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ACTIVITIES IMPLEMENTED JOINTLY(AIJ)
 
Annex I

UNIFORM REPORTING FORMAT:

ACTIVITIES IMPLEMENTED JOINTLY UNDER THE PILOT PHASE

List of Projects

A. Description of project

1) Title of project:

New boilerplant in Limbazi,Latvia

2) Participants/actors:

Item Financier/Reporter Latvian co-reporter

Name of organisation(a):

Statens Energimyndighet

Name of organisation (English):

Swedish National Energy Administration

Ministry of Environmental Protection and Regional Development of the Republic of Latvia

Department:

Division for Eastern Europe- EAES Programme

environmental protection Department

Acronym:

SNEA

Acronym (English):

SNEA

Function within activity:

Assigned by the Swedish Government for Implementation including financing arrangements.

Latvian Climate Responsible Organisation

Street:

Liljeholmsvägen 32

Peldu Str. 25

Post code:

S-117 86

LV 1494

City:

Stockholm

Riga

Country:

Sweden

Latvia

Telephone:

+46-8-681 96 07

+371-7 026 508

Fax:

+46-8-681 96 67

+371-7 820 442

E-mail:

gudrun.knutsson@stem.se

erna@varam.gov.lv

WWW-URL:

http://www.stem.se

Contact person (for this activity):

-------------------------------------

-------------------------------------

Surname:

Westermark

Apene

First name, middle name:

Sune

Ingrid

Job title:

senior officer

senior official

Direct tel:

+46-8-681 95 39

Direct fax:

+46-8-681 96 67

Direct E-mail:

sune.westermark@stem.se

Borrower

Name of organisation(a):

Limbazu Pilsetas " Limbazu siltums" SIA

Name of organisation (English):

Limbazi town " Limbazu Siltums" Ltd

Department:

Acronym:

Acronym (English):

Function within activity:

Borrower

Street:

Sporta Street 10

Post code:

LV4000

City:

Limbazi

Country:

Latvia

Telephone:

+371-40-21 033

Fax:

+371-40-21 033

E-mail:

WWW-URL:

Contact person (for this activity):

Surname:

Tarakanovs

First name, middle name:

Valentins

Job title:

Director

Direct tel:

+371-9-357109

Direct fax:

Direct E-mail:

Item Please fill in if applicable Please fill in if applicable

Name of organization(a):

ÅF Energikonsult Syd AB

Name of organization (English):

Riga Technical University

Department:

Acronym:

Acronym (English):

Function within activity:

Project evaluator

Technical support

Street:

Kronovalda Boulv. 1

Stensjögatan 3

Post code:

LV 4100

S-217 65

City:

Riga

MALMÖ

Country:

LATVIA

SWEDEN

Telephone:

+371-7 089 923

+46-40-37 50 00

Fax:

+371-7 089 923

+46-40-13 90 38

E-mail:

WWW-URL:

Contact person (for this activity):

-------------------------------------

-------------------------------------

Surname:

Blumberga

Mårtensson

First name, middle name:

Dagnija

Roland

Job title:

Professor

project leader

Direct tel:

+371 7 210 597

+46-40-37 51 04

Direct fax:

+372-7 210 597

+46-40-13 03 69

Direct E-mail:

dagnija-eko@mail.bjc.lv

rmn@ens.af.se

a) Organisation includes: institutions, ministries, companies, non-governmental organisations, etc. involved in the activity, i.e. research institutes associated with the project, auditors, government agency closely following the activity.

3) Activity:

Item Please fill in if applicable

General description:

Limbazi is a middle-size town situated in northwest Latvia. There is one main network with two mazout fired boiler plants. One of the two is located in the middle of the town and shall be closed. A new boiler house just outside the town will be erected. The annual heat production in the town is 37,700 MWh.

Type of project:a)

A new boiler plant on biofuels

Location (exact, e.g. city, region,

state):

Limbazi town

Limbazi region

Latvia

Activity starting date:

August 18, 1997 (letter of Intent)

Expected activity ending date:

Loan expire date 31 March 2007

Stage of activity:b)

on-going

Lifetime of activity if different from ending date:c)

Expected technical lifetime is 25 years which means that the plant is expected to be in operation till 2022.

Technical data:d)

Erection of a new boiler plant fired with biofuels. The new boiler will have the capacity of 4 MW. Automatic fuel storage and flue gas cleaning equipment is also included in the project. A new pre-insulated pipeline will be installed to connect the boiler house with the network. The annual heat production amounts to 14,600 MWh from the bio boiler and 23,100 MWh from mazout.

a) For example, using Intergovernmental Panel on Climate Change (IPCC) classification: energy efficiency; renewable energy; fuel switching; forest preservation, restoration or reforestation; afforestation; fugitive gas capture; industrial processes; solvents; agriculture; waste disposal or bunker fuels.

b) Circle the appropriate option.

c) Methodological work will be required to define lifetime of activities.

