Quimob�sicos HFC Recovery and Decomposition Project by 61Q2i5E

VIEWS: 4 PAGES: 58

									                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                  page 1




                         CLEAN DEVELOPMENT MECHANISM
                     PROJECT DESIGN DOCUMENT FORM (CDM-PDD)
                          Version 02 - in effect as of: 1 July 2004)

                                                  CONTENTS

         A.       General description of project activity

         B.       Application of a baseline methodology

         C.       Duration of the project activity / Crediting period

         D.       Application of a monitoring methodology and plan

         E.       Estimation of GHG emissions by sources

         F.       Environmental impacts

         G.       Stakeholders’ comments


                                                     Annexes

         Annex 1: Contact information on participants in the project activity

         Annex 2: Information regarding public funding

         Annex 3: Baseline information

         Annex 4: Monitoring plan

         Annex 5: Letter of Approval by Mexican DNA




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                  page 2




SECTION A. General description of project activity


A.1      Title of the project activity:


Quimobásicos HFC Recovery and Decomposition Project
Version 1.0
July 2005


A.2.     Description of the project activity:


The project activity primarily aims at reducing HFC 23 emissions by recovering this gas that currently
is released to the atmosphere, funded through the sale of carbon credits in the context of the Clean
Development Mechanism (CDM) of the Kyoto Protocol.
HFC 23 (CHF3) is a by-product from HCFC 22 (CHClF2) production. It is of low toxicity but it is a
powerful greenhouse gas (GHG), with a large global warming potential (GWP=11,700, as agreed on
for the First Commitment Period of the Kyoto Protocol.1).
Emissions of HFCs will be controlled under the Kyoto Protocol. There are however no national or
regional regulations with restrictions on the emission of HFC 23 in Mexico. There are in fact no
governmental regulations with quantified emission limitations in any non-Annex I country at this
point. At present, most of the HFC 23 generated as a by-product of HCFC 22 production in Mexico is
released to the atmosphere.
Quimobásicos S.A. de C.V. will lead this project that involves the collection of the HFC 23 generated
as a by-product of HCFC 22 production at its plant located in Monterrey, Mexico. The waste gas will
be captured and condensed using liquid nitrogen as cooling media. Finally, it will be re-gasified and
transported to an EPA regulated incineration facility located in the United States of America, in which
the gas will be decomposed by thermal oxidation.
Quimobásicos S.A. de C.V. is an affiliated company of Grupo Cydsa, a Mexican conglomerate, legally
constituted in 1961. It produces gases for refrigeration, propellants, foaming agents, and other
applications and commercializes them in the Mexican, Latin America, North American and Asian
markets. Quimobásicos is a joint venture between Cydsa (51%) and Honeywell Inc. (49%) of the
United States of America. Honeywell is a diversified technology and manufacturing leader of
aerospace products and services; control technologies for buildings, homes and industry; automotive
products; power generation systems; specialty chemicals; fibers; plastics and advanced materials.
Currently, Quimobásicos S.A. de C.V. is the only one in Mexico that produces CFCs and HCFC 22. It
also commercializes non-ozone-depleting refrigerants and blends.

1
  Article 5.3 of the Kyoto Protocol establishes: “The global warming potentials used to calculate the carbon
dioxide equivalence of anthropogenic emissions by sources and removals by sinks of greenhouse gases listed in
Annex A shall be those accepted by the Intergovernmental Panel on Climate Change and agreed upon by the
Conference of the Parties at its third session. Based on the work of, inter alia, the Intergovernmental Panel on
Climate Change and advice provided by the Subsidiary Body for Scientific and Technological Advice, the
Conference of the Parties serving as the meeting of the Parties to this Protocol shall regularly review and, as
appropriate, revise the global warming potential of each such greenhouse gas, taking fully into account any
relevant decisions by the Conference of the Parties. Any revision to a global warming potential shall apply only
to commitments under Article 3 in respect of any commitment period adopted subsequent to that revision.”



