Talubin River Basin Mini-Hydropower Project in the Philippines

Global Environment Centre Foundation(GEC)

Reports of CDM/JI Feasibility Studies

Title of the researchTalubin River Basin Mini-Hydropower Project in the Philippines
FYFY 2005
Main research orgnisationTokyo Electric Power Services Co., LTD
Research partner(s)Tokyo Electric Power Company
Department of Energy
Philippines National Oil Company
Government of Mountain Province
Location of the projectPhilippines (Mountain Province)
Summary of the research report (PDF)Summary
Description of the projectThe project has two hydropower plants namely Talubin Mini-Hydropower Plant: 5,400 kW and Caneo MHP: 5,400 kW that will produce electricity without emitting greenhouse gases.
GHGCO2
Sector of the projectRenewable Energy (Hydropower)
CDM/JICDM
Duration of the project activity/ crediting period2010 - 2030
Baseline methodology/additionalityIn Accordance with CDM-Executive Board, these projects are adapted to the category I.D. This category is named as the “I.D. renewable electricity generation for a grid”. “The weighted average emissions (in kg CO2equ/kWh) of the current generation mix.” was adapted for the proposed projects.
In regards the Additionality, The barriers on investment are identified from the viewpoint of 1) the project IRR and 2) the comparison of the project investment cost with the alternative power supply without the Talubin and the Caneo MHP. It is clearly demonstrated that taking into account the investment cost, building a natural gas plant is financially much more attractive than building a mini-hydropower plant.
Estimation of GHG emissions
The CO2 emission reduction during project period
Year
Annual electricity generation by the projects
(MWh)
Weighted average emissions factor
(tCO2/MWh)
Emission reduction
(tCO2/year)
2010
66,862
0.462
30,890
2011
66,862
0.462
30,890
2012
66,862
0.462
30,890
2013
66,862
0.462
30,890
2014
66,862
0.462
30,890
2015
66,862
0.462
30,890
2016
66,862
0.462
30,890
2017
66,862
0.462
30,890
2018
66,862
0.462
30,890
2019
66,862
0.462
30,890
2020
66,862
0.462
30,890
2021
66,862
0.462
30,890
2022
66,862
0.462
30,890
2023
66,862
0.462
30,890
2024
66,862
0.462
30,890
2025
66,862
0.462
30,890
2026
66,862
0.462
30,890
2027
66,862
0.462
30,890
2028
66,862
0.462
30,890
2029
66,862
0.462
30,890
2030
66,862
0.462
30,890
Total
1,404,102
648,690
Monitoring methodologyBased on the CDM Executive Board, monitoring for small-scale CDM project is planned. Therefore the monitoring method will use the simplified methodology for small-scale CDM project in this project.
Environmental impactAs a result of the study, it is concluded that there is no significant impacts on the natural and social environments due to the project.
Issues and tasks for project implementationThe proposed business structure is showed in the following figure and a project company will be established between a private investor in the Host country and the Japanese private.

It is important to make a power purchase agreement with the power distribution companies and/or cooperatives at as favorite condition as possible. This is main concern of Japanese participants; they desire stable and long term contract with the off-taker of generated electricity from proposed projects. Moreover, in most instance, they will require any assurance in case the contract can not be abided, such as the government assurance.