Methodological tool Tool to calculate project or leakage CO 2 emissions from fossil fuel combustion

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CLEAN DEVELOPMENT MECHANISM TOOL03 Methodological tool Tool to calculate project or leakage CO 2 emissions from fossil fuel combustion

TABLE OF CONTENTS Page 1. INTRODUCTION... 3 1.1. Background... 3 2. SCOPE, APPLICABILITY, AND ENTRY INTO FORCE... 3 2.1. Scope and applicability... 3 2.2. Entry into force... 3 3. DEFINITIONS... 3 4. PARAMETERS... 3 5. BASELINE METHODOLOGY PROCEDURE... 3 6. MONITORING METHODOLOGY PROCEDURE... 5 6.1. Monitoring procedures... 5 6.2. Data and parameters monitored... 5 2 of 10

1. Introduction 1.1. Background 1. This tool provides procedures to calculate emissions associated with the fossil fuels combustion. 2. Scope, applicability, and entry into force 2.1. Scope and applicability 2. This tool provides procedures to calculate project and/or leakage CO 2 emissions from the combustion of fossil fuels. It can be used in cases where CO 2 emissions from fossil fuel combustion are calculated based on the quantity of fuel combusted and its properties. Methodologies using this tool should specify to which combustion process j this tool is being applied. 2.2. Entry into force 3. The date of entry into force is the date of the publication of the EB 96 meeting report on 22 September 2017. 3. Definitions 4. The definitions contained in the Glossary of CDM terms shall apply. 4. Parameters 5. This tool provides procedures to determine the following parameters: Parameter SI Unit Description PE FC,j,y tco2/yr CO2 emissions from fossil fuel combustion in process j during the year y 5. Baseline methodology procedure 6. CO 2 emissions from fossil fuel combustion in process j are calculated based on the quantity of fuels combusted and the CO 2 emission coefficient of those fuels, as follows: PE FC,j,y = FC i,j,y COEF i,y Equation (1) i Where: PE FC,j,y = Are the CO 2 emissions from fossil fuel combustion in process j during the year y (tco 2/yr) 3 of 10

FC i,j,y COEF i,y i = Is the quantity of fuel type i combusted in process j during the year y (mass or volume unit/yr) = Is the CO 2 emission coefficient of fuel type i in year y (tco 2/mass or volume unit) = Are the fuel types combusted in process j during the year y 7. The CO 2 emission coefficient COEF i,y can be calculated using one of the following two Options, depending on the availability of data on the fossil fuel type i, as follows: (a) Option A: The CO 2 emission coefficient COEF i,y is calculated based on the chemical composition of the fossil fuel type i, using the following approach: If FC i,j,y is measured in a mass unit: COEF i,y = w C,i,y 44/12 Equation (2) If FC i,j,y is measured in a volume unit: COEF i,y = w C,i,y ρ i,y 44/12 Equation (3) Where: COEF i,y w C,i,y ρ i,y i = Is the CO 2 emission coefficient of fuel type i (tco 2/mass or volume unit); = Is the weighted average mass fraction of carbon in fuel type i in year y (tc/mass unit of the fuel) = Is the weighted average density of fuel type i in year y (mass unit/volume unit of the fuel) = Are the fuel types combusted in process j during the year y (b) Option B: The CO 2 emission coefficient COEF i,y is calculated based on net calorific value and CO 2 emission factor of the fuel type i, as follows: COEF i,y = NCV i,y EF CO2,i,y Equation (4) Where: COEF i,y NCV i,y EF CO2,i,y i = Is the CO 2 emission coefficient of fuel type i in year y (tco 2/mass or volume unit) = Is the weighted average net calorific value of the fuel type i in year y (GJ/mass or volume unit) = Is the weighted average CO 2 emission factor of fuel type i in year y (tco 2/GJ) = Are the fuel types combusted in process j during the year y 8. Option A should be the preferred approach, if the necessary data is available. 4 of 10