This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                   page 3

HFC 23 is an inevitable by-product of the HCFC 22 manufacturing process. HFC 23 is typically
generated at a very small mass ratio of the HCFC 22 production. A mass ratio of 2.44% is used for this
project in order to have an ex-ante estimation of emission reductions. Actual HFC 23 decomposed
along the crediting period will be measured within the monitoring plan.
It is expected to generate 6,727 tonnes of HFC 23 at the plant of Quimobásicos in the whole crediting
period. In the absence of the proposed CDM project this gas would be released to the atmosphere. By
recovering and destroying the HFC 23, the project has the capacity to produce 78,700,127 tonnes of
CO2-equivalent emission reductions over a 21-year time frame.
In this project, Quimobásicos will install equipment for cryogenic condensation to the currently
operating HCFC 22 manufacturing plant by transferring new technology that is not currently used by
the refrigerant gas industry in Mexico. This technology transfer will contribute to the reduction of
GHG emissions, which would otherwise be released to the atmosphere if the project were not
implemented.
The acquisition of this technology will contribute to sustainable development by giving economic
benefits (CER related revenue) and technical benefits (technology transfer) to Mexico, beyond those
related to climate change mitigation. It is in accordance with the State Development Plan of Nuevo
León, which promotes the development and use of new technologies to preserve the environment.
The project has the written approval of Mexican DNA (Comité Mexicano para Proyectos de
Emisiones y de Captura de Gases de Efecto Invernadero) for voluntary participation, confirming that
the project supports sustainable development (see Annex 5).


A.3.     Project participants:

                                            Table 1: Project participants

               Name of Party                                                                Project
                                                 Private or public entity
                 involved                                                                 participant
            Mexico (Host)         Quimobásicos S.A. de C.V.: Private                     Yes
            The Netherlands       Honeywell Fluorine Products Europe B.V.: Private Yes
                                  To be confirmed



See Contact Information in Annex 1.


A.4.     Technical description of the project activity:


         A.4.1. Location of the project activity:


                  A.4.1.1.           Host Party(ies):


United Mexican States


                  A.4.1.2.           Region/State/Province etc.:


State of Nuevo León


This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                  page 4



                  A.4.1.3.           City/Town/Community etc:


Municipality of Monterrey


                A.4.1.4.        Detail of physical location, including information allowing the
unique identification of this project activity (maximum one page):


The project is going to be developed at the Quimobásicos plant, located in the Municipality of
Monterrey, in the northeast of Mexico (Figure 1).
Monterrey is the capital of the State of Nuevo León. Nuevo León has 3.8 million inhabitants (Census
2000), and has an area of 64,210 km2, representing the 3.3% of the national territory. Nuevo León
includes 51 municipalities, and its limits are Coahuila in the North, San Luis Potosí and Tamaulipas in
the South, Coahuila, San Luis Potosí, and Zacatecas in the West, and Tamaulipas in the East (Figure
2).
Monterrey was founded in 1596, and is the third largest city in Mexico. It is considered the
technological and industrial capital of the country (Figure 3).




Figure 1: Map of Mexico




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                  page 5




              Figure 2: Map of Nuevo León State




              Figure 3: Map of Monterrey Municipality                    Quimobásicos Plant




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                           PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

       CDM – Executive Board                                                                                      page 6




                  A.4.2. Category(ies) of project activity:


       The project is mainly categorized in Category 11: “Fugitive emissions from production and
       consumption of halocarbons and sulphur hexafluoride” in the scope of the project activities listed
       in the Sectoral Scope for accreditation of operational entities.
       The methodology AM0001, applied to this project, is within this category 11.


                  A.4.3. Technology to be employed by the project activity:


       The main reaction in the HCFC 22 production is:


             6 HF + 3 CHCl3            CHCl2F (=HCFC 21) + CHClF2 (=HCFC 22) + CHF3 (=HFC 23) + 6 HCl


       In the HCFC 22 manufacturing process (Figure 4), HFC 23 is inevitably generated as a by-product.2


                                                           Water
                                                                            NaOH       NaOH          H2SO4
G 22 Plant                   Catalyst Separation Tower

 Tank HF
                                                                                                                           Fog Tower




                                                         HCl Absorption
                                                             Tower
                                                                              Alkaline Towers        Acid Tower


                   REACTOR
                              From G 21
                           Separation Column
Tank CHCl3
                                                   Tank HCl 30%

                                                                                                                   G-22


                             Vent
                                                                   To Fog           G-21/ G-         G-21/           To Reactor
                                                                   Tower               22            CHCl3
                                             G-22/ G-
                                                23
                                                                                       Distillation Towers
                                            Scavengers


           Figure 4: HCFC 22 production process at Quimobásicos’ plant



       2
           In Quimobásicos’ plant HCFC 22 and HFC 23 are called G 22 and G 23, respectively.


       This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                 PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

           CDM – Executive Board                                                                                  page 7

           There is no Mexican governmental regulation on the production of HCFC 22 allowed and on the
           quantities of HFC 23 that may be emitted to the atmosphere; so all of this HFC 23 has historically
           been emitted to the atmosphere.
           In this project, the waste gas containing HFC 23 will be captured and condensed to separate the
           fluorocarbon portion from the waste gas stream (other components being non-condensable gases from
           air). Then it will be re-gasified, and transported to an incineration plant in which HFC 23 will be
           completely decomposed by thermal oxidation.
           The reduction in GHG emissions will be verified through measuring the amounts of HFC 23
           decomposed that would otherwise have been emitted to the atmosphere if this project were not
           implemented.


