Uniform Reporting Format:
Activities Implemented Jointly Under the Pilot Phase
List of
Projects
A. Description of project
1) Title of project: Conversion project in Narva- Jõesuu
2) Participants/actors:
|
Item
|
Financier/Reporter
|
Co-reporter
|
|
Name of organisation(a):
|
Statens Energimyndighet
|
Eesti Vabariigi Keskkonnaministeerium
|
|
Name of organisation (English):
|
Swedish National Energy Administration(*
|
Ministry of the Environment of the Republic of Estonia
|
|
Department:
|
Secretariat for Climate Policy and International Co-operation
|
International Relations Department
|
|
Acronym:
|
STEM
|
EKM
|
|
Acronym (English):
|
STEM
|
MoE
|
|
Function within activity:
|
Assigned by the Swedish Government for implementation including financing arrangements.
|
Estonian Climate responsible Organisation
|
|
Street:
|
Kungsgatan 43
|
Toompuiestee 24
|
|
Post code:
|
BOX 310, S-631 04
|
10149
|
|
City:
|
Eskilstuna
|
Tallinn
|
|
Country:
|
Sweden
|
Estonia
|
|
Telephone:
|
+46 16 544 20 00
|
+372 62 62 800
|
|
Fax:
|
+46 16 544 22 64
|
+372 62 62 801
|
|
E-mail:
|
klas.tennberg@stem.se
|
|
|
WWW-URL:
|
http://www.stem.se
|
|
|
Contact person (for this activity):
|
-------------------------------------
|
-------------------------------------
|
|
Surname:
|
Knutsson
|
Kratovits
|
|
First name, middle name:
|
Gudrun
|
Andres
|
|
Job title:
|
Senior officer
|
Counsellor
|
|
Direct tel:
|
+46 16 544 20 72
|
+372 62 62 841
|
|
Direct fax:
|
+46 16 544 22 64
|
+372 62 62 845
|
|
Direct E-mail:
|
gudrun.knutsson@stem.se
|
andres@ekm.envir.ee
|
(* From 1 January, 1998, the new Swedish National Energy Administration has taken over the
responsibility for the Programme for an Environmentally Adapted Energy System in the Baltic region and
Eastern Europe (EAES Programme) from NUTEK (Swedish National Board for Industrial and Technical
Development).
|
Borrower
|
|
Name of organisation(a):
|
AS Jõesuu Soojatootja
|
|
Name of organisation (English):
|
Ltd Heat Producer at Jõesuu
|
|
Department:
|
|
|
Acronym:
|
|
|
Acronym (English):
|
|
|
Function within activity:
|
Project owner
|
|
Street:
|
Suur Lootsi 9
|
|
Post code:
|
29023
|
|
City:
|
Narva-Jõesuu
|
|
Country:
|
ESTONIA
|
|
Telephone:
|
+372 35 77 3 80
|
|
Fax:
|
+372 35 71 942
|
|
E-mail:
|
|
|
WWW-URL:
|
|
|
Contact person (for this activity):
|
-------------------------------------
|
|
Surname:
|
Ermakov
|
|
First name, middle name:
|
|
|
Job title:
|
Managing director
|
|
Direct tel:
|
+372 35 77 380
|
|
Direct fax:
|
|
|
Direct E-mail:
|
|
|
Item
|
Please fill in if applicable
|
Please fill in if applicable
|
|
Name of organisation(a):
|
Võru Regionaalne Energiakeskus
|
|
|
Name of organisation (English):
|
Regional Energy Centres in Estonia
Võru Regional Energy Centre
|
ÅF International AB
|
|
Department:
|
|
|
|
Acronym:
|
Võru REK
|
|
|
Acronym (English):
|
Võru REC
|
|
|
Function within activity:
|
Local reporter
|
Technical support
|
|
Street:
|
Liiva 12C
|
Stensjögatan 3
|
|
Post code:
|
65602, Võru P.O., BOX 43
|
S-217 65
|
|
City:
|
Võru
|
MALMÖ
|
|
Country:
|
ESTONIA
|
SWEDEN
|
|
Telephone:
|
+372 78 201 45
|
+46-40-37 50 00
|
|
Fax:
|
+372 78 201 45
|
+46-40-13 03 69
|
|
E-mail:
|
|
energikonsult@ens.af.se
|
|
WWW-URL:
|
http://www.af.se/ens/english/rec
|
http://www.af.se
|
|
Contact person (for this activity):
|
-------------------------------------
|
-------------------------------------
|
|
Surname:
|
Potter
|
Mårtensson
|
|
First name, middle name:
|
Elmu
|
Roland
|
|
Job title:
|
Consultant
|