Methodological work will be required to determine for each type of activity what the minimum data requirements are.

Heat production plants (bio fuel)

25 years

New installation of all main equipment parts (fuel handling system, firing equipment and boiler) and modernisation of secondary equipment.

15 years

Conversion of existing boiler but new installation fuel handling system and firing equipment. Modernisation of secondary equipment.

10 years

Limited installation of new equipment (only one part of the three main parts, normally the firing equipment). Modernisation of other equipment.

Heat distribution systems and sub-stations

25 years

Pre-fabricated pipes including western installation supervision

15 years

Pre-fabricated pipes including local installation supervision

10 years

Modernisation of existing pipes.

4) Cost (to the extent possible):

The cost analysis is based on a model developed within the framework of an expert group set up by the Nordic Council of Ministers and presented in the report TemaNord:564. The calculations include:

1. How would the CO2 emissions have developed without the investment from the investor country, i.e. determination of a reference alternative.

2. The investment cost of the project.

3. Differences in operation costs before and after the investment.

4. Changes in other economic conditions, e-g- reduction of other environmentally damaging emissions.

5. The time before the project would have been implemented anyhow, or the economic lifetime of the project if it is reasonable to expect that the project alternatively would not have been implemented within the period in question.

The more detailed calculations are found in the table enclosed as the last page to this project report.

Swedish National Energy Administration's costs

NPV(Swedish net costs)/ 0.67 US$/ton defined as NPV of costs for NUTEK/SNEA
Emission Reduction comp. base-line per tonne of CO2 saved compared to baseline scenario during the project's economic life
recipient's costs
NPV(recipient's net costs)/ -15,07 US$/ton defined as NPV of costs for recipient's action - baseline case
Emission Reduction comp. base-line (NOTE! negative value is profit) per tonne of CO2 saved compared to baseline scenario during the project's economic life
recipient country's economic costs
NPV(recipient country's economic costs) / 0,00 US$/ton defined as NPV of costs for recipient country's action case - baseline case
Emission Reduction comp. base-line (NOTE! negative value is profit) per tonne of CO2 saved compared to baseline scenario during the project's economic life
total costs in recipient country
NPV(recipient country's total costs) / -15,07

US$/ton

defined as NPV of costs for recipient's and recipient country's action case - baseline

Emission Reduction comp. base-line (NOTE! negative value is profit) per tonne of CO2 saved compared to baseline scenario during the project's economic life
Overall costs
NPV(all costs)/ -14,39 US$/ton defined as NPV of all costs for SNEA, recipient, and recipient country's action case - baseline case
Emission Reduction comp. base-line (NOTE! negative value is profit) per tonne of CO2 saved compared to baseline scenario during the project's economic life

5) Mutually agreed assessment procedures:

Describe the procedures, including name of organizations involveda):

It is from the Swedish side intended that upon agreement with a central Latvian authority on reporting of JI-projects, this authority will assign a local organisation, which will be involved in the evaluation of the climate effects of this project. After an initial work in co-operation with SNEA’s assigned consultant, this local organisation would take the main responsibility the continued measuring for JI-reporting.

a) Please ensure that detailed contact information for all organizations mentioned is reported under

section A.2 above.

B. Governmental acceptance, approval or endorsement

Bearing in mind that all activities implemented jointly under this pilot phase require prior acceptance, approval or endorsement by the Governments of the Parties participating in these activities, which shall be shown as follows:

(a) In the case of joint reporting, the report is submitted by the designated national authority of one participating Party with the concurrence of all other participating Parties as evidenced by attached letters issued by the relevant national authorities;

(b) In the case of separate reporting, the reports are submitted separately by the designated national authority of each and every participating Party. Information will only be compiled once reports have been received from all participating Parties.

1) For the activity:

  • * Subsequent reports:

First report

2) This report is a joint report:

  • Yes.

3) General short comment by the government(s) if applicable:

cf. Annex II, section B

C. Compatibility with and supportiveness of national economic development and socio-economic and environment priorities and strategies

Describe (to the extent possible) how the activity is compatible with and supportive of national economic development and socio-economic and environment priorities and strategies

The following objectives in the Latvian Energy Law:

- efficient use of energy resources;

  • creation and usage of energy efficient technologies, fuel/energy consuming and diagnostic equipment, construction and insulation materials; energy flow metering and control devices, automated energy consumption control systems;

D. Benefits derived from the activities implemented jointly project

Whenever possible, quantitative information should be provided. Failing that, a qualitative description should be given. If quantitative information becomes available, it could be submitted using the update(s). (If the amount of quantitative information is too large, the source could be indicated.)