           Waste gas condensation


           In this project, the company Quimobásicos will install equipment for cryogenic condensation of the
           waste gas vent stream containing the HFC 23 to the currently operating HCFC 22 manufacturing plant.
           Figure 5 shows the liquid Nitrogen condensation system that will be installed at Quimobásicos’ plant
           to capture the waste gas containing HFC 23.

                                                                                                                         Effluent Outlet


                                                                       Condenser
                                                                                                    Condenser



                                                                                                                           Liquid Nitrogen




                                                                                                                         Gas Nitrogen




                                            N2 Gas
                                                             Precooler



Effluent Inlet
                                                     Collection Tank                                                       Recovered G23
                                                                                                                           and G22




                                                                          Transfer Pump   Heater


                 Figure 5: Condensate operation




           This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                  page 8

As a brief description of the process, the waste gas stream is first made to pass through a molecular
sieve to eliminate the humidity of the gas. The sieve will need to be regenerated (heated to volatilize
trapped water) so a second sieve is needed to achieve continuous operation (one is operating while the
second is regenerating). It is important to eliminate humidity since, otherwise, it will deposit as ice on
the heat exchange surfaces of the condenser, which eventually reduces condensation efficiency. Since
it is not possible to avoid completely water slippage, two condensing units are provided. Then, when
operating unit needs to be stopped for defrost, second unit becomes operational; the cycle repeats and
plants switched as required in order to maintain process performance and availability.
The dry waste gas is then pre-cooled with the non-condensed gas phase coming from the condenser
(the non-condensable portion of the waste stream composed mainly of nitrogen and oxygen from air).
The pre-cooled stream enters at the bottom of the condenser and, flowing upwards, is put into contact
with a set of heat exchanging coils. Inside the coils, liquid nitrogen at 10 kg/cm2 is injected at the top
of the condenser and is forced to flow downwards. The counter currently contacted streams exchange
heat through the walls of the coil. The fluorocarbons stream cedes energy, becoming cold and
changing from gas to liquid phase (condensation). The nitrogen stream accepts the energy lost by the
fluorocarbons, and changes from liquid to gas phase. The liquefied fluorocarbon stream,
approximately at –90 °C, is captured in a collection tank with a capacity of 625 liters for short-term
storage.


HFC 23 Transportation


In order to deliver the waste fluorocarbon to the off-site incineration facility, an special type of
containers design to hold gases at high pressure will be utilized; such containers are broadly used by
the industrial-gas manufacturers to safely transport products such as helium, hydrogen, nitrogen,
among others high pressure gases. Such containers are generally regarded as “tubes” of diverse
specifications (materials of construction, holding pressure), and an array of several tubes for highway
(car) transportation is called a “tube trailer”. The Communications and Transportation Secretary
(Secretaría de Comunicaciones y Transportes –SCT) in México and the Department of Transportation
(DOT) in the U.S.A. are responsible for regulating the type of tube, maximum pressure/density per
tube, total payload, etc., permitted for highway transportation.
The liquefied waste fluorocarbon (which is not flammable and non toxic) is first vaporized (changed
from liquid to gas phase) through a heat exchanger (see Figure 5), before it is loaded to each tube
(individually) using a positive displacing bomb.




