Gunung Salak VCS PD Lsa v2.2

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PROJECT  DESCRIPTION:  VCS  Version  3

CAPACITY  UPGRADE  OF                        


GUNUNG  SALAK  GEOTHERMAL    
POWER  PLANT  PROJECT,  INDONESIA  

   

Document  Prepared  By:  South  Pole  Carbon  Asset  Management  Ltd.  

Contact  Information:  [email protected]  


 

Project  Title     Capacity  Upgrade  of  Gunung  Salak  Geothermal  Power  Plant  Project,  Indonesia  

Version   2.2  

Date  of  Issue   14  December  2017  

Prepared  By   South  Pole  Carbon  Asset  Management  Ltd.  

Contact     Technoparkstrasse  1,  Zurich  8005,  Switzerland  

Telephone:  +41  43  501  35  50  


E-­mail:  [email protected]  

http://www.southpole.com  

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  PROJECT  DESCRIPTION:  VCS  Version  3
Table  of  Contents  
1   Project  Details  ....................................................................................................................................  3  
1.1   Summary  Description  of  the  Project  ...........................................................................................  3  
1.2   Sectoral  Scope  and  Project  Type  ...............................................................................................  5  
1.3   Project  Proponent  .......................................................................................................................  5  
1.4   Other  Entities  Involved  in  the  Project  .........................................................................................  6  
1.5   Project  Start  Date  .......................................................................................................................  6  
1.6   Project  Crediting  Period  ..............................................................................................................  6  
1.7   Project  Scale  and  Estimated  GHG  Emission  Reductions  or  Removals  .....................................  7  
1.8   Description  of  the  Project  Activity  ...............................................................................................  7  
1.9   Project  Location  ..........................................................................................................................  9  
1.10   Conditions  Prior  to  Project  Initiation  .........................................................................................  10  
1.11   Compliance  with  Laws,  Statutes  and  Other  Regulatory  Frameworks  ......................................  10  
1.12   Ownership  and  Other  Programs  ...............................................................................................  10  
1.12.1   Project  Ownership  .......................................................................................................  10  
1.12.2   Emissions  Trading  Programs  and  Other  Binding  Limits  ..............................................  11  
1.12.3   Other  Forms  of  Environmental  Credit  ..........................................................................  11  
1.12.4   Participation  under  Other  GHG  Programs  ...................................................................  11  
1.12.5   Projects  Rejected  by  Other  GHG  Programs  ................................................................  11  
1.13   Additional  Information  Relevant  to  the  Project  .........................................................................  11  
2   Application  of  Methodology  ...........................................................................................................  13  
2.1   Title  and  Reference  of  Methodology  .........................................................................................  13  
2.2   Applicability  of  Methodology  .....................................................................................................  13  
2.3   Project  Boundary  ......................................................................................................................  13  
2.4   Baseline  Scenario  .....................................................................................................................  15  
2.5   Additionality  ..............................................................................................................................  17  
2.6   Methodology  Deviations  ...........................................................................................................  17  
3   Quantification  of  GHG  Emission  Reductions  and  Removals  ......................................................  17  
3.1   Baseline  Emissions  ..................................................................................................................  17  
3.2   Project  Emissions  .....................................................................................................................  25  
3.3   Leakage  ....................................................................................................................................  26  
3.4   Net  GHG  Emission  Reductions  and  Removals  ........................................................................  26  
4   Monitoring  ........................................................................................................................................  33  
4.1   Data  and  Parameters  Available  at  Validation  ...........................................................................  33  
4.2   Data  and  Parameters  Monitored  ..............................................................................................  34  
4.3   Monitoring  Plan  .........................................................................................................................  41  
5   Safeguards  .......................................................................................................................................  46  
5.1   No  Net  Harm  .............................................................................................................................  46  
5.2   Environmental  Impact  ...............................................................................................................  48  
5.3   Local  Stakeholder  Consultation  ................................................................................................  48  
5.4   Public  Comments  .....................................................................................................................  49  
APPENDIX  I:  Letter  from  The  Chairman  of  Indoensian  Geothermal  Association  ..............................  50  

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  PROJECT  DESCRIPTION:  VCS  Version  3
1   PROJECT  DETAILS    

1.1   Summary  Description  of  the  Project  

Indonesia,   which   is   situated   in   the   “Ring   of   Fire”,   has   great   potential   for   geothermal   energy  
resources   that   are   not   yet   fully   exploited.   Until   January   2000,   from   a   total   geothermal   energy  
1 2
reserve   of   9,100   MWe ,   only   769.5   MWe  are   cumulatively   installed   in   Sumatra,   Java-­Bali,  
3
Sulawesi,   and   other   islands,   which   accounted   for   3.9%  of   the   total   energy   mix.   This   small  
proportion   of   the   total   energy   mix   is   due   to   slow   development   progress   in   geothermal   energy  
utilization  due  to  the  high  capital  investment  required  and  a  high  level  of  risk  involved  in  the  project.  
These  factors  are  the  two  main  concerns  for  geothermal  power  plant  owners  seeking  to  improve  
their  power  plants’  efficiency  in  order  to  utilize  more  geothermal  energy  resources  in  the  country.  

The   Gunung   Salak   Geothermal   Power   Plant,   located   in   West   Java,   Indonesia,   is   owned   and  
operated   by   PT.   Indonesia   Power   as   a   subsidiary   of   PT.   PLN   (Persero),   the   Indonesian   state-­
owned  electricity  company.  The  power  plant  consists  of  3  power  station  units,  which  are  unit  1,  unit  
2,  and  unit  3.  Following  are  the  three  units’  commissioning  date:  

•   Unit  1:  12  March  1994  

•   Unit  2:  12  June  1994  

•   Unit  3:  16  July  1997  

As  of  1998,  the  power  plant  had  three  power  station  units  (unit  1,  2,  and  3)      with  designed  capacity  
4
of  55  MW  each.  A  study  conducted  by  the  Technology  Provider  revealed  that  installed  capacity  in  
these  initial  units  could  be  increased  to  3  x  60  MW  by  turbine  modification  for  all  units  and  ejector  
line  replacement  for  unit  3.  

5
Turbine  modification  means  to  modify  first  and  second  stage  diaphragms  by  increasing  nozzle  
size  from  a1  to  a2  to  allow  steam  turbine  efficiency  as  shown  in  Graph  1.  An  increase  in  a  and  b  
will   increase   blade   velocity   (u)   that   is   proportional   to   turbine   power   performance,   which   means  
achieving  higher  “flow  capability”  of  the  steam  turbine  and  optimising  steam  efficiency.  In  the  end,  
the  capacity  output  will  also  increase.  

1
 Sudarman,   et.   al.;;   Geothermal   Development   Progress   in   Indonesia:   Country   update   1995-­2000;;   Kyushu-­Tohoku,   Japan:  
Proceedings  World  Geothermal  Congress  2000;;  May  28-­June  10,  2000,  p.  2.  
2
 Sudarman,  et.  al.;;  (2000),  p.  4.  
3
 Sudarman,  et.  al.;;  (2000),  p.  4.  
4
 Minutes  of  Meeting,  Program  Up-­Rating  PLTP,  PT.  Indonesia  Power,  date:  27  November  2001  
5
 Contract  for  Off  Shore  Materials  Supply  for  Power  Up-­Rating  of  Unit  1,  2,  and  3  between  PT.  Indonesia  Power  and  Ansaldo  Energia  
SpA,  dated  on  22  July  2002,  Appendix  1.  

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  PROJECT  DESCRIPTION:  VCS  Version  3
Graph  1.  Nozzle  increase  in  the  diaphragms  

 
Source:  PT.  Indonesia  Power  

Ejector  line  replacement  means  to  replace  a  smaller  line  of  ejectors  with  a  new  design  to  increase  
the  flow  rate  of  Non-­Condensable  Gases  (NCG)  which  is  caused  by  an  increase  of  steam  flow  due  
the  project  activity.  

The  project  is  comprised  of  upgrading  these  three  power  station  units  to  increase  the  power  plant  
total  installed  capacity  to  3  x  60  MW.  

The  key  purpose  of  the  project  is  to  increase  utilization  of  geothermal  resources  in  the  mountainous  
areas   surrounding   Gunung   Salak   to   generate   zero   emission   electricity   to   be   transmitted   to   the  
Jawa-­Madura-­Bali  (JAMALI)  grid  (hereafter  referred  to  as  the  Grid)  through  the  Bogor  Baru  PLN  
main  station,  with  150  kV  transmission  line.  

The  Gunung  Salak  Geothermal  field  is  owned  by  Star  Energy  Geothermal  Salak  Ltd.  (previously  
6
owned  by  Chevron  Geothermal  Indonesia  Ltd.)  and  consists  of  2  main  areas,  Awi  Bengkok-­Ratu  
and   Nirmala   area,   and   supplies   steam   from   its   AWI-­7,   AWI-­8,   AWI-­9,   and   AWI-­11   wells   to   the  
Gunung  Salak  Geothermal  power  plants  under  a  Steam  Sales  Contract/SSC  (Chevron  Geothermal  
Indonesia  is  obliged  to  provide  these  power  plants  with  the  required  steam  to  generate  electricity).  

An  estimate  of  annual  average  and  total  GHG  emission  reductions  and  removals.  

The  additional  capacity  upgrade  of  3  x  5  MW  generates  213,959  MWh  annually  to  be  exported  to  
the  JAMALI  grid  that  would  have  been  otherwise  generated  from  fossil-­fuel  power  plants.  The  3  x  
60   MW   installed   capacity   generates   an   estimate   of   annual   average   of   104,620   tCO2   emission  

6
 Major  Acquisition  by  Star  Energy  Group:  Star  Energy  Consortium  have  signed  Share  Sale  and  Purchase  Agreements  with  Chevron  
Global  Energy  Inc,  Union  Oil  Company  of  California  and  their  relevant  affiliates  (collectively,  "Chevron")  for  the  purchase  of  Chevron's  
geothermal  operations  in  Indonesia  and  Philippines  on  December  22,  2016.  (Source:  http://www.starenergy.co.id/News/Articles/Major-­
Acquisition-­by-­Star-­Energy-­Group.aspx)  

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  PROJECT  DESCRIPTION:  VCS  Version  3
reduction  and  total  GHG  emission  reductions  is  1,046,199  tCO2  over  a  crediting  period  of  10  (ten)  
years  from  1  April  2016  until  31  March  2026.  

1.2   Sectoral  Scope  and  Project  Type    

The  project  activity  is  comprised  of  a  capacity  upgrade  of  Gunung  Salak  Geothermal  Power  Plant  
from   3   x   55   MW   to   3   x   60   MW.   The   additional   installed   capacity   of   15   MW   at   Gunung   Salak  
Geothermal  power  plant  generates  and  supplies  an  average  of  213,959  MWh  p.a.  of  electricity  to  
the   connected   JAMALI   Grid.   The   project   is   owned   and   developed   by   PT.   Indonesia   Power,   a  
subsidiary   company   of   PT.   PLN   (Persero),   a   state-­owned   electricity   company.   The   proposed  
project  will  increase  the  utilization  of  renewable  energy  sources,  in  this  case  geothermal  energy,  
by   modifying   turbines   and   steam   gas   ejectors.   Steam   for   the   project   is   provided   by   Chevron  
Geothermal   Indonesia   under   an   Energy   Sales   Contract   (ESC)   between   PT.   PLN   (Persero)  
Pertamina,   a   state-­owned   oil   and   gas   company,   and   Unocal   Geothermal   of   Indonesia   (Unocal  
Geothermal   Indonesia   was   acquired   by   Chevron   Geothermal   Indonesia   Ltd.   Though   today,  
Gunung  Salak  geothermal  fields  are  owned  by  Star  Energy  Geothermal  Salak  Ltd.).  

According   to   the   CDM   UNFCCC   criteria,   one   approved   GHG   program   by   the   VCS   Board,   the  
project  is  classified  as  large  scale  and,  based  on  Annex  A  of  the  Kyoto  Protocol,  falls  under  Sectoral  
Category  1,  Energy  Industries  (renewable/non  renewable).  

According   to   the   Voluntary   Carbon   Standard,   the   project   activity   falls   under   the   category   of  
renewable  energy  (wind,  PV,  solar  thermal,  biomass,  liquid  bio-­fuels,  geothermal,  and  run-­of-­river  
hydro).  

1.3   Project  Proponent  


Name  of  the  party  involved   Private   and/or   public   entity   Kindly   indicate   if   the   party  
((host)   indicates   a   host   (ies)   project   participants   involved   to   be   considered  
party)   (as  applicable)   as   project   participant  
(Yes/No)  
Indonesia  (host)   PT.  Indonesia  Power   No  

Project  proponents  contact  information  as  follows:  

Project  owner:  

Organization  name   PT.  Indonesia  Power  

Contact  person   Eri  Prabowo  

Title   Director  of  Operation  I  

Address   Jl.  Jenderal  Gatot  Subroto  Kav.  18,  Jakarta  12950,  Indonesia  

Telephone   +62-­21-­526  7666  

Email   [email protected]    

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1.4   Other  Entities  Involved  in  the  Project  


Name  of  the  party  involved   Private   and/or   public   entity   Kindly   indicate   if   the   party  
((host)   indicates   a   host   (ies)   project   participants   involved   to   be   considered  
party)   (as  applicable)   as   project   participant  
(Yes/No)  
Switzerland   South   Pole   Carbon   Asset   No  
Management   Ltd.   (as   carbon  
credit  buyer)  

Carbon  credit  buyer:  

Organization  name   South  Pole  Carbon  Asset  Management  Ltd.  

Contact  person   Renat  Heuberger  

Title   CEO  

Address   Technoparkstrasse  1,  Zurich  8005,  Switzerland  

Telephone   +41-­43  501  35  50  

Email   [email protected]  

1.5   Project  Start  Date  

The  project  start  date,  when  the  power  plant  started  to  operate  normally  after  the  capacity  upgrade  
performance  test  conducted  by  the  technology  provider  and  at  the  same  time  the  project  started  to  
reduce  GHG  emissions:  

•   Unit  1:  21  June  2005  

•   Unit  2:  4  April  2005  

•   Unit  3:  29  September  2004  

Thus,  the  project  start  date  is  29  September  2004  (as  per  the  Performance  Test  Report  of  the  unit  
3),  as  the  earliest  project  start  date  of  three  units  at  Gunung  Salak  Geothermal  Power  Plant.  

