Summary:

Yunnan Maguan Mihu River 3rd Level Hydropower Station (hereafter referred to as “the proposed project” or “the project”) involves the construction and operation of a diversion type run-of-river hydropower station by Yunnan Hualian Maguan Hydro-Electric Co., Ltd. The project activity is a new hydropower plant (the total installed capacity is 16MW) with a new reservoir (the surface area of the reservoir at full water level is 6,670m2[1]), and the power density is 2,399W/m2. The theoretical average annual utilization hours (calculated on the basis of water availability only, hereinafter referred to as average annual utilization hours) is 4,554 hours, which corresponds to an average theoretical annual power generation of 72,870MWh with plant load factor of 0.52[2], and the effective annual power generation is 65,583MWh, and the annual net electricity supplied to the grid is amounting to 62,797.7 MWh [3].

The project activity includes dam, diversion tunnel, pressure pool, pressure pipeline, power plant, and booster station, and employs two units of HLA548-LJ-128 turbines matched with two units of SFW8000- 10/2600 generators. The power generated will be connected to the Wenshan Zhuang-Miao Autonomous Prefecture (hereafter referred to as “Wenshan Prefecture”) Grid via 110kV Tiantou transformer substation, then to the Yunnan Grid, and finally to the South China Power Grid.

The electricity generated by the project should have been supplied by the South China Power Grid prior to the start of the implementation of the project activity, which is the same as the baseline scenario.

[1] The data is from Feasibility Study Report (FSR) Page 197 compiled by China Institute of Water Resources and Hydropower Research on August 2005.

4,554h

[2] The annual operation hour is 4,554h,. Therefore, the plant load factor was calculated as: =0.52

8， h

760

[3] Page 256 of FSR compiled by China Institute of Water Resources and Hydropower Research on August 2005.

The project will transmit renewable hydropower to the South China Power Grid, and substitute relevant generation from fossil fuel fired power plant of the South China Power Grid (main emission CO2), and then reduce Greenhouse Gas emissions amount to 52,960tCO2e annually.

Contribution to sustainable development:

The project activity contributes significantly to the region’s sustainable development in the following ways:

• In recent years, China has witnessed a huge increase in power consumption. Both public and private parties are struggling to meet the demand for electricity. The proposed hydropower project will contribute in a sustainable manner to bridging the gap between supply and demand of power on a regional and national level.
• In China, more than 80% 4 of total electricity production is derived from fossil fuel based power plants.

Being so heavily dependent on fossil fuel for its energy requirements, this project carries environmental benefits for the country’s air, soil and water sources. The project activity will displace the generation of fossil fuel power plants, reducing CO2, SOx and NOx emissions significantly, thus mitigating the air pollution and its adverse impacts on human health. The project activity promotes the growth of sustainable and renewable capacity in China and makes it less dependent on exhaustible and polluting fossil fuels.