Tool to calculate the emission factor for an

electricity system (Grid Tool)

Training Workshop and Public Consultation on Developing Standardized Baseline-

Grid Emission Factor

SDM Programme
Agenda
1. What is the Grid Emission Factor (GEF)
2. Use of GEF
3. Concept of the ‘Grid Tool’
4. Operating Margin EF
5. Build Margin EF
6. Combined Margin EF
7. Application of the Grid Tool
8. References

2
What is the Grid Emission Factor (GEF)

SDM Programme
What is the Grid emission factor (GEF) ?

 Represents baseline emission intensity ( tCO2/MWh) of an

electricity system (grid)
Baseline

 Determines baseline emissions of a project:

 supplies electricity to a grid - renewable energy

 results in savings of grid electricity - energy efficiency

4
 Use of GEF

SDM Programme
Use of GEF

1. Design: energy planning

2. Develop: implementation of energy plans
3. Analyze: are national targets met?
4. Evaluate: are we on the right path? (NDC cycle)

Analysis (4) based on:

 Grid emission factor
 GHG emissions per sector
 GHG emissions per capita

6
Use of GEF

Baseline
 Mandatory application - CDM project activities and PoA

 Voluntary used by some IFIs - Climate (Carbon) Finance

 Voluntary in Nationally Appropriate Mitigation Actions (NAMAs)

7
Concept of the Grid Tool

SDM Programme
 Concept of the Grid Tool

 Project mitigation effect (emission reductions) –

displacement or avoidance:
Baseline

 Operating Margin EF - existing power plants electricity

generation

 Build Margin EF - Construction of prospective power

plants

9
Concept of the Grid Tool

Operating Margin EF (OM) Build Margin EF (BM)

Combined Margin EF (CM)

10
Operating Margin EF

SDM Programme
Methods to determine Operating Margin
Depending upon grid composition and data availability:

1. Dispatch Analysis OM

2. Simple Adjusted OM

3. Simple OM

4. Average OM

12
 Average OM

SDM Programme
Operating Margin: Average OM

 Average emission rate of all power plants serving the grid

 Data required:
1. Annual power generation by each power plant or aggregated
2. Annual fuel consumption by each power plant or aggregated
3. Fuel type and technology

14
 Build Margin

SDM Programme
Build Margin

Build Margin represents cohort of power plants that would have

beenBaseline
built

Cohort consists of:

 Five recently built power plants or

 Recently built power plants that supplied 20 per cent of
generation in the last year

16
Build Margin

Data required:
1.Baseline
Date of commissioning

2. Annual power generation by each power plant

3. Annual fuel consumption by each power plant or
4. Fuel type and technology

17
Combined Margin

SDM Programme
 Combined Margin EF

Operating Margin EF (OM) Build Margin EF (BM)

Combined Margin EF (CM)

CM = w x OM + y x BM ( w +y =100%)

w = 75% and y= 25% (Wind & Solar)

w = 50% and y= 50% (Other projects - hydro, fossil fuel)

19
Application of the grid tool

SDM Programme
 Application of the grid tool

Step 1: Identify the relevant electricity systems

Step 2: Choose whether to include off-grid power plants in the project

electricity system

Step 3: Select a method to determine the operating margin (OM)

Step 4: Calculate OM emission factor according to the selected method

Step 5: Calculate the build margin (BM) emission factor

Step 6: Calculate the combined margin (CM) emission factor

Application of the grid tool
Step 4: Calculate the operating margin emission factor according to
the selected method

Electricity generated
by power plant m
Emission factor of
power plant m

𝑚 𝐸𝐺𝑚,𝑦 × 𝐸𝐹𝐸𝐿,𝑚,𝑦
𝐸𝐹𝑔𝑟𝑖𝑑 =
𝑚 𝐸𝐺𝑚,𝑦
OM Emission factor
of the grid

Total electricity
generated by the grid

22
Application of the grid tool
Step 4: Calculate the operating margin emission factor according to
the selected method

Fuel consumption of
Net calorific value of Emission factor of
power plant m
fuel i fuel

