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PROJECT DESIGN DOCUMENT FORM (CDM-SSC-PDD) - Version 03

CDM – Executive Board

1

CLEAN DEVELOPMENT MECHANISM

PROJECT DESIGN DOCUMENT FORM (CDM-SSC-PDD)

Version 03 - in effect as of: 22 December 2006

CONTENTS

A. General description of the small scale project activity

B. Application of a baseline and monitoring methodology

C. Duration of the project activity / crediting period

D. Environmental impacts

E. Stakeholders’ comments

Annexes

Annex 1: Contact information on participants in the proposed small scale project activity

Annex 2: Information regarding public funding

Annex 3: Baseline information

Annex 4: Monitoring Information

Appendices

Appendix 1: WEG Commissioning Details

Appendix 2: Turbine Specifications

Appendix 3: Assumptions considered in the investment analysis

Appendix 4: Abbreviations

Appendix 5: Evidence of Management Decision



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Revision history of this document

Version Number

Date Description and reason of revision

01 21 January

2003

Initial adoption

02 8 July 2005 1. The Board agreed to revise the CDM SSC PDD to

reflect guidance and clarifications provided by the

Board since version 01 of this document.

2. As a consequence, the guidelines for completing

CDM SSC PDD have been revised accordingly to

version 2. The latest version can be found at

<http://cdm.unfccc.int/Reference/Documents>.

03 22 December

2006

3. The Board agreed to revise the CDM project design

document for small-scale activities (CDM-SSC-

PDD), taking into account CDM-PDD and CDM-

NM.



3

SECTION A. General description of small-scale project activity

A.1 Title of the small-scale project activity:

>>

Wind Electricity Generation Project

Version: 03

Dated: 03/11/2008

A.2. Description of the small-scale project activity:

>>

Reliance Innoventures Limited (RINL), is a limited company incorporated under the Indian Companies

Act, 1956. RINL is a part of Reliance - Anil Dhirubhai Ambani Group (ADAG). RINL has setup a wind

farm of 5.625 MW installed capacity at the Myvadi, Vedapatty, Jothampatty and Thungavi Villages of

Udumalpet Taluk in Coimbtore district in the region of Tamil Nadu.

Project activity comprises of 25 Wind Energy Generators (WEG’s) installed in Tamil Nadu, southern

region of the country. In this project activity, 1.350 MW (6 x 225 kW) is installed at Myvadi village,

1.125 MW (5 x 225 kW) is installed at Vedapatty village, 1.575 MW (7 x 225 kW) is installed at

Jothampatty village and 1.575 MW (7 x 225 kW) is installed at Thungavi village. The project activity was

commissioned in March 2007. The turbines are connected to 110/ 22 kV Madathukulam substation.

Details of WEG’s commissioning are provided in Appendix 1.

The WEG’s are supplied by Southern Wind Farms Limited (SWL) and the expected lifetime of the

project is twenty years. The project activity will evacuate approximately 11.505 GWh of renewable

power annually to the power deficit Tamil Nadu grid (interconnected with southern regional grid). The

main purpose of the project activity is to generate electrical energy through sustainable means using wind

power resources, to utilize the generated output for selling it to the energy deficit grid of Tamil Nadu

Electricity Board (TNEB) for meeting the energy shortages in the southern region and to contribute to

climate change mitigation efforts.

The project activity generates electricity and sells it to the State grid thereby displacing electricity that

would have been generated from predominantly fossil fuel based power generation. The annual GHG

emission reduction through this project activity is estimated to be 10671 tonnes of Carbon dioxide

equivalent.

The project assists in the sustainable development of the country, and the state by reducing the burden of

fossil fuel usage, reducing local air pollution, providing emission free clean electricity and providing

employment to unskilled persons during the construction phase and to skilled persons during the entire

lifetime of the project. Promotion of wind power projects ensures adequate power supply, improved air

quality, alternative sources of energy and improved local livelihoods.

• The CDM project activity will lead to alleviation of poverty by generating additional

employment, removal of social disparities and contribution to provision of basic

amenities to people leading to improvement in quality of life of people.

• The infrastructure in and around the project area has also improved due to project

activity. This includes improvement of electricity quality, frequency and availability as

the electricity is fed into a deficit grid.



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• The project activity also leads to diversification of the national energy supply, which is

dominated by conventional fuel based generating units.

• Being a renewable resource, using wind energy to generate electricity contributes to

resource conservation. Thus the project causes no negative impact on the surrounding

environment contributing to environmental well-being.

In short, the project is an attempt to provide a renewable source of electricity and at the same time help

bridge the gap between the ever-increasing power deficits in the southern regional grid.

The details of the project are given below:

Capacity of

Wind

Energy

Generator

No of

WEG’s

Total

capacity

of Project

in MW

Location

225 kW 6 1.350 Myvadi

225 kW 5 1.125 Vedapatty

225 kW 7 1.575 Jothampatty

225 kW 7 1.575 Thungavi

Total 25 5.625

A.3. Project participants:

>>

Name of Party involved

((host) indicates a host

Party)

Private and/or public

entity(ies)Project

participants (as applicable)

Kindly indicate if the Party involved

wishes to be considered as project

participant (Yes/No)

India (host) Reliance Innoventures Limited

(Private entity)

No

The contact information of the project participants is provided in the Annex 1

A.4. Technical description of the small-scale project activity:

A.4.1. Location of the small-scale project activity:

A.4.1.1. Host Party(ies):

>>

India

A.4.1.2. Region/State/Province etc.:

>>

Coimbatore district, Tamil Nadu state

A.4.1.3. City/Town/Community etc:

>>

Myvadi, Vedapatty, Jothampatty and Thungavi Villages of Udumalpet taluka of Coimbatore District



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A.4.1.4. Details of physical location, including information allowing the

unique identification of this small-scale project activity :

>>

The site is having following geographical parameters and its location shown in the map -

The project location is well accessed; the nearby railway Station is in Udumalpet taluka of Coimbatore

disctrict and nearby national highway is NH- 209.

Map showing location in Coimbatore district and Tamil Nadu region in India

The unique identification for the 25 WEGs in this small scale project is provided in table below which

gives the Survey Field (SF) no, Village name, High Tension Service Connection No (HT SC No), and the

latitude and longitude coordinates for the 25 WEGs.

S.No Survey Field (S.F) No Village Name HT SC No Latitude Longitude

1 683/3C1 Myvadi 1400 10º 34' 58'' N 77º 20' 53'' E

2 684/1C1,1C2 Myvadi 1402 10º 34' 51'' N 77º 20' 56'' E

3 698/1D4 Myvadi 1401 10º 34' 35'' N 77º 20' 57'' E

4 16/3A3 Vedapatty 77º 21' 25'' E

5 33/1C3 Vedapatty 77º 21' 34'' E

6 33/1A3B Vedapatty 1406

10º 34' 52'' N

10º 34' 53'' N

10º 34' 57'' N 77º 21' 29'' E

7 31/1C1 Vedapatty 1407 10º 35' 08'' N 77º 21' 25'' E

8 20/1A1A,21/1A Vedapatty 1408 10º 35' 10'' N 77º 21' 08'' E

9 116/1A Jothampatty 1403 10º 35' 25'' N 77º 21' 40'' E


11 104/3C Jothampatty 1411 10º 35' 35'' N 77º 21' 37'' E

12 104/1A4,1A5,1A6 Jothampatty 77º 21' 32'' E

13 100/2B Jothampatty 77º 21' 31'' E

14 100/2B Jothampatty 1413

10º 35' 40'' N

10º 35' 32'' N

10º 35' 32'' N 77º 21' 31'' E


16 420/2 Thungavi 77º 22' 30'' E

17 418/2 Thungavi 77º 22' 31'' E

18 418/2 Thungavi 1405

10º 37' 53'' N

10º 37' 58'' N

10º 38' 03'' N 77º 22' 30'' E

19 416/2D,2E Thungavi 1416 10º 38' 15'' N 77º 22' 33'' E

20 429/1 Thungavi 77º 22' 24'' E

21 430/2L Thungavi 1414

10º 37' 40'' N

10º 37' 45'' N 77º 22' 23'' E



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S.No Survey Field (S.F) No Village Name HT SC No Latitude Longitude

22 434/1C Thungavi 1415 10º 38' 03'' N 77º 22' 17'' E

23 684/1A3 Myvadi 1410 10º 34' 45'' N 77º 20' 44'' E

24 697/2A3,3A1,3A2,4A,4B Myvadi 77º 20' 50'' E

25 697/2C2,2C3,3C1,3C2 Myvadi 1409

10º 34' 39'' N

10º 34' 40'' N 77º 20' 57'' E

A.4.2. Type and category(ies) and technology/measure of the small-scale project activity:

>>

Capacity of the proposed wind farm project is 5.625 MW thus meeting the qualifying capacity of 15MW

under the renewable/non-renewable sectoral scope. The project activity has been considered as a small

scale CDM project activity and UNFCCC indicative simplified modalities and procedures are applied.

According to small-scale CDM modalities the project activity falls under:

Sectoral Scope 1 Energy industries (renewable / non renewable sources)

Type – I Renewable Energy Projects

Category I-D Grid connected renewable electricity generation

Version - 11

The project activity involves planning, engineering, procurement, construction of wind farm and all the

other necessary infrastructure, operation & maintenance of 5.625 MW wind farm. Technology

implemented would based on the 225 kW x 25 Nos. of Southern Wind Farms Ltd Make - WEG’s.

The technology implemented in the wind farm is developed domestically by the Southern Wind Farms

Ltd. by the inhouse team of R&D experts. The Wind Energy Generator manufacturer has developed local

vendors to manufacture majority of the turbine parts.

The salient features of the 225 kW WEG’s are as follows:

• Doubly-fed induction generator

• Power factor control

• Reactive power control

• Reduced loading on turbine components

• Reduced losses and cost saving

• Increased energy production

• Enhanced energy capture

The turbines are certified by Centre for Wind Energy Technology* (CWET). The specifications of the

turbine are enlisted in the Appendix 2.

All WEGs are indigenously designed and made with a state of art safety and environmental features by

Southern Wind Farms Ltd.

A.4.3 Estimated amount of emission reductions over the chosen crediting period:

>>

Year

Estimation of annual

emission reductions in

tonnes of CO2 e

July, 2008 - June, 2009 10671

* http://www.cwet.tn.nic.in/html/departments_cs.html



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Year

Estimation of annual

emission reductions in

tonnes of CO2 e

July, 2009 - June, 2010 10671

July, 2010 - June, 2011 10671

July, 2011 - June, 2012 10671

July, 2012 – June, 2013 10671

July, 2013 – June 2014 10671

July, 2014 – June 2015 10671

Total estimated reductions

(tonnes of CO2e) 74697

Total number of crediting years 7

Annual average of the estimated

reductions over the crediting

period (t CO2e)

10671

The estimated total emission reductions be achieved by the project activity is 74697 tonnes of CO2

equivalent for the first renewable crediting period of 7 years.

A.4.4. Public funding of the small-scale project activity:

>>

No public funding is involved in the project.

A.4.5. Confirmation that the small-scale project activity is not a debundled component of a

large scale project activity:

According to paragraph 2 of Appendix C to the Simplified Modalities and Procedures for Small-Scale

CDM project activities (FCCC/CP/2002/7/Add.3), a small-scale project is considered a debundled

component of a large project activity if there is a registered small-scale activity or an application to

register another small-scale activity:

� With the same project participants

� In the same project category and technology

� Registered within the previous two years; and

� Whose project boundary is within 1km of the project boundary of the proposed small scale activity

The project promoters confirm that there is no registered small scale project activity within the last two

years in the same project category and technology whose project boundary is within 1km of the project

boundary of the proposed small scale activity. Thus the project is not a debundled component of any other

large-scale project activity.



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SECTION B. Application of a baseline and monitoring methodology

B.1. Title and reference of the approved baseline and monitoring methodology applied to the

small-scale project activity:

>>

Project Type: I - Renewable energy project

Project Category: I D - Grid connected renewable electricity generation

Version: 11 (18/05/2007)

Reference: Appendix B of the simplified M&P for small scale CDM project activities

(UNFCCC, 2003b)

B.2 Justification of the choice of the project category:

>>

S.No Applicability Criteria Project Case

1. This category comprises renewable energy generation units,

such as photovoltaics, hydro, tidal/wave, wind, geothermal,

and renewable biomass, that supply electricity to and/or

displace electricity from an electricity distribution system

that is or would have been supplied by at least one fossil

fuel fired generating unit.

The project activity comprises

generation of electricity using

renewable energy based on

wind power and its supply to

the southern regional grid. It

hence displaces the electricity

which would have other wise

been generated from the power

plants connected to the grid.

2. If the unit added has both renewable and non-renewable

components (e.g.. a wind/diesel unit), the eligibility limit of

15MW for a small-scale CDM project activity applies only

to the renewable component. If the unit added co-fires

fossil fuel, the capacity of the entire unit shall not exceed

the limit of 15MW.

There is neither non-renewable

component added, nor co-firing

is required for the proposed

project activity. The renewable

project capacity is 5.625 MW,

below the limit of 15 MW.

3. Combined heat and power (co-generation) systems are not

eligible under this category.

Not applicable, this project

activity generates only

electricity.

4. In the case of project activities that involve the addition of

renewable energy generation units at an existing renewable

power generation facility, the added capacity of the units

added by the project should be lower than 15 MW and

should be physically distinct from the existing units.