Project leader
|
|
Direct tel:
|
+372 78 201 45
|
+46-40-37 51 04
|
|
Direct fax:
|
+372 78 201 45
|
+46-40-13 03 69
|
|
Direct E-mail:
|
elmu@regen.werro.ee
|
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:
|
Narva Jõesuu in Estonia's most north-eastern area is a town with about 3500 inhabitants
and several health institutions. The town has one boiler plant with three oil fired KVGM 10-150 hot
water boilers. One of this boilers has been converted to firing biofuel. One reason for the boiler
conversion was to be able to ensure the tourists as well as the inhabitants cleaner air and
environment conditions.
|
|
Type of project:a)
|
Fuel switching to biofuels
|
|
Location (exact, e.g. city, region,
state):
|
Narva Jöesuu town
Eastern-Viru County
Estonia
|
|
Activity starting date:
|
20. November 1994 (Letter of Intent)
|
|
In operation from:
|
October 1994
|
|
Expected activity ending date:
|
Loan expire date 30.September 2005
|
|
Stage of activity:b)
|
completed
|
|
Lifetime of activity if different from ending date:c)
|
Expected technical lifetime is 15 years which means that the plant is expected to be in operation
till 2011.
|
|
Technical data:d)
|
The oilfired KVGM 10-14 hot water boiler has been converted to wood chips firing by installation of
a movable grate in the existing boiler. Half of the grate is put into a pre-furnace front of the
boiler. The new equipment consists of combustion equipment, afuel silo with an automatic fuel
handling system, flue gas cleaning and steel framework.
Boiler type: KVGM 10-50 (Hot water
boiler)
Boiler output : 6,0 MW
Prefurnace: Intregrated pre-furnace Flue gas cleaning: Multicyclone < 300 mg/Nm3
Fuel type: Wood chips, sawdust, bark
35-55 % RH
Previous fuel: Oil-shale oil
Estimated heat production from wood fuel boiler: 25000 MWh/year
Total heat production of the boiler plant: 30000 MWh/year
|
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.
The life time criteria has been arranged in different groups depending on type of implemented activities.
This classification assumes a level of operation and maintenance which is normal
in western
Lifetime of activity
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 and installations using certified contractors and supervisor according to EN
norms and applicable district heating practise
|
|
15 years
|
Pre-fabricated pipes and installations without using certified contractors and supervisor
|
|
10 years
|
Modernisation of existing pipes.
|
Energy efficiency in buildings
|
25 years
|
Additional insulation roofs walls etc. with Scandinavian technology.
New installed heating systems.
|
|
15 years
|
Renovation and balancing of heating systems including thermostat valves.
|
|
10 years
|
Weather stripping windows, doors etc.
|
* if a combination of measures is done a reasonable lifetime for the project have to be calculated.
4) Cost (to the extent possible):
To the investment costs are referred the cost of the investment proper and the accumulated interest during
the grace period, generally 2 years.
The AIJ/JI cost items are the costs for:
- Technical assistance, a technical and administrative support from consultants, during the period from
definition of the project till commissioning. These costs are paid by STEM.
- Follow-up, an annual technical and economic follow-up by consultants, hired by STEM, of the operating
results of the plant with the objective to improve on its techno-economic sustainability and its climate
effect. The cost indicated is an average cost per project.
