The Yunnan Miaolin Hydropower Project (abbreviated as the “Project Activity” hereafter) is located in Zhongming Town and Tianxing Town, the territory between Daguan and Yiliang County within the jurisdiction of Zhaotong City, Yunnan Province. The Project Activity is developed and will be operated by Yiliang Dianneng Luoze River Basin Power Generation Limited (abbreviated as the “Project Entity”). The total installed capacity of the Project Activity will be 65 MW, with annual utilization of 4,290 hours, the theoretical annual electricity output will be 279 GWh, and 0.4% internal comsumption rate and 90% electricity coefficient are considered in the FSR, therefore, the annual electricity exported to the grid will be 250 GWh. The submerged area at normal reservoir level is 0.81 km2 giving the Project Activity a power density of approximately 80.25 W/m2.

The electricity generated by the Project Activity will be dispatched to the China Southern Power Grid (abbreviated as “the CSPG”). Under the scenario existing prior to the start of the Project Activity, electricity is supplied by the CSPG, it is also deemed as the baseline scenario. The electricity supplied by the Project Activity will displace electricity generated by power plants connected to the CSPG. Greenhouse gas (GHG) emission reductions will be achieved by displacing fossil fuel-dominated power generation attached to the CSPG. The estimated annual GHG emission reductions will be 217,800 tCO2e.

The Project Activity will contribute to the sustainable development of the host country and the local area by:

•      Creating 30 employment opportunities;

•      Creating additional access roads and infrastructure in a remote area where local communities have traditionally        faced difficulties accessing these;

•      Reducing GHG emission and other pollutants generated from the power industry by displacing electricity from        carbon-intensive fossil fuel.