a) Either the replaced low efficiency appliances are disposed of and not used within the boundary or within the region; or (b) If baseline stoves continue to be used, monitoring shall ensure that the fuel-wood consumption of those stoves is excluded from B old. Assessment of Leakage According to the description of the project activity it is normally unlikely that woody biomass saved under the project activity is used by non-project households/users (who previously used renewable energy sources). To account for leakage a fixed correction factor of 0.95 is applied to calculate emission reductions (see above section B.6). Therefore no monitoring of leakage is required. The monitoring as per AMS.II.G requirements (sections 15 to 21) shall be carried out at the time of verification of the project. 33