Description of size and quality expected of a PIN

Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
Community Development Carbon Fund
Project Idea Note (PIN)
Description of size and quality expected of a PIN
Basically a PIN will consist of approximately 5 pages providing indicative information on:
 the type and size of the project
 its location
 the anticipated total amount of greenhouse gas (GHG) emission reductions
compared to the “business-as-usual” scenario (which will be elaborated in the
baseline later on at Project Design Document [PDD] level)
 the suggested crediting life time
 the suggested Certified Emission Reductions (CER) price in US$/ton CO2-equivalent
reduced from the clean development mechanism (CDM) project
 the financial structuring (indicating which parties are expected to provide the
project’s financing)
 a description of how the project will improve the welfare of the community or
communities involved in it
While every effort should be made to provide as complete and extensive information as
possible, it is recognised that full information on every item listed in the template will not
be available at all times for every project.
Community Development Carbon Fund (CDCF)
Key Project Eligibility Criteria
CDCF projects need to comply with a number of eligibility criteria, including the following two:
1. The CDCF will facilitate almost exclusively projects that are compatible with the definition
of “small-scale CDM project activities” in accordance with decision UNFCCC 17/CP.7 (see This decision defines small projects as: a) renewable energy project
activities with a maximum output capacity equivalent of up to 15 megawatts (or an appropriate
equivalent); b) energy efficiency improvement project activities which reduce energy consumption,
on the supply and/or demand side, by up to the equivalent of 15 gigawatthours per year; or, c) other
project activities that both reduce anthropogenic emissions by sources and that directly emit less
than 15 kilotonnes of carbon dioxide equivalent annually. Decision 17/CP.7 also creates a nonexclusive list of 14 small-scale project categories and specifies simplified baseline and monitoring
methodologies for each category. Proposed projects that do not conform to one of these categories,
as well as a revision of the existing methodologies, may be proposed for consideration by the
Executive Board.
2. Each project must lead to improvements in the material welfare of the community or
communities involved in it. Where there is no identifiable community integral to the Project, the
CDCF allocates a portion of the payments for the emission reductions to the acquisition and
provision of goods and/or services designed to benefit the local community or communities which
have geographical, cultural or historical associations with the project site or project-utilized
resources. Examples of the types of goods and services which may be provided include electricity
for schools, health clinics, workshops, potable water, teaching or medical services. In most cases,
the project sponsor will provide the benefits either directly or through contracting a third-party
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
Template for PINs
A. Project description, type, location and schedule
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Technical summary of the project
Date submitted:
Objective of the project
Avoidance of present and future methane emission from the City of
Bekasi landfill through; 1. Methane gas flaring and small scale electricity
generation, and 2. Removal of decomposing organics from the landfill for
sales as compost. Recycling the existing landfill to provide sustainable
solid waste disposal, protecting the local environment and health impacts
on the local community and improved collection services in the city.
Project description and
proposed activities (including
The City of Bekasi is situated on the eastern boundary of DKI Jakarta
a technical description of the in West Java, Indonesia. Its residential population is approximately 1.9
million people and due to commercial activities its experience a daily
increase in population of around 15 to 20%. The city suffers from an
inability to cope with waste generation and disposal similar to many cities
in Indonesia. In addition to it’s own MSW problems the final disposal site
for DKI Jakarta’s MSW, LPA Bantargebang 104 hectare landfill, is
located within the city boundaries. Waste disposal is therefore of major
concern for the residents and government of the city.
In 2002 Bekasi established it’s own final disposal site, TPA Sumur
Batu. This 10 hectare landfill is located on the north-east boundary of LPA
Bantargebang and has a design capacity of approximately 2 million m3.
The city per capita waste generation rate is estimated at 0.95kg/capita,
which takes into account the daily influx of workers. This is equivalent to
an estimated 6,000 m3 / day or 1,800 tonne/day (at 0.3 tonne / m 3). The
current waste collection service is estimated at only 35%, giving a daily
disposal volume of 2,100m3 or 631 tonne.
Based upon forecast population growth and improvement in collection
services this landfill has a waste receiving life of only 7 to 8 years. Once
capacity is reach additional land must be located for another landfill.
