State to save Rs 22 crore by supporting CDM

The state government may consider providing special incentives to develop power generation and distribution units based on cleaner fuels or renewable energy technologies.

Such units, serving the 60 geographic SSI clusters in the state, and rural electrification managed by community based organisations can help the state more than Rs 22 crore, says a PricewaterhouseCoopers study.

The study on clean development mechanisms (CDM) was sponsored by the Gujarat Electricity Board (GEB).

According to the study, the CDM ranking in power generation puts Gujarat Energy Development Authority's (GEDA) wind and gassifier projects as the most attractive CDM projects, followed by Biogas and Solar PV.

GEDA has been allotted four projects on top priority basis, which have to be aggregated and followed through with the CDM project cycle.

The project includes 16 biomass gassifier projects and 6 mw gassifier projects, which will result in emission reduction and additional income of Rs 5.17 crore over 10 years.

The proposed 20,000 units to be used in rural electrification is expected to result in income of Rs 73.2 lakh over 10 years.

The Surat Municipal Corporation's solid waste bio-methanation and Anil Starch's bio-methanation plants are expected to generate emission reduction and trading income of Rs 1.45 crore and Rs 3.6 crore, respectively, while the several wind projects in the pipeline are expected to result in emission reduction and potential revenues of Rs 11.32 crore, says the study.

The CDM was created as a successor to the joint implementation to boost collaborative projects to reduce emissions or sequester carbon in the developing countries.

Ir is one of the several flexibility mechanisms authorised in the Kyoto Protocol to the 1992 UN Framework on Climate Change, signed at Rio de Janerio Earth Summit for developing countries to evolve measures that achieve the goals set at Rio and Kyoto.

CDM makes available funds for developing countries for technology change.