𝑖 𝐹𝐶𝑖,𝑚,𝑦 × 𝑁𝐶𝑉𝑖,𝑦 × 𝐸𝐹𝐶𝑂2,𝑖,𝑦

𝐸𝐹𝐸𝐿,𝑚,𝑦 =
𝐸𝐺𝑚,𝑦

Emission factor of
power plant m

23
Application of the grid tool
Step 4: Calculate the operating margin emission factor according to
the selected method

Emission factor of Conversion

fuel MWh ->GJ

𝐸𝐹𝑐𝑜2,𝑚,𝑖,𝑦 × 3.6
𝐸𝐹𝐸𝐿,𝑚,𝑦 =
𝜂𝑚,𝑦
Emission factor of
power plant m
Efficiency of
technology

24
 References

SDM Programme
References
Tool to calculate the emission factor for an electricity system:
https://cdm.unfccc.int/methodologies/PAmethodologies/tools/am-tool-
07-v5.0.pdf/history_view

NDC registry: http://unfccc.int/focus/ndc_registry/items/9433.php

Standardized baselines (GEF approved by UNFCCC):

https://cdm.unfccc.int/methodologies/standard_base/index.html

CDM projects database: https://cdm.unfccc.int/Projects/projsearch.html

Institute for Global Environmental Strategies. List of GEFs:

https://pub.iges.or.jp/pub/list-grid-emission-factor

NAMA registry:
http://unfccc.int/cooperation_support/nama/items/7476.php

IPCC Guidelines for National Greenhouse Gas Inventories:

http://www.ipcc-nggip.iges.or.jp/public/2006gl/index.html
Approaches to determine emission factor
for Off-grid/Isolated system

SDM Programme
 Extra slides

SDM Programme
Dispatch Analysis OM

SDM Programme
Chronological representation of Load

30
Operating Margin: Dispatch data analysis OM
Emission factor of the grid power units that are at the
margin during each hour
Baseline

31
Operating Margin: Dispatch data analysis OM
3000

Gas turbine
2500

Baseline
Diesel
2000
Fuel Oil
Load (MW)

1500
CCGT
1000
Coal
500

Hydro
Solar+Wind
1800 2000
Hours of the Day

32
Operating Margin: Dispatch data analysis OM

Baseline
Wind displaces Gas turbine

Hourly emission factor = EF of Gas Turbine

Data required:
1. hourly power generation of each power plant
2. hourly fuel consumption of each power plant

33
Load Duration Curve in the context of Grid Tool

Construct LDC: Arranging the load in descending order

3500

3000

2500

Load (D), MW
2000

1500

1000

500 Duration, Hours

0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18
LDC- in the context of the grid tool

Baseline

Low cost must run units: RETs, CHP with low marginal cost of electricity gen.

35
LDC and Dispatch data analysis
 Emission factor is determined based on the grid power units that are
actually dispatched at the margin during each hour
Example: Typical LDC with merit order dispatch
Here,
Baseline
Coal and
Hydro are
not on the
margin

Note: Only applicable to grid system with merit order dispatch

36
37
Simple Adjusted OM

SDM Programme
Operating Margin: Simple Adjusted OM

Emission factor based on share and EF of:

1. low cost/must run (LCMR) generation
Baseline

2. Load following generation (other)

𝐸𝐹𝑔𝑟𝑖𝑑 = 1 − 𝜆𝑦 × 𝐸𝐹𝑜𝑡ℎ𝑒𝑟 + 𝜆𝑦 × 𝐸𝐹𝐿𝐶𝑀𝑅

𝑥
=
8760
X – electricity demand met by LCMR only (hours)