To provide an appropriate and sustainable solution to these problems
this project proposes the implementation a new landfill management
system incorporating methane gas destruction (flaring and electricity
production) and organic removal for compost product sales. This
combination of landfill management techniques will enable long-term
recycling of the landfill area and improved environmental management
Organic Recovery
The process of landfill recovery is the removal of the portion of
decomposed organic from landfills for reuse as compost/soil
conditioner/fortified organic fertiliser. Based upon research and landfill
recovery activities in Indonesia recovered organic for compost purposes
are classified as organic material that passes through a 3mm screen.
Organic material larger than this (non degraded) are classified as suitable
for processing as mulch or returned to landfill for further anaerobic
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
As organic waste decomposes under anaerobic conditions in landfills
methane gas is produced and emitted to the atmosphere. The pathway of
decomposition of organic waste in landfills and the resultant formation of
methane gas is well documented as a microbial mediated process of four
distinct stages requiring several trophic groups of bacteria. The principal
biodegradable chemical constituents of organic waste responsible for this
methane production are cellulose, hemicellulose and protein (Barlaz et al.,
1989). Laboratory studies have verified that cellulose and hemicellulose
content (dry weight) contributes to 91% of methane generation within
landfills (Barlaz et al., 1989). Daniel ed. (1993) calculated the methane
potential of cellulose and hemicellulose, as 415 and 424 litres of methane
at Standard Temperature Pressure (S.T.P) for every kilogram of cellulose
and hemicellulose degraded, respectively based up the Mass Balance
Equation (Parkin and Owen, 1986).
The timeframe for organic degradation under anaerobic conditions is
normally classified as; Readily (putrecibles, garden waste), Moderate
(paper) and Slowly (wood) Degradable and is dependant on the cellulose/
lignin ratio (Bookter et. al. 1982). Boda (2002) determined that free
cellulose is the primary degraded material in the initial rapid stage of
degradation and once cellulose is reduced to a range of 15 –20% of the
waste, degradation occurs for the remaining cellulose along with lignin
and hemicellulose.
From research undertaken on Indonesian landfills organic recovery for
compost material can commence from 4 to 5 years after disposal and
closure of a cell. During this time period all of the readily degradable
organic waste has decomposed and sterilization achieved due to long term
exposure to temperature in the thermophilic range. For time periods
greater than this, decomposition of other slowly degradable organic waste
(sized timber, coconut shells, rattan, branches, plant fibre, textiles etc)
continues. The process of sterilization continues under thermophilic
conditions and then within the mesophilic temperature range as the process
of decomposition slows over time. Full decomposition of waste within
landfill will span many decades.
Analysis of the chemical composition of recovered organics provides
an accurate estimate of the organic resources remaining in the landfill cell,
their state of decomposition and the remaining reserves of degradable
material that would be available for methane production. This then allows
for an estimate of the future potential methane that may be produced if
these organics were to remain in the anaerobic environment of the landfill.
As an example, the chemical composition analysis of the two fractions
of organics recovered a cell in the Makassar landfill, which commenced
receiving MSW in 1994 and was closed in 1997, has determined that the
remaining cellulose and hemicellulose is; Compost Fines – cellulose
16.5%, hemicellulose 0.44% and Oversized Degradable Organics –
cellulose 42.4% and hemicellulose 10.1% (Butler 2005).
Using this approach to estimate methane avoidance from recovering the
organic content of municipal landfills in Indonesia provides an opportunity
for methane emissions reductions and assist in improving municipal solid
waste management.
Methane Capture and Destruction
As outlined previously, the rate of methane production is related to the
amount of degradable cellulose, hemicellulose and lignin available, their
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
degradation behaviour and the environmental conditions inside and outside
of a landfill. Methane generation generally follows two phases, initial
rapid degradation with a peak of methane production within approximately
4 to 5 years and a slower or decelerated rate of methane production that
can last many decades.
Organic recovery abatements/avoids future methane production in this
slower stage by removing all organic carbon sources from a landfill cell.
The second component of this project, methane capture and destruction,
deals with methane production as it occurs. Landfill gas collection systems
and small-scale electricity generation for use on site by the organic
recovery facility are to be established. A combination of these two
approaches will therefore maximise the abatement of methane produced by
MSW within the landfill.
This cycling of the landfill cells will be a continuous process. Allowing
for maximum abatement/avoidance of methane gas and a continuous
income stream from compost sales.
Criteria for Small Scale CDM project activities
The decision of UNFCCC 17/CP.7 defining “small-scale CDM project
activities” as those with direct project emissions less than 15 kilotonnes of
carbon dioxide equivalent annually is appropriate for this project.
