Adani Power today said it expects to earn as much as Rs 600 crore from trading of carbon credits from two of its units at the 4,620 MW Mundra project in Gujarat.
Mundra plant's phase III "becomes the world's first coal-fired thermal project to receive carbon credits from the United Nations Framework Convention on Climate Change (UNFCCC)", the company said.
Phase III - having two units of 660 MW each - has received carbon credits under the Clean Development Mechanism.
In a statement, Adani Power said it expects to generate about 1.8 million Certified Emission Reductions (CERs) each year.
The company, part of the diversified Adani group, is expected to earn Rs 600 crore by trading these carbon credits during the first ten years of its operations, it added.
A mechanism aimed at reducing greenhouse gas emissions, one carbon credit generally refers to an equivalent of one tonne of carbon dioxide emissions.
"While the reduced combustion of fossil fuels will help conserve precious natural resources, the carbon credit issuance to our project will also encourage other entities to implement similar projects to reduce their own carbon footprint," Adani Power Managing Director Rajesh Adani said.
He also expressed confidence of expanding the company's generation capacity to nearly 10,000 MW by March 2013.
Mundra phase IV (three units of 660 MW each), Tiroda phase II & III (together three units of 660 MW), 1,320 MW Kawai power plant and the 1,000 kilo metre long, ± 500 kV 2,500 MW Mundra-Mohindergarh High Voltage Direct Current transmission line, are also expected to be registered under CDM.