Not applicable, all the

windmills are new and this

project is not capacity

enhancement or upgradation

project

5. Project activities that seek to retrofit or modify an existing

facility for renewable energy generation are included in this

category. To qualify as a small scale project, the total

output of the modified or retrofitted unit shall not exceed

the limit of 15 MW.

Not applicable, this project is

not a retrofit or modification of

existing facility.

Through out the crediting period the aggregated capacity i.e. 5.625MW (< 15MW) of the project activity

will remain constant.



9

B.3. Description of the project boundary:

>>

The project boundary is defined as the notional margin around a project within which the project’s impact

(in terms of GHG reduction) will be assessed. As defined in the Annex B for small-scale project

activities, the project boundary for a small-scale wind farm project that provides electricity to a grid is

shown below in which 25 Wind Energy Generators of 225 kW capacity are connected to substation, and

the grid which is used to transmit the generated electricity (in this case the southern regional grid).

The above schematic depicts the idea about the connectivity of the project activity.

B.4. Description of baseline and its development:

>>

As per the point no. 9 of baseline methodology Type I. D. of Annex B of the simplified modalities and

procedures for small scale CDM project activities, states that the baseline is the kWh produced by the

renewable generating unit multiplied by an emission coefficient (measured in kg CO2equ/kWh)

calculated as under:

• A combined margin (CM), consisting of the combination of operating margin (OM) and build margin

(BM) according to the procedures prescribed in the approved methodology ACM0002.

(OR)

Wind Energy Generators

Fuel (Wind)

Metering system

TNEB Grid (interconnected with southern regional grid)

Project Boundary

End user



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• The weighted average emissions (in kg CO2equ/kWh) of current generation mix. The data of the year

in which project generation occurs must be used. Calculations must be based on data from an official

source (where available) and made publicly available.

Baseline electricity figures:

Net electricity generation from the project activity is estimated as 11.505 GWh per annum. The basis of

arriving from theoretical energy generation to gross generation to net generation by applying discount

factors is presented in the following table.

TECHNICAL Value Unit

WEG Capacity 225 KW

No of WEGs 25 Nos

Project Size 5.625 MW

Air Density correction factor 92%

Array Efficiency 95%

Machine Availability 95%

Grid Availability 95%

Internal losses 98%

Estimated Net Generation per WEG 0.4602 GWh per annum

Estimated Net Generation for the Project 11.505 GWh per annum

Plant Load Factor 23.35%

- Based on Wind Energy Resource Survey

(MNES) and WEG power curve (refer

generation sheet)

Estimated Net Generation for project 11.505 GWh per annum

Baseline emission factor calculation:

The proposed project is located in the state of Tamil Nadu and will be feeding the electricity in the

southern regional grid serving the four southern states and one union territory namely Pondicherry.

Therefore the proposed project would have impact on all the generation facilities in the southern grid.

Thus all the power generation facilities connected to this grid form the boundary for the purpose of

baseline estimation. The southern grid is also connected with other regional grids, however, the net

exchange of energy within the regional grids is very small and negligible and hence other regional grids

are not included in the boundary for estimation of baseline emissions.

Since the displaced electricity generation is the element that is likely to affect both the operating margin

in the short run and the build margin in the long run, electricity baselines should reflect a combination of

these effects. Therefore an ideal baseline approach is envisaged as the one that combines both Operating

and Build Margin as prescribed in first alternative given in paragraph 9 under Category I. D of the

UNFCCC M&P for small scale projects. For the baseline calculation a combined margin (CM), consisting

of the combination of operating margin (OM) and build margin (BM) has been used. The combined

margin has been estimated by the Central Electricity Authority of India and the same has been used for

estimating the baseline emissions for this project activity.

As described in ACM0002, the emission factor EFy of the southern grid is represented as a combination of

the Operating Margin and the Build Margin. The emission factor of the associated method is given by:

EFy = wOM . EFOMy + wBM . EFBMy

Where



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EFOMy - emission factor of Operating Margin

EFBMy - emission factor of Build Margin

wOM - weight factor of Operating Margin

wBM - weight factor of Build Margin

Operating Margin emission factor (EFOM) In the southern regional the power generation is dominated by fossil fuel based power plants and the

power generation by low cost/must run resources constitute less than 50% of total grid generation, so

simple operating margin method is used for operating margin emission factor calculation. The Operating

Margin emission factor EFOMy is defined as the generation-weighted average emissions per electricity

unit (tCO2 / MWh) of all generating sources serving the system, excluding zero- or low-operating cost

power plants (hydro, geothermal, wind, low-cost biomass, nuclear and solar generation), based on the

latest three year statistics data (year of 2004-05,2005-06, 2006-2007) and are derived from the following

equation:

Where: Fi ,j, y is the amount of fuel i (in a mass or volume unit) consumed by relevant power sources j in

year(s) y,

j refers to the power sources delivering electricity to the grid, not including low-operating cost and mustrun

power plants, and including imports to the grid,

COEFi,j y is the CO2 emission coefficient of fuel i (tCO2 / mass or volume unit of the fuel), taking into

account the carbon content of the fuels used by relevant power sources j and the percent oxidation of the

fuel in year(s) y, and

GENj,y is the electricity (MWh) delivered to the grid by source j.

The CO2 emission coefficient COEFi is obtained as

COEFi = NCVi · EFCO2,i · OXIDi

where:

NCVi is the net calorific value (energy content) per mass or volume unit of a fuel i,

OXIDi is the oxidation factor of the fuel (see page 1.29 in the 1996 Revised IPCC Guidelines for default

values),

EFCO2,i is the CO2 emission factor per unit of energy of the fuel i.

Year

2004-05

2005-06

2006-07 Average

Operating Margin Emission

Factor (tCO2 / MWh)

1.00 1.01 1.00 1.0

Source: Central Electricity Authority: CO2 Baseline Database. Version:3,Dated 15/12/2007

http://www.cea.nic.in/planning/c%20and%20e/Government%20of%20India%20website.htm

The Operating Margin applicable for the project activity is taken as average of the latest three years

operating margins. Accordingly the Operating Margin Emission factor is determined as 1.0 tCO2e/MWh

and this value has been fixed ex-ante for the entire crediting period for the project activity.



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Build Margin emission factor (EFBM)

The Build Margin emission factor EFBM,y is calculated ex-ante based on the most recent information

available on plants already built .The Build Margin emission factor EFBMy is given as the generation

weighted average emission factor of the selected representative set of recent power plants represented by

the 5 most recent plants or the most recent 20% of the generating units built (summation is over such

plants specified by k). The most 20% of the generating units built recently is used for build margin

emission factor calculation.

where Fi,m,y, COEFi,m and GENm,y are analogous to the variables described for the simple OM method

above for plants m.

The choice of method for the sample plant is the most recent 20% of the generating units built as this

represents a significantly larger set of plants, for a large regional electricity grid have a large number of

power plants connected to it, and is therefore appropriate.