Methane gas formation in landfills is through the biochemical
decomposition of biogenic carbon (refer Mass Balance Equation
Mass Balance Equation (Parkin and Owen, 1986)
CnHaObNc + (n – a/4 – b/2 – 3c/4)H2O →
(n/2 – a/8 + b/4 + 3c/8)CO2 + (n/2 + a/8 - b/4 3c/8)CH4 + cNH3
Cellulose (C6H10O5), and
Hemicellulose (C5H8O4)
The IPCC methodology makes reference to biogenic carbon (A &
B citied below) and that CO2 emissions from this source should
not be considered net anthropogenic CO2.
The combustion of landfill gas produces CO2 emission. As this
CO2 emission is of biogenic carbon origin they are therefore not
considered as direct project emissions.
(A) Extract from; Revised 1996 IPCC Guidelines for National
Greenhouse Gas Inventories: Reference Manual,
Chapter 6 Waste, 6.1 Overview;
“Decomposition of organic material derived from biomass sources (e.g.,
crops, forests) which are regrown on an annual basis is the primary source
of CO2 released from waste. Hence, these CO2 emissions are not treated as
net emissions from waste in the IPCC Methodology.”
Chapter 6 Waste, 6.5 Emissions from Waste Incineration
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
“A large fraction of the carbon in waste combusted (e.g., paper, food waste)
is derived from biomass raw materials which are replaced by regrowth on
an annual basis. These emissions should not be considered net
anthropogenic CO2 emissions in the IPCC Methodology”
(B) Extract from; Appendix B of the simplified modalities and
procedures for small-scale CDM project activities
Type III Other Activities, IIID Methane Recovery
1. This project category comprises methane recovery from coalmines, agroindustries, landfills, wastewater treatment facilities and other sources.
Measures shall both reduce anthropogenic emissions by sources and directly
emit less than 15 kilotonnes of carbon dioxide equivalent annually.
The project utilises two energy source; (i) Electricity for the
Organic Recovery Facility and the LFG extraction/destruction
system and (ii).Diesel fuel for earth moving equipment.
This project proposes that electricity for the Organic
Recovery Facility will be generated onsite from the LFG as
well as for the extraction/destruction system. Therefore there
will be only minimal emissions from the LFG generator and
flaring system.
Direct project emissions will occur due to the use of earth
moving equipment for landfill mining and rehabilitation of the
landfill cell structures. As a guide to emissions from diesel
fuel use for project activities the emission value of 2.7 kg of
CO2equivalent / litre (Energy Strategies 2000) multiplied by
the expect diesel fuel consumption of 60,000 litres per year
equates to 162 tonne CO2equivalent per year. Although these
emissions are small the project will investigate other cleaner
fuel sources.
Describe in less than 5 lines. Please note that support can only
be provided to projects that employ commercially available
technology. It would be useful to provide a few examples of where
the proposed technology has been employed.
Organic Recovery
The primary processing technology employed is mechanical separation
through trommel screens of various screen hole diameters. Non-organic
and non-degraded organics are separated out from the compost fines. This
technique has been adapted from various material separation operations
and has been developed and used in Indonesian on the Makassar landfill
since 2000.
Methane Capture and Destruction
The project will employ proven technology and engineering approach
to landfill gas extraction, flaring and small-scale electricity generation.
These systems have been established on many landfills around the world
but this will be the first to be established in the Province of West Java,
Please indicate to which of the categories below the project belongs
(see details in If you have marked
category “N”, please provide brief information that, in your view,
may be useful to propose a new project category or a revised
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
methodology for consideration by the Executive Board.
This project proposal is bundled, having two components,
Project Component 1 – Methane Capture and Destruction
This component utilises Type III Other Project Activities Category D
Methane Recovery of Appendix B1 of the simplified modalities and
procedures for small-scale CDM project activities
Project Component 2 – Landfill Organic Recovery
Type III - Other Project activities
Type III. E. Methane avoidance of Appendix B of the simplified
modalities and procedures for small-scale CDM project activities.
This category is applicable to this proposal in that it deals with organic
matter that would have otherwise been left to decay as a result of
anthropogenic activities. This would fit the description of organic waste
disposed of in municipal landfill.
