CDM – Executive Board page 1 CLEAN DEVELOPMENT MECHANISM PROJECT DESIGN DOCUMENT FORM (CDM-PDD) Version 03 - in effect as of: 28 July 2006 CONTENTS A. General description of 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 project activity Annex 2: Information regarding public funding Annex 3: Baseline information Annex 4: Monitoring plan SECTION A. General description of project activity A.1. Title of the project activity: Sah Wind Power Plant Document version: 11 Date of completion: 18/03/2013 A.2. Description of the project activity: Galata Wind Enerji A.S. (GALATA) installed Sah WPP with 105 MWm installed capacity in Bandirma district of Balikesir and Karacabey district of Bursa, Turkey. When the project was first planned, Sah WPP had 31 turbines of which 22 turbines are in Balikesir province, and 9 turbines are in Bursa province, each having an output of 3.0 MW. The total electricity production of the project was estimated as 305,775 MWh/year.1 1 Deutsche WindGuard GmbH, Energy Yield Assessment Report dated December 2008 CDM – Executive Board page 2 Therefore, the expected annual average emission reduction was calculated as 185,636 tCO2/yr. The construction of the project started in July 2010. As of July 29th, 2011, first 31 turbines were fully commissioned. After the completion of the construction works and commissioning, the project was taken over by Doğan Enerji Yatırımları San. ve Tic. A.Ş. 2 (hereafter referred as the Project Owner) in June 2012.3 In the further stages of the project, the company decided to install 4 additional turbines (4 x 3 MW = 12 MW) to the project. In March 2012, a Wind farm Assessment Report was prepared by VESTAS and the expected electricity generation of the additional 4 turbines is calculated as 35.5 GWh/yr. Based on the results of this report, the company decided to increase the total installed capacity of the project to 105 MWm with additional 4 Vestas V90 / 3000kW type wind turbines provided that the total installed capacity is limited with 93 MWe which is the installed capacity granted by EMRA in the first electricity generation license. Additional 4 wind turbines are expected to be commissioned the first quarter of 2013. And then the Sah WPP total installed capacity will be 105 MWe/105 MWm. As a result of the commissioning of the additional turbines, the total annual electricity generation of the project is calculated as 341,275 MWh/yr with 35 turbines- 105 MWe. (Annual estimated electricity generation of the first 31 turbines – 93 MWm is 305,775 MWh/yr and annual estimated electricity generation for the additional 4 turbines – 12 MWm is 35.5 MWh/yr4) Therefore, total annual emission reductions are estimated as 207,188 tCO2/yr. The plant load factor of the project is defined based on Option (b) of “Section II. Ex ante definition of plant load factors” of “Guidelines for the reporting and validation of plant load factors, Version 1”. The reports of third party contracted by the project participant is used to calculate the Plant Load Factor (PLF). Based on the W&EYA Report of Turksoy Muhendislik, the plant load factor of the project is calculated as follows: [305,775 MWh/yr] / [93.0 MW] / [8,760 hours/yr] = 37.53%. After the addition of 4 wind turbines, WEYA Report of Turksoy Muhendislik and Wind Power Plant Assessment, Şahres Extension Report prepared by VESTAS are considered together and final PLF of the project is calculated as follows: [341,275 MWh/yr] / [105.0 MWe] / [8,760 hours/yr] = 37.10%. The purpose of the project is to utilize wind energy potential in Turkey and to compensate energy requirement through a sustainable, environmentally and cost effective way. Sah WPP is not a debundled component of a large scale project activity. Sah WPP shall be registered as a Gold Standard Voluntary Emission Reduction (GS-VER) project in order to facilitate the project implementation by means of financial inflows coming from the credits sale. Due to its significant contribution to climate change mitigation and sustainable development in the region, this project is expected to fulfil the requirements of the Gold Standard rigorously. 2 http://www.doganholding.com.tr/yatirimlar/enerji.aspx 3 http://www.kap.gov.tr/yay/Bildirim/Bildirim.aspx?id=220066 4 Wind Power Plant Assessment Report, Şah RES Extension W.F., prepared by VESTAS on March 8th, 2012. CDM – Executive Board page 3 The project will help Turkey to stimulate and commercialise the use of grid connected renewable energy technologies and markets. It will demonstrate the viability of wind power plants which will support improved energy security, improved air quality, alternative sustainable energy futures, improved local livelihoods and sustainable renewable energy industry development. The specific goals of the project are: • reducing greenhouse gas emissions in Turkey compared to business-as-usual scenario, • helping to stimulate the