Advanced Refrigeration CAN - ARS 002C

Audit Analysis

This ACR refrigeration project (replacing high-GWP refrigerants with lower-GWP alternatives) has VVB-confirmed additionality and an inherently sound project design, but the verification report identified 11 material findings including incorrect GWP values, wrong baseline charge sizes, and a missing boundary element (SSR 7). The verified ERR of 1,000,000 tCO2e over a 3-year monitoring period represents 371% of the pro-rata expectation derived from the 1,077,179 tCO2e lifetime ex-ante estimate, raising serious over-crediting concerns. Leakage is deducted at 0% with contradictory justifications across documents.

Project Description

Red Flags

• ⚠Verified ERR of 1,000,000 tCO2e over 3 years is 371% of the pro-rata expectation (269,295 tCO2e) derived from the 1,077,179 tCO2e lifetime ex-ante estimate over 12 years — a ratio that is very difficult to reconcile
• ⚠The verification report (April 2021) lists 11 material findings including an incorrect GWP applied to R-290, wrong baseline charge sizes, and SSR 7 (Equipment Disposal) excluded from the project boundary — all of which directly affect the accuracy of the claimed ERR
• ⚠Leakage justification is contradictory: the validation report (April 2021) states it was 'not addressed' while the PDD (February 2021) claims it was 'deemed negligible', with a 0% deduction applied
• ⚠The verification report references registry codes ACR479, ACR480, and ACR526 in its findings, which differ from this project's code ACR-529, suggesting possible cross-project data contamination or a multi-project verification scope that is not clearly delineated

Credit Vintages Exhausted