The criteria/method/means/measures of methane avoidance differs in
that this proposal achieves this through the removal of the organics from
the landfill and recycling as compost whilst Appendix B stipulates the
following; “decay is prevented through controlled combustion and less
methane is produced and emitted to the atmosphere”
The view is held that a revision of Type III. E. be considered allowing
for methane avoidance through recover and reuse of the decaying
landfilled organics as compost or that a new project category is accepted
Project developer
The City of Bekasi proposes to enter into commercial cooperation with
a private sector investment partner for this project
To Be Advised
Organizational category
Other function(s) of the
project developer in the project
Summary of the relevant
experience of the project
Contact person
Telephone / fax
Private Company
Operational entity / Technical Provider / Management
Ken Butler
(62 411) 858669
mobile (62) 81342460151
[email protected]
E-mail and web address, if
Project sponsors
(List and provide the following information for all project sponsors)
Name of the project sponsor
Municipal Government of the City of Bekasi
Organizational category
Jalan Ir H Juanda no 100, Kota Bekasi, Jawa Barat,Indonesia
address, if any)
Main activities
Municipal government
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
Summarize the financials (total assets, revenues, profit, etc.) in
Summary of the financials
less than 5 lines.
Type of the project
Greenhouse gases targeted
Type of activities
Abatement / Avoidance
Field of activities
d. Waste management
Capture of landfill methane emissions / utilization of waste
Location of the project
South East Asia
Brief description
location of the plant
Bekasi, West Java Province
The project will be located at the City of Bekasi landfill, TPA Sumur
Batu which is situated in Kecamatan Bantargebang,
Expected schedule
Earliest project start date
Estimate of time required
before becoming operational
after approval of the PIN
1st quarter 2006
Time required for financial commitments: 2 months
Time required for legal matters: 1 months
Time required for negotiations: 1 months
Time required for construction: 3 months
Expected first year of CER
Project lifetime
Continuous / Indefinite
Current status or phase of
Pre Feasibility Study completed in draft form. Feasibility and
the project
Environmental Impact Studies are planned
Letter of No Objection is available / Letter of Endorsement is
acceptance of the Host Country under discussion or available / Letter of Approval is under
discussion or available / Host Country Agreement is under
discussion or signed / Memorandum of Understanding is under
discussion or available / etc.
(mention what is applicable)
The position of the Host
The Host Country
Country with regard to the
a. Signed and ratified to the Kyoto Protocol
Kyoto Protocol
B. Expected environmental and social benefits
Estimate of Greenhouse
Gases abated (in metric tons
of CO2-equivalent)
Baseline scenario
Up to and including 2012: xx tCO2-equivalent
Up to a period of 10 years: xx tCO2-equivalent
Up to a period of 7 years: xx tCO2-equivalent
Up to a period of 14 years:
3,100,000 tCO2-equivalent from Organic Mining
5,100,000 tCO2-equivalent from Methane Destruction
8,200,000 tCO2-equivalent Project Total
CDM projects must result in GHG emissions being lower than
“business-as-usual” in the Host Country. At the PIN stage questions
to be answered are at least:
What is the proposed Clean Development Mechanism
(CDM) project displacing?
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
The organic content in municipal waste disposed of in landfills
produces methane gas as a bi-product of anaerobic decomposition. This
process of anaerobic decomposition will continue for many decades until
all available organic carbon is degraded.
Since receiving MSW in 2002 it is estimated that approximately
558,000 tonne of Organic Waste has been deposited in the landfill. Based
upon the forecast population growth and improvements in collection
services in the City of Bekasi it is expected that approximately 7,400,000
tonne of Organic Waste will be generated and disposed of during the 14year period of this proposal (2006 to 2019)1.
The organic waste disposed of during the period 2002 to 2019 will
generate and emit methane gas until all available organic carbon resources
are degraded. Calculations using the First Order Decay Model, forecast
these future emissions at approximately 1,200 x 10 6 m3 methane,
equivalent to approximately 15.0 x 106 tonne CO2equivalent2.
Through the combination of methane destruction during generation and
avoidance of future methane generation through organic mining this
proposal estimates that a minimum of 8.2 x 10 6 tonne CO2equivalent will
be abated during the 14-year period (2006 to 2019) of this proposal.
