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UNFCCC Registers India’s First Ever Dual Scale renewable energy PoA

The Welspun Renewable Energy Program run by Welspun Energy Limited (WEL) has been registered with the UNFCCC (United Nations Framework Convention on Climate Change) w.e.f. 19thNovember 2012 as a CDM PoA (Clean Development Mechanism Programme of Activities). 

This India PoA has the unique distinction of being the first dual scale (which includes both large scale as well as small scale CDM projects) renewable energy PoA in the world. It will allow the addition of an unlimited number of solar and wind energy projects from India over the PoA lifetime of 28 years and thus will contribute to a reduction of significant quantity of CO2 emissions.  The registered PoA includes a 25 MW grid connected Solar PV power project that is under implementation at Neemuch, Madhya Pradesh and is expected to avoid emissions of 37,739 metric tonnes of CO2 annually for a period of 21 years into the Earth’s atmosphere. 

The CDM allows emission-reduction projects in developing countries like India to earn CERs (Carbon Emission Reductions) credits, each equivalent to one tonne of CO2. These CERs can be used by industrialized countries to meet a part of their emission reduction targets under the Kyoto Protocol.  

A Programme of Activity (PoA) under the CDM makes it possible to register the coordinated implementation of a policy, measure or goal that leads to emission reductions. Registering a PoA compared to the conventional CDM project is a challenging and lengthier process. Hence, it has not yet seen widespread implementation. The registration of the Welspun Renewable Energy PoA is thus a landmark achievement in this regard. 

In the near future, POAs could be used as a starting point to scale-up mitigation actions as Nationally Appropriate Mitigation Actions (NAMAs). PoAs also have a strategic significance as the European Union, that has the world’s biggest carbon market, had earlier taken a decision that the member countries will not buy CERs from projects originating in developing countries which will get registered post 31st December 2012. This decision is flexible for PoAs subject to registration prior to 31st December 2012.

Company has already registered its four prestigious projects in Gujarat and Rajasthan under the conventional CDM route with UNFCCC. These projects will reduce a total of 47,022 metric ton CO2 emissions annually.  Company is further expecting to reduce an estimated amount of 47,398 metric ton CO2emissions annually from its 30 MW Solar PV power plant in Gujarat which has already been submitted for registration with UNFCCC.

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