1.6   Project  Crediting  Period  


st
1  Crediting  period  start  date:  1  April  2006.  

nd
2  Crediting  period  start  date:  1  April  2016.  

st
1  Crediting  period:  10  years  from  1  April  2006  until  31  March  2016.  

nd
2  Crediting  period:  10  years  from  1  April  2016  until  31  March  2026.  

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1.7   Project  Scale  and  Estimated  GHG  Emission  Reductions  or  Removals  
Project  Scale  
Project    √  
Large  project    
 
The  project  activity  is  comprised  of  a  capacity  upgrade  of  Gunung  Salak  geothermal  power  plant  
from  3  x  55  MW  to  3  x  60  MW.  The  additional  capacity  upgrade  of  3  x  5  MW  generates  213,959  
MWh  annually  to  be  exported  to  the  JAMALI  grid  that  would  have  been  otherwise  generated  from  
fossil-­fuel  power  plants.    The  3  x  60  MW  installed  capacity  generates  an  average  of  104,620  tCO2  
emission  reduction  credits  per  year.  
 
Emission  reduction  estimates  over  a  crediting  period  of  10  (ten)  years  from  1  April  2016  until  31  
March  2026  is  provided  in  the  table  below:  
 
Years   Estimated  GHG  emission  
reductions  or  removals  
(tCO2e)  
Year  2016  (1  April  2016  -­  31  March  2017)    61,793    
Year  2017  (1  April  2017  -­  31  March  2018)    109,378    
Year  2018  (1  April  2018  -­  31  March  2019)    109,378    
Year  2019  (1  April  2019  -­  31  March  2020)    109,378    
Year  2020  (1  April  2020  -­  31  March  2021)    109,378    
Year  2021  (1  April  2021  -­  31  March  2022)    109,378    
Year  2022  (1  April  2022  -­  31  March  2023)    109,378    
Year  2023  (1  April  2023  -­  31  March  2024)    109,378    
Year  2024  (1  April  2024  -­  31  March  2025)    109,378    
Year  2025  (1  April  2025  -­  31  March  2026)    109,378    
Total  estimated  ERs    1,046,199    
Total  number  of  crediting  years    10    
Average  annual  ERs    104,620    

1.8   Description  of  the  Project  Activity  

By  increasing  the  power  plant  installed  capacity,  the  project  will  utilize  additional  geothermal  energy  
sources   for   generating   electricity.   The   electricity   generated   will   be   exported   to   the   JAMALI   grid,  
displacing  electricity  from  primarily  fossil-­fuel  based  power  plants  that  supply  the  grid.  

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7
The  following  modification  has  been  undertaken  to  increase  the  steam  flow,  thus  increasing  the  
installed  capacity  of  the  power  plant  from  3  x  55  MW  to  3  x  60  MW:  

•   Turbine  modification,  which  means  to  modify  first  and  second  stage  diaphragms  by  increasing  
nozzle  size  from  a1  to  a2  to  allow  steam  turbine  efficiency  as  shown  in  Graph  1.  

•   Ejector  line  replacement,  which  means  to  replace  a  smaller  line  of  ejectors  with  a  new  design  
to  increase  the  flow  rate  of  Non-­Condensable  Gases  (NCG)  that  is  caused  by  an  increase  in  
steam  flow  due  the  project  activity.  

The   project   does   not   modify   and/or   replace   the   whole   power   stations   but   only   parts   of   their  
equipment.  

In  the  end,  the  project  does  not  really  change  the  established  technology,  which  consists  of  a  steam  
turbine,   electrical   generators,   a   gas   extraction   system,   a   150kV   switchyard   system,   and   a   utility  
system.   The   project   is   using   the   same   hot   water-­dominated   steam   characteristic   from   Gunung  
Salak  Geothermal  field,  with  a  condensate  re-­injection  well-­system  to  maintain  groundwater  supply.  
However,  the  project  utilizes  a  higher  steam  flow  due  to  a  capacity  increase  by  modifying  steam  
turbines.  

The  following  are  the  main  technical  parameters  before  and  after  the  project:  
Variable   Value   Source  
Before  the   After  the  
project   project  
Installed  capacity   of   •  Unit   1:  68,750  •  Unit   1:   68,750   Report   of   up   rating   unit   3,  
electrical   generator   kVA   kVA   Laporan   Major   inspection  
(kVA)   •  Unit   2:  68,750  •  Unit   2:   68,750   unit   2,   Laporan   Simple  
kVA   kVA   inspection  and  up  rating  unit  
•  Unit   3:  68,750  •  Unit   3:   68,750   1  
kVA   kVA  
Power  factor   0.8   0.8   Report   of   up   rating   unit   3,  
Laporan   Major   inspection  
unit   2,   Laporan   Simple  
inspection  and  up  rating  unit  
1  
Steam   turbine   3  x  55  MW   3  x  60  MW   Report   of   up   rating   unit   3,  
capacity  (MW)   Laporan   Major   inspection  
unit   2,   Laporan   Simple  
inspection  and  up  rating  unit  
1  
PPA   Unit   Rated   3  x  55  MW   3  x  60  MW   Energy   Sales   Contract  
Capacity/URC  (MW)   Amendment   Agreement  
(called  ESC  hereafter)  
Operating  time  yearly   7,884   7,884   Energy   Sales   Contract  
8
(hours)   (8,760  x  90%)   (8,760  x  90%)   Amendment  Agreement  

7
 Contract  for  Off  Shore  Materials  Supply  for  Power  Up-­Rating  of  Unit  1,  2,  and  3  between  PT.  Indonesia  Power  and  Ansaldo  Energia  
SpA,  dated  on  22  July  2002.  
8
 However,  based  on  historical  data  and  information,  the  Gunung  Salak  Geothermal  Power  Plant  could  possibly  generate  electricity  
with  95%  load  factor,  which  is  higher  than  the  assumption  used  in  the  VCS  PD  ex-­ante  calculation.  

v3.3   8  
  PROJECT  DESCRIPTION:  VCS  Version  3
Annual   power   •  Unit   1:  •  Unit   1:   473,040   *Based   on   historical   and  
generation/effective   411,363  MWh   MWh   actual  data  recorded  by  PT.  
supply   to   the   grid   •  Unit   2:  •  Unit   2:   473,040   Indonesia  Power  
(MWh)   399,102  MWh   MWh   **Expected   annual   power  
•  Unit   3:   •  Unit  3:  473,040   generation  after  the  capacity  
394,696   MWh   upgrade   (with   90%   load  
MWh   •  Total:   factor  assumption)  
•  Total:   1,419,120**  
1,205,161*   MWh  
MWh  

Source:  PT.  Indonesia  Power  

1.9   Project  Location  

The  project  site  is  located  in  Awibengkok-­Ratu  area  of  Gunung  Salak  Geothermal  field  surrounded  
by   Halimun   Salak   national   park,   which   is   administratively   part   of   Bogor   District   and   Sukabumi  
District,   West   Java   Province,   Indonesia.   The   project   is   located   988   m   above   sea   level,  
0
approximately  82  km  from  Bogor  and  58  km  from  Sukabumi.  The  exact  location  is  06  44’  26”  S,  
0
106  38’  28”  E.  

v3.3   9  
  PROJECT  DESCRIPTION:  VCS  Version  3

Source:  Google  Earth  

1.10   Conditions  Prior  to  Project  Initiation  

The  existing  power  plant  was  originally  designed  for  an  installed  capacity  of  165  MW  (or  3  x  55  
MW),   and   in   the   baseline   scenario   would   continue   to   provide   electricity   to   the   JAMALI   grid   at  
1,205,161  MWh/year.    

1.11   Compliance  with  Laws,  Statutes  and  Other  Regulatory  Frameworks  

The   project   meets   all   local   laws   and   regulations   of   the   Government   of   Indonesia.   The   project  
activity,  in  using  geothermal  power  to  generate  electricity,  is  a  voluntary  action  that  has  never  been  
obliged  by  the  Government  of  Indonesia.    

The   project   has   a   construction   permit,   Power   Purchase   Agreement,   Steam   Sales   Contract,   and  
Environmental  Impact  Assessment.  

1.12   Ownership  and  Other  Programs  

1.12.1   Project  Ownership  

Evidence   of   project   ownership   is   the   proof   of   title   as   explained   in   a   letter   from   the   chairman   of  
Indonesian   Geothermal   Association   “Asosiasi   Panasbumi   Indonesia   (API)”   letter   No.:   076/PP-­
API/2007,  dated  18  June  2009.  The  letter  attached  in  Annex  I.  

v3.3   10  
  PROJECT  DESCRIPTION:  VCS  Version  3
1.12.2   Emissions  Trading  Programs  and  Other  Binding  Limits  

Not  applicable.  

1.12.3   Other  Forms  of  Environmental  Credit  

The  project  activity  currently  has  not  applied  to  any  other  form  of  environmental  credits.  

Projects   may   generate   other   forms   of   GHG-­related   environmental   credits,   such   as   renewable  
energy   certificates   (RECs),   though   GHG   emission   reductions   and   removals   presented   for   VCU  
9
issuance  shall  not  also  be  recognized  as  another  form  of  GHG-­related  environmental  credit .    

If   the   project   activity   will   be   issued   under   any   recognized   program   which   creates   GHG-­related  
environmental   credits   (such   as   renewable   energy   certificates   or   RECs),   the   GHG   emission  
reductions  or  removals  from  one  verification  period  can  be  split  between  the  VCS  Program  and  
10
another  GHG  program .  

1.12.4   Participation  under  Other  GHG  Programs  

Not  applicable.    

1.12.5   Projects  Rejected  by  Other  GHG  Programs  

Not  applicable.  

1.13   Additional  Information  Relevant  to  the  Project    

Eligibility  Criteria  

Not  applicable.  

Leakage  Management  

According  to  ACM0002  version  17.0,  the  leakage  of  the  proposed  project  is  not  considered.  No  
leakage  is  expected.  

Commercially  Sensitive  Information    

Not  applicable.  

Sustainable  Development    

The   project   is   contributing   to   sustainable   development   defined   by   the   Government   of   Indonesia  


specifically  as  follows:  

9
 According  to  VCS  Standard:  VCS  Version  3,  21  June  2017,  v3.7  
10
 According  to  VCS  Standard:  VCS  Version  3,  21  June  2017,  v3.7  

v3.3   11  
  PROJECT  DESCRIPTION:  VCS  Version  3
Social  well-­being:  

•   The  project  contributes  to  the  development  of  the  region  by  increasing  community  development  
and  corporate  social  responsibility  of  PT.  Indonesia  Power.  

•   During  the  capacity  upgrade  and  operation,  there  are  various  kinds  of  mechanical  work,  which  
generates  employment  on  regular  and  permanent  basis.  

Economic  well-­being:  

•   The  project  activity  generates  employment  in  the  local  area.  

•   The  project  activity  is  a  good  investment  in  a  developing  region,  which  otherwise  would  not  have  
happened  in  the  absence  of  project  activity.  

•   The  generated  electricity  is  fed  into  regional  grids  through  the  local  grid,  thereby  improving  the  
grid   frequency   and   availability   of   electricity   to   the   local   consumers   (villagers   and   sub-­urban  
inhabitants),  which  will  provide  new  opportunities  for  industries  and  economic  activities  to  be  
setup   in   the   area   thereby   resulting   in   greater   local   employment,   ultimately   leading   to   overall  
development.  

•   The  project  activity  also  leads  to  diversification  of  the  national  energy  supply,  which  is  dominated  
by  conventional  fuel  based  generating  units.  

•   The  project  activity  contributes  to  the  economic  sustainability  around  the  plant  sites,  which  is  
encouraging  economic  power  decentralization.  

Environmental  well-­being:  

•   The  project  utilizes  geothermal  power  to  generate  electricity,  which  otherwise  would  have  been  
generated  through  alternate  fuel-­  (most  likely  fossil  fuel-­)  based  power  plants,  contributing  to  a  
reduction  in  specific  emissions  (emissions  of  pollutant/unit  of  energy  generated)  including  GHG  
emissions.  

•   As  geothermal  power  projects  produce  no  end  products  in  the  form  of  solid  waste  (ash,  etc.),  
they  address  the  problem  of  solid  waste  disposal  encountered  by  most  other  sources  of  power.  

•   Being   a   renewable   energy   source,   geothermal   energy   is   used   to   generate   electricity   that  
contributes  to  resource  conservation.  

•   Thus,  the  project  causes  no  negative  impact  on  the  surrounding  environment;;  and  in  the  end  
contributes  to  environmental  well-­being.  

Technological  well-­being:  

•   The  project  supports  technology  transfer  from  other  regions  or  even  other  countries,  as  well  as  
contributes  to  capacity  building  of  the  labour  force  through  trainings  and  practical  works.  

v3.3   12  
  PROJECT  DESCRIPTION:  VCS  Version  3
•   The  project  promotes  local  products  developed  in  the  region,  when  replacement  of  spare  parts  
is  necessary,  and  supports  renewable  technology  development  especially  for  geothermal  power  
technology.    

In  view  of  the  above  explanation,  the  project  participants  consider  that  the  project  activity  profoundly  
contributes  to  sustainable  development.  

Further  Information  

No  further  information.  

2   APPLICATION  OF  METHODOLOGY  

2.1   Title  and  Reference  of  Methodology    

The   project   uses   the   VCS   board-­approved   consolidated   baseline   and   monitoring   methodology  
ACM0002   “Consolidated   baseline   methodology   for   grid-­connected   electricity   generation   from  
renewable  sources”,  version  17.0,  13  May  2016.  

2.2   Applicability  of  Methodology  

The  approved  methodology  of  ACM0002  (version  17.0)  is  chosen  and  applicable  to  the  proposed  
project  due  to  the  following  reasons:  

•   The  project  activity  is  a  modification  (retrofit)  of  an  existing  geothermal  power  plant  that  involves  
electricity  capacity  addition  from  total  capacity  of  165  MW  to  180  MW.  

