Beijing No.3 Thermal Power Plant Gas-Steam Combined Cycle Project Using Natural Gas is located in Yungang area, Fengtai District of Beijing, China, which is a natural gas-steam combined cycle power plant with rated capacity of 1×400MW. And the rated annual electricity generation is 1400GWh with 3500 hours of designed annual operation hour, by consuming about 300 million Nm3 of natural gas annually. The generated electricity is delivered to North China Power Grid. The gas turbine power unit was put into operation in November, 2005. The proposed project is covered by and connected to the North China Power Grid (SCPG), which is dominated by coal-fired power plants. The electricity generated by using natural gas which is clean energy with less carbon content, in the project site, can displace electricity generated by coal-fired thermal plants which would have been built otherwise. Thus the proposed project activity can reduce CO2 emission accrued from the SCPG. The estimated annual GHG emission reductions are 633,341 tCO2e.

By generating electricity using advanced clean power technology NGCC (Natural Gas fired Combined- Cycle) with nature gas, the project activity offers the positive environmental and economic benefits and contributes to the local sustainable development in the following aspects: • Optimisation of the electricity generation mix of Beijing-Tianjin-Tangshan Sub-power Grid,

enhancement of the capacity of the peak load dispatching and electricity supply reliability for the grid, and improvement of the holistic economic benefit of the grid as a whole. So the proposed project activity is in line with China’s energy policy with regard to improving energy mix, increasing energy utilization efficiency and diversifying energy supply. • By offering clean electricity with natural gas as fuel, the project can reduce air pollution for the Capital of China caused by the coal-fired power plants, and improve the quality of the atmosphere environment effectively.

• The project activity is in line with the “West Development” and “West-to-East natural gas transmission” strategy of China, and could be propitious to the transformation of west resources to economic advantage.

CDM – Executive Board

• It can certainly boost and strengthen the technology transfer of natural gas combined cycle power

technology and its localization.