Liuzhou Chemical Industry Co., Ltd. (hereafter ”Liuzhou Chemical”) is the largest fertilizer and chemical company in the southern part of China with currently five nitric acid plants (NA Plant#1−#5). The total design capacities of nitric acid production for the five plants are 454,080ton/yr and nitrous oxide (N2O), which is an undesired by-product of the nitric acid production process, emitted from these plants is about 2,750 tN2O/yr. The aim of the project activity is to reduce N2O emissions in the tail gas from the five plants by installation of three DeN2O units (regenerative catalyst systems) within the plant site of Liuzhou Cheimcal. The technology and equipment is provided by Sumiko Eco-Engineering (Japan) and N.E. Chemcat (Japan). It is expected that all of three DeN2O units can decompose more than 90% of the N2O with estimated annual emission reductions greenhouse gas N2O of approximately 762,096 tCO2e/yr.

The contribution of sustainable development for local, host country and global by the project activity are as follows:

(1) The technology, equipment and catalyst from Japan will be introduced to the project, which will be beneficial to further promote the application of the advanced technology, which is not yet widely commercialized even in the industrialized countries, for the reduction of N2O emissions in the nitric acid tail gas in China. (2) The implementation of the project activity includes the training course for operation of the DeN2O regenerative catalytic decomposition systems as well as for accurate monitoring, which will provide the staffs of Liuzhou Chemical with an opportunity to learn new technology and improve their skills. (3) The implementation of the project activity will create local employment of about 15 people for long term. (4) In accordance with the stipulation of “Measures for Operation and Management of Clean Development Mechanism Projects in China” which is currently in force , the project activity will contribute 30% from CERs revenues to the funds of China Clean Development Mechanism, which will be used for the relevant activities of climate change and make contribution to the sustainable development of China.