The Build Margin emission factor will be EFBM is 0.71 tCO2/MWh of the year 2006-07 and this value has

been fixed ex-ante for the entire crediting period for the project activity.

Source: Central Electricity Authority: CO2 Baseline Database.

Version:3,Dated 15/12/2007


Calculate the baseline emission factor (EF) The baseline emission factor EF is calculated as combination of the Operating Margin emission factor

(EFOM) and the Build Margin emission factor (EFBM):

EF = wOM*EFOM + wBM*EFBM

Where the weight factors wOM and wBM (where wOM + wBM = 1), and by default, are weighted equally

(wOM = wBM = 0.5)

For wind and solar projects, ACM0002 allows the usage of the default weights are as follows: wOM =

0.75 and wBM = 0.25. Using the above values the combined margin emission factor is valued at -

EFOM - 1.0 tCO2/MWh and wOM - 0.75

EFBM - 0.71 tCO2/MWh and wBM - 0.25

EF = 0.75*1.0+ 0.25*0.71

Baseline emission factor will be (EF) = 0.9275 tCO2/MWh

Year

2004-05

2005-06

2006-07 Average

Simple Operating Margin

Emission Factor (tCO2 / MWh)

1.0 1.01 1.0 1.0



13

Build Margin Emission Factor

(tCO2 / MWh)

0.71

Combined Margin Emission

Factor (tCO2 / MWh)

0.75*1.0+

0.25*0.71 =

0.9275 Source: Central Electricity Authority: CO2 Baseline Database.

Version:3,Dated 15/12/2007


B.5. Description of how the anthropogenic emissions of GHG by sources are reduced below

those that would have occurred in the absence of the registered small-scale CDM project activity:

The project activity is generating electricity from wind for which GHG emission is nil. The generated

electricity is supplied to Southern regional grid. Thus the power generated in the project activity is

actually displacing the electricity generated from the grid. In case the project activity would not have been

there, the same amount of electricity would have been generated from the power plants connected to the

grid of which majority are based on fossil fuels. Thus the project is replacing the anthropogenic emission

from the fossil fuel based power plant connected to the state electricity grid.

The project activity is in line with the Renewable Energy Policy of Government of India which targets

10% of additional grid power generation capacity to be from Renewable Energy sources by 2012.

Justification for additionality of the project

UNFCCC simplified modalities seeks to establish additionality of the project activity as per Attachment

A to Appendix B, which lists various barriers, out of which, at least one barrier shall be identified due to

which the project would not have occurred.

The barriers are to be listed out as follows.

1. Investment barrier

2. Barrier due to prevailing practice

3. Other barriers

1) Investment Barriers

The identified site has lesser wind density at higher hub height, therefore it was concluded that small

turbines were found to be suited for the site. This has resulted in increased number of wind energy

generators and higher capital investment as MW class turbines can not be utilized. The project is self

financed costing INR 2437.5 lacs. Assumptions considered in investment analysis are listed in the

Appendix 3:

The project proponents have invested in the implementation of the grid connected wind farm project. In

the absence of this project activity the power would have been generated by the predominantly fossil fuel

based power plants.

Though wind energy is a clean form of energy, it is a costlier option. The capital investment for this wind

power project activity with other alternative credible options is tabulated below.



14

Capital cost for various power plants

S.No

Type of Power Plant

Capital Cost

(INR million / MW)

1 Natural Gas Power Plant

27

2 Diesel Power Plant

35

3 Wind Power Plant

45†

43.3‡

Source: Report of the Expert committee on fuel for power generation-Page xi-CEA.

It may be noted from the above table that the capital cost for a wind power project is high as compared to

other power generation options.

2) Barrier due to prevailing practice

• As far as sale of electricity to utility is concerned, It is evident from the table below that the power

purchase price (tariff) in Tamil Nadu is much lower than the other states. Such a low tariff

discourages private sector investment in clean technologies. Such power policies of the Tamil Nadu

state government impediments implementation of clean power projects.

• Even though Tamil Nadu Electricity Regulatory Commission (TNERC) has ratified at INR 2.90 /

kWh, the TNEB has signed PPA with RINL, at INR 2.70 / kWh

State

Buy-Back

Fixed or escalable

Tamil Nadu

Rs. 2.70 / kWh Fixed

Karnataka

INR 3.40/kWh

Fixed for 10 years

Gujarat

INR 3.37/kWh

Fixed for 20 years

Madhya

Pradesh

Present INR 4.13 /kWh

2nd

Year INR 3.86/kWh, 3rd

Year INR

3.69/kWh, 4th year INR 3.52/kWh and

5th year to 20

th Year INR 3.36/kWh

Maharashtra

INR 3.50/kWh

Rs 0.15 escalation for 13 years

Rajasthan

For Jaisalmer, Jodhpur and Barmer district

INR 3.60 kWh for injection in 33kV or 11kV

system & INR 3.71/kWh for injection in

EHV system.

For other district INR 3.78 kWh for

injection on 33kV or 11 kV system &

† http://tnerc.tn.nic.in/orders/nces%20order%20-approved%20order%20host%20copy.pdf

‡ As per the purchase order of the promoter of WEG



15

State

Buy-Back

Fixed or escalable

INR 3.89 kWh for injection in EHV

system

Source: http://www.windpowerindia.com/govtinc.html

The non-supportive tariff policy of TNERC further impacts project’s viability and requires additional

support of CER backed revenue.

3) Other Barriers

a. Wind energy has low Capacity factor and the highest uncertainty in terms of generation because of

the unpredictable weather conditions. Project proponent had chosen the cleanest alternative in spite of

it being the most expensive one.

Though wind energy is a clean energy, it is a costlier option, especially in India where availability of

coal is in abundance. It makes coal the most preferred fuel for power generation since it is the least

cost option. Wind energy on the other hand has the lowest load factor and the highest uncertainty in

production because it is entirely dependent on weather conditions.

Project Proponent has used benchmark analysis with equity IRR as financial indicator for

additionality check. The post tax return on equity and equity IRR is used as the appropriate financial

indicator because in the Indian power sector, a 14% post tax return on equity is an established

benchmark for projects in public or private sector based on cost-plus regulations (Source: Central

Electricity Regulatory Commission, Terms and Conditions of Tariff, Regulations 2004 dated 26

March 2004) for utility scale power plants. Incentives, foreign exchange variations and efficiency in

operations are in addition to this benchmark of 14%.

The project activity tariff structure is a single-part tariff structure as compared to utility scale fossil

fuel and hydro projects, which have two-part tariff structure. This implies that project activity carries

a higher investment risk than the utility scale fossil fuel and hydro projects where the investment

recovery is decoupled from the level of actual generation achieved by the project due to variations in

offtake.

In case of the current prevailing issues in Tamil Nadu, wind power projects are having transmission

unavailability♥

, instructions from grid operators to back-down of generation during high wind season

etc are also prevalent in the state. These issues are beyond the control of the investors and likely to

affect the project activity more severely. The investor for the project activity is carrying these

additional risks.