- Reporting costs – i e costs in connection with the annual reporting of the project’s
climate effects to UNFCCC. The cost indicated is an average cost per project.
- Administration –Costs for seminars, handbooks, education (capacity building) and average costs of
STEM staff per project.
- Difference in interest rates. STEM applies for its loans generally an interest rate corresponding to
6-month STIBOR (Stockholm InterBank Rate, in April 1999 3,0 %). Assuming a normal lending rate of 7 % means
that this loan is associated with a cost of 4 % in relation to normal lending rate.
Investment/instalment = the borrower’s possible own financing of the investment, followed by the
borrower’s repayment of the loan.
All costs in USD
|
Country
|
|
Narva Jõesuu
|
1995
|
1996
|
1997
|
1998
|
|
|
|
0
|
1
|
2
|
3
|
|
Investment
|
1. Loan/debt to STEM
|
746500
|
823625
|
860250
|
900625
|
|
|
2. Added costs
|
0
|
77125
|
36625
|
40375
|
|
|
3.Technical assistance
|
85000
|
0
|
0
|
0
|
|
AIJ/JI
|
4. Follow up
|
0
|
0
|
10625
|
2750
|
|
A. Sweden
|
costs
|
5. Reporting costs
|
0
|
0
|
1063
|
0
|
|
|
6. Administration
|
49125
|
0
|
0
|
0
|
|
|
7. Difference in interest
|
4%
|
32945
|
34410
|
36025
|
|
|
8.Accum. costs for AIJ/JI
|
134125
|
167070
|
213168
|
251943
|
|
|
9.Total costs
|
880625
|
990695
|
1073418
|
1152568
|
|
Investment
|
1. Investment/Instalment
|
0
|
0
|
0
|
0
|
|
2. Estonia
|
AIJ/JI
|
2. Reporting costs
|
0
|
0
|
0
|
0
|
|
costs
|
3. Other costs
|
0
|
0
|
0
|
0
|
|
|
4. Accum. costs for AIJ/JI
|
0
|
0
|
0
|
0
|
|
|
5. Total costs
|
0
|
0
|
0
|
0
|
|
1 USD=
|
8
|
SEK
|
|
|
|
|
5) Mutually agreed assessment procedures:
|
Describe the procedures, including name of organisations involveda):
|
|
Ministry of the Environment of Estonia is a central Estonian authority responsible on reporting of
JI projects. This authority assigns a local institution, which is involved in to the evaluation of
the climate effects of this project and takes the main responsibility to continue measuring,
results collecting for JI-reporting.
|
a) Please ensure that detailed contact information for all organisations 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:
Second report . First report was submitted 1997.
2) This report is a joint report:
- Yes, Agreement with designated national authority was signed 1997.
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 project meets the following objectives in the Estonian Energy Law and the Long-term Development
Plan for the Estonian Fuel and Energy Sector:
- efficient use of energy resources;
- to increase the share of renewable energy sources in the primary energy demand from present 8% to
13% to the year 2010;
- to reduce the environmental damage arising from fuel and energy production, transport, conversion
and distribution;
- to create the reliable energy conservation system stimulating the implementation of energy
conservation measures by consumers;
- creation and usage of energy efficient technologies, fuel/energy consuming and diagnostic
equipment.
- to develop co-operation between Baltic, Nordic and Central European countries.
|
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 quantative information is too large, the source could be indicated.)
|
Item
|
Please fill in
|
|
Describe environmental benefits in detail:
|
Annual emmisions reduction:
Projected: 1998
9 187 ton CO2 1 249 ton CO2
140 ton SO2 19 ton SO2
4 ton Nox 1 ton NOx
Improved silviculture
Lower pollution in district
|
|
Do quantitative data exist for evaluation of environmental benefits?
|
Yes. Measurements have been carried out in 1997.
|
|
Describe social/cultural benefits in detail:
|
More stable energy supply.
Improved working conditions, increased motivation.