                             Figure 6: Tube trailer




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                  page 9


HFC 23 Decomposition


The HFC 23 waste destruction service is provided by Residuos Industriales Multiquim (RIMSA), a
hazardous waste management company based in Monterrey, Mexico. The HFC 23 waste gas will be
physically incinerated by Onyx Environmental Services LLC (Onyx), a U.S.A. based environmental
service provider. Both, RIMSA and Onyx, are wholly owned by the multinational group Veolia
Environment of France.
Onyx owns two incineration facilities in U.S.A., one located in Port Arthur (Texas) and the other one
in Sauget (Illinois). The HFC 23 from Quimobásicos will be transported to Port Arthur, where it will
be almost completely destroyed.3 The hazardous waste incinerator located in the city of Port Arthur is
operated under permit No. HW-50212-001, issued by the Texas Natural Resource Conservation
Commission (TNRCC), and under authorization by the Environmental Protection Agency (USEPA)
region 6, for Toxic Substance Control Act (TSCA) purposes. As per their permit, the Port Arthur
facility is allowed to accept most hazardous and non-hazardous wastes. Onyx has extended experience
on the destruction of fluorocarbons and other fluorine containing wastes generated both domestically
(by local producers) and internationally (currently destroying CFCs under a Canadian Government
program). During 2004, the Port Arthur facility destroyed 57,362 tonnes of wastes, of which 928
tonnes were Fluorocarbon based residues (1.62% of total).
As shown in Figure 7, the Port Arthur destruction process begins at a large rotary kiln incinerator. The
kiln is a refractory lined unit 18 m (60 ft) long with an effective inside diameter of 4.3 m (14 ft); it
normally operates at temperatures above 700°C (1,300°F). Under regular operation, the kiln receives a
mix of pumpable (liquids and sludge), solid (bulk solids, drums, shredable containers) and sometimes
gaseous wastes through different feeding systems at the front (upper side) wall of the kiln. A centrally
mounted girth gear powered by an electric motor rotating at 0.3-3.0 rpm drives the rotary kiln. Wastes
are forced to travel the entire length of the kiln chamber before exiting; residence time of solids in the
kiln is approximately 30 to 90 minutes and 5 to 10 seconds for gases. Solid ashes (non-combustible
products) leave the kiln at the discharge (lower) end through a refractory lined transitional disengaging
chamber; it drops into the ash removal system and then is conveyed into roll-off boxes for transport
and disposal. The combustion gases pass through the disengaging chamber and into the Secondary
Combustion Chamber (SCC) or “afterburner”.
The SCC is a refractory lined vertical cylinder with overall inside dimension of approximately. 24 m
(80 ft) high by 5.5 m (18 ft) in diameter which is equipped with eight 15 MMBtu/hr tangentially fired
burners that feed energetic liquid wastes or auxiliary fuel to raise the gas temperature and to create a
highly turbulent zone for gas mixing. Depending on the type of wastes being burned, the temperature
at the SCC is maintained above 1015°C (1,864ºF) for RCRA4 (hazardous waste) and above 1,100°C
(2,012ºF) for TSCA5 (toxic wastes such as PCBs); gas phase residence time in the SCC combustion
chamber is 2 to 5 seconds. The hot gases leave the SCC through a refractory lined duct and enter the
Air Pollution Control Train (APCT). Solids from the SCC (slag) drop into a water bath and are cooled
prior to being conveyed to the slag roll-off box for transport and disposal.
The APCT is a wet, multiple unit gas cleaning system specifically designed for removing acid gases
and particulates. First, the gases are adiabatically quenched from above 1000°C to 85°C (185ºF) using
water and recirculated scrubber liquid, thus eliminating the potential formation of Dioxins

3
  Both Onyx incineration facilities are allowed to destroy fluorocarbons. If for any reason, destroying HFC 23
from Quimobásicos in Port Arthur is not possible, Onyx will send the HFC 23 to Sauget’s plant.
4
  RCRA stands for Resource Conservation and Recovery Act. RCRA gave EPA the authority to control
hazardous waste from “cradle-to-grave”. This includes the generation, transportation treatment, storage, and
disposal of hazardous waste. RCRA also set forth a framework for the management of non-hazardous wastes.
5
  TSCA stands for Toxic Substances Control Act. TSCA controls high-risk compounds such as PCBs, asbestos,
vinyl chloride (among others) to prevent unreasonable risks of injury to health or the environment associated
with the manufacture, processing, distribution in commerce, use, or disposal of chemical substances.