Based on the above considerations, 14% post-tax equity IRR is considered to be the appropriate post-

tax equity return. If the Project has a post-tax equity IRR of less than 14%, then it can be considered

to be additional.

Investment in the equity capital of the wind project is a risky investment. It is therefore, imperative

that the project should yield a return commensurate with the risk. Considering the risk the PP was

willing to take, alternative investment opportunities available to him were to invest in stock market.

The return from the stock markets prior to the date on which the investment decision was taken are

given below§:

♥

for details refer part (b) of Other barriers

§ Of the above, Nifty and Sensex are traded as derivatives an can be traded as such. A time horizon of 5 years has been

considered in computing the CAGR imparting the long term nature, which the investment in project activity represents.



16

S&P CNX Nifty – 29.99%

Sensex – 33.13%

S&P CNX 500 – 35.99%

Besides, BSE introduced a sectoral specific index for Power sector in 2005. The one year return of

the index (from 1-12-2005 to 30-11-2006) was 48%.

Secondly, the PP has another company presently in operation and is engaged in generation and

distribution of power. The EPS earned by the Company during the year 2005-06 was Rs.30.63 and

Rs.28.04 in the previous year. Against this, the PP had fixed Rs.1.40 as the benchmark, which is very

conservative.

Finally, the project developer has contracted a term loan for another project at 12.75%**

. This is the

commercial lending rate, which is secured and hence least risky. In contrast, an unsecured and risky

investment should carry a premium. The premium assumed works out to hardly 10% over the

commercial lending rate.

As the subsequent analysis reveal the equity IRR is less than even the commercial lending rate of

12.75%.

Following analysis depicts that the project isn’t financially attractive viable even though the project

proponent takes the CDM benefits. (i.e. With out CDM benefits IRR is 11.11 % which is much lesser

than benchmark IRR 14%). as the equity IRR of the project activity, without CDM revenues, is only

11.11 % which is much lower than even the commercial lending rate of 12.75%.

Financial parameter/

options

Equity IRR

Without CDM benefits 11.11%

With CDM benefits 13.04 %

Commercial lending rate 12.75%

In computing the equity IRR, all the tax benefits accruing to the project activity have been taken into

account. The wind power project are entitled to two types of tax benefits at preset, viz.,

• 80% accelerated depreciation under section 32 (rule 5) of the Income Tax Act

• Income tax holiday of 10 years under section 80IA of the Income Tax Act

Wind power projects in India are given the benefit of accelerated depreciation under section 32 of the

Income Tax Act since 1987. At the onset of this policy, wind power projects were eligible for 100%

accelerated depreciation. However, with effect from 1.04.2003, the incentive has been reduced to

80% accelerated depreciation. Since 2003, the projects are eligible for only 80% depreciation.

All infrastructure development projects (under which Wind power projects fall) are also entieled to

tax holiday under Section 80IA of the Income Tax Act, 1961 for 10 consecutive years out of the first

15 years from April 2000 onwards.

** Loan sanctioned by ICICI Bank.



17

The computataion of IRR takes into account both these tax benefits. The Income tax depreciation

benefits have been taken into account as an inflow to the project activity (Row No. 30 of the PL

Account worksheet), while the tax holiday has been taken into account while calculating tax liability

(Row no. 34 of the PL Account worksheet).

The equity IRR of 11.11% arrived at is after taking into consideration the aforementioned tax benefits

accruing to the project.

As evident from the above analysis equity IRR with CDM benefits will go up to 13.04 %. This goes

to prove that CDM revenues would make significant improvement in the IRR and enable the PP to

improve the viability of the project activity and overcome the investment barrier.

Assumptions considered in the investment analysis are given in Appendix 3

In the above background, it is evident that the PP could not have ventured into this project but for the

CDM benefits. PP was aware of the benefit likely to accrue to the project on account of CDM

benefits and without CDM benefits, the PP would not have taken up this activity.

Sensitivity Analysis:

In order to demonstrate the robustness of the Investment analysis and returns arrived at above, PP has

carried out a sensitivity analysis has been carried out by subjecting of PLF and windmill cost, the

two critical assumptions of the project activity, to reasonable variations, i.e., by 10 %.

Both PLF and windmill cost have been subjected to 10% variation on either side to ascertain the

validity of the conclusions drawn. The results of the sensitivity analysis are as follows:

Project IRR Factors

-10% 0 +10%

PLF 9.40% 11.11% 12.72%

Windmill cost 12.39% 11.11% 9.99%

The above results shows that that project will remain additional even in the case of an increase in the

PLF by 10 % or the wind mill cost goes down by 10% as the equity IRR does not cross even the

commercial lending rate of 12.75% . Having said that it needs to be mentioned that Not only this,

even increase in PLF by even 5% is a very difficult proposition in the case where grid availability and

stability is a major problem with in the State and past trend doesis not reveal any favourable trend.

With reference to variation in the windmill cost, the purchase orders have already been placed and the

delivery has taken place at the cost indicated in the PDD. Hence, PP hasn’t demonstrated the scenario

of reduction in windmill cost.

b. Any Grid works on two loads i.e. base load and peak load. Power generation in wind turbines due to

its inherent feature depends on climatic conditions and is beyond the control of project proponent.

Due to this reason, power from windmills is considered to meet demand only in the event when it

could not met with conventional power sources. In recent times, wind turbines in Tamil Nadu have

been many times asked to back down as power generation in thermal power stations had been running

at their peak resulting in high frequency in the grid. The TNEB at times is not able to evacuate power



18

that the wind units are generating. This leads to low sales realization, which has a negative impact on

the IRR of the project.

“In the last three to four days, according to the sources, TNEB has asked wind power generators to

shut down their turbines for periods ranging from nine hours to 20 hours a day.

The Tirunelveli region and Coimbatore district are major wind energy producing centres in Tamil

Nadu.”

(Source: http://www.blonnet.com/2006/05/31/stories/2006053103621900.htm )

The problem is more severe due to the fact that this has happened at a time when climatic conditions

were most suitable for wind power generation, due to the high speed of wind.

In the given project, the wind turbines are backed down for 2 hours on regular basis due to the non

availability of grid. Also, the wind turbines are backed down for about 2 hours per week for regular

maintenance of the turbines. But this situation persists only for approx. 4-6 months and for remaining

months the turbines regulate for normal working hours (i.e. 24 hours).

“The sources say that the electricity board has resorted to this move because of peak generation

from thermal stations, resulting in high frequency in the grid. The wind power industry faced a

similar problem last year too during the peak season when the Tamil Nadu Electricity Board asked

them to back down their machines due to evacuation problems.”

(Source: http://www.blonnet.com/2006/05/31/stories/2006053103621900.htm)

B.6 Emission reductions:

B.6.1. Explanation of methodological choices:

>>

The project activity meets the eligibility criteria to use simplified modalities and procedure for small scale

CDM project activities as set out in paragraph 6 (c) of decision 17/CP.7 as explained in the earlier

sections.

