Expansion Project of Sanjiangkou Hydro-electric Power Station in the reach of Supa River, Yunnan province, China

Audit Analysis

A CDM hydro expansion project in Yunnan, China, with VVB-confirmed additionality and a reasonable negligible-leakage claim, but undermined by a heavy list of material findings (IRR errors, emission-factor miscalculations, outdated baseline data) and four cross-document contradictions on grid emission factor, total ERR, baseline method, and crediting period. The project's integrity is further weakened by the absence of a verified ERR figure and the lack of any buffer or permanence mechanism beyond the inherent avoidance nature of hydro.

Project Description

Red Flags

• ⚠Twelve corrective actions were required during verification, including errors in IRR/NPV calculations, emission-factor miscalculations, and use of outdated baseline data in the PDD
• ⚠Total ERR differs by roughly 14% between two monitoring reports (82,812 vs 94,879 tCO₂e), with no verified ERR figure available to resolve the discrepancy
• ⚠Baseline method is described as 'project' in the 2012 monitoring report but 'jurisdictional' in the 2009 validation report, creating ambiguity about the reference case
• ⚠Grid emission factor of 0.77835 tCO₂/MWh is based on 2006 data, and an older value of 0.7 appears in an undated document, raising questions about baseline currency

Credit Vintages