Following is the Frequently Asked Question About Clean Development Mechanism :
Q. 1. What is CDM?
Ans. CDM means Clean Development Mechanism. In 1997 Quoto Protocol was signed by most of the countries of the world. This was for saving earth from global warming. The projects or companies who are reducing pollution can get benefit of carbon credit. e.g. biodisel plants, solar energy plants, wind energy plants, biomass- co-generation plants, etc.
Q. 2. How much carbon dioxide is reduced by using Bio Diesel?
Ans. One ltr of Bio Diesel reduces 3 kg. of carbon dioxide.
Q. 3. How much CER will be generated by 30 TPD plant?
Ans. 30 TPD plant can generate approximately 25000 CER/annum. This will fetch @ 1.70 to 2 crore per annum for next 21 years. This can be considered as an extra bonus by producing Bio Diesel. To get this benefit, plant must have minimum capacity 30 TPD & above and it should be Continuous processing technology for production of biodiesel.
Q. 4. What is the meaning of CER and what is the current rate of CER?
Ans. CER stands for Certified Emission Reductions. In simple words, One CER may be defined as the absorption of 1 tone of carbon dioxide from atmosphere or non-emission of 1 tonne of carbon dioxide to atmosphere. The present rate per CER is @ 10 Euro. Yet USA has not signed Quoto Protocol. After USA signs, rate of CER is expected to rise very high.
Q. 5. What is the meaning of Potential CDM project?
Ans. Any project which has in-built potential for either absorption of carbon from atmosphere or non-emission of carbon into atmosphere is called potential CDM project. Government of India has opened a special department under ministry of power for promoting Indian industry to exploit the benefits of the CDM market. Leading nationalized and private Banks also prefer as priority lending for potential CDM projects. CDM benefits are considered as co-lateral security.
Q. 6. What is the procedure to get CDM benefits?
Ans. It is very complex process. There are various steps and procedures. Large documentation and audit is required for the same. There are CDM consulting agencies which support and carry all the processing work of CDM from registering till you get final CDM benefits credited to your account e.g. Ernest & Young, TUV, BVQI, DNV, MITCON, etc.
|
