La Calera Biogas project

Manure is produced in the farm by 3,000,000 hens and collected in a daily basis. It is then mixed with the dead chicken carcasses and introduced in two biodigesters which produce methane gas. This gas is completely burned for giving heat to the young chicken nursery. The amount of manure being actually used is 9 tons per day out of 75 tons produced daily. The possibility of building one or two new biodigesters is latent due to the amount of manure and mainly to the demand of heat which doubles during winter time.

Neither the two already built biodigester nor the next biodigesters are economically feasible because of the high cost of implementation and because of the debts in which the farm incurred for building the two first biodigesters in 1997 and 2003. Reductions will be determined in the near future but it is expected a great amount mainly for the avoidance of CH4 emissions and also for displacing emissions of CO2 from fossil fuels used in the heaters.

Baseline Scenario

Which emissions are the proposed Clean Development Mechanism CDM project displacing?
CO2 coming from fossil gas burned to heat the heaters of the poultry nursery, Methane gas coming from the anaerobic decomposition of animal waste and manure. These emissions are produced by the traditional management of Peruvian chicken farms.
What would the future look like without the proposed CDM project?
For the current project already built: A financial crisis due to the current debt can make the project collapse, increasing again the emission of CO2 and CH4 to the atmosphere.
For the new projects: Revenues coming form the sell of Certified Emission Reductions would be crucial for trigger the investment decision.
What would the estimated total greenhouse gas (GHG) reduction be with the project?
Reductions will be determined in the near future but it is expected a great amount mainly for the avoidance of CH4 emissions and also for displacing emissions of CO2 from fossil fuels used in the heaters.

Current Status

Earliest project start date
Two biodigeter are already built, one in 1997 and the other 2003. The construction of two new biodigesters are under evaluation.
Estimate of time required before becoming operational
Two biodigesters are in operation. The next two biodigesters probably in one year
What is the project lifetime?
Forever
Current status or phase of the project eg: which of the following phases have been completed:
• Two biodigesters have already enter into operation; however the size of the debt is putting on risk the operation of these biodigesters. The new biodigesters are planed to be build once company financial situation will be controlled. In that scenario construction of new biodigesters would last around one year.
• The Calera Farma counts with all authorisations to develop new biodigesters.
• Feasibility studies are pending however the Calera farm has all the required know-how since has in operation to biodigesters.

Estimated Emission Reductions

Annual: to be determined

• Up to and including 2012: to be determined
• Up to a period of 10 years: to be determined
• Up to a period of 7 years: to be determined
• Up to a period of 14 years: to be determined

Project Benefits

• In the social fields, the project gives work to 5 new workers, buses for personnel transport and new lunch places for the total workers of the farm.
• The main economic effect is the reduction in the costs of the production of eggs by reducing the amount of gas to buy, obtaining a lower retail price which benefits million of people in the country.
• Because the cost of implementation of biodigesters is too high, La Calera is the only Peruvian farm using this method of producing gas to burn the heaters This project as well has been seen as a precedent in the country in environmental issues and it is commented and applause by local institutions being used as an example of what can be done in similar industries.
• As an extra output, the solid residual that comes out of the digester at the end of the process is used as top of the line fertilizer. It is being used inside the farm.

Project Participant and Financing

Total project cost estimate:
• Machinery and equipment: – – –
• Working Capital: – – –
• Total project costs: US$ 400,000

Sources of finance to be sought or already identified:
• Equity: – – –
• Debt : – – –
• Carbon finance contribution sought: As much as we can have in advance.

Contact Information: