Info Report Check
Submission incomplete:
1: The DOE is requested to describe the steps taken to assess the identification of the baseline scenario of the project activity as per VVM v1.2 paragraph 87.
In particular, the DOE shall provide the means of validation applied in order to confirm that the provision currently in place in the host country which forbids the venting of CMM with methane concentration above 30% into the atmosphere is "systematically not enforced and that non-compliance with those requirements is widespread in the country", in line with Step 3 in ACM0008 v7.


2: The DOE is requested to state if the PDD provides a clear description of the baseline scenario(s) which includes description of the technology and the activities that would take place in the absence of the project activity as per VVM v1.2 paragraph 86.
In particular, the DOE shall further clarify how it has validated as appropriate the elimination of baseline alternative for CMM use ("Use for additional captive power generation") based on barriers (i.e. whether the barrier on power quality is a real barrier), in line with the "Guidelines for objective demonstration and assessment of barriers". In doing so, please clarify why an investment analysis was not conducted to demonstrate that the scenario is not financially attractive in line with the Additionality tool (step 2) as required by applied version of ACM008 (page 8) and duly validated as per VVM version 1.2 paragraph 111.

3: The DOE is requested to provide information on the steps taken to validate the project starting date as per VVM v 1.2 paragraph 104 (a).

In particular, how it has assessed the "Gas supply contracts" signed in June and July 2010 in the context of the project starting date.



4: The DOE is requested to include information on how it has validated the input values to the financial calculations as per VVM v 1.2 paragraph 114 (a) and the "Guidelines on the assessment of investment analysis" paragraph 6.
In particular, how it has assessed the following input values as suitable and available at the time of investment decision:

a) operating hours of 5,000 hours/year;

b) power consumption rate of 7%;

c) total static investment;

d) components included in the annual O&M costs (repair fee, materials fee, other fees, etc);

e) total volume of CMM extracted of 4,285.7 m3/year;

f) reserve fund of 10%;

g) CMM price of 0.05 RMB/m3 and whether the guide price set by the local government also applies to untreated CMM.

In addressing this point, the DOE shall note that the source of the input values to the investment analysis mentioned in the Validation Report (FSR, approved in April 2011) was not available at the time of investment decision and project starting date.