6. Monitoring methodology procedure 6.1. Monitoring procedures 9. Describe and specify in the CDM-PDD all monitoring procedures, including the type of measurement instrumentation used, the responsibilities for monitoring and QA/QC procedures that will be applied. Where the methodology provides different options (e.g. use of default values or on-site measurements), specify which option will be used. Meters should be installed, maintained and calibrated according to equipment manufacturer instructions and be in line with national standards, or, if these are not available, international standards (e.g. IEC, ISO). 10. All data collected as part of monitoring should be archived electronically and be kept at least for 2 years after the end of the last crediting period. 100% of the data should be monitored if not indicated differently in the comments in the tables below. 6.2. Data and parameters monitored Data / Parameter table 1. Data / parameter: Data unit: Description: Source of data: Measurement procedures (if any): FCi,j,y Mass or volume unit per year (e.g. ton/yr or m 3 /yr) Quantity of fuel type i combusted in process j during the year y Onsite measurements Use either mass or volume meters. In cases where fuel is supplied from small daily tanks, rulers can be used to determine mass or volume of the fuel consumed, with the following conditions: The ruler gauge must be part of the daily tank and calibrated at least once a year and have a book of control for recording the measurements (on a daily basis or per shift); Accessories such as transducers, sonar and piezoelectronic devices are accepted if they are properly calibrated with the ruler gauge and receiving a reasonable maintenance; Monitoring frequency: QA/QC procedures: In case of daily tanks with pre-heaters for heavy oil, the calibration will be made with the system at typical operational conditions Continuously The consistency of metered fuel consumption quantities should be cross-checked by an annual energy balance that is based on purchased quantities and stock changes. Where the purchased fuel invoices can be identified specifically for the CDM project, the metered fuel consumption quantities should also be cross-checked with available purchase invoices from the financial records 5 of 10

Any comment: Project activities or PoAs, where end users of the subsystems or measures are households/communities/small and medium enterprises (SMEs), faced with data gaps due to meter failure or other reasons unforeseen, may estimate the quantity of fuel, using one of the following options, provided the gap period does not exceed 30 consecutive days within six consecutive months: The purchased fuel/energy invoices/bills, where the purchased fuel can be identified specifically for the CDM project; The energy produced by the equipment, adjusted by efficiency. Efficiency of the equipment is determined using the Methodological tool: Determining the baseline efficiency of thermal or electric energy generation systems, and energy produced is measured directly or calculated based on operation hours; The highest value of the parameter for the same calendar period of the previous years; The fuel consumption of a representative sample of the first batch 1 of project devices. It may be assumed that the fuel consumption measured in a representative sample of the first batch of project devices apply to all subsequent batches. Data / Parameter table 2. Data / parameter: Data unit: Description: Source of data: wc,i,y tc/mass unit of the fuel Weighted average mass fraction of carbon in fuel type i in year y The following data sources may be used if the relevant conditions apply: Data source (a) Values provided by the fuel supplier in invoices (b) Measurements by the project participants Conditions for using the data source This is the preferred source Measurement procedures (if any): Monitoring frequency: Measurements should be undertaken in line with national or international fuel standards The mass fraction of carbon should be obtained for each fuel delivery, from which weighted average annual values should be calculated 1 Batch is defined as the population of the devices of the same type commissioned at a certain calendar year. To establish the date of commissioning, the project participant may opt to group the devices in batches and the latest date of commissioning of a device within the batch shall be used as the date of commissioning for the entire batch. 6 of 10