What would the future look like without the proposed CDM
Indonesian environmental regulations with regard to municipal landfills
are limited in their guidelines for reducing the environmental impacts of
methane production and emissions. Without the financial means to
improve landfill management municipal government will be forced to
continue the current practice of “controlled open dumping”
The existing barriers of the compost market, especially pricing, cannot
be overcome without some form of price subsidy. The market barriers
impact on the productions levels and therefore the timeframe for landfill
rehabilitation and emissions reductions.
The relevant Indonesian environmental regulations are;
Decree Concerning Types Of Businesses Or Activities
Required To Prepare An Environmental Impact Assessment,
Minister Of State For The Environment, Decree No. Kep11/Menlh/3/1994
This regulation stipulates that an Environmental Impact Assessment
must be undertaken for the following activities;
 Garbage disposal using controlled landfill or sanitary
landfill systems >=800 ton/ha
 Garbage disposal using open dumping systems >=80
2. Regulation Regarding Environmental Impact Assessment,
Government Regulation Number 51 of 1993
refer. Bekasi PIN_CDCF Attachments.doc
refer. Bekasi PIN_CDCF Attachments.doc
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
Environmental impact assessment (Analisa Mengenai
Dampak Lingkungan, or AMDAL) is the process of studying
the significant impact of a proposed business or activity on the
environment, which is required as part of the decision-making
An Environmental Impact Assessment must include the following
1. Environmental Impact Statement,
2. Environmental Management Plan, and
3. Environmental Monitoring Plan.
3. Decree
Head Of The Environmental Impact Management Agency,
Decree Number Kep-056 Of 1994
1. A significant impact shall mean any fundamental
change in the environment caused by a business or
activity; Article 16 of Law Number 4 of 1982 states
that any proposed activity which is predicted to have
a significant impact on the environment is required
to be subject to the environmental impact assessment
4. Law Concerning Environmental Management, Law No. 23
Of 1997
Article 3
Environmental management which is performed with a
principle of national responsibility, a principle of
sustainability, and a principle of exploitation, aims to create
environmentally sustainable development in the framework of
the holistic development of the Indonesian human and the
development of an Indonesian community in its entirety which
is faithful and devoted to God the Almighty.
Whilst the previously mentioned regulations provide a basis for
environmental management of landfills they do not specifically provide
regulations that, if implemented, would reduce the production and
emissions of methane. In addition it is recognised in the following Decree
that the capability of all levels of government to fully implement the
environmental Laws and regulations is limited.
Decree Concerning General Guidelines For The
Preparation Of Environmental Impact Assessment, Minister
Of State For The Environment, Decree Number Kep14/Menlh/3/1994
Chapter VI Evaluation of Significant Impacts
2. Basic Management Studies
The extent of areas which may be potentially affected by
these significant impacts, whether these impacts will be
experienced locally, regionally, nationally or even
internationally in areas beyond the boundaries of
Indonesian territory. Thus, the proposed effort to
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
manage these impacts should be clearly described,
taking into consideration the government's capability,
at district, municipal, provincial, national and
international levels, to deal with the negative impacts
and to enhance the positive impacts.
What would the estimated total GHG reduction be?
During the period 2006 to 2019 (14 year period) the estimated
reduction is 8,200,000 tonne CO2equivalent.
If the project is a “small scale CDM project activity” according to
decision UNFCCC 17/CP7, please provide brief information on
additionality by barrier analysis or cost analysis (see details in
(About ¼ - ½ page)
Institutional Barrier, limited
environmental regulations
Compost Market Barriers; Product price, awareness/education (farmers
and government agencies), transportation costs, distribution and sales
Commercial Barriers; Capital cost of processing oversized organic
fraction as opposed to returning to landfill for natural decomposition, No
commercial opportunity for electricity sales due to the capital investment
costs and current buyback rate from the state electricity authority PLN.
The quantity of emission avoidance is restricted mainly due to market
barriers for compost sales; price, availability, eduction, transportation. Of
these, price being the greatest barrier against rapid market develop.
Potential emission reduction (ER) generated from this project would
therefore assist in; (1) Supporting a price subsidy, making the product
more attractive to farmers, (2) Provision of the additional capital
investment required for processing the oversize organic fraction, and (3)
Market development and socialising activities. These mechanisms will
therefore enable increased production volumes, shortening the timeframe
for removing the organics from the landfill and hence significantly
increase future methane emission avoidance.