This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 10

(Dioxin/Furan emissions shall not exceed 0.40 ng toxicity equivalent/dscm corrected to 7% oxygen,
according to the plant’s emissions permit). Quench tower solids are cooled in a water bath. The
collected solids are conveyed to a roll-off box for transport and disposal. Secondly, the cooled gases
are scrubbed for acid gases and larger particulates in two parallel packed bed absorbers, where acidic
components are absorbed and neutralized with a recirculating water/caustic solution. Third, the gas is
scrubbed for fine particulates in two parallel trains consisting in four stage ionizing wet scrubbers.
Finally, the resulting cleaned flue gas exits the 40 m (130 ft) stack, after the gas passes through a
demister.
Aqueous effluents are first clarified and neutralized before being deep well injected into a sand
formation at 2.2 km below the surface. Solid wastes are separated, filtered (when wet) and shipped to
several disposal facilities for stabilization and landfilling.
For the specific Quimobásicos operation, the tube trailer containing the HFC 23 waste gas will be
received and weighted (at the plant gate). The tube trailer will be documented and stored until burning
plan schedules its destruction. The complete unloading operation is performed under internal Standard
Division Practice # 2761R6 “Direct Feed System Operation”. The practice describes the preparation of
the DFSC (Direct Feed Safety Checklist), training on the DFSC, load receiving, sampling and staging,
hook up, check of strainers, purge of feed and return lines, preparation of tanker/trailer for unloading,
recirculation process, tanker/trailer raising, unloading/feeding process, system flushing, cleaning of
strainers, and disconnecting and releasing of tanker/trailer. The Standard Practice assures a safe and
leak-free feeding of the waste to the incinerator.
As a broad description of the feeding process, the tube trailer is first placed in the fluorinated products
injection port. The trailer is sited on calibrated load cells, so the injected material will be weighed
during the unloading operation (without the car-truck). All connections to the tube trailer manifold are
performed before the unloading operation begins; the pressure of the HFC 23 waste from the tubes is
lowered to 7 atm (100 psi) with a regulating valve while leaving the tubes. An ambient vaporizer
installed after the pressure-regulating valve avoids any mixed feed (liquid-gas) before entering the
direct feed line. The mass flow entering the incinerator is controlled by a valve connected to the
Distributed Control System (DCS) of the plant. The tip of the direct feed line injects the HFC 23 waste
gas 2 m (7 ft) deep at the front wall of the rotary kiln. The HFC 23 will be transformed in the kiln and
SCC to carbon dioxide and hydrofluoric acid, according to the following reaction:


                           CHF3 (=HFC 23) + O2                    CO2 + 3 HF


A minimum of 99.99% (typically more than 99.9999%) Destruction Removal Efficiency (DRE). for
RCRA and more than 99.9999% for TSCA wastes is achieved by the Onyx facility at Port Arthur. The
expected destruction efficiency for the HFC 23 waste is higher than 99.999%. A specific Test Burn
(considering EPA’s Comprehensive Performance Test protocol pursuant to 40 CFR part 63, subpart
EEE) will be performed at the beginning of the Quimobásicos operation to define the actual specific
DRE. Considering the scale and operating conditions (higher residence time) at the Onyx facility, it is
expected that a more complete destruction of the waste will be attained, compared to a dedicated
incinerator unit that could have being installed at Quimobásicos’ site.
The capacity of the Port Arthur facility to process fluorinated wastes is by far greater than the amount
of HFC 23 waste involved in the Quimobásicos operation. It is expected that a few days every other
month will be enough for the destruction of the waste.
The Quimobásicos destruction operation will not require any incremental fuel. Normally, heat from
energetic wastes suffices the energy requirements to maintain temperatures both in the rotary kiln and
the Secondary Combustion Chamber. The permanent minimal fuel (natural gas) feed to kiln and SCC
serves safety purposes (to avoid a flame-out in case of an operation disruption, such as a major power
outage) and is independent of the type or amount of fluorine containing waste being destroyed.


This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 11




Figure 7: HFC 23 decomposing operation




        A.4.4. Brief explanation of how the anthropogenic emissions of anthropogenic
greenhouse gas (GHGs) by sources are to be reduced by the proposed CDM project activity,
including why the emission reductions would not occur in the absence of the proposed project
activity, taking into account national and/or sectoral policies and circumstances:


The proposed CDM project would reduce the emissions of GHG by capturing and transporting to a
decomposition facility the HFC 23 generated as a by-product of HCFC 22 production at
Quimobásicos’ plant.
If the proposed project activities were not implemented, all HFC 23 would be emitted to the
atmosphere.


Additionality is demonstrated using the procedures established in AM0001:
        At present, there are no quantified governmental effluent controls or obligations to reduce
         emission of HFC 23 in Mexico. (As far as we are aware, there are no quantitative limits in any
         non-Annex I country.) It is unlikely that any such limits on emissions would be imposed in the
         near future. In fact, given the cost and complexity of suitable abatement technologies, it is




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 12

         unlikely that a quantitative limit is introduced until a country adopts a limitation/reduction
         commitment under the Kyoto Protocol.
        Considering the situation that some regulations to limit HFC 23 quantitatively are to be
         introduced in Mexico in the future, the methodology includes the discounting provision of the
         amount of HFC 23 consistent with the regulation to be adopted.
        Since installation of equipment for condensation of the waste gas, and the HFC 23
         transportation to the decomposition facility require significant investment without additional
         economic benefits, there are no commercial incentives for Quimobásicos (or other companies
         in Mexico) to implement the activities mentioned in this project at present and in the future, so
         long as domestic regulation governing emission limits does not exist. It is reasonable therefore
         to set such a scenario as the baseline.