•   The  project  is  a  renewable  electricity  generation  plant  from  geothermal  energy  sources,  which  
is  connected  to  the  JAMALI  grid.  

•   The  project  activity  exports  its  electricity  to  the  clearly  identified  regional  Jawa,  Madura,  and  Bali  
interconnected   power   grid   (JAMALI   grid).   The   value   and   characteristics   of   the   grid   are   also  
publicly  available.  

•   The  proposed  project  is  not  an  activity  that  involves  fossil  fuel  switching  to  renewable  energy  at  
the  site  of  the  project  activity.  

Based  on  the  stated  reasons  above,  the  applicability  criteria  of  the  approved  CDM  methodology  
ACM0002   (version   17.0)   ”Consolidated   baseline   methodology   for   grid-­connected   electricity  
generation  from  renewable  sources”  are  met.  

2.3   Project  Boundary  

The  baseline  includes  the  emissions  related  to  the  electricity  produced  by  the  facilities  and  power  
plants  displaced  by  the  increased  capacity  of  Gunung  Salak  geothermal  power  plant,  Indonesia.  

v3.3   13  
  PROJECT  DESCRIPTION:  VCS  Version  3
This  involves  emissions  from  displaced  fossil  fuel  use  in  power   plants  connected  to  the  JAMALI  
grid  (see  table  below).  

Source   Gas   Included?   Justification/Explanation  


CO2   CO2   Included   According  to  ACM0002  only  CO2  emissions  from  
emission   electricity   generation   should   be   accounted   for  
from   (main  emission  source).  
electricity   CH4   Excluded   According  to  ACM0002  (minor  emission  source).  
generation  
in  fossil  fuel-­   N2O   Excluded   According  to  ACM0002  (minor  emission  source).  
Baseline  

fired   power  
plants   that  
are  
displaced  
due   to   the  
project  
activity.  
For   dry   or   CO2   Included   According   to   ACM0002:   CO2   fugitive   emissions  
flash   steam   from   non-­condensable   gases   should   be  
geothermal   accounted  for  (main  emission  source).  
power   CH4   Included   According   to   ACM0002:   CH4   fugitive   emissions  
plants,   from   non-­condensable   gases   should   be  
emissions   of   accounted  for  (main  emission  source).  
Project  

CH4   and  
CO2   from   N2O   Excluded   According  to  ACM0002  (minor  emission  source).  
non-­
condensable  
gases  
contained   in  
geothermal  
steam.  

The   underlying   project   boundary   is   defined   as   the   steam   attributable   to   the   project’s   capacity  
upgrade,  as  below  picture.  

v3.3   14  
  PROJECT  DESCRIPTION:  VCS  Version  3

To   determine   the   steam   that   attributable   to   the   project’s   capacity   upgrade   hence   should   be  
calculated   based   on   specific   fuel   consumption   which   known   as   Specific   Steam   Consumption  
(SSC).  Specific  steam  consumption,  is  the  ratio  of  steam  flowrate  at  separator  exit  to  net  power  
11
output  of  the  plant .  The  SSC  has  been  used  as  one  of  the  parameters  to  evaluate  the  performance  
of  geothermal  power  plants.  

The  SSC  is  calculated  as  below:  

Steam  flowrate  (t  steam)


SSC  =    
 Net  power  output  of  the  plant  (MWh)

2.4   Baseline  Scenario  

The  baseline  scenario  is  the  electricity  that  would  continue  to  be  generated  by  the  current  installed  
capacity,  3  x  55  MW  and  exported  to  the  JAMALI  Grid.  

For  the  second  crediting  period,  the  continued  validity  of  the  original  baseline  should  be  assessed.  

According  to  the  tool  “Assessment  of  the  validity  of  the  original/current  baseline  and  update  of  the  
baseline  at  the  renewal  of  the  crediting  period  (Version  03.0.1)”,  following  steps  should  be  adopted:  

Step  1:  Assess  the  validity  of  the  current  baseline  for  the  next  crediting  period  

Step  1.1:  Assess  compliance  of  the  current  baseline  with  relevant  mandatory  national  and/or  
sectoral  policies  

There   is   no   mandatory   law   or   regulation,   which   forced   the   project   proponent   to   upgrade   the  
geothermal  power  plant  capacity.  Also,  there  are  no  new  national  and/or  sectoral  policies  that  could  
affect  the  baseline  scenario  during  the  renewal  of  the  crediting  period.  According  to  PLN's  Electricity  
Supply  Business  Plan  (RUPTL  PT.  PLN  (Persero))  year  2017-­2026  there  is  no  mandatory  for  PT.  

11
 Yildirim,  N.  Thermodynamic  Performance  of  Single-­Flash  Geothermal  Power  Plants  from  the  Point  of  View  of  Noncondensable  Gas  
Removal  Systems,  Proceedings  World  Geothermal  Congress,  2015,    
https://pangea.stanford.edu/ERE/db/WGC/papers/WGC/2015/26034.pdf  (accessed,  2017).  

v3.3   15  
  PROJECT  DESCRIPTION:  VCS  Version  3
Indonesia  Power  (as  a  subsidiary  of  PT.  PLN  (Persero))  to  upgrade  the  geothermal  power  plant  
12
capacity,  except  addition  of  power  plants.  

Step  1.2:  Assess  the  impact  of  circumstances  

There  is  no  impact  of  circumstances  existing  at  the  time  of  requesting  renewal  of  crediting  period  
on  the  current  baseline  emissions.  

Step   1.3:   Assess   whether   the   continuation   of   use   of   current   baseline   equipment(s)   or   an  
investment   is   the   most   likely   scenario   for   the   crediting   period   for   which   renewal   is  
requested.  

This  sub-­step  is  applicable  to  the  project  activity  since  the  baseline  is  the  continuation  of  the  current  
practice,  i.e.  the  electricity  would  be  supplied  by  the  power  grid  in  the  absence  of  the  project  activity.  
It  is  clear  that  the  power  grid  as  an  electricity  system  would  maintain  its  technical  possibility  for  a  
much  longer  time  than  the  crediting  period  of  the  project  activity.  

Step  1.4:  Assessment  of  the  validity  of  the  data  and  parameters  

There  are  some  parameters,  which  are  determined  at  the  start  of  the  first  crediting  period  and  not  
monitored  during  the  first  crediting  period,  are  not  valid  anymore.  So,  the  current  baseline  needs  to  
be  updated  for  the  second  crediting  period  according  to  the  tool.  This  update  includes  grid  emission  
factor,   EGhistorical,   and   shistorical   as   per   methodology   version   17.0.   Methodology   addresses   the  
uncertainty   of   variation   of   power   generation   by   adjusting   the   historical   electricity   generation  
(EGhistorical)  by  its  standard  deviation  (shistorical).  

Hence,  the  data  and  parameters  need  to  be  updated.  Therefore  step  2  is  used.  

Step  2:  Update  the  current  baseline  and  the  data  and  parameters  

Step  2.1:  Update  the  current  baseline  

The  baseline  emissions  for  the  second  crediting  period  have  been  updated,  without  reassessing  
the  baseline  scenario,  based  on  the  latest  approved  version  of  the  methodology.  This  update  was  
applied  in  the  context  of  the  sectoral  policies  and  circumstances  that  is  applicable  at  the  time  of  
requesting  for  renewal  of  the  crediting  period.  

Step  2.2:  Update  the  data  and  parameters  

As  mentioned  in  step  1.4,  all  parameters  regarding  the  grid  emission  factor,  EGhistorical,  and  shistorical  
calculation  are  updated  in  the  second  crediting  period.  

Project  participants  may  choose  among  the  following  two  time  spans  of  historical  data  to  determine  
EGhistorical:  

12
 Decree  of  Ministry  of  Energy  and  Mineral  Resources  No.  1415/K/20/MEM2017  dated  on  29  March  2017  concerning  Ratification  of    
PT.  PLN  (Persero)'s  Electricity  Supply  Business  Plan  Year  2017  –  2026.  
https://djk.esdm.go.id/pdf/RUPTL/RUPTL%20PLN%202017-­2026.pdf  (accessed,  2017).  

v3.3   16  
  PROJECT  DESCRIPTION:  VCS  Version  3
(a)   The  five  last  calendar  years  prior  to  the  implementation  of  the  project  activity;;  or  

(b)   The  time  period  from  the  calendar  year  following  DATEhist,  up  to  the  last  calendar  year  prior  
to  the  implementation  of  the  project,  as  long  as  this  time  span  includes  at  least  five  calendar  
years,  where  DATEhist  is  latest  point  in  time  between:  

(i)   The  commissioning  of  the  plant/unit;;  

(ii)   If  applicable:  the  last  capacity  addition  to  the  plant/unit;;  or  

(iii)   If  applicable:  the  last  retrofit  or  rehabilitation  of  the  plant/unit.  

The  EGhistorical  has  been  updated  using  the  option  (b)-­(i)  above.  

2.5   Additionality  

According  to  the  section  3.8.5  of  VCS  Standard  version  3.6,  a  full  reassessment  of  additionality  is  
not   required   when   renewing   the   project   crediting   period.   However,   regulatory   surplus   shall   be  
demonstrated  in  accordance  with  Section  4.6.3.  

It  is  confirmed  that  the  proposed  project  is  not  mandated  by  any  low,  statute  or  other  regulatory  
framework.  There  is  no  mandatory  law  or  regulation,  which  forced  the  project  proponent  to  upgrade  
the  geothermal  power  plant  capacity.  

There  is  no  any  mandatory  program  from  the  Government  of  Indonesia  that  forces  private  or  public  
entities   to   upgrade   renewable   energy   power   plants.   There   are   also   no   additional   incentives   to  
upgrade  capacity  in  terms  of  higher  electricity  price  or  other  benefits.  

2.6   Methodology  Deviations  

There  are  no  methodology  deviations.  

3   QUANTIFICATION  OF  GHG  EMISSION  REDUCTIONS  AND  REMOVALS  

3.1   Baseline  Emissions  

Based  on  ACM0002  version  17.0,  the  baseline  emission  (BEy  in  tCO2)  is  the  product  of  the  baseline  
emission  factor  (EFgrid,CM,y  in  tCO2/MWh)  times  the  electricity  supplied  by  the  project  activity  to  the  
grid  (EGPJ,y  in  MWh).  EGPJ,y  is  calculated  as  a  quantity  of  net  electricity  generation  supplied  by  the  
project  plants/units  to  the  grid  (EGfacility,y  in  MWh)  minus  the  sum  of  annual  average  historical  net  
electricity  generation  delivered  to  the  grid  by  the  existing  renewable  energy  power  plants/units  that  
was   operated   at   the   project   site   prior   to   the   implementation   of   the   project   activity   (EGhistorical   in  
MWh/yr)  and  standard  deviation  of  the  mentioned  EGhistorical  (shistorical  in  MWh/yr),  as  follows:  

BEy  =  EGPJ,y  x  EFgrid,CM,y  

where:  

v3.3   17  
  PROJECT  DESCRIPTION:  VCS  Version  3

BEy   =   Baseline  emissions  in  year  y  (t  CO2/yr)  

EGPJ,y   =   Quantity  of  net  electricity  generation  that  is  produced  and  fed  into  the  grid  as  
a  result  of  the  implementation  of  the  CDM  project  activity  in  year  y  (MWh/yr)  

EFgrid,CM,y   =   Combined  margin  CO2  emission  factor  for  grid  connected  power  generation  
in   year   y   calculated   using   the   latest   version   of   the   “Tool   to   calculate   the  
emission  factor  for  an  electricity  system”  (t  CO2/MWh)  

EGPJ,y  for  a  retrofit  or  rehabilitation  or  replacement  of  an  existing  renewable  energy  power  plant  is  
calculated  as  follows:  

EGPJ,y  =  EGfacility,y  -­  (EGhistorical  +shistorical);;until  DATEBaselineRetrofit  

where:  

EGPJ,y   =   Quantity  of  net  electricity  generation  that  is  produced  and  fed  into  the  
grid   as   a   result   of   the   implementation   of   the   CDM   project   activity   in  
year  y  (MWh/yr)  

EGfacility,y   =   Quantity   of   net   electricity   generation   supplied   by   the   project  


plants/units  to  the  grid  in  year  y  (MWh/yr)  

EGhistorical   =   Annual   average   historical   net   electricity   generation   delivered   to   the  


grid   by   the   existing   renewable   energy   power   plants/units   that   was  
operated  at  the  project  site  prior  to  the  implementation  of  the  project  
activity  (MWh/yr)  

shistorical   =   Standard   deviation   of   the   annual   average   historical   net   electricity  


generation   delivered   to   the   grid   by   the   existing   renewable   energy  
power   plants/units   that   was   operated   at   the   project   site   prior   to   the  
implementation  of  the  project  activity  (MWh/yr)  

DATEBaselineRetrofit   =   Point  in  time  when  the  existing  equipment  would  need  to  be  replaced  
in  the  absence  of  the  project  activity  (date).  This  only  applies  to  retrofit  
or  replacement  projects  

In  case  EGfacility,y  <  (EGhistorical  +  shistorical)  in  a  year  y  then  EGPJ,y  =  0  

Calculation  of  EFgrid,CM,y  

The   latest   of   weighted   average   of   the   Operating   Margin   emission   factor   (EFgrid,OMsimple,y),   Build  
Margin  emission  factor  (EFgrid,BM,y),  and  Combined  Margin  emission  factor  (EFgrid,CM,y)  of  JAMALI  
13
grid  of  year  2015  already  determined  and  calculated  according  to  the  procedures  prescribed  in  
the  “Tool  to  calculate  the  emission  factor  for  an  electricity  system,  Version  04.0  by  the  Indonesian  

13 th
 Based  on  notification  letter  number  322/20/DJL.4/2017  dated  on  February  7 ,  2017  from  the  MEMR.  

v3.3   18  
  PROJECT  DESCRIPTION:  VCS  Version  3
government  under  the  Directorate  General  of  Electricity  -­  Ministry  of  Energy  and  Mineral  Resources  
 14
(MEMR).  Even  though  the  “Tool  to  calculate  the  emission  factor  for  an  electricity  system”  (Version  
05.0)  has  been  issued  at  the  time  of  renewal  of  the  project  crediting  period  there  is  not  affected  to  
the  result  of  EFgrid,CM,y.  

