The proposed Fuhui Inner Mongolia Tugurige Wind Farm Project (hereinafter referred to as the Project) is to generate renewable electricity using wind power resources and to sell the generated output to the North China Power Grid (NCPG) on the basis of a Power Purchase Agreement (PPA). The project activity will generate greenhouse gas (GHG) emission reductions by avoiding CO2 emissions from electricity generation by fossil fuel power plants that is supplied to the NCPG.

The Fuhui Inner Mongolia Tugurige Wind Farm Project is located in the Bayannaoer City, Inner Mongolia Autonomous Region. A decision has been made to install a total of 66 wind turbines, each of which has the capacity of 750 kW to best suit the local conditions. The total power capacity, therefore, of the proposed project activity is 49.5 MW. The expected net supplied power to the grid is 119,394 MWh per year. It is ex-ante estimated that the project will generate average annual emission reduction of about 126,319 tCO2e.

The project will assist China in stimulating and accelerating the commercialisation of grid-connected renewable energy technologies and markets which is an important objective of the Chinese government. The project will therefore help reduce GHG emissions versus the high-growth, coal-dominated business-as-usual scenario. Furthermore, the project will improve air quality and local livelihoods and promote sustainable renewable energy industry development. The specific goals of the project are to:

• generate electricity;

• reduce greenhouse gas emissions in China compared to a business-as-usual scenario; • help to stimulate the growth of the wind power industry in China; • create local employment opportunity during the assembly and installation of wind turbines, and for operation of the wind farm;

• reduce other pollutants resulting from the power generation industry, compared to a business-as-usual approach, such as SO2 and soot.