Item Please fill in

Describe environmental benefits in detail:

Annual emissions reduction based upon the 14,600 MWh of biofuels:

5,800 ton CO2

19 ton SO2

3.2 ton Nox

Boiler plant is firing sawmill waste which earlier was taken to forest

Do quantitative data exist for evaluation of environmental benefits?

No

Describe social/cultural benefits in detail:

More stable energy supply.

Improved working conditions, increased motivation.

The boiler plant can use the waste from sawmills in neighbourhood.

Improved trade balance.

Do quantitative data exist for evaluation of social benefits?

No

Describe economic benefits in detail:

Decreased fuel costs approx. 4 USD/MWh

Do quantitative data exist for evaluation of economic benefits?

No

E. Calculation of the contribution of activities implemented jointly projects that bring about real, measurable and long-term environmental benefits related to the mitigation of climate change that would not have occurred in the absence of such activities

1) Estimated emissions without the activity (project baseline):

In hind-sight it can be considered probable that mazout would continued to be the main fuel. The annual heat production in the town is 37,700 MWh. Emissions are calculated from the elementary analysis of the assumed fuels. For the comparison of emission reduction, only the 14,600 MWh produced with biofuels is used as the source of emissions for the baseline calculation. The total emission of CO2 during from the baseline scenario during the activity’s technical lifetime is 260,130 ton.

2) Estimated emissions with the activity:

14,600 Mwh will be produced with biofuel and 23,100 MWh will be produced with mazout.

Emissions are calculated from the elementary analysis of the assumed fuels. This activity creates no leakages.

Fill in the following tables as applicable:

Summary table: Projected emission reductions:

GHG

Year 1

=1998

Year 2

=1999

Year 3

=2000

...

Year 25

Energy production at plant based upon the baseline (MWh/year)

7,300

14,600

14,600

14,600

A) Project baseline scenario

CO2

2,900

5,800

5,800

5,800

CH4

N2O

other

B) Project activity scenarioa)

CO2

0

0

0

0

CH4

N2O

other

C) Effect ( B-A )

CO2

-2,900

-5,800

-5,800

-5,800

CH4

N2O

Other

D) Cumulative effect

CO2

-2,900

-8,700

-14,500

-20,300

-142,100

CH4

N2O

Other

  1. Includes indirect GHG leakages.

Summary table: Actual emission reductions:

GHG

Year 1

= 1998

Year 2

= 1999

Year 3

=2000

...

Year 25

Factual energy production on biofuels/ saved energy (MWh/year)

A) Project baseline scenario

CO2

CH4

N2O

other

B) Project activity scenarioa)

CO2

CH4

N2O

other

C) Effect ( B-A )

CO2

CH4

N2O

Other

D) Cumulative effect

CO2

CH4

N2O

Other

  1. Includes indirect GHG leakages.

F. Additionality to financial obligations of Parties included in Annex II to the Convention within the framework of the financial mechanism as well as to current official development assistance flows

Please indicate all sources of project funding.

Category of funding

(For each source one line)

Amount

(US dollars)

Loan from NUTEK

813 333 USD

Grant from NUTEK for technical assistance

86666 USD

1 USD = 7.50 SEK

G. Contribution to capacity building, transfer of environmentally sound technologies and know-how to other Parties, particularly developing country Parties, to enable them to implement the provisions of the Convention. In this process, the developed country Parties shall support the development and enhancement of endogenous capacities and technologies of developing country Parties

Transfer of environmentally sound technologies and know-how Describe briefly

Schematically, the transfer of knowledge involves the following activities over time:

i) Technology transfer through NUTEKs technical specialist during the implementation of the project.

ii) Technology transfer through cooperation between foreign supplier and local partner

iii) Conferences, seminars, documentation and training.

iv) Stimulate "net-working" for the exchange of experience between plant owners with similar problems, e g "bio-clubs"

Technology transfer has taken place through

i) NUTEK’s technical specialist support to the local project leader and municipality.

iii) personal from boiler plant has been invited to different seminars and work-shops, documentation for training has been handed over.

iv) Boiler plant is active in "bio club" .

Endogenous capacity supported or enhanced:

Endogenous capacity

(Name of organization1)

Development (DEV) /

enhancement (ENH)

Describe briefly

(DEV)

1) Please ensure that detailed contact information for all organizations listed is reported under section A.2 above.

H. Additional comments, if any, including any practical experience gained or technical difficulties, effects, impacts or other obstacles encountered

Fill in as appropriate:

  1. Any practical experience gained:
  1. Technical difficulties:
  1. Effects encountered:

4) Impacts encountered:

5) Other obstacles encountered:

6) Other:


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