Worldwide Concern on Global Warming

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Krubong Melaka LFG Collection Energy Recovery
CDM Project
Kozo Bando bandok_at_kajima.com Kajima Corporation
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Contents
1. Feasibility Study by NEDOs Support
Program2. Outline of Project3. Technical
Study4. Environment Study 5. Financial Study6.
Actions toward CDM Approvals
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• Feasibility Study by NEDOs Support Program

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FS by NEDO
NEDOs Support Program
1. Calls for FS-for-CDM-project proposal once or
twice a year 2. Awards a dozen or more proposals
on a competitive basis 3. Scope of works includes
validation process (FY2003) 4. Approximately
US360,000 for each FS (FY2003) 5. One-year
Contract
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FS by NEDO
Chronicle of FS by NEDO Program
10/2003 Preliminary site study 11/2003
Introduction to relevant agencies/CDM
approval process/project partner/survey
installation of perforated
pipes 12/2003 Field measurements
Environment assessment process/stakeholders
comments 01/2004 Stakeholders
comments/electricity sale/PIN 03/2004 PIN
submitted for review/facility design 04/2004
Stakeholders comments/facility design
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FS by NEDO
Chronicle of FS by NEDO Program
05-07/2004 PDD written/environment study
Estimation of project cost
revenue 07/2004 Environment study/estimation
PDD submitted to OE 09/2004 Site
briefing for PIN review/Site review by OE
Public comments for PDD 10/2004
Validation report from OE PDD
submitted to DNA (M) for approval 12/2004
Application to DNA (J) for approval 01/2005
Approval from Japan 03/2005 Presentation at NC
on CDM (M) 07/2005 Approval from Malaysia
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FS by NEDO
Major Achievements by FS by NEDO Program
a. Validated PDD and validation report b.
Approval from Japanese Government c. Approval
from Malaysian Government d. Formation of project
execution team e. Technical study on LFG
collection f. Preliminary financial assessment
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2. Outline of Project
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Description of Project
Outline of Project

• Collection of LFG from closed landfill
• Power generation by collected LFG
• CER both from LFG collection from displacing
  grid electricity

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Outline of Project

• Contribution
• Reduction of GHG emission
• Energy recovery from biomass (MSW)
• Environment conscious landfill closure
• Safe cleaner closure while being stabilized

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Outline of Project
Krubong Landfill Project Site
Krubong Ladnfill
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Krubong Landfill
Outline of Project

• Major landfill in Melaka
• Operational from 1994
• Scheduled to be closed soon
• No LFG collection practiced
• 750 ton of MSW daily
• Total MSW of 2 million ton

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Outline of Project
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Outline of Project
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Outline of Project
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Outline of Project
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Outline of Project
Project Implementation Credit Transfer
Approval Government of Malaysia

Malaysian Company
Government of Japan Approval
CDM Project
Special Purpose Company
Equity
Japanese Companies
Profit
Electricity Sale
CER
CO2 Credit
Approval/Registration CDM Executive Board
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Outline of Project
General Arrangement of the Facilities
Electrical Equipment and Office Building
Gas Engine Generator Facility
Production Well
LFG Pipe f300 1,024m LFG Pipe f200
1,432m Production Well
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Technical Study
Project Output

• Project Period
• 10 years
• CH4
• Daily emission 41,000 14,000 m3
• Daily collection 15,000 5,000 m3
• CO2 Emission Reduction
• Average annual reduction 60,000 ton
  CO2eq
• Power Generation
• 1MW 500 KW

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Project Schedule
Outline of Project

• January, 2005
• Approval from Japanese Government
• July, 2005
• Approval from Malaysian Government
• End of 2005
• Registration of CDM Project with CDM EB
• Early 2006
• Establishment of SPC
• Middle of 2006
• Design and Construction of Facilities
• January, 2007
• Commencement of Operation

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3. Technical Study- Preliminary Field Study -
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4. Environment Study
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Environment Study
Procedure of Environment Impact Study

• 1. No EIA Required
• Electricity Generation Capacity lt 10MW
• Not Solid Waste Treatment Operation
• 2. PAT submitted to DOE

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Environment Study
Conformity with Environmental Regulations

• Air Quality
• Environment Quality Act 1974
• SO2 lt 3.5 g/Nm3, NO2 lt 2.0 g/Nm3
• Removal by Gas Dryer System
• 2. Noise
• WHO Recommendation
• lt 65 dB(A) or 55 dB(A)
• Generators in Containers
• 3. Odor
• Minimized by Soil Cover

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Environment Study
Stakeholders List

• Governmental Organizations
• MHLG
• EPU
• City of Melaka
• 2. Private Entities Developer near the Site
• Developer near the Site
• Factory Owner near the Site
• 3. Community
• Krubong JKKK
• Residents of Krubong

