5. REQUIREMENTS FOR THE ENERGY PROJECTS

5.1. General Requirements of the Project

The project proponent shall ensure that the proposed project has written approval from the designated national authorities confirming that the project activity assists in achieving sustainable development.

The project proponent shall give a description covering the details below by developing a Carbon Project Document (CPD).

a) Project site description including project title, objective, and the relevant contacts and roles and responsibilities covering a brief description of the project site before implementation.

b) Type of the project activity (give a justification of the scale of the project like small or large).

c) Describe the selected project category with a justification.

d) Location of the project activity including unique geographical identification/country, region/state province/city.

e) Describe the Project boundary and show it using an aerial photo with a clear demarcation.

f) Description of how the project assists it in achieving sustainable development policies of the country (explain economic, social, technological and environmental criteria).

g) Describe in detail the technology applied to the project.

h) Describe, if applicable De-bundling for the project (De-bundling is defined as ‘the broken-off' of a large project activity into smaller parts).

i) Description of public funding of the project if any.

j) Describe the possible GHG emissions that can be part of the project with justifications for inclusions or exclusions of such emissions.

5.2. Application of Project Baseline and Baseline Methodology

The CPD shall describe the baseline approach chosen for the proposed project.

The baseline study shall summarize that it is transparently established on a project-specific basis and considering the relevant national and /or sectoral policies and circumstances.

The CPD shall describe the most likely baseline scenario considered and ensure that the baseline is established in a manner that avoids double counting.

The CPD should describe the baseline methodology applied for the project activity and has key information and data used to determine the baseline scenario provided in table form (variables, parameters, data sources, etc.).

If an acceptable recognized baseline methodology is selected considering the type of proposed project and the selected baseline methodology, then it shall be described in the CPD by providing a specific reference and applicability justification.

5.3. Demonstration of Additionality

The CPD shall explain how and why the project is additional.

The CPD shall give a clear explanation and evidence that a correct procedure for the demonstration of additionality has been followed by taking into account all applicable barriers such as IRR analysis, Sensitivity analysis, Barrier Analysis, and Common practice analysis.

5.4. Monitoring Methodology and Measurement Tools.

The project proponent shall use a suitable methodology for the project considering the applicability of the methodology and select it from one of the options given below.

· Methodologies approved by any recognized body (e.g., CDM Executive Board)

· Methodologies published in recognized scientific peer-reviewed journals.

· Newly Developed Methodologies with the support of an eminent technical panel.

The CPD shall justify the selected monitoring methodology’s applicability and appropriateness for the proposed project based on the opportunity provides by the selected methodology including the formulae that can use to estimate anthropogenic emissions by sources of GHGs in the baseline. A detailed description of the methodology shall be included as an Appendix to the CPD.

5.4.1. Monitoring Plan.

The CPD shall provide a detailed description of the monitoring plan.

The monitoring plan shall describe the data to be collected including the units of measurement used to estimate anthropogenic emissions by sources of GHGs because of the project within the project boundary.

The CPD shall describe the parameters, units of measurement, measurement methods, monitoring frequency, QA/ QC procedures, and value based on the ex-ante, identified in the monitoring plan.

CPD shall describe the operational and management structure, available to monitor the relevant parameters exclusively.

The CPD shall establish and maintain a procedure for monitoring, measuring, and reporting data.

5.4.2. Monitoring Leakage.

The monitoring of GHG leakage shall be explained adequately. In instances, where the leakage is applicable then the appropriate indicators to monitor GHG leakage needs to be identified and described in the CPD.

The monitoring plan should specify the procedures for the periodic review of the implementation of the activities and measures to minimize leakage.

5.5. Application of Quality Control (QC) and Quality Assurance (QA).

The CPD shall explain the operational & management structure that employs relevant equipment or instruments, and calibration that would measure, record, report, monitor and control of various key parameters of the plant.

The CPD shall adequately define documented QA/QC procedures for,

· Collecting reliable field measurements.

· Verifying methods used to collect field data.

· Verifying data entry and analysis.

· Dealing with data handling & reporting.

· Data management.

· Calibration of monitoring equipment.

· Management & maintenance of equipment.

· Training of personnel attending to monitoring work.

· Emergency preparedness.

· Internal audits of GHG project compliance.

· Corrective action to ensure appropriate actions are taken.

5.6. Record Keeping.

The project proponent shall have a procedure for the management of records related to the project activity and maintain all relevant records. The CPD shall indicate that all relevant records of the projects are maintained.

5.7. Quantification of ex-ante calculation of emission reductions.

5.7.1. Quantification of ex-ante estimate Baseline emissions.

The CPD shall explain the formulae used to estimate the ex-ante anthropogenic emissions by sources of GHGs in the baseline using the baseline methodology.

The CPD shall indicate the calculations done properly using the applicable formulae (equations) given in the selected methodology.

The CPD shall document the estimated ex-ante calculations completely and transparently.

The CPD shall ensure that the estimated ex-ante baseline emission reductions have been properly accounted for in total emission reduction calculations.

All conservative assumptions used to calculate project estimate ex-ante baseline shall be documented and any uncertainties applicable are also indicated in the documentation in a very clear manner.

5.7.2. Quantification of ex-ante estimate Leakage

The CPD shall indicate formulae used to estimate potential ex-ante leakage due to chosen project activity.

The CPD shall calculate the estimated ex-ante leakage properly and be documented it completely and transparently.

The CPD shall ensure that leakage effects have been properly accounted for in for total emission reduction calculations.