Step  1:  Identify  the  relevant  electricity  systems  

According   to   the   latest   version   of   the   tool,   the   JAMALI   power   grid   is   selected   as   the   project  
boundary,  as  the  regional  interconnected  grid  covering  three  islands  very  close  to  each  other  (Java,  
Madura,   and   Bali   islands)   and   separated   by   a   relatively   long   distance   from   other   islands   in  
Indonesia  (no  interconnection  exists  to  other  islands).  

The  project  is  located  in  Gunung  Salak  geothermal  area,  and  is  connected  to  the  existing  JAMALI  
power  transmission  line  for  Gunung  Salak  geothermal  power  plant  units  1,  2,  and  3.      

The  JAMALI  power  grid  is  therefore  determined  as  the  project  boundary.  

Both  the  OM  and  the  BM  will  be  calculated  ex-­ante.  

Step  2:  Choose  whether  to  include  off-­grid  power  plants  in  the  project  electricity  system  (optional)  

Project   participants   may   choose   between   the   following   two   options   to   calculate   the   operating  
margin  and  build  margin  emission  factor:  

Option  I:  Only  grid  power  plants  are  included  in  the  calculation.  

Option  II:  Both  grid  power  plants  and  off-­grid  power  plants  are  included  in  the  calculation.  

The  MEMR  chooses  only  to  include  the  grid  power  plants  in  the  calculation  (Option  I),  as  information  
of  the  off-­grid  power  plants  are  not  completely  publicly  accessible.  

Step  3:  Select  a  method  to  determine  the  operating  margin  (OM)  

The  “Tool  to  calculate  the  emission  factor  for  an  electricity  system”  (version  05.0,  EB87)  offers  four  
methods  to  calculate  the  OM  and  any  of  the  four  methods  can  be  used:  

(a)   Simple  OM;;  or  

(b)   Simple  adjusted  OM;;  or  

(c)   Dispatch  data  analysis  OM;;  or  

(d)   Average  OM.  

The  MEMR  has  been  considered  the  methods  to  determine  the  operating  margin  (OM)  as  following:  

(a)   Simple  OM:  The  Low  Cost/Must  Run  (LC/MR)  of  the  power  plants  cannot  be  determined.  

14 th
 Based  on  notification  letter  number  1515/03/DLT.3/2017  dated  on  May  30 ,  2017  from  the  MEMR.  

v3.3   19  
  PROJECT  DESCRIPTION:  VCS  Version  3
(b)   Simple  adjusted  OM:  The  required  of  hourly  LC/MR  operation  data  of  the  power  plants  are  not  
available.  

(c)   Dispatch  data  analysis  OM:  The  required  of  hourly  actual  operation  data  of  the  power  plants  
are  not  available.  

(d)   Average  OM:  Annual  aggregated  data  from  the  grid  on  power  generation,  fuel  type  and  fuel  
consumption  of  the  power  plants  are  available,  which  is  calculated  as  Simple  OM.  

The  Operating  Margin  Emission  Coefficient  (EFgrid,OM,y)  can  be  calculated  based  on    Simple  OM  or  
Average  OM,  with  consideration  of  the  restrictions  to  use  each  approach.  The  selection  of  the  most  
suitable  method  is  based  on  the  analysis  of  the  proportion  of  low-­cost/must-­run  generation  sources  
in  the  concerning  grid.  The  OM  will  be  calculated  ex-­ante.  

Step  4:  Calculate  the  operating  margin  emission  factor  according  to  the  selected  method  

The  operating  margin  emission  factor  for  each  year  ‘y’  was  calculated  using  equation  3  (preferred  
option)   of   the   ‘Tool   to   calculate   the   emission   factor   for   an   electricity   system’,   adapted   to   data  
available   from   PLN,   which   has   grouped   the   power   plants   according   to   type   as   shown   in   the  
th
notification  letter  number  1515/03/DLT.3/2017  dated  on  May  30 ,  2017  from  the  MEMR.  

where:  

EFgrid,OMsimple,y   =   Simple  operating  margin  CO2  emission  factor  in  year  y  (t  CO2/MWh)  

EGm,y   =   Net  quantity  of  electricity  generated  and  delivered  to  the  grid  by  power  
unit  m  in  year  y  (MWh)  

EFEL,m,y   =   CO2  emission  factor  of  power  unit  m  in  year  y  (t  CO2/MWh)  

m   =   All   power   units   serving   the   grid   in   year   y   except   low-­cost/must-­run  


power  units  

y   =   The  relevant  year  as  per  the  data  vintage  chosen  in  Step  3  

The   Operating   Margin   will   be   calculated   ex-­ante,   therefore   the   factor   is   calculated   based   on   3  
recent  years  available  data,  which  are  2013,  2014,  and  2015  data.  

The  Operating  Margin  emission  factors  for  2013,  2014  and  2015  are  calculated  separately  and  then  
the  three-­  year  average  is  calculated  as  a  full-­generation  weighted  average  of  the  emission  factors.  

The  result  of  the  Operation  Margin  Emission  Factor  of  JAMALI  calculation  is  0.786  tCO2e/MWh.  

The  operating  margin  emission  factor  of  the  baseline  is  calculated  as  a  fixed  ex-­ante  value  and  will  
not  be  renewed  within  the  second  crediting  period  of  the  project  activity.  

v3.3   20  
  PROJECT  DESCRIPTION:  VCS  Version  3
Step  5:  Calculate  the  build  margin  (BM)  emission  factor  

Once  the  sample  group  ‘m’  is  defined,  the  build  margin  is  calculated  ex-­ante  using  the  following  
equation:  

where:  

EFgrid,BM,y   =   Build  margin  CO2  emission  factor  in  year  y  (t  CO2/MWh)  

EGm,y   =   Net  quantity  of  electricity  generated  and  delivered  to  the  grid  by  power  
unit  m  in  year  y  (MWh)  

EFEL,m,y   =   CO2  emission  factor  of  power  unit  m  in  year  y  (t  CO2/MWh)  

m   =   Power  units  included  in  the  build  margin  

y   =   Most   recent   historical   year   for   which   electricity   generation   data   is  


available  

Based  on  sample  group  ‘m’  identified  in  the  notification  letter  number  1515/03/DLT.3/2017  dated  
th
on  May  30 ,  2017  from  the  MEMR,  the  ex-­ante  Build  Margin  Emission  Factor  is  calculated  to  be  
0.999  tCO2e/MWh  by  dividing  total  CO2  emissions  by  the  total  annual  generation  data.  

Step  6:  Calculate  the  combined  margin  (CM)  emission  factor  

The  Baseline  Emission  Factor  is  calculated  as  a  Combined  Margin,  using  the  weighted  average  
(preferred  option)  of  the  Operating  Margin  and  Build  Margin.  

EFgrid,CM,y  =  EFgrid,OM,y  x  wOM  +  EFgrid,BM,y  x  wBM  

where:  

EFgrid,BM,y   =   Build  margin  CO2  emission  factor  in  year  y  (t  CO2/MWh)  

EFgrid,OM,y   =   Operating  margin  CO2  emission  factor  in  year  y  (t  CO2/MWh)  

wOM   =   Weighting  of  operating  margin  emissions  factor  (per  cent)  

wBM   =   Weighting  of  build  margin  emissions  factor  (per  cent)  

As  per  UNFCCC  Methodological  tool:  Tool  to  calculate  the  emission  factor  for  an  electricity  system  
v05.0,  the  following  default  values  should  be  used  for  wOM  and  wBM  (for  all  projects  except  for  wind  
and  solar  power  generation  project  activities):  wOM  =  0.5  and  wBM  =  0.5  for  the  first  crediting  period,  
and  wOM  =  0.25  and  wBM  =  0.75  for  the  second  and  third  crediting  period,  unless  otherwise  specified  
in  the  approved  methodology  which  refers  to  this  tool.  

v3.3   21  
  PROJECT  DESCRIPTION:  VCS  Version  3
Therefore  using  the  approach  above,  the  ex-­ante  emission  factor  (EFgrid,CM,y)  for  Jamali  Grid  will  
be:  

EFgrid,CM,y  =  EFgrid,OM,y  x  wOM  +  EFgrid,BM,y  x  wBM  

     =  (0.786  x  0.25)  +  (0.999  x  0.75)  

     =  0.946  tCO2/MWh  

Calculation  of  EGhistorical  and  shistorical  

EGhistorical  is  the  average  of  historical  electricity  delivered  by  the  existing  facility  to  the  grid,  spanning  
all  data  from  the  most  recent  available  year  (or  month,  week,  or  other  time  period)  to  the  time  at  
which  the  facility  was  constructed,  retrofit,  or  modified  in  a  manner  that  significantly  affected  output  
(i.e.,   by   5%   or   more),   expressed   in   MWh   per   year.   Project   participants   may   choose   among   the  
following  two  time  spans  of  historical  data  to  determine  EGhistorical:  

(a)   The  five  last  calendar  years  prior  to  the  implementation  of  the  project  activity;;  or  

(b)   The  time  period  from  the  calendar  year  following  DATEhist,  up  to  the  last  calendar  year  prior  
to  the  implementation  of  the  project,  as  long  as  this  time  span  includes  at  least  five  calendar  
years,  where  DATEhist  is  latest  point  in  time  between:  

(i)   The  commissioning  of  the  plant/unit;;  

(ii)   If  applicable:  the  last  capacity  addition  to  the  plant/unit;;  or  

(iii)   If  applicable:  the  last  retrofit  or  rehabilitation  of  the  plant/unit.  

The  EGhistorical  calculation  has  been  choosed  using  the  option  (b)-­(i)  above.  

EGhistorical  and  shistorical  for  Unit  1  


Electricity  delivered  to  the  grid  
Baseline  year   before  the  capacity  upgrade  (MWh)  
Unit  1  
May  1995-­April  1996    351,414    
May  1996-­April  1997    347,201    
May  1997-­April  1998    384,645    
May  1998-­April  1999    406,935    
May  1999-­April  2000    390,902    
May  2000-­April  2001    371,716    
May  2001-­April  2002    457,236    
May  2002-­April  2003    437,297    
May  2003-­April  2004    345,779    
May  2004-­April  2005    444,788    
EGhistorical  (MWh)    393,791    
shistorical  (MWh)   41,556      
EGhistorical  +  shistorical  (MWh)   435,348    

v3.3   22  
  PROJECT  DESCRIPTION:  VCS  Version  3
EGhistorical  and  shistorical  for  Unit  2  
Electricity  delivered  to  the  grid  
Baseline  year   before  the  capacity  upgrade  (MWh)  
Unit  2  
February  1995-­January  1996    373,721    
February  1996-­January  1997    335,721    
February  1997-­January  1998    382,828    
February  1998-­January  1999    328,201    
February  1999-­January  2000    386,118    
February  2000-­January  2001    359,457    
February  2001-­January  2002    437,799    
February  2002-­January  2003    433,620    
February  2003-­January  2004    344,641    
February  2004-­January  2005    419,994    
EGhistorical  (MWh)   380,210      
shistorical  (MWh)   39,743        
EGhistorical  +  shistorical  (MWh)   419,954      

EGhistorical  and  shistorical  for  Unit  3  


Electricity  delivered  to  the  grid  
Baseline  year   before  the  capacity  upgrade  (MWh)  
Unit  3  
August  1997-­July  1998    314,306    
August  1998-­July  1999    453,576    
August  1999-­July  2000    393,091    
August  2000-­July  2001    346,891    
August  2001-­July  2002    445,491    
August  2002-­July  2003    366,799    
August  2003-­July  2004    421,210    
EGhistorical  (MWh)   391,623        
shistorical  (MWh)   51,982          
EGhistorical  +  shistorical  (MWh)   443,605      

Calculation  of  DATEBaselineRetrofit  

Technical  lifetime  is  defined  as  the  total  time  for  which  the  equipment  is  technically  designed  to  
operate  from  its  first  commissioning.  Project  participants  may  take  into  account  the  typical  average  
technical  lifetime  of  the  type  equipment.  Documented  for  specific  geothermal  industry  practice  is  
15
the  typical  average  technical  lifetime  of  geothermal  power  plant  is  30-­50  years.    

According  to  Energy  Sales  Contract  (ESC)  for  steam  purchase  contract  mentioned  that  the  project  
must  be  available  to  supply  electricity  until  year  of  2030  (and  may  elect  to  extend  the  term  until  year  
of  2040).  Based  on  this,  the  Project  Owner  being  implemented  the  Life  Cycle  Management  (LCM)  
Program.  “LCM  is  a  long-­term  planning  method  for  power  reduction  optimizing,  maintenance  cost,  
and  capital  investment  consistently  with  the  emphasis  on  the  power-­plant  safety  aspects  and  plant  

15
 Matek,   B.   Geothermal   Energy   Association   Issue   Brief:   Additional   Economic   Values   of   Geothermal   Power,   2015,   https://geo-­
energy.org/events/Geothermal%20Energy%20Association%20Issue%20Brief_Economic%20Values%202015_Final.pdf   (accessed  
2017).  

v3.3   23  
  PROJECT  DESCRIPTION:  VCS  Version  3
operation   period   target.   LCM   emphasizes   that   most   of   equipment   cannot   last   forever,   therefore  
refurbish  and  replacement  must  be  anticipated  to  maintain  function  and  system  performance  where  
16
it  operates.” .  “The  reliability  and  efficiency  are  fundamental  in  providing  electricity  for  the  society,  
because   the   society   needs   affordable   yet   reliable   electricity.   To   realize   that,   the   reliability   and  
efficiency  must  have  strong  foundation  based  on  the  best  practice  of  asset  management.  Reliability  
is  realized  through  commitment  to  conduct  asset  management,  Life  Cycle  Management  (LCM)  of  
excellent  power  plant  operation  and  maintenance,  as  well  as  continuous  improvement  supported  
17
by  expert  operators  and  technicians.” .  The  LCM  refers  to  other  study  related  to  estimating  the  
project   lifetime   of   the   project,   for   example   study   of   Remaining   Life   Assessment   (RLA)   for   major  
equipments  of  the  power  plant  which  conducted  by  experts  of  the  third  party.  Based  on  the  RLA  
then  Project  Owner  do  the  maintenance  planning  such  as  Simple  Inspection  (SI),  Major  Inspection  
(MI),  and  Overhaul  (OH)  which  will  be  accommodated  as  an  long  term  maintenance  strategy  in  the  
LCM.  One  of  the  example  of  long  term  maintenance  strategy  is  to  do  turbine  overhaul  in  year  of  
2019  which  expected  to  have  power  plant  life  extension  for  another  20  years.        