The means for providing the financial support to achieve sustainable
solid waste management for the city and improve the health and
environmental conditions around the landfill can be achieved.
local (In total about ¼ page)
environmental benefits
be Name and, if possible, the website location
Local benefits
Improved SWM, reduced environmental impact of landfill, provision
of locally produced compost at an affordable price to local agricultural,
aquaculture and horticulture sectors.
Global benefits
Model for sustainable Landfill management for small cities
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
Socio-economic aspects
(In total about ¼ page)
What social and economic
The overall aim of the project is improvement in MSWM, particularly
effects can be attributed to the final disposal.
project and which would not
 A sustainable waste disposal location will significantly reduce the
have occurred in a comparable
environmental and health impacts on the surrounding communities.
situation without that project?
 The ability to increase collection service within the city will greatly
Explain the relationship between
improve the living environment of the city’s residents.
the project and the benefiting
 Compost sales will provide the municipal government with the
financial ability to self-finance future SWM requirements.
be Name and, if possible, the website location
What are the possible direct
 It is expected that the full operational facility will require a
workforce of approximately 30 people.
 Local production of organic fertiliser will ensure supply and at an
foreign exchange effects)?
affordable price due to reduced transportation costs and price
subsidy due to ER’s
What are the possible other
 Assist in efforts to socialise the benefits of MSWM to the local
effects? For example:
 training/education
 Successful implementation will provide a sustainable MSWM
model for small cities that could be implemented throughout
processes, technologies and
 Assistance in developing recycling/processing of non-organic MSW
products and/or
 the effects of a project on
other industries
A brief description of the relationship of the consistency of the
priorities of the Host Country project with environmental strategy and priorities of the Host
Country (Not more than ¼ page)
The Government of Indonesia is promoting a program of “Go Organics
2010” to assist in increasing the productivity of the agriculture sector and
reducing organic waste. A limiting factor to the success of this program is
the availability, quantity and quality of organic fertilisers to match the
requirement. This project will support this program through the mining of
organics from the landfill and producing an excellent quality compost
product. In addition this project will assist in achieving sustainable solid
waste and environmental management solutions.
C. Finance
Total project cost estimate
Development costs
Installed costs
Other costs – Working
Total project costs
Sources of finance to be
sought or already identified
Debt – Long-term
Debt - Short term
0.125 US$million
Under investigation
Under investigation
To Be Advised
Name of the organizations, status of negotiation and finance (in
xx US$million)
To be determined
Name of the organizations, status of negotiation and finance (in
xx US$million)
Name of the organizations, status of negotiation and finance (in
Project Idea Note
Name of Project: Bekasi Landfill Organic Recovery and Methane Gas Destruction
Date of Submission:
xx US$million)
Not identified
xx US$million
Contribution sought by the
2.0 US$million
2.0 US$million and a brief clarification (not more than 5 lines)
CDCF contribution sought in
upfront payment. (The quantum
 A private sector partner is expected to provide the capital
of upfront payment will depend
investment required for recovery of the Compost Fraction (<
on the assessed risk of the
3mm). Additional capital investment is required for additional
project by the World Bank, and
processing facility for the oversized organic fraction of the
will not exceed 25% of the total
recovered organics,
ER value purchased by the
Capital investment required for landfill gas capture and
World Bank for the project. Any
destruction; flaring and small-scale electricity generation.
upfront payment will be
The current electricity tariff means that this is not a
discounted by a factor
commercial activity as the cost per unit for self generation
considered appropriate by the
from the landfill gas is much greater than that which can be
World Bank for the project.)
purchased from the grid.
 Working capital required for compost price subsidy in the
first 2 years of operations,
Sources of carbon finance
Name of carbon financiers other than the CDCF that your are
(if any)
(subject to negotiation and
financial due diligence)
Total Emission Reduction
Purchase Agreement (ERPA)
A period until 2012 (end of the
first budget period)
A period of 10 years
xx US$
A period of 7 years
xx US$
A period of 14 years (2 * 7
41.0 US$million
The Financial Analysis is currently being developed and will be
If financial analysis is available
forwarded once finalised.
for the proposed CDM activity,
provide the forecast financial
internal rate of return for the
project with and without the CER
revenues. Provide the financial
rate of return at the expected
CER price above and US$3/
tCO2e. DO NOT assume any
up-front payment from the
CDCF in the financial analysis
that includes CDCF revenue
spreadsheet to support these