La Joya Hydroelectric Power Plant
La Joya project plant is a small run-of-the-river hydropower plant, located in the Department of Arequipa, Province of Arequipa, in La Joya District.. This Project will use the water source of La Joya channel, from Chili River Technical Management Irrigation District; the purpose is to use the water in energy generation. This hydropower plant will set up at the end of the channel, and would have an install capacity of 9.6 Mw and an annual generation of 69.81 Gwh-year. The energy will be delivering to National Electric Grid System (SEIN).
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Baseline Scenario
Which emissions are the proposed Clean Development Mechanism CDM project displacing? “C.H. La Joya” hydroelectric project is a small CDM project that will displace from the national grid, some thermal power plants that use diesel, residual (bunker), carbon or natural gas as fuel, reducing in this way CO2 emission.
What would the future look like without the proposed CDM project?
The new additions in the future to the grid basically will be thermoelectric plants with natural gas in combined cycle plants replacing most of the other plants with other plants with oils, of all types.
The project will assist the National Grid to keep thermal plants shut and use them only as stand-by power generation, therefore, displacing expensive heavy fuel, diesel, coal and gas fired generation and at the same time; reducing CO2 emissions to the atmosphere by generating energy without GHG emissions.
What would the estimated total greenhouse gas (GHG) reduction be with the project?
According to the most recent version of Appendix B to the simplified M&P for small-scale CDM project activities (“Appendix B”), the type and category of the project activity for The Project is: Type I: Renewable Energy Project . Category D: Renewable electricity generation for a grid. The World Bank Carbon Finance Business applied this methodology to Peru and got a baseline emission factor of 577 tCO2/GWh.
Therefore, the project of C.H. La Joya will displace approximately 40,274 tn CO2 each/year, which otherwise will be emitted by thermal power plants of the national grid.
Current Status
Earliest project start date
June 2007
Estimate of time required before becoming operational
• Time required for financial commitments: 01 months
• Time required for legal matters: 00 months
• Time required for negotiations: 01 months
• Time required for construction: 14 months
What is the project lifetime?
30 years
Current status or phase of the project:
• Feasibility Studies are available
• Concession for water use is given
• Energy concession is available
• The Letter of approval is pending
• Financials are not close
Estimated Emission Reductions
Annual: Since 2007 an average of 40,274 tCO2e
• Up to and including 2012: 201,370 tCO2e
• Up to a period of 10 years: 402,740 tCO2e
• Up to a period of 7 years: 281,918 tCO2e
• Up to a period of 14 years: 563836 tCO2e
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Project Benefits
• The project would create new jobs during construction and operation of the hydropower plant
• Purification and cleaning of water for irrigation.
• Improve the water quality for irrigation, installing a sand and particle removal from water, this can change gravity irrigation practice to droop /pressurize irrigation system and in this way improve the efficient use of water resource and production.
• Enlarge agrarian land frontier in 3000 Ha.
• Availability of low cost electricity will assist local households to improve their quality of life. These projects shall be connected to the grid.
• Part of the revenues of the Project would be use in reforestation of near areas to La Joya town, with endemic species, for a sustainable use of the resource.
Project Participant and Financing
Total project cost estimate:
• Development Cost: US$ 250,000
• Installed Cost: US$ 11,000,000
• Other cost: US$ 200,000
• Total Project Cost: US$ 11,350,000
Sources of finance to be sought or already identified:
• The project developer has US$ 2,000,000 for the equity. The project needs around US$2000, 000 of additional equity to leverage the rest as a loan.
• Carbon finance contribution sought: As much as the project can have in advance.
Contact Information:
| Developer: |
Minera Mochica Gold S.A. |
| CDM promoter: |
National Environmental Fund (FONAM) |
| Name: |
Julia Justo, Claudia Monsalve, Tania Zamora |
| Phone/Fax Numbers: |
(51-1) 449-6200 |
| E-mail: |
jjusto@fonamperu.org / cmonsalve@fonamperu.org
tzamora@fonamperu.org / fonam@fonamperu.org |
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