As for the assumption that the effect of this project continues during the crediting period, this may be
judged as appropriate from the following viewpoints:
        Referring to HCFC 22 manufacturing, the phase out program set by the Montreal Protocol for
         HCFCs in developing Countries, allows for its continued use until 2040; at that time,
         consumption as refrigerant and blowing agent should be banned. Nevertheless, HCFC 22 used
         as raw material (feedstock) for fluoropolymer production is not regulated by Montreal, and
         may continue indefinitely. Since the production of HCFC 22 can be continued, HFC 23 would
         be produced simultaneously as a by-product.
        Quimobásicos will have a second plant available for HCFC 22 production, since it will stop
         CFC production during 2005 (considering the agreement with the Montreal Protocol
         Multilateral Fund, decision UNEP/OzL.Pro/Excom/40/50 Annex V) and such facility has
         “swing” capability (can produce either CFC 11/12 or HCFC 22). Both plants at the site have
         more than 20 years operation history.


In any above cases, the amount of gases actually decomposed will be measured directly.


Other GHGs, such as CO2, which will be emitted through the transport of compressed HFC 23,
together with direct/indirect CO2 emissions accrued from energy consumption necessary for operating
the facilities will be counted as emissions corresponding to the project scenario.
The amount of GHG emission reductions by this project is expected to be around 78,700,127 tonnes of
CO2-equivalent over a 21-year time frame, as shown in section A.4.4.1.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                  page 13




               A.4.4.1.              Estimated amount of emission reductions over the chosen
crediting period:

                Table 2: Estimation of total emission reductions during the 21-year crediting period


                                                                  Annual estimation of emission
                                       Year                                reductions
                                                                       (tonnes of CO2 e)
                                       2006                                 3,747,625
                                       2007                                 3,747,625
                                       2008                                 3,747,625
                                       2009                                 3,747,625
                                       2010                                 3,747,625
                                       2011                                 3,747,625
                                       2012                                 3,747,625
                                       2013                                 3,747,625
                                       2014                                 3,747,625
                                       2015                                 3,747,625
                                       2016                                 3,747,625
                                       2017                                 3,747,625
                                       2018                                 3,747,625
                                       2019                                 3,747,625
                                       2020                                 3,747,625
                                       2021                                 3,747,625
                                       2022                                 3,747,625
                                       2023                                 3,747,625
                                       2024                                 3,747,625
                                       2025                                 3,747,625
                                       2026                                 3,747,625
                  Total estimated reductions (tonnes of CO2e)              78,700,127
                  Total number of crediting years                               21
                  Annual average over the crediting period of
                                                                            3,747,625
                  estimated reductions (tonnes of CO2e)



For more details please see spreadsheet MGM_BSL_QB_ER.xls.


         A.4.5. Public funding of the project activity:


Quimobásicos will not receive any national or international public funding whatsoever for the
development of this project.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 14




SECTION B. Application of a baseline methodology


B.1.     Title and reference of the approved baseline methodology applied to the project activity:


There is an already approved methodology available in the UNFCCC website, namely AM0001,
which is designated: “Incineration of HFC 23 Waste Streams”.
For the current project, the revision to approved methodology AM0001 adopted by the CDM
Executive Board in its nineteenth meeting of May 2005 is considered.


        B.1.1. Justification of the choice of the methodology and why it is applicable to the
project activity:


This methodology is applicable to HFC 23 (CHF3) waste streams from an existing HCFC 22
production facility with at least three years of operating history between beginning of the year 2000
and the end of the year 2004 where the project activity occurs and where no regulation requires the
destruction of the total amount of HFC 23 waste.
The proposed project activities are located at the fluorocarbon production facility of Quimobásicos, in
Mexico, which has been in operation since 1963. Quantitative regulation of HFC 23 emissions does
not currently exist in Mexico (nor is it planned).
Referring to HCFC 22 manufacturing, the phase out program set by the Montreal Protocol for HCFCs
in developing Countries, allows for its continued use until 2040; at that time, consumption as
refrigerant and blowing agent should be banned. Nevertheless, HCFC 22 used as raw material
(feedstock) for fluoropolymer production is not regulated by Montreal, and may continue indefinitely.
Since the production of HCFC 22 can be continued, HFC 23 would be produced simultaneously as a
by-product.
The project therefore meets applicability criteria of the draft revision of AM0001.


B.2.     Description of how the methodology is applied in the context of the project activity:


Waste HFC 23 is typically released into the atmosphere. Thus, under absent regulations to restrict
HFC 23 emissions, any HFC 23 not recovered for sale is assumed to be released to the atmosphere.
GHG emission reduction achieved by the project activity is the quantity of waste HFC 23 actually
destroyed, less GHG emissions generated by the recovery-to-decomposition process6, less leakage due
to the recovery-to-decomposition process.
Specifically, GHG emission reduction achieved by the project activity during a given year is equal to
the quantity of HFC 23 waste destroyed by the incineration facility less the baseline HFC 23
destruction during that year multiplied by the GWP of HFC 23, less GHG emissions generated by the
recovery-to-decomposition process, less GHG leakage due to this process.



6
  For this specific project, the recovery-to-decomposition process involves the collection and condensation of the
waste gas, the vaporization of the liquefied waste fluorocarbon stream, the compression of the resulting gas, its
transportation to the incineration plant, and the incineration process itself where HFC 23 is destroyed.


This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 15

The baseline quantity of HFC 23 destroyed is the quantity of the HFC 23 waste stream required to be
destroyed by the applicable regulations, if any. In the absence of regulations requiring the destruction
of HFC 23 waste the typical situation in non-Annex I Parties the HFC 23 waste is typically
released to the atmosphere so the baseline corresponds to zero destruction.
To date, domestic law of Mexico does not restrict HFC 23 emissions at all. This condition will be
checked annually and will be modified as appropriate, as specified in the approved methodology
AM0001, if some regulation were introduced in Mexico.


The emissions due to the recovery-to-decomposition process include the emissions coming from fuel
consumption during HFC 23 transportation and incineration process, the emissions of HFC 23 not
destroyed by the incineration facility, and GHG emissions of the destruction process in the
incineration plant.
All GHG emissions from HFC 23 incineration process are not considered in this project since they
occur in an Annex I country (United States of America). These emissions are consequence of the
current practice as a part of routine operation of the incineration plant, which are controlled by
the corresponding regulation authorities of US7. Such emissions are already accounted in the US GHG
emission inventory.
Therefore, project emissions only include emissions due to transportation. These emissions are
calculated by multiplying the quantity of HFC 23 transported during the year by the specific emission
factor, estimated below in Section D.2.1.2.


Leakage corresponds to emissions of GHG due to the project activity that occur outside the project
boundary. The sources of leakage due to the condensation, conditioning (vaporization and
compression before trailer tubes load), and incineration processes are GHG emissions associated to the
production of electricity purchased to the suppliers and CO2 emissions due to transport of solid waste
(slag) to the final disposal.
The leakage considered for this particular project are these related with purchased electricity for the
condensation and conditioning processes, because the other leakage correspond to an Annex I country,
and is disregarded in this project. In addition, emissions from electricity generation consumed by the
producer of the liquid Nitrogen used during the condensation of the waste gas, are also considered as
leakage for this project.
To exclude the possibility of manipulating the production process to increase the quantity of waste, the
quantity of HFC 23 waste is limited to a fraction (w) of the actual HCFC 22 production during the year
at the plant.
According to AM0001, the value of w shall be set at the lowest actual value of the three most recent
years of operation up to 2004 to a maximum of 3% (0.03 tonnes of HFC 23 produced per tonne of
HCFC 22 manufactured). If insufficient data is available, the default value shall be 1.5%.
In this case, historical data from Quimobásicos plant is used to calculate the (HFC 23)/(HCFC 22)
production ratio. The cut-off condition is to be checked against the actual situation on an ex post basis.


AM0001 should apply only to existing production sites with the existing production capacity.



7
 In addition, the facility must meet the requirements of the Texas Natural Resource Conservation Commission
and the Environmental Protection Agency, which guarantees that the project will not have negative local
environmental impacts.


This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                      PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

 CDM – Executive Board                                                                                          page 16

 “Existing production facility” is defined as HCFC 22 production facilities with at least three years of
 operating history between beginning of the year 2000 and the end of the year 2004, and the “existing
 production capacity” at these facilities (in tonnes of HCFC 22) is defined as the maximum historical
 annual production level during any of the last three years between beginning of the year 2000 and the
 end of the year 2004, including CFC production at swing plants adjusted appropriately to account for
 the different production rates of HCFC 22 and CFCs.
 For this project, the “existing production capacity” is the maximum annual production value, obtained
 during the 2002 – 2004 period, of the existing HCFC 22 production facility plus the adjusted CFC
 production of the swing plant. In the calculation of emission reductions for this specific project
 activity, the actual production of HCFC 22 during a year will be limited to this “existing production
 capacity”. Nevertheless, actual production may be higher.