More employment (fuel companies)
Improved trade balance.
|
|
Do quantitative data exist for evaluation of social benefits?
|
Yes . Some reports have been produced
PHARE prorgamme Estonia. Energy Sector: Post Implementation Performance Analysis for Energy
Investments, 1998.
|
|
Describe economic benefits in detail:
|
Decreased fuel costs approx. 3.5 USD/MWh.
|
|
Do quantitative data exist for evaluation of economic benefits?
|
Yes. Some reports have been produced.
PHARE prorgamme Estonia. Energy Sector: Post Implementation Performance Analysis for Energy
Investments, 1998.
|
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):
Description of the baseline or reference scenario, including methodologies applied:
Present data reflect emission reductions using status quo (emissions in the period before the conversion to
renewable fuel) for the baseline case. Calculations, according to the top-down method, for emissions from
different types of projects in the baseline case are being made. The changed calculation method will result
in a change in emission reduction.
The new data will be introduced as soon as available.
It can be considered probable that natural gas would have been chosen some period after the start-up time
of the bio-fuelled boiler.
2) Estimated emissions with the activity:
Description of the scenario, including methodologies applied:
Emission reductions are calculated using the IPCC Guidelines, using the Carbon Emission Factor (CEF) for
different types of fuel, using actual system efficiency. For boiler conversion, the decrease in emissions
is calculated in relation to the amount of fossil fuel replaced (status quo).
For an energy efficiency project the decrease in emissions reflects the amount of fuel that is saved
through the project. In the case that the system uses renewable fuels, the reduction is calculated
comparing the amount of fossil fuels that was used before the conversion to renewable fuels.
Below comparison is based upon that the base-line scenario represents a status quo solution.
Fill in the following tables as applicable:
Summary table: Projected emission reduction s:
|
GHG
|
Year 1
=1996
|
Year 2
=1997
|
Year 3
=1998
|
...
|
Year 15
=2010
|
|
Planned energy production on biofuels MWh/year
|
|
25000
|
25000
|
25000
|
|
25000
|
|
A) Project baseline scenario
|
CO2
|
9187
|
9187
|
9187
|
|
9187
|
|
CH4
|
|
|
|
|
|
|
N2O
|
|
|
|
|
|
|
other
|
|
|
|
|
|
|
B) Project activity scenarioa)
|
CO2
|
0
|
0
|
0
|
|
0
|
|
CH4
|
|
|
|
|
|
|
N2O
|
|
|
|
|
|
|
other
|
|
|
|
|
|
|
C) Effect ( B-A )
|
CO2
|
-9187
|
-9187
|
-9187
|
|
-9187
|
|
CH4
|
|
|
|
|
|
|
N2O
|
|
|
|
|
|
|
Other
|
|
|
|
|
|
|
D) Cumulative effect
|
CO2
|
-9187
|
-18373
|
-27560
|
|
-137798
|
|
CH4
|
|
|
|
|
|
|
N2O
|
|
|
|
|
|
|
Other
|
|
|
|
|
|
a) Includes indirect GHG leakages.
Summary table: Actual emission reductions :
|
GHG
|
Year 1
= 1996
|
Year 2
= 1997
|
Year 3
=1998
|
...
|
Year 15
|
|
Factual energy production on biofuels
|
|
11110
|
2245
|
3399
|
|
3399
|
|
A) Project baseline scenario
|
CO2
|
4083
|
825
|
1249
|
|
1249
|
|
CH4
|
|
|
|
|
|
|
N2O
|
|
|
|
|
|
|
other
|
|
|
|
|
|
|
B) Project activity scenarioa)
|
CO2
|
0
|
0
|
0
|
|
0
|
|
CH4
|
|
|
|
|
|
|
N2O
|
|
|
|
|
|
|
other
|
|
|
|
|
|
|
C) Effect ( B-A )
|
CO2
|
-4083
|
-825
|
-1249
|
|
-1249
|
|
CH4
|
|
|
|
|
|
|
N2O
|
|
|
|
|
|
|
Other
|
|
|
|
|
|
|
D) Cumulative effect
|
CO2
|
-4083
|
-4907
|
-6156
|
|
-21145
|
|
CH4
|
|
|
|
|
|
|
N2O
|
|
|
|
|
|
|
Other
|
|
|
|
|
|
a) 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
|
839.476 USD
|
|
Grant from NUTEK for technical assistance
|
90.669 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 STEM 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:
- STEM technical specialist support to the local project leader and municipality;
Knowledge in negotiations to foreign companies;
Knowledge in managing and planning of bigger industrial projects;
Transferring of environmental issues to the local parties;
Operation and maintenance software was introduced to the plant-owner.