All conservative assumptions used to calculate project estimate ex-ante leakage shall be documented and any uncertainties applicable are also indicated in the documentation in a very clear manner.

5.8. Quantified Net estimate anthropogenic ex-ante emission reductions

The CPD shall explain the calculation process and demonstrate that the process used for the calculation of net (total) estimate ex-ante emission reduction is in line with the selected methodology.

The CPD shall describe the estimated ex-ante emission reductions in a completed form. By showing all calculated values separately applicable to baseline emission, leakage emissions and project emissions and the total value by including a summary table.

The CPD shall explain estimate ex-ante emissions reduction calculations completely and transparently.

5.9. Environmental Impacts.

An environmental impact analysis shall be carried out covering impacts, on biodiversity and natural ecosystems, and impacts outside the project boundary and the results shall indicate in the CPD.

This analysis should include, where applicable, information on, inter alia, hydrology, soils, water quality, flora & fauna.

If the environmental analysis report provides any significant adverse effects, then an EIA report shall require to be obtained or based on the applicable law if such a report is required then an EIA report shall be obtained.

Reference to that report shall be mentioned in the CPD.

The CPD should address planned monitoring and remedial measures to address the identified significant impacts, if any, given in the EIA report.

5.10. Socio-Economic Impacts.

A socio-economic impact analysis shall be carried out including impacts outside the project boundary covering impacts, on, where applicable, information on, inter alia, local communities, livelihood options of the community living in the project area, local employment, food production, cultural and religious sites, and access to clean drinkable water.

If the socioeconomic analysis report provides any significant adverse negative impacts, then the CPD shall indicate the plan of action intends to take to address such negative effects.

Reference to that report shall be mentioned in the CPD.

5.11. Stakeholder Consultation.

The CPD shall indicate the process, or the mechanism used to consult the stakeholders. The procedures or methods used for engaging local stakeholders (e.g., dates of announcements or meetings, periods during which input was sought) shall require to be indicated.

If a stakeholder consultation process is required by regulations/laws in the host country, it is necessary to conduct the stakeholder consultation process.

The CPD shall indicate whether the risks, costs, and benefits the project may bring to local stakeholders are communicated.

The CPD shall include all the comments received in tabular form with appropriate actions.

5.12. Validation of the GHG project.

The purpose of validation is to determine whether the proposed project fulfils the PCS requirements or not.

The Project Proponent shall select a recognized third-party body to conduct the validation.

The Project Proponent shall submit the “Carbon Project Document” (CPD) along with the other documents to the validation body as requested for validation.

The Validation body shall conduct a desktop review of all documents and make an on-site assessment (if necessary) to validate that the requirements specified in the CPD, and the monitoring system are adequate and addressed the PSC requirements, properly.

The Validation body shall conduct the validation and any issues arising out of validation shall be resolved by the project proponent successfully.

The Validation body shall give the validation opinion along with the validation report.

SavePlanetEarth (SPE) shall review the report and the validation opinion and has the right to accept or reject it.

If the validation opinion is positive and it is accepted by the PCS the project is granted full registration status and listed on the Planetary Carbon Standard (PCS) website by assigning a unique registration number.

5.13. Verification of the GHG project.

The purpose of verification is to determine whether the project requirements have been implemented as per the registered CPD requirements and, also to ascertain other physical requirements (measuring equipment, technology, etc.,) available within the project premises.

The Project Proponent shall select a recognized third-party body to conduct the verification.

The Project Proponent shall submit the CPD, and Monitoring Plan along with the other documents to the verification body, as requested.

The verification body shall conduct a desktop review of all documents and make an on-site assessment to verify whether the requirements specified in the CPD including the monitoring system have been implemented effectively.

The verification body shall ensure that the monitoring plan has been implemented as per the approved monitoring methodology.

The verification body shall conduct a comprehensive verification covering the stated scope.

Once the verification body completes the verification and issues are identified and raised, the issues shall be resolved by the project proponent.

The verification body shall give a conclusion statement in the verification report on the verified amount of emission reductions achieved during the verification period.

The verification body shall give a written assurance (Certification) that, during a specified period, the project activity achieved the reductions in anthropogenic emissions by sources of greenhouse gases as verified.

A national authority shall review the validation report and decide whether to issue the Verified Emission Reductions (VERs) for the amount specified in the verification report for the specified project and period. The amount is renewable for two consecutive periods.

Once the VERs are issued for the project PCS updates the Planetary Carbon Standard (PCS) website concerning the project accordingly.

5.14. Crediting Period and Duration.

The selected crediting period shall be documented clearly in the carbon project document.

5.15. Renewal of Crediting Period

The Project Proponent shall update the CPD considering the latest methodologies available and shall demonstrate the validity of the original baseline or update it by assessing the GHG emission reductions that would have resulted from that scenario.

The Project Proponent shall update the data and parameters used for determining the original baseline, which was determined previously and not monitored during the crediting period, are no longer valid, the Project Proponent shall update such data and parameters.

The Project Proponent shall select a recognized Verification and Validation Body (VVB), and submit the updated CPD, together with supporting documentation, to the VVB for validation for renewal of the crediting period of the project activity. The Project Proponent should have a contractual arrangement with the VVB for such work.

5.16. Cancellation of the Registration

The Project Proponent may request the PCS Board to deregister the project activity in writing whenever they wish to do so and the PCS Board decides to deregister the project and accordingly delete the name of the project by updating the register and the connected website.