QA/QC procedures: Any comment: Verify if the values under (a) and (b) are within the uncertainty range of the product of the IPCC default values as provided in Table 1.2 and Table 1.3, Vol. 2 of the 2006 IPCC Guidelines. If the values fall below this range collect additional information from the testing laboratory to justify the outcome or conduct additional measurements. The laboratories in (b) should have ISO17025 accreditation or justify that they can comply with similar quality standards Applicable where Option A is used Data / Parameter table 3. Data / parameter: Data unit: Description: Source of data: ρi,y Mass unit/volume unit Weighted average density of fuel type i in year y The following data sources may be used if the relevant conditions apply: Data source (a) Values provided by the fuel supplier in invoices (b) Measurements by the project participants (c) Regional or national default values Conditions for using the data source This is the preferred source. These sources can only be used for liquid fuels and should be based on well-documented, reliable sources (such as national energy balances) Measurement procedures (if any): Monitoring frequency: QA/QC procedures: - Any comment: Measurements should be undertaken in line with national or international fuel standards The density of the fuel should be obtained for each fuel delivery, from which weighted average annual values should be calculated Applicable where Option A is used and where FC i.j.y is measured in a volume unit. Preferably the same data source should be used for w C,i,y and ρ i,y Data / Parameter table 4. Data / parameter: Data unit: Description: NCVi,y GJ per mass or volume unit (e.g. GJ/m³, GJ/ton) Weighted average net calorific value of fuel type i in year y 7 of 10

Source of data: The following data sources may be used if the relevant conditions apply: Data source (a) Values provided by the fuel supplier in invoices (b) Measurements by the project participants (c) Regional or national default values (d) IPCC default values at the upper limit of the uncertainty at a 95% confidence interval as provided in Table 1.2 of Chapter 1 of Vol. 2 (Energy) of the 2006 IPCC Guidelines on National GHG Inventories Conditions for using the data source This is the preferred source if the carbon fraction of the fuel is not provided (Option A). These sources can only be used for liquid fuels and should be based on well documented, reliable sources (such as national energy balances) Measurement procedures (if any): Monitoring frequency: QA/QC procedures: Any comment: For (a) and (b): Measurements should be undertaken in line with national or international fuel standards For (a) and (b): The NCV should be obtained for each fuel delivery, from which weighted average annual values should be calculated. For (c): Review appropriateness of the values annually. For (d): Any future revision of the IPCC Guidelines should be taken into account Verify if the values under (a), (b) and (c) are within the uncertainty range of the IPCC default values as provided in Table 1.2, Vol. 2 of the 2006 IPCC Guidelines. If the values fall below this range collect additional information from the testing laboratory to justify the outcome or conduct additional measurements. The laboratories in (a), (b) or (c) should have ISO17025 accreditation or justify that they can comply with similar quality standards Applicable where Option B is used Data / Parameter table 5. Data / parameter: Data unit: Description: EFCO2,i,y tco2/gj Weighted average CO2 emission factor of fuel type i in year y 8 of 10

Source of data: The following data sources may be used if the relevant conditions apply: Data source Values provided by the fuel supplier in invoices Measurements by the project participants Regional or national default values IPCC default values at the upper limit of the uncertainty at a 95% confidence interval as provided in table 1.4 of Chapter1 of Vol. 2 (Energy) of the 2006 IPCC Guidelines on National GHG Inventories Conditions for using the data source This is the preferred source These sources can only be used for liquid fuels and should be based on welldocumented, reliable sources (such as national energy balances) Measurement procedures (if any): Monitoring frequency: Any comment: For (a) and (b): Measurements should be undertaken in line with national or international fuel standards For (a) and (b): The CO2 emission factor should be obtained for each fuel delivery, from which weighted average annual values should be calculated. For (c): Review appropriateness of the values annually. For (d): Any future revision of the IPCC Guidelines should be taken into account Applicable where option B is used. For (a): If the fuel supplier does provide the NCV value and the CO2 emission factor on the invoice and these two values are based on measurements for this specific fuel, this CO2 factor should be used. If another source for the CO2 emission factor is used or no CO2 emission factor is provided, Options (b), (c) or (d) should be used - - - - - 9 of 10

Document information Version Date Description 03.0 22 September 2017 EB 96, Annex 4 02.0 2 August 2008 EB 41, Annex 11 01.0 22 June 2007 EB 32, Annex 9 Decision Class: Regulatory Document Type: Tool Business Function: Methodology Keywords: fossil fuel, leakage, sampling Revision to provide flexible and objective requirements and best practice examples for missing data management. The tool was revised to clarify that the use of rulers is an acceptable measurement method for monitoring FC i,j,y. Initial adoption. 10 of 10