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Environment Study
Stakeholders Comments

• All the stakeholders welcome the Project
• Technology should be transferred
• Future explanation meetings are requested when
  more detailed facility plan becomes available

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5. Financial Study
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Financial Study
Electricity Sale in Malaysia
Small Renewable Energy Power Programme
(SREP)
Electricity by renewable energy Small scale
less than 10MW Effective from 2001-2005 5 of
total electricity by small renewable
energy Purchase priceRM0.14-RM0.17 per
1kWh Partial exemption of import tax Partial
exemption of corporate tax
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Financial Study
Financial Status without CDM

• Initial Costs
• RM 14,200,000.
• O M Costs per Year
• RM 1,250,000.
• Revenue for 10 Years
• 83,000 MWh
• RM 0.17 per KWh
• IRR
• Negative ( even for all sensitivity
  analysis cases)

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Financial Study
Financial Status with CDM

• Initial Costs
• RM 14,200,000.
• O M Costs per Year
• RM 1,250,000.
• Revenue for 10 Years
• CER 600,000 ton
• 83,000 MWh
• RM 0.16 per KWh

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Financial Study
Financial Status with CDM

• CER sale
• sold at market
• Japanese Government Purchase Program
• Japan Carbon Finance
• CER price (CO2-e)
• euro17 euro20 (EU-ETS)
• 7-10 (Japanese purchase program)
• IRR
• 7

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6. Actions toward CDM Approvals
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CDM Approvals
CDM Approval Process in Malaysia
DNA Conservation and Environmental Management
Div. Ministry of Natural Resources and
Environment Technical Committee
SecretariatMalaysia Energy Centre
(PTM) National Committee on CDM (NCCDM)
Relevant agencies Environment NGO Application
Review Review of PIN-Conditional Approval
Review of PDD validation report - Approval
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Procedure in Malaysia
Approval from Malaysia

• PIN (Project Idea Note) submitted to DNA(03)
• Review by Technical Committee(04)
• Recommended to NCCDM(04)
• Review by NCCDM(06)
• Questionnaire from NCCDM(08)
• Response to questionnaire(08/09)
• Site briefing(09)

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Procedure in Malaysia
Approval from Malaysia
8. PDD/validation report submitted to
DNA(09/10) 9. Review by Technical
Committee(12) 10. Recommended to NCCDM(12) 11.
Presentation at NCCDM(03) 12. Questionnaire from
NCCDM(04) 13. Response to NCCDM(05) 14. Letter of
Approval(07)
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CDM Approvals
Conformity with National CDM Criteria
(1) (Malaysia CDM Information Handbook)

• 1. SD Policies of the Government
• Utilization of Renewable Energy
• Development of Renewable Energy Industries
• Maximum Use of Local Resources
• Safety Landfill Closure
• 2. Conditions by CDM EB
• Validated by OE(Japan Consulting Institute)

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CDM Approvals
Conformity with National CDM Criteria
(2) (Malaysia CDM Information Handbook)

• 3. Cooperation between Malaysia and Japan
• Equity Participation
• 4. Technology Transfer Benefits
• Evaluation Method of LFG Emissions
• LFG Recovery/Power Generation System
• 5. Direct Benefits towards Achieving SD
• Utilization of Renewable Energy
• Maximum Use of Local Resources
• Safety Landfill Closure

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CDM Approvals
Examples of CDM Projects (Malaysia CDM
Information Handbook)

• Renewable Energy
• Energy Efficiency Improvement
• Forestry
• Waste Management
• Transport

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Epilogue
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Global Warming Effects in the Neighborhood
KAJIMA
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Earth in the Dark
KAJIMA
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OUR PLANET
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3. Technical Study- Preliminary Field Study -
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Technical Study
Purposes of Preliminary Field Study

• Estimation of LFG emission volume
• Estimation of LFG collection volume
• Estimation of project size

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Technical Study
Activities of Preliminary Field Study

• Survey of landfill
• Experimental wells at landfill
• Measurements at experimental wells
• Sample of deposited waste
• Chemical tests of waste samples

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Technical Study
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Technical Study
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Technical Study

• LFG emission collection

• LFG emission
• Ge1.868C0(0.014d0.28)
• First Order Decay Model
• TVj SMi Ge k exp-k(j-i)
• 2) Methane gas emission
• MTVj a TVj
• 3) Methane gas collection
• CMTVj ß MTVj

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Technical Study

• Time History of LFG Generation

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Technical Study
Project Output

• Project Period
• 10 years
• CH4
• Daily emission 41,000 14,000 m3
• Daily collection 15,000 5,000 m3
• CO2 Emission Reduction
• Average annual reduction 60,000 ton
  CO2eq
• Power Generation
• 1MW 500 KW

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