As  a  conclusion,  the  average  technical  lifetime  for  all  units  is  46  years,  which  means  that  all  units  
will  last  during  46  years  since  its  commissioning  with  regular  and  proper  maintenance.  

Therefore  DATEBaselineRetrofit  is  assumed  to  be:  

•   Unit  1:  12  March  2040  

•   Unit  2:  12  June  2040  

•   Unit  3:  16  July  2043  

The  table  below  shows  the  baseline  electricity  generation  data,  calculated  from  7-­year  and  
10-­year  historical  average  as  determined  by  ACM0002  version  17.0.  The  table  also  shows  
the  date  when  all  units  at  Gunung  Salak  Geothermal  power  plant  started  operation  after  their  
capacity   upgrade   were   concluded.   The   last   column   shows   the   date   when   the   technical  
lifetime  ends,  which  is  adopted  as  point  in  time  when  the  existing  equipment  would  need  to  
be  replaced  in  the  absence  of  the  proposed  project  (DATEBaselineRetrofit).  

 
  EGhistorical  and  shistorical  for   Capacity  upgrade  date   DATEBaselineRetrofit  
(MWh)  until  DATEBaselineRetrofit  
(Project  start  date)  
Unit  1   435,348   21  June  2005   12  March  2040  
Unit  2   419,954   4  April  2005   12  June  2040  
Unit  3   443,605   29  September  2004   16  July  2043  
Total   1,298,907   -­   -­  

16
 PT.  Indonesia  Power,  Annual  Report  2012,  http://www.indonesiapower.co.id/id/komunikasi-­
berkelanjutan/Reports/ANNUAL%20REPORT%20PT%20INDONESIA%20POWER%202012.pdf  (accessed  2017)  
17
 PT.  Indonesia  Power,  Annual  Report  2016,  http://www.indonesiapower.co.id/id/komunikasi-­
berkelanjutan/Reports/ANNUAL%20REPORT%20PT%20INDONESIA%20POWER%20TAHUN%202016.pdf  (accessed  2017)  

v3.3   24  
  PROJECT  DESCRIPTION:  VCS  Version  3
As  a  result,  according  to  ACM0002  version  17.0,  the  baseline  scenario  is  the  electricity  that  would  
continue  to  be  generated  by  the  current  installed  capacity,  3  x  55  MW  and  exported  to  the  JAMALI  
Grid.  

The  basic  parameters  used  for  calculating  JAMALI  grid  emission  factor  to  be  used  in  the  proposed  
project  are  provided  in  table  below:  
Variable   Value/Unit   Source  
Average   Operating   Margin   0.786  tCO2e/MWh   PLN   database  (own  generation  
(*)
Emissions  factor   and  IPPs   )  
Build  Margin  Emissions  Factor   0.999  tCO2e/MWh   PLN   database  (own  generation  
(*)
and  IPPs   )  
Combined   Margin   Emissions   0.946  tCO2e/MWh   Calculated   as   per   UNFCCC  
Factor  (for  the  second  and  third   Methodological   tool:   Tool   to  
crediting  period)   calculate  the  emission  factor  for  an  
electricity  system  v05.0.  

(*)
 Independent  Power  Producers  

3.2   Project  Emissions  

PEy  =  PEFF,y  +  PEGP,y  +  PEHP,y  

where:  

PEy   =   Project  emissions  in  year  y  (t  CO2e/yr)  

PEFF,y   =   Project  emissions  from  fossil  fuel  consumption  in  year  y  (t  CO2/yr)  

PEGP,y   =   Project   emissions   from   the   operation   of   dry,   flash   steam   or   binary  
geothermal  power  plants  in  year  y  (t  CO2e/yr)  

PEHP,y   =   Project  emissions  from  water  reservoirs  of  hydro  power  plants  in  year  
y  (t  CO2e/yr)  

The   project   does   not   involve   the   fossil   fuel   consumption   (as   per   ACM0002   version   17.0,   for   all  
renewable  energy  power  generation  project  activities,  emissions  due  to  the  use  of  fossil  fuels  for  
the  backup  generator  can  be  neglected)  and  hydro  power,  so  PEFF,y  =  0,  PEHP,y  =  0.  

PEy  =  PEGP,y  

PEGP,y  =  PEdry  or  flash  steam,y  +  PEbinary,y    

where:  

PEGP,y   =   Project   emissions   from   the   operation   of   dry,   flash   steam   or   binary  
geothermal  power  plants  in  year  y  (t  CO2e/yr)  

v3.3   25  
  PROJECT  DESCRIPTION:  VCS  Version  3

PEdry  or  flash  steam,y   =   Project   emissions   from   the   operation   of   dry   steam   or   flash   steam  
geothermal  power  plants  due  to  release  of  non-­condensable  gases  in  
year  y  (t  CO2e/yr)  

PEbinary,y   =   Project   emissions   from   the   operation   of   binary   geothermal   power  


plants  due  to  physical  leakage  of  non-­condensable  gases  and  working  
fluid  in  year  y  (t  CO2e/yr)  

The  project  is  the  operation  of  flash  steam  geothermal  power  plant,  so  PEbinary,y  =  0.  

PEGP,y  =  PEdry  or  flash  steam,y      

PEdry  or  flash  steam,y  =  (wsteam,CO2,y  +  wsteam,CH4,y  x  GWPCH4)  x  Msteam,y  

where:  

wsteam,CO2,y   =   Average  mass  fraction  of  CO2  in  the  produced  steam  in  year  y  (t  CO2/t  
steam)  

wsteam,CH4,y   =   Average  mass  fraction  of  CH4  in  the  produced  steam  in  year  y  (t  CO4/t  
steam)  

GWPCH4   =   Global   warming   potential   of   CH4   valid   for   the   relevant   commitment  
period  (t  CO2e/t  CH4)  

Msteam,y   =   Quantity  of  steam  produced  in  year  y  (t  steam/yr)  

3.3   Leakage  

According   to   ACM0002   version   17,   the   leakage   of   the   proposed   project   is   not   considered.   No  
leakage  is  expected.  

3.4   Net  GHG  Emission  Reductions  and  Removals  

Baseline  Emissions  

BEy  =  EGPJ,y  x  EFgrid,CM,y  

EGPJ,y  =  EGfacility,y  -­  (EGhistorical  +shistorical);;until  DATEBaselineRetrofit  

Please  see  the  table  below  for  each  power  station  unit  calculation  including  its  results  and  summary  
of  the  values  used.  

Calculation  for  Gunung  Salak  unit  1  


  2016   2017  -­  2025    
Net   electricity   supplied   by   Gunung   471,854   473,040   MWh  
Salak   unit   1   to   the   grid  (EG facility,y)  

v3.3   26  
  PROJECT  DESCRIPTION:  VCS  Version  3
  2016   2017  -­  2025    
Average   electricity   supplied   by   the   393,791     393,791   MWh  
power  plant  (Gunung  Salak  unit  1)  to  
the   grid   before   the   project   (EGhistorical  
until  DATEBaselineRetrofit)  
Standard   deviation   of   the   average   41,556   41,556   MWh  
electricity  supplied  by  the  power  plant  
(Gunung   Salak   unit   1)   to   the   grid  
before   the   project   (EGhistorical   until  
DATEBaselineRetrofit)  
Baseline   emission   factor   with   0.946   0.946   t  CO2e/MWh  
combined  margin  (EFgrid,CM,y)  
Baseline  emissions  for  Unit  1  (BEy)    34,526      35,647     t  CO2e/year  

Calculation  for  Gunung  Salak  unit  2  


  2016   2017  -­  2025    
Net   electricity   supplied   by   Gunung   452,327   473,040   MWh  
Salak   unit   2   to   the   grid  (EG facility,y)  
Average   electricity   supplied   by   the    380,210      380,210     MWh  
power  plant  (Gunung  Salak  unit  2)  to  
the   grid   before   the   project   (EGhistorical  
until  DATEBaselineRetrofit)  
Standard   deviation   of   the   average    39,743      39,743     MWh  
electricity  supplied  by  the  power  plant  
(Gunung   Salak   unit   2)   to   the   grid  
before   the   project   (EGhistorical   until  
DATEBaselineRetrofit)  
Baseline   emission   factor   with   0.946   0.946   t  CO2e/MWh  
combined  margin  (EFgrid,CM,y)  
Baseline  emissions  for  Unit  2  (BEy)    30,617      50,206     t  CO2e/year  

Calculation  for  Gunung  Salak  unit  3  


  2016   2017  -­  2025    
Net   electricity   supplied   by   Gunung   444,627   473,040   MWh  
Salak   unit   3   to   the   grid  (EG facility,y)  
Average   electricity   supplied   by   the    391,623      391,623     MWh  
power  plant  (Gunung  Salak  unit  3)  to  

v3.3   27  
  PROJECT  DESCRIPTION:  VCS  Version  3
  2016   2017  -­  2025    
the   grid   before   the   project   (EGhistorical  
until  DATEBaselineRetrofit)  
Standard   deviation   of   the   average    51,982      51,982      
electricity  supplied  by  the  power  plant  
(Gunung   Salak   unit   3)   to   the   grid  
before   the   project   (EGhistorical   until  
DATEBaselineRetrofit)  
Baseline   emission   factor   with   0.946   0.946   t  CO2e/MWh  
combined  margin  (EFgrid,CM,y)  
Baseline  emissions  for  Unit  3  (BEy)    967      27,838     t  CO2e/year  
 
Summary  of  Baseline  Emissions  (BEy)  
BE y  (tCO 2e)  
Year   Vintage  
Unit  1   Unit  2   Unit  3  
2016   1  April  2016  -­  31  March  2017    34,526      30,617      967    
2017   1  April  2017  –  31  March  2018    35,647      50,206      27,838    
2018   1  April  2018  –  31  March  2019    35,647      50,206      27,838    
2019   1  April  2019  –  31  March  2020    35,647      50,206      27,838    
2020   1  April  2020  –  31  March  2021    35,647      50,206      27,838    
2021   1  April  2021  –  31  March  2022    35,647      50,206      27,838    
2022   1  April  2022  –  31  March  2023    35,647      50,206      27,838    
2023   1  April  2023  –  31  March  2024    35,647      50,206      27,838    
2024   1  April  2024  –  31  March  2025    35,647      50,206      27,838    
2025   1  April  2025  –  31  March  2026    35,647      50,206      27,838    
 
Project  Emissions  

PEy  =  PEFF,y  +  PEGP,y  +  PEHP,y  

PEy  =  PEGP,y  

PEGP,y  =  PEdry  or  flash  steam,y  +  PEbinary,y    

PEGP,y  =  PEdry  or  flash  steam,y      

PEdry  or  flash  steam,y  =  (wsteam,CO2,y  +  wsteam,CH4,y  x  GWPCH4)  x  Msteam,y  

Please  see  the  table  below  for  each  power  station  unit  calculation  including  its  results  and  summary  
of  the  values  used.  

v3.3   28  
  PROJECT  DESCRIPTION:  VCS  Version  3
 

PEy  Calculation  for  Gunung  Salak  unit  1  


  2016   2017  -­  2025    
wsteam,CO2,y   0.003797720     0.003797720     -­  
wsteam,CH4,y   0.000008356     0.000008356     -­  
GWPCH4   25   25   tCO2/tCH4  
Msteam,y   305,175       288,220       tonnes  
PEy   1,223   1,155     t  CO2e/year  

PEy  Calculation  for  Gunung  Salak  unit  2  


  2016   2017  -­  2025    
wsteam,CO2,y   0.004805050     0.004805050     -­  
       
wsteam,CH4,y   0.000007700     0.000007700     -­  
   
GWPCH4   25   25   tCO2/tCH4  
Msteam,y   309,693       405,934     tonnes  
PEy   1,548   2,029   t  CO2e/year  

PEy  Calculation  for  Gunung  Salak  unit  3  


  2016   2017  -­  2025    
wsteam,CO2,y   0.004846173       0.004846173       -­  
wsteam,CH4,y   0.000007023     0.000007023     -­  
GWPCH4   25   25   tCO2/tCH4  
Msteam,y   308,061         225,081     tonnes  
PEy   1,547   1,130   t  CO2e/year  

Therefore,   using   the   approach   above,   and   the   historical   and   actual   data   recorded   by   PT.  
Indonesia  Power,  the  project  emission  for  each  power  station  unit  is      shown  below:  

Year   Vintage   PE y  (tCO 2e)  


Unit  1   Unit  2   Unit  3  
2016   1  April  2016  -­  31  March  2017   1,223        1,548      1,547    
2017   1  April  2017  –  31  March  2018    1,155     2,029      1,130    
2018   1  April  2018  –  31  March  2019    1,155     2,029      1,130    
2019   1  April  2019  –  31  March  2020    1,155     2,029      1,130    
2020   1  April  2020  –  31  March  2021    1,155     2,029      1,130    
2021   1  April  2021  –  31  March  2022    1,155     2,029      1,130    
2022   1  April  2022  –  31  March  2023    1,155     2,029      1,130    

v3.3   29  
  PROJECT  DESCRIPTION:  VCS  Version  3
Year   Vintage   PE y  (tCO 2e)  
Unit  1   Unit  2   Unit  3  
2023   1  April  2023  –  31  March  2024   1,155     2,029      1,130    
2024   1  April  2024  –  31  March  2025   1,155   2,029      1,130    
2025   1  April  2025  –  31  March  2026   1,155   2,029    1,130    
 