- Staff from boiler plant has been invited to different seminars and work-shops and
several presentations about company experience have made, documentation for training has been
handed over.
There were arranged seminars through close cooperation between STEM and Estonian partners:
- Environmentally Friendly Energy Systems in the Baltic Region and Eastern Europe - seminar in
Tallinn , 14-15 Aprill, 1994;
- Environmentally Friendly Energy Systems in the Baltic Region and Eastern Europe - seminar and
workshops in Tartu , 25 November, 1994 (prepared information by topics in Estonian over than 150
pages);
- EAES Programme District Heating Day in Vändra, 27 July, 1995;
- Environmentally Adapted Local Energy Systems - seminar and presentation of translated into
Estonian booklet "Environmentally Adapted Local Energy Planning" in Rakvere, 11 November,
1998 and in Tartu, 12 November, 1998.
iv)Activities have been supported by STEM to establish Estonian Biofuels Association: meetings
representatives of plant owners and consultants were arranged in Haabneeme, Valga, Võru,
Tartu, Pärnu and Viljandi. Boilerplant has been visited by specialist of other boilerplants,
the staff has an exchange of experience with other boilerplants. Estonian Biofuels Association is
established in 1998 ( mainly by "bio-club" and local experts).
|
Endogenous capacity supported or enhanced:
|
Endogenous capacity
(Name of organization1)
|
Development (DEV) / enhancement (ENH)
|
Describe briefly
|
|
AS Jöesuu Soojatootja
|
(DEV)
|
The boiler plant has got experience in how to handle biofuel firing equipment
|
1) Please ensure that detailed contact information for all organisations 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:
-
Any practical experience gained:
The biofuel boiler start-up and operation training is important. It may be that one or two persons among
the staff had got 2-3 days training which is too little. The staff needs good training for operation of the
biofuel boiler. The motivation of the staff to learn is very important to get good results.
-
Technical difficulties:
The biofuel storage crane electrical motors have been often out of order, some improvements in the crane
construction must made.
Some problems in operation of boiler tubs cleaning equipment.
The operational ability of the converted boiler shunt pump must be increased, the boiler convection part
tubes have been damaged due to unoperating shunt pump.
-
Effects encountered:
Execution of the follow up and monitoring activities to get feedback to the programme and for evaluation of
the results of the different measures.
Consulting support from both Swedish and Estonian side, also after commissioning.
4) Impacts encountered:
5) Other obstacles encountered:
The plant has had a lot of management problems because the management has been changed very often during
1-2 years, actually during the time when the conversion investment has been in operation. The normal
operational practices have not been developed well. There have been heat production brakes resulted mainly
of general operational problems.
In 1996 biofuel was used but in 1997 the use of biofuel collapsed due to fuel supply problems. The present
staff of the plant seems to be motivated and they have plans to solve the fuel supply problems.
Strong competition with natural gas, there have been also discussions to stop using local fuels and to
start using natural gas.
High unemployment level in the region and the plant has also debts due to unpaid heat bills.
Lack of a strong national focal point to support and promote biomass energy activities.
6) Other:
Improving the positive image of the Narva-Jõesuu town (a health-resort and attractive area for
tourists) as "green town" promoting environmentally friendly measures and practices and thereby
increasing its value as health-resort.
No subsidies to renewables, taxation policy is not in support of biofuel use.
