Advanced Refrigeration CAN - ARS 006C

Audit Analysis

This advanced refrigeration project under ACR has a sound jurisdictional baseline and VVB-confirmed additionality, but the verification report identified seven material findings—including incorrect baseline charge sizes and GWP values—requiring corrective actions. Leakage is set at 0% with an inconsistent justification across documents, and the first-year verified reductions (25,376 tCO2e) represent only about 72% of the pro-rata expectation from the lifetime estimate, raising questions about the robustness of the ex-ante projections.

Project Description

Red Flags

• ⚠Seven material findings in the verification report (2022-03-08), including incorrect baseline default charge sizes, an incorrect baseline refrigerant GWP, and a project emissions calculation that used the baseline charge size instead of the alternative refrigerant charge size
• ⚠Leakage deduction of 0% with justification described as 'deemed negligible' in the PDD but not addressed at all in the validation report (2023-08), leaving the basis for the zero deduction unclear
• ⚠First-year verified reductions of 25,376 tCO2e (verification report, 2022-03-08) are only ~72% of the pro-rata expectation of ~35,123 tCO2e derived from the 351,233 tCO2e lifetime estimate, suggesting potential over-crediting in the ex-ante projection

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