Leakage  Emissions  
Ly  =  0  
 
The  ex-­ante  emission  reductions  calculations  are  as  follows:  
ERy  =  BEy  -­  PEy  -­  Ly    
ER  calculation  for  Gunung  Salak  Unit  1  
Year   Vintage   Estimated   Estimated   Estimated   Estimated  net  
baseline   project   leakage   GHG  emission  
emissions  or   emissions  or   emissions   reductions  or  
removals   removals   (tCO2e)   removals  
(tCO2e)   (tCO2e)   (tCO2e)  
2016   1  April  2016  –  
 34,526      1,223     0      33,303    
31  March  2017  
2017   1  April  2017  –  
 35,647      1,155     0    34,493    
31  March  2018  
2018   1  April  2018  –  
 35,647      1,155     0    34,493    
31  March  2019  
2019   1  April  2019  –  
 35,647      1,155     0    34,493    
31  March  2020  
2020   1  April  2020  –  
 35,647      1,155     0    34,493    
31  March  2021  
2021   1  April  2021  –  
 35,647      1,155     0    34,493    
31  March  2022  
2022   1  April  2022  –  
 35,647      1,155     0    34,493    
31  March  2023  
2023   1  April  2023  –  
 35,647      1,155     0    34,493    
31  March  2024  
2024   1  April  2024  –  
 35,647      1,155     0    34,493    
31  March  2025  
2025   1  April  2025  –  
 35,647      1,155     0    34,493    
31  March  2026  
Total      355,354      11,616     0    343,738    

v3.3   30  
  PROJECT  DESCRIPTION:  VCS  Version  3
 
ER  calculation  for  Gunung  Salak  Unit  2  
Year   Vintage   Estimated   Estimated   Estimated   Estimated  net  
baseline   project   leakage   GHG  emission  
emissions  or   emissions  or   emissions   reductions  or  
removals   removals   (tCO2e)   removals  
(tCO2e)   (tCO2e)   (tCO2e)  
2016   1  April  2016  –  
 30,617      1,548     0      29,069    
31  March  2017  
2017   1  April  2017  –  
 50,206      2,029     0    48,178    
31  March  2018  
2018   1  April  2018  –  
 50,206      2,029     0    48,178    
31  March  2019  
2019   1  April  2019  –  
 50,206      2,029     0    48,178    
31  March  2020  
2020   1  April  2020  –  
 50,206      2,029     0    48,178    
31  March  2021  
2021   1  April  2021  –  
 50,206      2,029     0    48,178    
31  March  2022  
2022   1  April  2022  –  
 50,206      2,029     0    48,178    
31  March  2023  
2023   1  April  2023  –  
 50,206      2,029     0    48,178    
31  March  2024  
2024   1  April  2024  –  
 50,206      2,029     0    48,178    
31  March  2025  
2025   1  April  2025  –  
 50,206      2,029     0    48,178    
31  March  2026  
Total      482,475      19,806     0    462,669    
 
ER  calculation  for  Gunung  Salak  Unit  3  
Year   Vintage   Estimated   Estimated   Estimated   Estimated  net  
baseline   project   leakage   GHG  emission  
emissions  or   emissions  or   emissions   reductions  or  
removals   removals   (tCO2e)   removals  
(tCO2e)   (tCO2e)   (tCO2e)  
2016   1  April  2016  –  
 967      1,547     0     -­580    
31  March  2017  
2017   1  April  2017  –    27,838      1,130     0    26,708    

v3.3   31  
  PROJECT  DESCRIPTION:  VCS  Version  3
Year   Vintage   Estimated   Estimated   Estimated   Estimated  net  
baseline   project   leakage   GHG  emission  
emissions  or   emissions  or   emissions   reductions  or  
removals   removals   (tCO2e)   removals  
(tCO2e)   (tCO2e)   (tCO2e)  
31  March  2018  
2018   1  April  2018  –  
 27,838      1,130     0    26,708    
31  March  2019  
2019   1  April  2019  –  
 27,838      1,130     0    26,708    
31  March  2020  
2020   1  April  2020  –  
 27,838      1,130     0    26,708    
31  March  2021  
2021   1  April  2021  –  
 27,838      1,130     0    26,708    
31  March  2022  
2022   1  April  2022  –  
 27,838      1,130     0    26,708    
31  March  2023  
2023   1  April  2023  –  
 27,838      1,130     0    26,708    
31  March  2024  
2024   1  April  2024  –  
 27,838      1,130     0    26,708    
31  March  2025  
2025   1  April  2025  –  
 27,838      1,130     0    26,708    
31  March  2026  
Total      251,512      11,720     0    239,792    
 
Therefore,   using   the   calculation   above   the   total   GHG   emission   reductions   for   the   10-­year  
crediting  period  is  1,046,199  tCO 2e  or  104,620  tCO 2e/year,  as  shown  in  the  summary  below:  
Year   Vintage   Estimated  net   Estimated  net   Estimated   Total  Estimated  
GHG   GHG   net  GHG   net  GHG  
emission   emission   emission   emission  
reductions  or   reductions  or   reductions  or   reductions  or  
removals  -­   removals  -­   removals  -­   removals  
Unit  1   Unit  2   Unit  3   (tCO2e)  
(tCO2e)   (tCO2e)   (tCO2e)  
2016   1  April  2016  –  
 33,303      29,069     -­580      61,793    
31  March  2017  
2017   1  April  2017  –  
 34,493      48,178      26,708      109,378    
31  March  2018  
2018   1  April  2018  –    34,493      48,178      26,708      109,378    

v3.3   32  
  PROJECT  DESCRIPTION:  VCS  Version  3
Year   Vintage   Estimated  net   Estimated  net   Estimated   Total  Estimated  
GHG   GHG   net  GHG   net  GHG  
emission   emission   emission   emission  
reductions  or   reductions  or   reductions  or   reductions  or  
removals  -­   removals  -­   removals  -­   removals  
Unit  1   Unit  2   Unit  3   (tCO2e)  
(tCO2e)   (tCO2e)   (tCO2e)  
31  March  2019  
2019   1  April  2019  –  
 34,493      48,178      26,708      109,378    
31  March  2020  
2020   1  April  2020  –  
 34,493      48,178      26,708      109,378    
31  March  2021  
2021   1  April  2021  –  
 34,493      48,178      26,708      109,378    
31  March  2022  
2022   1  April  2022  –  
 34,493      48,178      26,708      109,378    
31  March  2023  
2023   1  April  2023  –  
 34,493      48,178      26,708      109,378    
31  March  2024  
2024   1  April  2024  –  
 34,493      48,178      26,708      109,378    
31  March  2025  
2025   1  April  2025  –  
 34,493      48,178      26,708      109,378    
31  March  2026  
Total      343,738      462,669      239,792      1,046,199    

4   MONITORING  

4.1   Data  and  Parameters  Available  at  Validation  


Data  /  Parameter   EGhistorical  
Data  unit   MWh  
Description   Average   net   electricity   delivered   to   the   grid   before   the   project  
activity  until  DATEBaselineRetrofit  
Source  of  data   Project  Owner-­PLN  revenue  meter  (electricity  sales)  
 
Meter  No.  
Unit  #1:  PS  0512A040-­01  with  class  of  accuracy  0.2  
Unit  #2:  PS  0512A041-­01  with  class  of  accuracy  0.2  
Unit  #3:  PS  0512A042-­01  with  class  of  accuracy  0.2  

v3.3   33  
  PROJECT  DESCRIPTION:  VCS  Version  3
On  1  October  2008,  the  electricity  sales  flow  meter  was  
replaced  by  PT  0806A117-­01  /  PT  0806A118-­01  /  PT  0806A119-­
01.  
Value  applied    
  EGhistorical   until   DATEBaselineRetrofit  
(MWh)  
Unit  1   393,791  
Unit  2   380,210  
Unit  3   391,623  
Total   1,165,624    
 
The  data  above  is  based  on  an  average  of  historical  net  electricity  
generation  data  recorded  by  PT.  Indonesia  Power  since  1998-­2004  
for  Unit  3  and  1996-­2005  for  Units  1  and  2.  
Justification  of  choice  of   Electricity  produced  is  measured  by  a  watt-­hour  meter  (connected  
data  or  description  of   to   a   digital   control   system   and   recorded   continuously),   which   can  
measurement  methods   measure   both   power   delivered   to   the   grid   and   received   from   the  
and  procedures  applied   grid.  Therefore,  net  electricity  export  is  measured.  
The   measurement   of   electricity   generation   is   conducted   on   a  
continuous   basis,   where   hourly   and   daily   total   electricity  
measurement   will   be   available.   The   measurement   results   is  
summarised  transparently  in  regular  production  reports.  
Purpose  of  Data   Calculation  of  baseline  emissions  
Comments   Standard   Operation   Procedure   signed   between   PT.   Indonesia  
Power  and  PT  PLN  (load  dispatcher)  or  other  documents,  which  
update  or  replace  this  SOP.  

 
Data  /  Parameter   shistorical  
Data  unit   MWh  
Description   Standard   deviation   of   average   net   electricity   delivered   to   the   grid  
before  the  project  activity  until  DATEBaselineRetrofit  
Source  of  data   Statistical  calculation  of  standard  deviation  of  EGhistorical  
Value  applied    
  shistorical   until   DATEBaselineRetrofit  
(MWh)  
Unit  1   41,556  
Unit  2   39,743  
Unit  3   51,982  

v3.3   34  
  PROJECT  DESCRIPTION:  VCS  Version  3
Total   133,281  
 
The  data  above  is  based  on  an  average  of  historical  net  electricity  
generation  data  recorded  by  PT.  Indonesia  Power  since  1998-­2004  
for  Unit  3  and  1996-­2005  for  Units  1  and  2.  
Justification  of  choice  of   Statistical  calculation  
data  or  description  of  
measurement  methods  
and  procedures  applied  
Purpose  of  Data   Calculation  of  baseline  emissions  
Comments   -­  

Data  /  Parameter   DATEBaselineRetrofit  


Data  unit   Date  
Description   Point   in   time   when   the   existing   equipment   would   need   to   be  
replaced  in  the  absence  of  the  project  activity  
Source  of  data   •   Energy   Sales   Contract   (ESC)   for   steam   purchase   contract  
mentioned  that  the  project  must  be  available  to  supply  electricity  
until  year  of  2030  (and  may  elect  to  extend  the  term  until  year  of  
2040).  
•   Geothermal   industry   practice   is   the   typical   average   technical  
lifetime   of   geothermal   power   plant   is   30-­50   years   (Matek,   B.  
Geothermal  Energy  Association  Issue  Brief:  Additional  Economic  
Values   of   Geothermal   Power,   2015,   https://geo-­
energy.org/events/Geothermal%20Energy%20Association%20I
ssue%20Brief_Economic%20Values%202015_Final.pdf  
(accessed,   2017)   /   http://geo-­
energy.org/geo_basics_plant_cost.aspx  (accessed,  2017))  
•   As  a  conclusion,  the  average  technical  lifetime  for  all  units  is  46  
years,  which  means  that  all  units  will  last  during  46  years  since  
its  commissioning  with  regular  and  proper  maintenance.  
Value  applied    
  Commissioning  Date   DATEBaselineRetrofit  
Unit  1   12  March  1994   12  March  2040  
Unit  2   12  June  1994   12  June  2040  
Unit  3   16  July  1997   16  July  2043  
 
The  DATEBaselineRetrofit  comes  from  commissioning  date  of  each  unit  
added  by  the  average  technical  lifetime  of  46  years.  
Justification  of  choice  of   -­  
data  or  description  of  

v3.3   35  
  PROJECT  DESCRIPTION:  VCS  Version  3
measurement  methods  
and  procedures  applied  
Purpose  of  Data   Calculation  of  baseline  emissions  
Comments   -­  

Data  /  Parameter   GWPCH4  


Data  unit   tCO2/tCH4  
Description   Global   warming   potential   of   methane,   valid   for   the   relevant  
commitment  period  
Source  of  data   IPCC  
Value  applied   Default   value   for   the   second   commitment   period   =   25   tCO2/tCH4  
(Updated  required  for  source  of  global  warming  potentials  from  the  
IPCC’s   Second   Assessment   Report   to   the   IPCC’s   Fourth  
Assessment  Report)  
Justification  of  choice  of   -­  
data  or  description  of  
measurement  methods  
and  procedures  applied  
Purpose  of  Data   Calculation  of  project  emissions  
Comments   -­  

Data  /  Parameter   EFgrid,OM,y  


Data  unit   tCO2/MWh  
Description   EFgrid,OM,y  is  the  average  operating  margin  CO2  emission  factor  of  
power   plant   connected   to   the   JAMALI   electricity   grid   in   3   recent  
years  available  data,  calculated  using  average  OM  method  for  each  
year   in   which   the   project   generation   occurs.   During   the   crediting  
period,  this  factor  is  calculated  based  on  ex-­ante  emissions  by  using  
year  2013,  2014  and  2015  data.  
Source  of  data   Directorate  General  of  Electricity  -­  Ministry  of  Energy  and  Mineral  
Resources  (MEMR),  Republic  of  Indonesia  
Value  applied   EFgrid,OM,y  =  0.786  tCO2/MWh  
Justification  of  choice  of   No  measurement  required.  Data  is  obtained  based  on  analysis  of  
data  or  description  of   MEMR  published  information.  
measurement  methods  
and  procedures  applied  
Purpose  of  Data   Calculation  of  baseline  emissions  
Comments   All   data   relevant   for   the   calculation   of   EFgrid,OM,y   are   updated  
annually.   This   includes   each   associated   fuel   emission   factor   and  
corresponding  net  calorific  values,  is  re-­defined  annually.  

v3.3   36  
  PROJECT  DESCRIPTION:  VCS  Version  3

Data  /  Parameter   EFgrid,BM,y  


Data  unit   tCO2/MWh  
Description   EFgrid,BM,y  is  the  build  margin  CO2  emission  factor  of  power  plants  in  
the   sample   group   ‘m’   connected   to   the   JAMALI   electricity   grid   in  
year  ‘y’.  During  the  crediting  period,  this  factor  is  calculated  based  
on  ex-­ante  emissions  by  using  year  2015  data.  
Source  of  data   Directorate  General  of  Electricity  -­  Ministry  of  Energy  and  Mineral  
Resources  (MEMR),  Republic  of  Indonesia  
Value  applied   EFgrid,BM,y  =  0.999  tCO2/MWh  
Justification  of  choice  of   No  measurement  required.  Data  is  obtained  based  on  analysis  of  
data  or  description  of   MEMR  published  information.  
measurement  methods  
and  procedures  applied  
Purpose  of  Data   Calculation  of  baseline  emissions  
Comments   All   data   relevant   for   the   calculation   of   EFgrid,BM,y   are   updated  
annually.   This   includes   each   associated   fuel   emission   factor   and  
corresponding   net   calorific   values,   as   well   as   sample   group   "m"  
power  plants  (its  associated  generation  and  fuel  consumption  data),  
is  re-­defined  annually.  