Since the project is a grid connected renewable energy project, emission reduction quantity depends on

the units of electricity exported to the grid (in MWh) and the baseline emission factor of the southern

regional grid.

Formula used to calculate the net emission reduction for the project activity is

ER = BE – PE – L……………………. (1)

Where,

ER - Net Emission Reduction in tCO2/year

BE - Baseline emissions in tCO2/year

PE - Project emissions in tCO2/year

L - Emissions due to leakage in tCO2/year

Baseline emissions (BE)

BE are calculated by multiplying the net quantity of electricity supplied by this project activity (EG) with

the CO2 baseline emission factor for the electricity displaced due to the project (EF,) as follows:



19

BE = EG*EF……………………. (2)

Where:

EF = Baseline emission factor

EG = Net electricity supplied to the southern regional grid

The methodological choices for arriving BE components i.e. EG and EF are demonstrated in section B.4

of the PDD. The EF has been arrived in accordance with applicable versions of ACM0002 i.e. ver 6 and

AMS I.D i.e. ver 11.

Project Emissions:

The project activity uses wind power to generate electricity and hence the emissions from the project

activity are taken as nil.

PE = 0

Leakage:

Leakage emissions on account of the project activity is considered as zero as neither the wind energy

generators are transferred from another activity nor any existing equipment of the project site would be

transferred from the project site in accordance with the applied methodology.

L = 0

Therefore the above equation no.1 is simplified to

ER = BE

B.6.2. Data and parameters that are available at validation:

Data / Parameter: EFOM

Data unit: tCO2 / MWh

Description: Operating Margin emission factor for Southern regional grid

Source of data to be

used:

Central Electricity Authority (CEA) CO2 Baseline Database values have been used

for calculation. Source:


Value applied 1.0 tCO2/MWh.

Justification of the

choice of data or

description of

measurement methods

and procedures

actually applied :

Calculated by Central Electricity Authority (CEA)

Any comment: Value is calculated based on ex-ante approach

Data / Parameter: EFBM



20


Description: Build Margin emission factor for Southern regional grid


used:

Computed from data sourced from Website of Central Electricity Authority of India

for calculation. Source:


Value applied 0.71 tCO2/MWh


choice of data or

description of

measurement methods

and procedures

actually applied :

Calculated by Central Electricity Authority (CEA)

Any comment: Value is calculated based on ex-ante approach

Data / Parameter: EF


Description: Combined Margin CO2 emission factor for Southern regional grid


used:

Central Electricity Authority (CEA) database on CO2 baseline emission factor for

Indian Power Sector used for calculation Source:


Value applied 0.9275 tCO2/MWh


choice of data or

description of

measurement methods

and procedures

actually applied :

Calculated as per ACM0002.

Any comment: .

B.6.3 Ex-ante calculation of emission reductions:

>>

Relevant equations (refer section B.6.1) used to calculate the net emission reduction for the project

activity is

ER = BE – PE – L…………………..(1)

Where,

ER - Net Emission Reduction in tCO2/year

BE - Baseline emissions in tCO2/year

PE - Project emissions in tCO2/year

L - Leakage emissions in tCO2/year



21

This project activity is grid connected wind power generation. Hence there is no project emission and

leakage from the project activity. There is no GHG emission within the project boundary.

Therefore the above equation is simplified to

ER = BE

Baseline emissions (BE) BE are calculated by multiplying the net quantity of electricity supplied by this project activity (EG) with

the CO2 baseline emission factor for the electricity displaced due to the project (EF) as follows:

BE = EG*EF……………………….(2)

Where:

EF = Baseline emission factor


The calculation of emission reductions are as follows:

EF = 0.9275 tCO2/MWh


EG = 11505 MWh/year

Putting EG and EF in formula (2)

ER = 11505 *0.9275

= 10671 tCO2/year

Net Emission Reduction (ER) = 10671 tCO2/year

The resultant values of the Operating and Built margins have been summarised as per the CEA

calculations in Annex 3 of the PDD.

B.6.4 Summary of the ex-ante estimation of emission reductions:

>>

Year Estimation of

project activity

emissions

(t CO2 e)

Estimation of

baseline

emissions

(t CO2e)

Estimation of

leakage

(t CO2e)

Estimation of

overall emission

reductions

(t CO2e)

July, 2008 - June, 2009 0 10671 0 10671

July, 2009 - June, 2010 0 10671 0 10671

July, 2010 - June, 2011 0 10671 0 10671

July, 2011 - June, 2012 0 10671 0 10671

July, 2012 – June, 2013 0 10671 0 10671

July, 2013 – June 2014 0 10671 0 10671

July, 2014 – June 2015 0 10671 0 10671



22

Total (tonnes of CO2e) 74697

B.7 Application of a monitoring methodology and description of the monitoring plan:

B.7.1 Data and parameters monitored:

Data / Parameter: EG

Data unit: MWh/year

Description: Net Electricity supplied to the grid


used:

Monthly Joint Energy Meter Reading Reports of 17 electricity meters (with

reference to their HT SC Nos.) covering 25 WEGs.

Value of data

Brief description of

measurement methods

and procedures to be

applied:

Continuous measurement and monthly recording. The monitoring of ‘net

electricity supplied to the grid’ would be as per the details provided in Power

Purchase Agreement signed between the TNEB and RINL. The HT SC No. for

the individual or group of turbines represents the unique identification of the joint

meter. The net electricity supplied to the grid is calculated by the summation of

the net electricity export figures mentioned in the 17 joint meter reading reports.

QA/QC procedures to

be applied:

Every month these meter readings will be jointly recorded by TNEB

representative and plant personnel. The meters at the sub station will be two-way

meters and will be in the custody of TNEB. Since the readings will be taken at

the point of supply of power to the grid, the transmission and distribution losses

and the minimum reactive power consumption will already been taken into

account. The quantity of net electricity supplied will be cross-verified from the

invoice raised on TNEB by the project proponent. Also refer Annex 4.

Any comment: The data will be archived for crediting period + 2 years.

B.7.2 Description of the monitoring plan:

>>

As per monitoring Plan, for a small scale CDM project activity the only set of data to be monitored is the

net electricity output from the project. The net electricity supplied to TNEB grid is metered at grid

interconnection point.

To address all O&M issues, the project proponent has included one year O&M in the supply contract. The

project proponent will sign O & M contract with the WEG supplier at the time of expiry of initial

warranted O&M service period.

The service provider has formed a team of Technicians, Supervisors headed by the site manager to

effectively control and monitor the wind power generation. The net electricity exported from the project

activity to TNEB grid (interconnected with southern regional grid) is measured by the 17 TNEB

electricity meters (with reference to their HT SC Nos.) and a monthly statement is sent to the project

promoter. The monitored parameters have low level of uncertainty.

