The Building Energy Saving Programmatic CDM Project for the Telecommunication Company in the Philippines

Global Environment Centre Foundation(GEC)

Reports of CDM/JI Feasibility Studies

Title of Feasibility Study (FS)The Building Energy Saving Programmatic CDM Project for the Telecommunication Company in the Philippines
FYFY 2007
Main Implementing EntityKAJIMA Corporation
FS Partner(s)Telecommunication Company in the Philippines (anonymous)
Location of Project ActivityPhilippines
Summary of FS ReportSummary (PDF279KB)
Description of Project ActivityThis project aims to reduce electricity consumption at the buildings belonging to the telecommunication company by introducing the high energy efficient equipments including air conditioners and lighting systems, eventually to reduce the CO2 emission.
Targeted GHGCarbon Dioxide (CO2)
Category of Project ActivityOthers (Energy Efficiency)
Duration of Project Activity/ Crediting Period2009 - 2036 (28 years)/2009 - 2015 (7 years)
Baseline Methodology/ AdditionalityBaseline Methodology
This project applies the approved methodology for small-scale CDM project; AMS type II: Energy Efficiency Improvement Project, Category E: Energy efficiency and fuel switching measures for buildings (version 10).
The following scenario was set as baseline:
- No energy efficiency measures will be implemented (Continuation of current situation)
Demonstration of Additionality
The target company does not have enough budget for replacement of equipments, especially for energy efficiency improvement purposes, The pay-back time of the each energy efficiency improvement measure are calculated as higher than 2 years that is the threshold value in the normal business practice in the Philippines. Furthermore, the energy efficiency improvement activity does not directly contribute to the expansion of their business. Hence, it can be concluded that the project activity will not be implemented without additional income source such as CER revenue.
Estimation of GHG Emission ReductionsBased on the assumption obtained through the survey, the GHG emission reduction throughout the crediting period (7 years) was estimated as follows;
  • GHG emission reduction through the typical CPA: 9,181tCO2e
  • Total GHG emission reduction through PoA: 10,000tCO2e
Monitoring MethodologyMonitoring methodology, ASM-II.E “Energy efficiency and fuel switching measures for buildings” will be applied in the project
Environmental Impact AnalysisThe major environmental impact that can be caused by the implementation of the proposed project is the disposal of waste equipments which contains HFC and waste oil. This impact can be mitigated by conducting appropriate collection and treatment.
According to the Environmental Impact Statement System in the Philippines stipulated in the Administrative Order (DAO 03-30), EIS is not required for the proposed project which retrofits the energy efficient technologies in the existing commercial buildings such as upgrading of chillers or installation of inverters. The necessary actions for this project are preparation and submission of Environmental Performance Report and Management Plan (EPRMP).
Issues and Tasks for Project RealisationThe counterpart of the project has high awareness on the significance of the energy efficiency improvement, and has expressed their intention in implementing the energy saving as CDM project. However, before the project implementation, following tasks should be completed:
  • Formulation of a financing plan
  • Implementation of detailed survey at the each building to formulate a plan for CPA
  • Implementation of site survey at the other buildings to establish a detailed plan for PoA
  • Capacity building for the counterparts