39
Operating Margin: Simple Adjusted OM

1st hour

Step i: Draw load duration curve

Baseline
MW
Max hourly load

8760th hour

Min Hourly load

0 Hours 8760

40
Operating Margin: Simple Adjusted OM

Step i: Draw load duration curve

Baseline
Intersection
Step iii: Fill Curve with Low-
Cost/Must-Run Generation point
𝑥
MW

(MWh)
Max hourly load

=
8760

Min Hourly load

Area = ΣkEGk,y Step iv: Determine the
number of hours for which
low-cost/must-run sources
X hours
are on the margin (X)

0 Hours 8760

𝐸𝐹𝑔𝑟𝑖𝑑 = 1 − 𝜆𝑦 × 𝐸𝐹𝑜𝑡ℎ𝑒𝑟 + 𝜆𝑦 × 𝐸𝐹𝐿𝐶𝑀𝑅

41
Operating Margin: Simple Adjusted OM

Data required:
Baseline

1. Hourly load of the grid

2. Annual power generation by each power plant
3. Annual fuel consumption by each power plant or
4. Fuel type and technology

42
 Simple OM

SDM Programme
Operating Margin: Simple OM
Simplified case of simple adjusted OM

Baseline

𝐸𝐹𝑔𝑟𝑖𝑑 = 1 − 𝜆𝑦 × 𝐸𝐹𝑜𝑡ℎ𝑒𝑟 + 𝜆𝑦 × 𝐸𝐹𝐿𝐶𝑀𝑅 𝝀𝒚 = 𝟎

44
Operating Margin: Simple OM

 Share of low cost/must run

(LCMR) generation < 50%
Baseline
or
 The average LCMR load
(MW) less then lowest annual
system load

LCMR generation can be excluded from GEF determination

45
Operating Margin: Simple OM

Data required:

1. Annual power generation by each power plant or aggregated

2. Annual fuel consumption by each power plant or aggregated
3. Fuel type and technology
4. Annual total power generation over the last 5 years
5. Annual total power generation by LCMR over the last 5 years

46
Recap: Which OM methods to use When

NO
Annual data from
each power plant
on power LCMR share <50% in
yes YES Simple OM
generation, fuel recent 5 years
type and fuel
consumption
NO

YES
Hourly loads of LCMR < LASL over
NO
the grid available three years

Annual aggregated data

from the grid on power
NO LASL > 1/3 HASL NO
generation, fuel type and
YES fuel consumption

Simple
YES Average OM
adjusted OM

47
 Application of the grid tool
Step 1: Identifying the relevant
electricity systems:

1. Project electricity system

2. Connected electricity systems

3. Transmission constraints
between project and
connected systems

Source: Global Energy Network Institute

48
 Application of the grid tool
Step 2: Choose whether to include off-grid power plants in the project
electricity system

 Off-grid power plant/unit - supplies electricity to specific consumers

through a power line not used by any other power plants (back-up unit
for emergencies, e.g. blackouts)

 specific consumers are connected to the grid

 If ‘off-grid’ included :

 Off-grid units are identified through survey

or if in LDC/SIDSs

 Simplified procedure applies

49
 Application of the grid tool
Step 3: Select a method to determine the operating margin (OM)

Hourly data from each

power plant on power
Dispatch data analysis
generation and fuel
OM
type and fuel
consumption

50
 Application of the grid tool
Step 3: Select a method to determine the operating margin (OM)
NO
Annual data from
each power plant
on power LCMR share <50% in
yes YES Simple OM
generation, fuel recent 5 years
type and fuel
consumption
NO

YES
Hourly loads of LCMR < LASL over
NO
the grid available three years

Annual aggregated data

from the grid on power
NO LASL > 1/3 HASL NO
generation, fuel type and
YES fuel consumption