growth of wind power industry in Turkey, • creating local employment during the construction and the operation phase of the plant, • reduce other pollutants resulting from fossil fuel dependent power generation industry in Turkey, compared to business-as-usual scenario, • helping to reduce Turkey’s increasing energy deficit and • diversifying the electricity generation mix and reducing import dependency. The project contributes to sustainable development in Turkey in following ways: • Wind power presents various environmental benefits compared to other primary energy sources: wind energy does not result in emissions of pollutants into the atmosphere nor does it emit residuals that can have negative impact on soil, water etc. As a renewable energy source wind energy can be used without putting the supply of primary energy sources in danger for future generations. The proposed project will also contribute to reduction in emissions other than GHG, such as sulphur dioxide, nitrogen oxides and particulates. • Sah WPP will result in extra employment – the realization of the project will result in increased jobs in the local area, especially during the construction phase. It is planned to hire 15 employees temporarily during the construction and 7 employees constantly during the operation of the plant. Priority will be given to local labor force both for construction and operation of the plant. • Construction materials for the foundations, cables and access roads have been preferentially be sourced locally. GALATA, as the project developer, from the very beginning was committed providing sustainability through environmental protection as well as social development and community support. Based on the information collected during the stakeholder meeting (for details see section E) the Sustainable Development Matrix (for details see section D) were prepared. The results of the in-depth assessment of environmental and social impacts confirm the positive influence of the project on all domains of environment and social support. The project will be located on a ridge and most of the ridge is covered by pine trees reaching a height of 3m. Before the start of the implementation of the project, the project area was largely forestry lands. There is no farmland to be affected by the construction of the project. The farmlands are located at surrounding terrain of the project. Installing the project, 9 of the 31 turbines were and 2 of the additional turbines will be erected in the vicinity of of Ovakorusu Wildlife Development Site which is governed by General Directorate for Natural Conservation and National Parks. In that sense, a mutual understanding regarding with precautions to be taken in order to prevent any damage which might occur in wildlife was reached between GALATA and General Directorate for Natural Conservation and National Parks. That understanding was formalized by a letter of undertaking signed by GALATA at 8th of February, 2010. CDM – Executive Board page 4 In the baseline scenario, the electricity delivered to the grid by the project would have otherwise been generated by the operation of grid-connected power plants. Since Turkey’s grid mainly consists of thermal power plants, this would have resulted in GHG emissions. However, in the project scenario, the project whose characteristics are summarised below will generate electricity from wind power and will result in emission reductions in parallel with its electricity generation figures. There will be 35 Vestas V90 type of wind turbines with 90 m rotor consisting of three blades and the hub., each having an output of 3000 kW (total capacity 105.0 MWm / 105.0 MWe). The equipments were provided from Vestas which is one of the largest suppliers of wind turbines in the world.5 The annual average energy production of the power plant is expected to be some 341,275 MWh/year. The connection of the project to the National Electricity System will be done via 35 km transmission line to the 154 kV Gobel Transformer Station The construction of the project started in July 2010 and the first part of the turbines (21 turbines) started to generate electricity as of May 19th 2011, and the second part of the turbines (9 turbines) started to generate electricity as of June 3rd 2011. Last one of the first 31 turbines was commissioned on July 29th 2011, Additional 4 turbines is expected to be commissioned until the end of first quarter of 2013. Please see the work flow diagram of the project below: Figure 1: Work Flow Diagram A.3. Project participants: 5 http://www.vestas.com/ CDM – Executive Board page 5 Name of Party Kindly indicate if the Party involved Private and/or public entity(ies) involved wishes to be ((host) indicates project participants (as applicable) considered as project a host participant (Yes/No) Party) Turkey (host) Galata Wind Enerji A.Ş.6 (GALATA) No Doğan Enerji Yatırımları San.