Press Release Back Number(2007)

Chubu Electric to Purchase CO2 Emissions Credits from CDM Project

June 22, 2007
Chubu Electric Power Co., Inc.

Chubu Electric has decided to purchase CO2 emissions credits from a Clean Development Mechanism (CDM) project based on the Kyoto Mechanisms in the People's Republic of China.


We will continue the fight against global warming by working with CO2 reduction projects and taking other measures.


< Natural gas power generation project in Inner Mongolia Autonomous Region, People's Republic of China >

Chubu Electric has signed an agreement to purchase CO2 emissions credits from a natural gas power generation project established by Sulige Fuel Gas Power Generation Co., Ltd. of Inner Mongolia., located in the Inner Mongolia Autonomous Region of the People's Republic of China.


The agreement marks the first time for a Japanese power company to purchase CO2 credits resulting from a natural gas power generation project.

< Partner in agreement >

Sulige Fuel Gas Power Generation Co., Ltd. of Inner Mongolia

< Amount of purchase planned >

About 3.38 million tons of CO2 emissions credits

< Timeframe of purchase >

2007 - 2012


< Reference >
Clean Development Mechanism (CDM)
A system under which industrialized nations donate funds or technology to greenhouse gas reduction projects in industrializing nations and count part of the resulting reductions as their own.


< Attachment 1 >

Chubu Electric initiatives using the Kyoto Mechanisms
Project Overview
World Bank
Prototype Carbon Fund
(PCF)
  • • A fund toward the reductions in the greenhouse gas emissions (established in 2000) to play a pioneering role in the design of Kyoto Mechanism systems.
  • • The fund purchases CO2 credits and allots them to investors.
  • • Fund size: $180 million (Chubu Electric's investment: $10 million).
  • • Investors include Japan Bank for International Cooperation, eight Japanese companies, and European governments and companies.
Japan GHG Reduction Fund
(JGRF)
  • • Asia's first greenhouse gas reduction fund, established in FY 2004.
  • • The fund purchases CO2 credits and allots them to investors.
  • • Fund size: $141.5 million (Chubu Electric's investment: $10 million).
  • • Investors include Japan Bank for International Cooperation, Development Bank of Japan and 31 Japanese companies.
Asian environmental funds
  • • Joined the Global/Asia Clean Energy Services Fund, which invests in multiple small-scale initiatives, especially ESCO projects, in FY2003.
  • • Have invested in small-scale hydropower in India and China, biomass cogeneration in Thailand, and so on.
Rice chaff power
generation project in Thailand
(A.T. Biopower Co. Ltd.)
  • • Joined project in FY2003 to develop several small-scale (20,000 kW) power plants using rice chaff as fuel in the grain belt of north central Thailand.
  • • First location (Pichit Province) started operations in December 2005.
  • • Completed registration with the UN as a CDM project, June 18, 2007.
Malaysian project to generate
power from oil palm empty
fruit bunch biomass
  • • In FY 2006, joined a project to develop biomass power plants using oil palm empty fruit bunches as fuel in two locations in the state of Sabah, on Malaysia's Borneo Island (10,000 kW each).
  • • CO2 emissions credits from the power plants in these two locations are expected to reach about two million tons by the year 2012.
Purchase of CO2 credits
from CDM projects, etc.
  • • Agreed to purchase about two million tons of CO2 emissions credits from a project that collects and decomposes the greenhouse gas HFC23 (trifluoromethane) emitted from an HCFC plant in Zhejiang Province, China.
  • • Agreed to purchase about 400,000 tons of CO2 emissions credits from a wind energy project in Ningxia Hui Autonomous Region, China.
  • • Agreed to purchase approximately 600,000 tons of CO2 emissions credits from a waste methane recovery and power generation project in Jiangsu Province (Nanjing City), China.
  • • Signed a joint purchase agreement with transfer provisions with Japan Carbon Finance, Ltd. for approximately 2 million tons (maximum) of CO2 emissions credits.
  • • Agreed to purchase approximately 580,000 tons of CO2 emissions credits from a waste methane recovery and power generation project in Jiangsu Province (Wuxi City), China.
  • • Agreed to purchase about 500,000 tons of CO2 emissions credits from a wind energy project in Gansu Province, China.
  • • Signed a purchase agreement with EcoSecurities Group P.L.C. for approximately 2 million tons maximum) of CO2 emissions credits.
  • • Agreed to purchase about 950,000 tons of CO2 emissions credits from an N2O recovery and decomposition project in Henan Province, China.
  • • Agreed to purchase about 510,000 tons of CO2 emissions credits from an N2O recovery and decomposition project in Ulsan, South Korea.
  • • Agreed to purchase about 450,000 tons of CO2 emissions credits from a wind energy project in Hebei Province, China.
  • • Agreed to purchase about 500,000 tons of CO2 emissions credits from a hydropower project in Karnataka, India.

< Attachment 2 >

[CDM project locater]


< Attachment 3 >

< Wide view of the power station >


< The power station building >
(From left: No.1 and 2 steam turbine buildings, No.1 heat exhaust recovery boiler building, No. 1 gas turbine building)