The proposed project activity requires evacuation facilities to deliver power to grid which is essentially

maintained by the state electricity utility (TNEB).

The project activity is operated and maintained by the SWL. The wind farm manager has been allocated

with the responsibility for safe operation of the wind farm and employees working. The wind power

project abides and will abide by all regulatory and statutory requirements as prescribed under the state

and central laws and regulations. A CDM project team has been constructed. The project team has

entrusted with the responsibility of storing, recording the data related to the project activity which is



23

measured from the electricity meters. The project team is also responsible for calculation of actual

creditable emission reduction in the most transparent and relevant manner. Installed meters will be

calibrated by TNEB officials, according to the frequency and the maintenance schedule as per the TNEB

procedures.

The Organization and responsibility chart for the CDM project activity is described below.

Designation Responsibilities

1. Project Head (RINL)

2. Office Staff (RINL)

1. Registration

2. Project Execution

3. Project Coordination

1. Project Controller (RINL)

2. Site staff (RINL)

1. Operation

2. Verification of data

3. Site visit whenever necessary to

independently check the authenticity of

data and take corrective actions wherever

required.

4. Storage of data

1. Chief Manager (SWL) Site

2. Vice President (SWL) Corporate office

1. Operation,

2. Monitoring and Verification of Data

3. Data Recording

4. Data Storage

3. O & M Manager (SWL) 1. Operation and Maintenance

2. Storage of data

3. Data Recording

The monitored data will be archived for 20 (operational lifetime) + 2 years.

B.8 Date of completion of the application of the baseline and monitoring methodology and the

name of the responsible person(s)/entity(ies)

>>

15/01/2008

Hetalkumar Shah

C/o Reliance Innoventures Limited

3rd

floor, Reliance Energy Centre

Santa Cruz (E),

Mumbai – 400055

India

Tel : +91 22 30094283

Fax : +91 22 30099775

Email : [email protected]

The entity is also project participant as listed in Annex 1.



24

SECTION C. Duration of the project activity / crediting period

C.1 Duration of the project activity:

C.1.1. Starting date of the project activity:

>>

28/12/2006 (Purchase order for supply of 25 Nos. of WEGs)

C.1.2. Expected operational lifetime of the project activity:

>>

20 years

C.2 Choice of the crediting period and related information:

C.2.1. Renewable crediting period

C.2.1.1. Starting date of the first crediting period:

>>

01/07/2008 or from the date of registration of the project, which ever is later.

C.2.1.2. Length of the first crediting period:

>>

7 years

C.2.2. Fixed crediting period:

C.2.2.1. Starting date:

>>

C.2.2.2. Length: >>



25

SECTION D. Environmental impacts

>>

D.1. If required by the host Party, documentation on the analysis of the environmental impacts

of the project activity:

>>

As per the prevailing host party laws, (the Schedule 1 of Ministry of Environment and Forests

(Government of India) notification dated September 14, 2006), 38 activities are required to undertake

environmental impact assessment studies. The details of these activities are available at

http://envfor.nic.in/legis/eia/so1533.pdf. However the Environmental Impact Assessment study is not

required for wind farm project as there is no negative environmental impact due to the project activity and

wind energy is one of the cleanest sources of energy.

However, the environmental aspects and impacts for the project activity were analysed and it was inferred

that there are no significant negative environmental impacts on air, water, noise and ecology. The

summarized findings are mentioned as below:

During construction phase

The construction phase involved erection of a WEG in their respective location. Although movement of

materials for erection produced some dust pollution, the impacts were negligible and did not have any

significant impact on the environment.

During operation phase

Impact on Air

There are absolutely no negative impacts on air due to the project activity.

Impact on water No water is consumed for the project activity and no effluent is discharged from the project activity and

hence, there is no impact on water due to the project activity.

Impact due to odour

There is absolutely no odour issue due to the project activity.

Impact due to noise

There are no significant impacts on the environment due to noise.

Impact on ecology There are no known endangered species in the vicinity of the project activity and hence no significant

impact on ecology.

D.2. If environmental impacts are considered significant by the project participants or the host

Party, please provide conclusions and all references to support documentation of an environmental

impact assessment undertaken in accordance with the procedures as required by the host Party:

>>

There is no significant environmental impact due to this project activity and EIA is not required for

this project activity.



26

SECTION E. Stakeholders’ comments

>>

E.1. Brief description how comments by local stakeholders have been invited and compiled:

>>

The population (local community) of the nearby villages are the most important local stakeholders of the

project activity. The “Village Panchayat”, which is a body elected by villagers, is the local government

authority for the village. This Village Panchayat is the representative of the local community. The agenda

of the meeting was communicated to village sarpanch of the villages of the project activity and prominent

members, local villagers, contractors, security service providers and employees of the company.

The local stakeholders were invited for the meeting by sending a notice 15 days prior to the meeting date.

The meeting was planned at RINL wind farm site. As per plan the Local stakeholders had gathered to

know the concerns of the project activity and Clean Development Mechanism (CDM) initiatives by RINL

held at 11:00 hours on 10th April 2007 at RINL wind farm site.

This stakeholder meeting involved

a) Welcome address to the representatives of RINL, Mr Sameer Mathur

b) Introduction of project by Mr.R Shivakumar, Vice President, SWL

c) Public comments were invited at the consultation meeting with permission of Chair.

d) The stakeholders were provided clarifications on the issues raised as above to their satisfaction

e) Summation of the concerns expressed by the stakeholder groups & commitments to address the

concerns.

The meeting was conducted in Tamil and English languages both. The interested local stakeholders who

failed to attend the meeting were given option to send their comments by e-mail, fax or phone by 10 May

2007.

The Minutes of Meeting has been provided to DOE while validation of the project. The summary of the

meeting is given below.

RINL, the project promoter and SWL, the technology supplier explained the various technology features,

operation and function of the WEGs and associated benefits of this project activity. They also explained

the stakeholders about the eco-friendly nature of the project. The local village people unanimously agreed

that due to this project activity the employment opportunities for the local folk have increased to some

extent. There has been considerable improvement in the communication facilities in terms of construction

of roads etc. The project proponent has established good relationship with local people who ensure co-

operation for the successful and continuous operation of this project. The local people also agreed that

their infrastructure facility like road and transportation was improved due this project activity. And also

the business opportunities have been increased.

No negative comments were received from the stakeholders who attended the meeting.

No comments by e-mail, fax or phone have been received .

E.2. Summary of the comments received:

>>

No adverse comments were given by the involved stake holders.



27

.

E.3. Report on how due account was taken of any comments received:

>>

As there are no adverse comments hence no action taken in this regard.