Data  /  Parameter   EFgrid,CM,y  


Data  unit   tCO2/MWh  
Description   EFgrid,CM,y   is   the   combined   margin   CO2   emission   factor   of   power    
plants  connected  to  the  JAMALI  electricity  grid  in  year  ‘y’,  calculated  
ex-­ante  based  on  the  weighted  average  of  EFgrid,OM,y  and  EFgrid,BM,y.  
 
As  per  UNFCCC  Methodological  tool:  Tool  to  calculate  the  emission  
factor   for   an   electricity   system   v05.0,   the   following   default   values  
should  be  used  for  wOM  and  wBM  (for  all  projects  except  for  wind  and  
solar  power  generation  project  activities):  wOM  =  0.5  and  wBM  =  0.5  
for  the  first  crediting  period,  and  wOM  =  0.25  and  wBM  =  0.75  for  the  
second  and  third  crediting  period,  unless  otherwise  specified  in  the  
approved  methodology  which  refers  to  this  tool.  
Source  of  data   Calculation  
Value  applied   EFgrid,CM,y  =  0.946  tCO2/MWh  
Justification  of  choice  of   No  measurement  required.  Data  is  obtained  based  on  analysis  of  
data  or  description  of   MEMR  published  information.  
measurement  methods  
and  procedures  applied  
Purpose  of  Data   Calculation  of  baseline  emissions  

v3.3   37  
  PROJECT  DESCRIPTION:  VCS  Version  3
Comments   -­  

4.2   Data  and  Parameters  Monitored    


Data  /  Parameter   Msteam,y  
Data  unit   t  steam  
Description   Quantity  of  steam  produced  during  the  year  ‘y’  
Source  of  data   Project  Owner-­main  steam  line  flow  meter  
 
Instrument  No.  
Unit  #1:  1LBA01CF001-­B01,  class  of  accuracy  0.25%  
Unit  #2:  2LBA01CF001-­B01,  class  of  accuracy  0.25%  
Unit  #3:  3LBA01CF001-­B01,  class  of  accuracy  0.25%  
Description  of   The   measurement   of   steam   quantities   will   be   conducted   on   a  
measurement  methods   continuous   basis,   where   daily   total   flow   measurement   will   be  
and  procedures  to  be   available.   The   measurement   results   will   be   summarised  
applied   transparently  in  regular  production  reports.  
Frequency  of   Steam  flow  is  hourly  measured  and  recorded  in  paper  format.  
monitoring/recording   Subsequently,  the  data  is  aggregated  yearly  in  electronic  format.  
Value  applied    
  Steam  produced  during  the  year  ‘y’  
(t  steam/year)  
  2016   2017-­2025  
Unit  1    3,944,432     3,617,179  
Unit  2    3,716,473     3,617,179  
Unit  3    3,633,958     3,617,179  
 
The  data  above  is  total  steam  flow  for  all  units  based  on  actual  data  
recorded   by   PT.   Indonesia   Power,   except   for   2017-­2025   that  
comes  from  assumptions  using  operating  period  of  7,884  hour/year  
(90%  load  factor)  times  458.80  t  steam/hour  for  each  unit.  
 
Steam   quantities   based   on   underlying   project   boundary   (steam  
attributable  to  the  project’s  capacity  upgrade)  
  Steam  produced  during  the  year  ‘y’  
(t  steam/year)  
  2016   2017-­2025  
Unit  1    305,175      288,220    
Unit  2    309,693      405,934    

v3.3   38  
  PROJECT  DESCRIPTION:  VCS  Version  3
Unit  3    308,061      225,081    
 
Steam   quantities   based   on   underlying   project   boundary   are  
calculated  based  on  the  Specific  Steam  Consumption  (SSC).  
Monitoring  equipment    
  Steam  flow  meter  
  Type   Accuracy   Serial  
Class   Number  
Unit  1   •  Endress+Hausser   •  0.25%   •  H400C50109D  
FMD78      
•  GE   PanaFlow   •  2%   •  4987429-­2  
MV82  
Unit  2   •  Endress+Hausser   •  0.25%   •  E303CC0109D  
FMD78      
•  GE   PanaFlow   •  2%   •  4987429-­1  
MV82    
Unit  3   •  Endress+Hausser   •  0.25%   •  D404420109D  
FMD78    
 
 
QA/QC  procedures  to  be   Meters  will  be  calibrated  according  to  the  national  standard  of  Java-­
18
applied   Madura-­Bali   (JAMALI)   Grid   Code  that   described   calibration  
period   of   installed   meters   in   power   plants   connected   to   JAMALI  
Grid  is  once  per  5  years,  or  Standard  Operational  Procedures  by  
PT.  Indonesia  Power  or  other  documents  which  update  or  replace  
this  national  standard  (whichever  occurs  earliest).  
Purpose  of  data   Calculation  of  project  emissions  
Calculation  method   •   Specific  Steam  Consumption  (SSC)  calculation:  

Steam  flowrate  (t  steam)


SSC  =    
 Net  power  output  of  the  plant  (MWh)

 
  Steam  flowrate   Net   power   output   SSC  
year  2016   of  the  plant   (t  steam/MWh)  
(t  steam)   (MWh)  
Unit  1    3,944,432      471,854      8.359    
Unit  2    3,716,473      452,327      8.216    

18
 This   complies   with   the   Minister   of   Energy   and   Mineral   Resources   Regulation   No.   3   issued   in   2007  
(http://portal.djmbp.esdm.go.id/sijh/permen-­esdm-­03-­2007.pdf)  regarding  Java-­Madura-­Bali  (JAMALI)  Grid  Code.  

v3.3   39  
  PROJECT  DESCRIPTION:  VCS  Version  3
Unit  3    3,633,958      444,627      8.173    
The  net  power  output  of  the  plant  for  year  2016  above  is  based  on  
actual   data   recorded   by   PT.   Indonesia   Power,   which   is   Gross  
Production  subtract  Own  Consumption.  
 
  Steam  flowrate   Net   power   output   SSC  
year   2017-­ of  the  plant   (t  steam/MWh)  
2025   (MWh)  
(t  steam)  
Unit  1    3,617,179     473,040    7.647    
Unit  2    3,617,179     473,040    7.647    
Unit  3    3,617,179     473,040    7.647    
The  net  power  output  of  the  plant  for  year  2017-­2025  comes  from  
an  assumption  using  90%  load  factor  for  each  unit.  
 
•   Steam   quantities   based   on   underlying   project   boundary  
calculation   is   SSC   times   the   attributable   electricity   generation  
to  VCS  Project  (EGPJ,y)  
 
  SSC   year   Attributable   Steam  
2016   electricity   quantities  
(t  steam/MWh)   generation  to  VCS   based   on  
Project  (EGPJ,y)   underlying  
(MWh)   project  
boundary  
(t  steam)  
Unit  1    8.359      36,507      305,175    
Unit  2    8.216      32,373      309,693    
Unit  3    8.173      1,022      308,061    

 
  SSC   year   Attributable   Steam  
2017-­2025   electricity   quantities  
(t  steam/MWh)   generation  to  VCS   based   on  
Project  (EGPJ,y)   underlying  
(MWh)   project  
boundary  
(t  steam)  
Unit  1    7.647     37,692        288,220    
Unit  2    7.647     53,086        405,934    
Unit  3    7.647     29,435        225,081    

v3.3   40  
  PROJECT  DESCRIPTION:  VCS  Version  3
.  
Comments   Continuous   measurement,   subsequently,   the   data   will   be  
aggregated  monthly.  

Data  /  Parameter   wsteam,CO2,y  


Data  unit   t  CO2/t  steam  
Description   Average  mass  fraction  of  CO2  in  the  produced  steam  in  year  y  
Source  of  data   The  Non-­Condensable    Gases   (NCG)   data   taken   from   steam  
sampling  as  prescribed  in  the  Monitoring  Methodology  ACM0002  
version  17.0  
Description  of   Non-­condensable   gases   sampling   should   be   carried   out   in  
measurement  methods   production  wells  and  at  the  steam  field-­power  plant  interface  using  
and  procedures  to  be   ASTM  Standard  Practice  E1675  for  Sampling  2-­Phase  Geothermal  
applied   Fluid  for  Purposes  of  Chemical  Analysis  (as  applicable  to  sampling  
phase  steam  only).  
The  Non-­Condensable  Gases  (NCG)  sampling  and  analysis  will  be  
performed  every  three  months.  
Frequency  of   Every  three  months  
monitoring/recording  
-­3
Value  applied   Unit  1:  3.798x10  or  0.3797720%  
-­3
Unit  2:  4.805x10  or  0.4805050%  
-­3
Unit  3:  4.846x10  or  0.4846173%  
Monitoring  equipment   -­  
QA/QC  procedures  to  be   Gunung  Salak  Geothermal  Laboratory  QA/QC  Procedure  
applied  
Purpose  of  data   Calculation  of  project  emissions  
Calculation  method   -­  
Comments   -­  

Data  /  Parameter   wsteam,CH4,y  


Data  unit   t  CH4/t  steam  
Description   Average  mass  fraction  of  CH4  in  the  produced  steam  in  year  y  
Source  of  data   The  Non-­Condensable    Gases   (NCG)   data   taken   from   steam  
sampling  as  prescribed  in  the  Monitoring  Methodology  ACM0002  
version  17.0  
Description  of   Non-­condensable   gases   sampling   should   be   carried   out   in  
measurement  methods   production  wells  and  at  the  steam  field-­power  plant  interface  using  
ASTM  Standard  Practice  E1675  for  Sampling  2-­Phase  Geothermal  

v3.3   41  
  PROJECT  DESCRIPTION:  VCS  Version  3
and  procedures  to  be   Fluid  for  Purposes  of  Chemical  Analysis  (as  applicable  to  sampling  
applied   phase  steam  only).  
The  Non-­Condensable  Gases  (NCG)  sampling  and  analysis  will  be  
performed  every  three  months.  
Frequency  of   Every  three  months  
monitoring/recording  
-­6
Value  applied   Unit  1:  8.356x10  or  0.0008356%  
-­6
Unit  2:  7.700x10  or  0.0007700%  
-­6
Unit  3:  7.023x10  or  0.0007023%  
Monitoring  equipment   -­  
QA/QC  procedures  to  be   Gunung  Salak  Geothermal  Laboratory  QA/QC  Procedure  
applied  
Purpose  of  data   Calculation  of  project  emissions  
Calculation  method   -­  
Comments   -­  

Data  /  Parameter   EGfacility,y  


Data  unit   MWh  
Description   Net  electricity  delivered  to  the  grid  by  the  project  activity  
Source  of  data   Project  Owner-­PLN  revenue  meter  (electricity  sales)  
 
Description  of   Electricity   produced   will   be   measured   by   a   watt-­hour   meter  
measurement  methods   (connected  to  a  digital  control  system  and  recorded  continuously),  
and  procedures  to  be   which  can  measure  both  power  delivered  to  the  grid  and  received  
applied   from  the  grid.  Therefore,  net  electricity  export  will  be  measured.  
The  measurement  of  electricity  generation  will  be  conducted  on  a  
continuous   basis,   where   hourly   and   daily   total   electricity  
measurement   will   be   available.   The   measurement   results   will   be  
summarised  transparently  in  regular  production  reports.  
Frequency  of   The   measurement   of   electricity   generation   is   conducted   on   a  
monitoring/recording   continuous   basis,   where   hourly   and   daily   total   electricity  
measurement  is  available.  
Value  applied    
  EGfacility,y  
  2016   2017-­2025  
Unit  1    471,854     473,040        
Unit  2    452,327     473,040      
Unit  3    444,627     473,040      
.  

v3.3   42  
  PROJECT  DESCRIPTION:  VCS  Version  3
Monitoring  equipment    
    Steam  flow  meter  
 
    Type   Accuracy   Serial  
  Class   Number  
 
  Unit  1   Schneider   Electric   0.2   PT  0806A119-­01  
  ION  8600  
 
Unit  2   Schneider   Electric   0.2   PT  0806A118-­01  
 
  ION  8600  
  Unit  3   Schneider   Electric   0.2   MT  1006A500-­01  
ION  8600  
.  
QA/QC  procedures  to  be   The   QA/QC   will   be   conducted   through   cross   checking   with   sales  
applied   electricity  receipts.  
Meters   will   be   calibrated   according   to   the   Standard   Operational  
Procedures  signed  between  PT.  Indonesia  Power  and  PLN  (load  
dispatcher)  or  other  documents,  which  update  or  replace  this  SOP.  
Data  measured  by  meters  will  be  cross  checked  by  electricity  sales  
receipt.  
The  meter  (s)  will  either:  
 i)   be  read  frequently  jointly  by  the  project  developer  and  the  grid  
company  
 ii)   be  only  read  by  the  project  developer  and  data  will  be  double  
checked  with  the  electricity  sales  receipts  
 iii)   be  only  read  by  the  grid  company  
 
Purpose  of  data   Calculation  of  baseline  emissions  
Calculation  method    EGfacility  =  EGexp  -­  EGimp  
Comments   Standard   Operation   Procedure   signed   between   PT.   Indonesia  
Power   and   PT   PLN   (load   dispatcher)   or   other   documents,   which  
update  or  replace  this  SOP  

4.3   Monitoring  Plan  

This  section  presents  the  steps  taken  to  monitor  on  regular  basis  the  GHG  emission  reductions  
from  the  capacity  upgrade  project  at  Gunung  Salak  geothermal  power  plant  in  Indonesia.  