Simple
YES Average OM
adjusted OM

51
Application of the grid tool
Step 4: Calculate the operating margin emission factor according to
the selected method

Electricity generated
by power plant m
Emission factor of
power plant m

𝑚 𝐸𝐺𝑚,𝑦 × 𝐸𝐹𝐸𝐿,𝑚,𝑦
𝐸𝐹𝑔𝑟𝑖𝑑 =
𝑚 𝐸𝐺𝑚,𝑦
OM Emission factor
of the grid

Total electricity
generated by the grid

52
Application of the grid tool
Step 4: Calculate the operating margin emission factor according to
the selected method

Fuel consumption of
Net calorific value of Emission factor of
power plant m
fuel i fuel

𝑖 𝐹𝐶𝑖,𝑚,𝑦 × 𝑁𝐶𝑉𝑖,𝑦 × 𝐸𝐹𝐶𝑂2,𝑖,𝑦

𝐸𝐹𝐸𝐿,𝑚,𝑦 =
𝐸𝐺𝑚,𝑦

Emission factor of
power plant m

53
Application of the grid tool
Step 4: Calculate the operating margin emission factor according to
the selected method

Emission factor of Conversion

fuel MWh ->GJ

𝐸𝐹𝑐𝑜2,𝑚,𝑖,𝑦 × 3.6
𝐸𝐹𝐸𝐿,𝑚,𝑦 =
𝜂𝑚,𝑦
Emission factor of
power plant m
Efficiency of
technology

54
Application of the grid tool
Step 4: Calculate the operating margin emission factor according to
the selected method

Data vintage:

1. Ex ante option - 3-year generation-weighted average

2. Ex post option – EF updated annually

 Simple OM, Simple Adjusted OM, Average OM – any data

vintage

 Dispatch data analysis OM – ex post

55
Application of the grid tool
Step 5: Calculate the build margin (BM) emission factor

56
Application of the grid tool
Step 5: Calculate the build margin (BM) emission factor

57
Application of the grid tool
Step 6: Calculating the combined margin (CM) emission factor
 Application of the grid tool
Step 6: Calculating the combined margin (CM) emission factor

Operating Margin EF (OM) Build Margin EF (BM)

Combined Margin EF (CM)

CM = w x OM + y x BM ( w +y =100%)

w = 75% and y= 25% (Wind & Solar)

w = 50% and y= 50% (Other projects - hydro, fossil fuel)

59
Simplified Options

SDM Programme
 Simplified Options
Off-grid power plants (Captive)

Project located in
NO
LDC/SIDS

YES
Is
the total capacity of off-grid
≥ 10 % of the total capacity of
grid?
Yes NO

Use the default emission factor Off-grid plants cannot be

(0.8 tCo2/MWh) YES included

Use appendix 2

61
 Simplified Options
Simple Adjusted OM

Load
𝑥  If LCMR <50%, then 𝜆𝑦 =0
=
8760  50%< LCMR< 100% 𝜆𝑦 = default values

 If LCMR = 100%, then 𝜆𝑦 =1

Load Following Generation

Y’

LCMR = 50%

Hours

Condition:

If Min load= 33% of Max load over 5 years

62
 Simplified Options
Simplified Combined Margin EF

• Conditions:

• Data for BM is not available

• RE share ≤ 20%

• Use Default BM EF depends on availability of NG

• BM = 0.326 tCO2/MWh (no NG used), else
• BM = 0.568 tCO2/MWh

• Determine Simplified CM = w x OM + y x BM ( w +y =100%)

w = 75% and y= 25% (Wind & Solar); w = 50% and y= 50% (Other
projects - hydro, fossil fuel

63
 Simplified Options

Simplified Combined Margin EF

• Conditions:

• Data for BM is not available

• RE share ≥ 20%

• Apply default BM EF = 0

• Determine Simplified CM = w x OM + y x BM ( w +y =100%)

w = 75% and y= 25% (Wind & Solar); w = 50% and y= 50%
(Other projects - hydro, fossil fuel

64
 Simplified Options
Simplified Combined Margin EF [LDCs/SIDS/ URCs]
* URC: Countries < 10 registered CDM projects

• Conditions:

• Data for BM is not available

• If LDCs/SIDS/ URCs

• Apply weight for BM= 0

• Determine Simplified CM = w x OM + y x BM ( w +y =100%)

• w = 100% and y= 0%

• OM = Average OM

65
 QUIZ

1. Go to menti.com
2. Type Code ….

SDM Programme
Data requirements

SDM Programme
KEY DATA REQUIREMENTS TO DETERMINE GEF

Simple
Dispatch Simple Average Build
adjusted
data OM OM OM margin
OM

Power generation per plant   

Power generation  
aggregated
Fuel consumption per plant   
Fuel type and technology   
Fuel consumption  
aggregated
Hourly power generation 
and fuel consumption per
plant
Hourly load of the grid 
Date of commissioning of 
power plants/units

68
 Data requirements

Electricity generation (MWh)

 Net electricity generation by power plant provided by utility, or

government, other official publication

 Hourly values (dispatch analysis OM)

 One or three most recent year (Simple OM, Simple adjusted OM,
Build Margin)

69
 Data requirements

Fuel consumption (mass or volume unit)

 Fuel consumed by power plant provided by utility, or government,

other official publication

 Hourly values (dispatch analysis OM)

 One or three most recent year (Simple OM, Simple adjusted OM,
Build Margin)

70
 Data requirements

Net calorific value (GJ/mass or volume unit)

Source:

 Fuel supplier

 Regional or national average values

 IPCC default values (Table 1.2 of Chapter 1 of Vol. 2 (Energy) of

the 2006 IPCC Guidelines on National GHG Inventories)

71
 Data requirements

CO2 emission factor of fuel (GJ/mass or volume unit)

Source:

 Fuel supplier

 Regional or national average values

 IPCC default values (table 1.4 of Chapter1 of Vol. 2 (Energy) of

the 2006 IPCC Guidelines on National GHG Inventories)

72
 QUIZ

1. Go to menti.com
2. Type Code ….

SDM Programme
Recurring issues on development of grid
emission factor

SDM Programme
 Common Issues

 Delineation of the power system

 Transmission constraints not always being checked properly
 Shared energy resources (e.g., hydro)
 Name convention for power units is not consistent
 Co-generation units
 Fuel consumption is not allocated. Leads to enormously high EF
 Fuel properties
 Sources are not recorded
 Units are not properly converted
Data quality issues and QA/QC aspects

SDM Programme
77
Key lessons learned on quality control/quality assurance of data

• No assessment report: No assessment report required for the SBs where

no data collection/processing required (e.g. LFG destruction SBs).
• Data templates: Very important for DNA to get converse with. This decides
the quality of data collected.
• Stakeholder consultation and transparency: There can be various means
adopted for this including direct meetings, inviting written comments,
communication through DNA webpage etc.
• QA/QC system: Although recommended to be available in documented
form, minimum requirement is that DNA should be able to justify the
adherence to quality objectives of QA/QC guideline.
• QC report: QC report is the key for DNA to explain how they comply with
QA/QC objectives.

78
 Examples

SDM Programme
Examples

Country Status Combined

margin EF
(tCO2/MWh)
Belize approved 0.1521
The Dominican Republic approved 0.4887
Grenada, Grenada approved 0.634
Grenada, Carriacou approved 0.675
Grenada, Petit Martinique approved 0.890
St Lucia WIP
Antigua and Barbuda WIP
St Vincent and Grenadines WIP
Haiti WIP
 Examples
Grenada. Data
 Three islands
o Grenada
o Carriacou
o Petit Martinique
 Three isolated grids
 One diesel per island
 Fuel consumption
 Electricity generation
 Commissioning dates not available
 Examples

Grenada. Analysis

 Delineation of the system: Three islands – three GEFs

 Method for OM:
o One power plant - dispatch analysis OM not applicable
o No RE – LCMR =0%
o Simple OM or Average OM applies
 Data for BM not available
 Country status - SIDS: simplified option for CM applies
 Examples

