Nanjing Jinling Grid Connected Natural Gas Combined Cycle Power Plant Project (hereafter referred to as the “Proposed Project”) is a natural gas fired grid-connected electricity generation plant, constructed, owned and operated by Huaneng Nanjing Jinling Power Generation Co. Ltd (hereafter referred to as the ‘Project Owner’) in Jiangsu Province, China.

The total installed capacity of the Proposed Project is 780MW, and involves the installation of two sets of 390MW gas-steam combined cycle generation system. As a peak-load regulating power plant with an estimated annual operation of 3,500 hours, the Proposed Project will supply approximately 2,716,000 MWh of electricity per annum, to the Jiangsu Power Grid, a sub-grid of the East China Power Grid (ECPG). Each year approximately 576 million m3 of natural gas transmitted from the gas fields of the Chadamu basin of Qinghai, Tarim basin of Xinjiang, and Shanganning region in the west of China will be consumed by the Proposed Project.

As a newly constructed power plant, the scenario existing prior to the start of the Proposed Project was that an equivalent amount of electricity would have been obtained from the East China Power Grid.

As set out in section B.4., the appropriate baseline scenario for the Proposed Project is the construction of a new 600MW sub-critical coal-fired power plant. The Proposed Project activity, therefore, results in significantly lower GHG emissions compared with coal-fired power generation, calculated to be a reduction of approximately 1,044,328 tons of CO2e each year. During the first 7 year crediting period, the total emission reductions are 7,310,296 t CO2e.

Not only will the Proposed Project help in meeting the increased electricity demand requirements of Jiangsu Province, it will also contribute to the sustainable development of the local region and host country, as well as the domestic power industry in the following ways:

–      reducing GHG emissions and other pollutants, including SOx, NOx and Carbon Dioxide, which        are directly associated with the coal fired power plants that dominate the ECPG; 

–      demonstrating state-of-the-art, international natural gas combined cycle technology in the power        industry in the PRC;

–      improving the peak-load regulating capacity of the ECPG to support the alleviation of power        shortages (‘brown-outs’) for end-users in a region with one of the highest population densities        and levels of industrial activity in the PRC; 

–      creating employment opportunities for local residents; and 

–      supporting the sustainable development of the power industry in the PRC by promoting the        CDM as a viable business opportunity to support investments in low-carbon technologies.