The  purpose  of  the  monitoring  plan  is  to  present  reliable  and  complete  data  and  to  ensure  that  all  
actual  project  data  is  well  organised  in  term  of  collection  and  archiving.  

v3.3   43  
  PROJECT  DESCRIPTION:  VCS  Version  3
1.   Monitoring  organisation  

Prior   to   the   start   of   the   crediting   period,   the   organisation   of   the   monitoring   team   will   be  
established.   Clear   roles   and   responsibilities   will   be   assigned   to   all   staff   and   the   power   plant  
manager   involved   in   the   VCS   project,   who   will   have   overall   responsibility   for   the   monitoring  
system  in  the  project,  ensuring  trained  staff  perform  the  monitoring  duties  and  that  where  trained  
monitoring  staff  are  absent,  the  integrity  of  the  monitoring  system  is  maintained  by  other  trained  
staff.   Initial   training   will   be   conducted   and   regular   checks   performed   to   ensure   adequacy   of  
monitoring  data.  

Monitoring  Organisation  Chart  

! South Pole Carbon PT. Indonesia Power


1. Verify monitoring process and data VCSInspector
2. Calculation of emissions reduction 1. Consistency check of reported data
3. Point of reference for VCS related matters 2. Documentation management

VCS Manager
1. Supervision of staff (data recording)
2. Review of monitoring systems
3. Consistency check of reported data
4. VCS documentation on-site
5. Coordinate calibration

Power plant operator


1. Electricity sales to the grid VCS Coordinator (on-site)
Reports
2. Steam main inlet flow
3. Electricity consumption for trip & shutdown 1. Electricity sales to the grid
2. Steam main inlet flow
3. Steam sampling procedure & results
4. Electricity consumption for start-up

Chemical Laboratory
Steam sampling procedures & results

QA  

The   project   developer   has   created   procedures   that   will   ensure   consistent   quality   of   all   data  
collection,   recording,   storage,   and   reporting.   The   project   developer   has   assigned   a   VCS  
manager,  the  overall  person  responsible  for  the  VCS  monitoring  process.  The  VCS  manager  
cooperates   with   on-­site   VCS   coordinator   and   collects   all   the   monitored   data   required   for   the  
VCS.  Monthly  reports  are  prepared  for  the  power  plants  manager  who  has  overall  quality  control.  

v3.3   44  
  PROJECT  DESCRIPTION:  VCS  Version  3
2.   Monitoring  equipment  and  installation  

Metering  of  electricity  supplied  to  the  grid  

The  electricity  meter  will  be  the  revenue  meter  that  measures  the  quantity  of  electricity  for  which  
the  project  will  be  paid.  As  this  meter  provides  the  main  measurement  in  the  methodology,  it  will  
be  a  key  part  of  the  verification  process.  This  meter  is  located  at  the  Gunung  Salak  substation.  

To  ensure  maximum  data  availability  and  to  introduce  data  quality  controls,  a  crosscheck  meter  
will  be  installed  in  addition  to  the  revenue  meter.  This  meter  will  also  be  located  at  the  Gunung  
Salak  substation,  measuring  electricity  exported  from  the  project.  

The  electricity  meter  shall  meet  relevant  local  standards  at  the  time  of  installation.  Therefore,  
the   meters   must   be   factory   calibrated   at   the   manufacturer   before   its   installation   and   will   be  
checked  repeatedly  once  per  2  years  during  its  operation.  Project  owner  will  install  the  meters  
at  the  project  site.  Records  of  the  meter  (type,  maker,  model,  and  calibration  documentation)  
are  retained  in  the  quality  control  system  on-­site.  

Electricity  measurements  will  be  taken  in  accordance  with  SOP  signed  between  PT.  Indonesia  
Power  and  PT.  PLN  (load  dispatcher),  or  other  documents  which  update  or  replace  this  SOP.  

Monitoring  Equipments  

Geothermal Field Area Powerplant Area

(4) (3)
W.S P.S

Steam Power
Cyc Turbin Gen
lon e
e
(2)
V.M
Power plant (1)
Control Room E.M
DCS display

(1) Electricity Main Meter 150 kV – Grid


(2) Venturi Flow Meter (steam) Transmission
(3) Power Plant Steam Sampling
(4) Geothermal Wells Steam Sampling (if required)

v3.3   45  
  PROJECT  DESCRIPTION:  VCS  Version  3
Metering  of  geothermal  steam  flow  

Data  is  available  at  the  local  meter  and  remotely  (Central  Control  Room,  CCR)  of  power  plant.  
All  data  will  be  recorded  in  a  Steam  Log  Sheet  manually.  The  daily  Steam  Log  Sheet  report  will  
be  submitted  to  VCS  Coordinator  for  monthly  steam  production  report.  

Lab  test  of  geothermal  steam  sampling  procedure  

The  Lab  officer  is  responsible  for  steam  sampling  procedures  and  chemical  analysis  at  Gunung  
Salak   Geothermal   Area   laboratory.   The   report   will   be   submitted   to   the   VCS   Coordinator   and  
subsequently  reported  to  the  Manager  of  Gunung  Salak  power  plants  units  1,  2,  and  3.  

All  equipment  will  be  calibrated  by  the  manufacturer  according  to  relevant  local  standards  at  the  
time  of  installation  and  maintained  in  accordance  with  the  manufacturer’s  recommendations  to  
ensure  accuracy  of  measurements.  Records  of  the  meter  (type,  make,  model,  calibration,  and  
maintenance  documentation)  will  be  retained  as  part  of  the  VCS  monitoring  system.  

3.   Data  recording  procedure  

All   relevant   data   will   be   archived   electronically   and   backed   up   regularly.   Uncertainty   will   be  
considered  to  achieve  conservative  results.  Moreover,  it  will  be  kept  for  the  full  crediting  period,  
plus  two  years  after  the  end  of  the  crediting  period  or  the  last  issuance  of  VCUs  for  this  project  
activity  (whichever  occurs  later).  The  Monitoring  Plan  has  been  developed  to  ensure  that  the  
project  has  robust  data  collection,  processing,  and  archiving  procedures.  

Other   data   for   VER   procedures   will   be   managed   by   the   VCS   Coordinator   and   subsequently  
reported  to  the  power  plant  manager.  

4.   Document  management  

The  project  developer  will  keep  electricity  sale  and  purchase  invoices.  All  written  documentation  
such  as  specifications,  maps,  and  drawings,  will  be  stored  for  the  crediting  period  and  two  years  
afterwards,  and  be  made  available  to  the  verifier  so  that  the  reliability  of  the  information  may  be  
checked.  

The  document  management  system  will  be  developed  to  ensure  adequate  document  control  for  
VER  purposes.  Monitoring  report  and  supporting  workbook  will  be  provided  for  verification.  

5   SAFEGUARDS  

5.1   No  Net  Harm  

According  to  adjusted  Gunung  Salak  geothermal  power  plant's  Environmental  Impact  Assessment  
(EIA),  a  revised  RKL/RPL  (Environment  Management  Plan  and  Environment  Monitoring  Plan)  for  
the  additional  installed  capacity  3  x  5  MW.  

v3.3   46  
  PROJECT  DESCRIPTION:  VCS  Version  3
The  report  clearly  recognizes  that  impacts,  if  any,  have  been  taking  into  account  before  and  after  
the   project   activity   as   summarized   in   the   letter   No.   660.1/1801/I/2007   from   the   provincial  
Environmental  Agency  (BPLHD)  of  West  Java  to  the  project  owner  due  capacity  upgrade  activity.  

A  summary  of  the  environmental  impacts  of  the  project  activity  is  described  below:  
Identified  Environmental  impacts   Measures  taken  
Operational  Phase  
Air  Pollution    
An  increase  H2S  gas  concentration   Maintain   sound   operation   of   turbine   and   its   system  
together  with  a  fan  and  blower  in  the  cooling  tower.  
Noise  Pollution    
An  increase  of  noise   Install   a   noise   buffer   and   cover   made   from  
soundproof  material  for  turbine  and  its  system  
Water  Pollution    
Surface  water  body  pollution   Re-­inject   waste   water   (condensates)   from   cooling  
tower  to  abandoned  geothermal  wells  
Post-­operational  phase  
Re-­construction  of  power  plant   Will   be   planned   3   or   5   years   before   operational  
phase  ends  
Transportation  of  ruins   Will   be   planned   3   or   5   years   before   operational  
phase  ends  
Re-­vegetation   of   power   plant   ex-­ Will   be   planned   3   or   5   years   before   operational  
location   phase  ends  
 
•   Deterioration  of  air  quality  
During   operational   phase,   some   deterioration   of   air   quality   is   expected   to   occur,   especially   an  
increase  in  H2S  gas  released  into  the  ambient  air.  The  H2S  gas  comes  from  the  cooling  tower  
during   power   plant   operation,   which   emits   non-­condensable   gases   (NCG),   and   from   the   vent  
valve  and  scrubber  if  broken  down.  
To  reduce  this  impact  there  will  be  regular  maintenance  and  check  ups  for  the  turbine  and  system  
to  prevent  any  H2S  gas  leakage.  In  addition,  the  cooling      tower  must  also  be  maintained  regularly  
to  decrease  non-­condensable  gases  (NCG)  emission.  
 
•   Increased  noise  pollution  
Increased  noise  pollution  is  expected  from  the  turbine  and  its  system  during  power  plant  operation.  
To  reduce  the  impact  the  project  owner  has  installed  a  soundproof  buffer  and  cover  surrounding  
the  turbine  and  its  system  to  prevent  any  noise  pollution  to  the  environment.  
 
•   Deterioration  of  surface  water  quality  
Minor   deterioration   of   surface   water   quality   due   to   the   project   activity   is   expected   because   of  
wastewater  coming  from  the  cooling  tower.  

v3.3   47  
  PROJECT  DESCRIPTION:  VCS  Version  3
To   prevent   any   further   increase,   the   project   owner   has   managed   to   re-­inject   waste   water  
(condensates)  to  abandoned  geothermal  wells.  
Considering  the  mitigation  controls  planned  as  part  of  the  project  activity,  EIA  process  and  the  
contribution  made  by  the  project  to  the  sustainable  development  of  the  local  and  national  area,  
the  project  is  expected  to  have  an  overall  positive  impact  on  the  local  and  global  environment.  All  
negative  environmental  impacts  will  be  described  in  the  mitigation  and  monitoring  plans.  

5.2   Environmental  Impact  


Based   on   Ministerial   Decree   No.   KEP-­17/MENLH/2001,   an   Environmental   Impact   Assessment  
(EIA)   has   to   be   conducted   for   electric   power   development   activities   in   the   Exploitation   and  
Development  of  Geothermal  power  plants  equal  to  and/or  greater  than  55  MW  in  capacity,  in  order  
to   assess   environmental   impacts   that   will   occur   from   these   geothermal   field   activities,   and   to  
prepare  mitigation  strategies  to  address  impacts,  if  any.  
The  Gunung  Salak  geothermal  power  plant  has  two  EIAs  that  include  3  power      station  units  of  55  
MW  each.  One  EIA  is  approved  by  the  Department  of  Mining  and  Energy  in  1991  that  covers  only  
Gunung  Salak  unit  1  and  2,  and  in  1996  a  second  EIA  was  developed  and  approved  for  Gunung  
Salak  unit  3.  
 
Due  to  the  capacity  upgrade  of  Gunung  Salak  Geothermal  Power  Plant  from  3  x  55      MW  to  3  x  60  
MW,  the  project  owner  together  with  Research  Agency  of  Padjajaran  University  conducted  a  study  
to   adjust   the   EIAs   by   submitting   a   revised   RKL/RPL   (Environment   Management   Plan   and  
Environment   Monitoring   Plan),   and   presented   the   results   to   the   provincial   EIA   commission.   The  
revised  RKL/RPL,  which  was      approved  in  23  July  2007,  covers  the  additional  installed  capacity  3  
x  5  MW.  

5.3   Local  Stakeholder  Consultation  


A  meeting  with  relevant  stakeholders,  including  the  village  chief  and  people  who  live  nearby,  within  
the  project  boundary  of  Gunung  Salak  geothermal  power  plant  was  conducted  on  September  25th,  
2008  at  Raudhatul  Jannah  Mosque,  Parung  Kuda,  near  the  power  plant.  The  stakeholder  meeting  
was   held   together   with   the   power   plant’s   Ramadhan   (fasting   month)   festival   to   inform   the   local  
stakeholders  that  the  capacity  upgrade  project  at  the  power  plant  would  be  registered  as  one  of  
carbon  credit  projects.  The  local  stakeholders  who  attended  the  meeting  have  no  objections  to  the  
19
proposed  activity.  Furthermore,  as  documented  in  the  revised  EIA ,  the  local  stakeholders  have  
perceived   that   Gunung   Salak   Geothermal   Power   Plant   establishment   has   increased   their   social  
and   economical   life   due   to   road   construction,   additional   earning   from   temporary   jobs,   health  
services,  and  other  pro-­community  activity.  
th
The  stakeholder  meeting  on  September  25 ,  2008  was  documented  and  recorded  like  attendance  
list,   pictures,   and   other   relevant   documentation,   which   will   be   made   available   to   DOE   and   sent  
separately.  
Outcome:  No  negative  comments  were  received  from  the  local  stakeholders  during  the  meeting.  
They   did   not   object   to   the   project   activity   because   the   project   will   not   negatively   impact   the  
surrounding  environment  or  people.  

19
 The  revised  EIA  is  prepared  to  cover  all  environmental  and  social  issue  after  the  capacity  upgrade  of  Gunung  Salak  geothermal  
power  plant  from  3x55  MW  to  3x60  MW.  

v3.3   48  
  PROJECT  DESCRIPTION:  VCS  Version  3
5.4   Public  Comments  

N/A  

v3.3   49  
  PROJECT  DESCRIPTION:  VCS  Version  3
APPENDIX   I:   LETTER   FROM   THE   CHAIRMAN   OF   INDONESIAN   GEOTHERMAL  
ASSOCIATION    

v3.3   50  

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