Grenada. Application

NCV fuel EFCO2, diesel EFEL, Queen's Park, y

Electricity Fuel
Electric (TJ/Gg) (tCO2e/TJ) (tCO2e/MWh)
Generated consumed OM 2010-2012
Power Plant m System Year (GWh) (Gg) Fuel type
(average)
(Island)
A B
C D E=BxCxD/A

2010 193.4737 40.23 Diesel 42.60 72.60 120,909

Queen's Park 42.28 72.60
Grenada 2011 188.8839 39.05 Diesel 117,359 0.634
Power Plant
2012 185.3488 37.53 Diesel 42.40 72.60 112,799

OM EF = 0.634 tCO2/MWh

Simplified CM = 100%*OM EF+0% * BM EF = 0.634 tCO2/MWh

 Examples
West African Power Pool. Data
 Examples
West African Power Pool. Data
 Examples
West African Power Pool. Data
 Examples
West African Power Pool. Application

Ivory Coast Niger Mali Senegal Burkina Faso Benin & Togo
line condition line condition line condition line condition line condition line condition
of 10% of 10% of 10% of 10% of 10% of 10%
capacity from the capacity from the capacity from the capacity from the capacity from the capacity from the
tool tool tool tool tool tool
MW in 2012 (MW) (Y/NO) (MW) (Y/NO) (MW) (Y/NO) (MW) (Y/NO) (MW) (Y/NO) (MW) (Y/NO)
Nigeria 5507.00 169 Y 686 Y
Ghana 550.00 327 Y 300 Y
Ivory Coast 1421.00 327 Y 327 Y
Burkina Faso 173.75 637 Y
Benin 0.00
Niger 61.31
Mali 417.45 100 Y
Senegal 585.10
Togo 146.38
Benin & Togo 109.00
 Examples
West African Power Pool. Application
 Examples
West African Power Pool. Application

2009 2010 2011 2012 2013 AVG

Total WAPP 32,308,569 37,511,738 40,325,218 43,815,473 43,456,615 39,483,523
LCMR (GWh) 10,918,990 10,310,250 9,819,152 9,647,729 9,124,477 9,964,119
Share of LCMR (%) 33.80% 27.49% 24.35% 22.02% 21.00% 25.24%

5yr average Low cost / must run: 25.24% Simple OM Possible? YES
 Examples
West African Power Pool. Application
213 power plants/units for 2013

Years 2011 2012 2013 Period 2011-2013

WAPP Connected Total Yearly
Energy Production for OM 30,506,066 34,167,745 34,332,138 99,005,949
WAPP Connected Total Yearly
emissions for OM (tCO2) 17,031,115 19,233,002 19,105,598 55,369,714
WAPP Connected Year Specific
Operating Margin (Simple OM) 0.5583 0.5629 0.5565
WAPP Connected Yearly Share of
generation 2010-2013 30.81% 34.51% 34.68% 100.00%
Weighted Simple OM 0.5593
 Examples
West African Power Pool. Application

Total Generation 39,072,991

SET 5 units SET 20%

2013
Total Power generation for BM (MWh) 2,099,784 7,957,852
Emissions for BM (tCO2) 792,914 4,494,026

0.3776 0.5647
Build Margin excl. off-grid

BM (tCO2/MWh) 0.5647
 Examples
West African Power Pool. Application

1st crediting period

Project types
OM BM CM Wom Wbm
Solar and Wind power project 0.5593 0.5647 0.561 0.75 0.25
Other renewables 0.5593 0.5647 0.562 0.5 0.5
Other projects 0.5593 0.5647 0.562 0.5 0.5

2nd or 3rd crediting period

Project types
OM BM CM Wom Wbm
Solar and Wind power project 0.5593 0.5647 0.561 0.75 0.25
Other renewables 0.5593 0.5647 0.563 0.25 0.75
Other projects 0.5593 0.5647 0.563 0.25 0.75