28

Annex 1

CONTACT INFORMATION ON PARTICIPANTS IN THE PROJECT ACTIVITY

Organization: Reliance Innoventures Limited

Street/P.O.Box: Santacruz (E), 400 055

Building: 3rd

floor, , Reliance Energy Centre

City: Mumbai

Region/Region: Maharashtra

Postfix/ZIP: 400 055

Country: India

Telephone: +91 22 30094283

FAX: +91 22 30094111

E-Mail: [email protected]

URL: -

Represented by: Hetalkumar Shah

Title: Additional Manager

Salutation: Mr.

Last Name: Shah

Middle Name:

First Name: Hetalkumar

Department:

Mobile: +91 9324216669

Direct FAX: +91 22 30094111

Direct tel: +91 22 30094283

Personal E-Mail: [email protected]



29

Annex 2

INFORMATION REGARDING PUBLIC FUNDING

No public funding is involved in the project activity.



30

Annex 3

BASELINE INFORMATION

CENTRAL ELECTRICITY AUTHORITY: CO2 BASELINE DATABASE

VERSION 3.0

DATE 15 December 2007

BASELINE METHODOLOGY ACM0002

Simple Operating Margin (tCO2/MWh) (incl.

Imports)

2004-05 2005-06 2006-07

South 1.00 1.01 1.00

Build Margin

(tCO2/MWh) (incl.

Imports)

2006-07

South 0.71



31

Annex 4

MONITORING INFORMATION

The general conditions set out for metering, recording, meter readings, meter inspections, Test &

Checking and communication are as per the PPA (power purchase agreement) with Tamil Nadu

Electricity Board (TNEB).

Metering: The Delivered Energy is metered by the Tamil Nadu Electricity Board (TNEB) and RINL at

the high voltage side of the step up transformer installed at the Project Site.

The installed meters measure the electricity export and electricity import for each WEG or group of

WEG’s of the project which are designated by unique identification no. i.e. HT SC No. The details of HT

SC No of the WEG/group of WEG are discussed in the Appendix 1.

Metering Equipment: Metering equipment is electronic trivector meter of accuracy class 0.5% required

for the Project. Dedicated core of both CT’s and PT’s of required accuracy is made available by the RINL

to TNEB.

The meter is tested for accuracy time by time as per TNEB guidelines.

If during the tests, the meter is found to be beyond the permissible limits of error, the meter shall be

immediately calibrated and the correction applied to the reading registered by the meter to arrive the

correct reading of energy supplied for billing purposes for the period from the last month’s meter reading

up to the current test. Billing for the period thereafter till the next monthly reading shall be as per the

calibrated meter.

Calibration of instruments: The meters installed at the wind farm are as per TNEB guidelines and accuracy level. The meters are

checked for accuracy on a regular basis. TNEB meter testing is done by a separate division of electricity

board, which takes care of meter testing in the event of any abnormality observed.

Archiving of data Data shall be archived for 20 years (operational lifetime) + 2 years.

Monitoring methodology has also been discussed in section B.7.



32

Appendix 1

WEG Commissioning Details

S.No Survey Field (S.F) No Village Name Voltage rating (KV) HT SC No Comm. Date

1 683/3C1 Myvadi 22 1400 24/03/2007

2 684/1C1,1C2 Myvadi 22 1402 24/03/2007

3 698/1D4 Myvadi 22 1401 24/03/2007

4 16/3A3 Vedapatty

5 33/1C3 Vedapatty

6 33/1A3B Vedapatty 22 1406 27/03/2007

7 31/1C1 Vedapatty 22 1407 27/03/2007

8 20/1A1A,21/1A Vedapatty 22 1408 27/03/2007

9 116/1A Jothampatty 22 1403 24/03/2007

10 116/1A Jothampatty 22 1404 24/03/2007

11 104/3C Jothampatty 22 1411 27/03/2007

12 104/1A4,1A5,1A6 Jothampatty

13 100/2B Jothampatty

14 100/2B Jothampatty 22 1413 27/03/2007

15 120/2A Jothampatty 22 1412 27/03/2007

16 420/2 Thungavi

17 418/2 Thungavi

18 418/2 Thungavi 22 1405 24/03/2007

19 416/2D,2E Thungavi 22 1416 27/03/2007

20 429/1 Thungavi

21 430/2L Thungavi 22 1414 27/03/2007

22 434/1C Thungavi 22 1415 27/03/2007

23 684/1A3 Myvadi 22 1410 27/03/2007

24 697/2A3,3A1,3A2,4A,4B Myvadi

25 697/2C2,2C3,3C1,3C2 Myvadi 22 1409 27/03/2007



33

Appendix 2

Turbine Specifications

Details Type 225/40 KW

Over all Data

Cut in windspeed

Cut out Windspeed

Rotor Revolutions

Hub height (optional)

Regulation

Approx. 4m/s

Approx. 25m/s

37.5/25 rpm

50 m

Stall

Gear Box Type

Gear Ratio

No.of steps

Helical

1:40

2

Generator Rated Power Output

Type

Voltage

Revolutions

Frequencies

225/40 KW

Asynchronous

3phase

400V

1500/1000 rpm

50 Hz

Tower Type

Height (Optional)

Material

Sections

Polygon

50 m

Steel plate

4

Inside the tower

Rotor No. of blades

Diameter

Swept area

Material

3

29.8 m

698sq.m

Polyester reinforced

Fiberglass

Brake System Mechanical

Yaw System

Failsafe disc brake

Siewing system with

Gearmotors yawing

Controls Micro Processor based



34

Appendix 3

Assumptions considered in the investment analysis

OPERATING Value Unit

Tariff Rate 2.70 Rs./ Unit

Estimated Escalation in unit rate 0.00 Rs / unit / annum

Insurance 25.0 Lacs Rs per annum

O&M cost 25.0 Lacs Rs per annum

O&M Free (No of years) 1.0

Escalation - Annual 5.0%

Income Tax Rate 33.99% per annum

MAT Rate 11.33%

Depreciation 80.00%

TECHNICAL Value Unit

WEG Capacity 225 KW

No of WEGs 25 Nos

Project Size 5.625 MW

Estimated Net Generation for

project 115.05 GWh per annum

Plant Load Factor 23.35% Based on Wind Energy Resource

Survey (MNES) and WEG power curve

Working days 365 Days

Working hours per day 24 Hours

FINANCIAL

Debt 0%

Equity 100%



35

Appendix 4

Abbreviations

CDM Clean Development Mechanism

CER Carbon Emission Reduction

CERC Central Electricity Regulatory Commission

CWET Centre for Wind Energy Technology

kWh Kilo Watt Hour

MWh Mega Watt Hour

GWh Giga Watt Hour

PDD Project Design Document

TNEB Tamil Nadu Electricity Board

TNERC Tamil Nadu Electricity Regulatory Commission

WEG Wind Electricity Generator

MOEF Ministry of Environment and Forest

HTSC High Tension Service Connection



36

Appendix 5

Evidence of Management Decision

pdd

Documents

cdm project activity

smallscale project activity

project assists

project area

cdm project design document

cdm ssc pdd

pdd version

pdd version