 According to the baseline methodology, the key data used to determine ex-post the baseline scenario is
 given in the following table.


                                                        Table 3: Baseline data



                              Parameters                                                      Data sources
Global Warming Potential HFC 23                                          According to Article 5, Section 3 of the Kyoto Protocol,
                                                                         GWP is as agreed on at COP3
Cut-off condition fraction                                               Quimobásicos
Fraction of the waste stream required to be destroyed                    Local regulation
                              Variables                                                       Data sources
Quantity of HFC 23 supplied to the incineration plant                    Quimobásicos
Purity of the HFC 23 supplied to the incineration plant                  Quimobásicos
Quantity of HFC 23 supplied to the condensation facility                 Quimobásicos
Purity of the HFC 23 supplied to the condensation facility               Quimobásicos
Quantity of HCFC 22 produced in the plant                                Quimobásicos
HFC 23 sold by the facility                                              Quimobásicos




 B.3.    Description of how the anthropogenic emissions of GHG by sources are reduced below
 those that would have occurred in the absence of the registered CDM project activity:


 Taking into account that there is a very small market for HFC 23 in Mexico, in the absence of
 regulations requiring HFC 23 destruction in this country, almost all HFC 23 generated during HCFC
 22 production has been and will be released to the atmosphere. The condensation facility, and the HFC
 23 transportation to the destruction facility entail significant capital and operating costs. The host
 company would not have direct economic incentive to incur these costs in the absence of CER
 revenues to implement the project activity.
 The economic/financial/investment barriers criteria are clearly demonstrated since the project
 represents substantial initial investment and recurring expense to Quimobásicos, in the form of capital
 and operating costs. In the absence of a regulatory requirement or some financial/economic incentive,
 there is no rationale for implementing the project.



 This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 17



At present, as the baseline quantity of HFC 23 destroyed is zero, the quantity of HFC 23 destroyed
through project implementation is much greater than the baseline quantity destroyed (even including a
minor amount of GHG emissions in the project scenario). Therefore the project activity is additional.
The baseline quantity of HFC 23 destroyed is the quantity, if any, required to be destroyed by host
country’s regulations. It will be checked annually during monitoring in order to see whether
regulations are established or not.
Our estimate of emissions over a 21- year period would fall from 78,710,308 tonnes of CO2-equivalent
in the baseline to 10,181 tonnes of CO2-equivalent in the project scenario.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 18




B.4.  Description of how the definition of the project boundary related to the baseline
methodology selected is applied to the project activity:

The project boundary encompasses the physical, geographical site of the condensation facility and the
conditioning equipment in Quimobásicos plant, the route over which the compressed HFC 23 will be
transported, and the incineration plant. Schematically, Figure 8 shows the project boundary, indicating
GHG emission sources and leakage.

  CO2 emissions from
  purchased electricity
      generation


                                                    N2 production facility


      Power plants         Purchased                                                        CO2 emissions from
                           electricity                                                       HFC 23 transport
                                                                  Purchased N2




                             Waste gas              Condensation and
         Production of
                                                      conditioning
           HCFC 22
                                                       equipment

                                                                                              Transport of
       Existing facility                             New equipment                         compressed HFC 23
                              Quimobásicos plant


                                         Project boundary
  MEXICO

 US
      GHG emissions from HFC 23 decomposition process

      These emissions are not considered since they occur in an                                 Decomposition
      Annex I country, and they are counted in the US GHG                                        of HFC 23
      Emission Inventory.
      The capacity of the facility is by far larger than the
      quantity of HFC 23 received from Quimobásicos, in                                              Onyx
      consequence, it is expected that the GHG emissions, from
      the HFC 23 decomposition process, be negligible, since
      there are many other residues to be treated.


Figure 8: Project boundary for the Quimobásicos HFC Recovery and Decomposition Project showing GHG emission
sources, and leakage.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 19

For the specific project, the methodology is applied through spreadsheet MGM_BSL_QB_ER.xls to
determine ex-ante baseline and project emissions, and expected emissions reductions. Following project
implementation, project emissions are determined from measurements. These same measurements are
used to determine baseline emissions in a dynamic manner. Thus, ex post baseline and project emissions,
and emission reductions are determined from monitored data, as showed in Section D. These calculations
are incorporated into the spreadsheet MGM_MVP_QB_ER.xls.


B.5.   Details of baseline information, including the date of completion of the baseline study
and the name of person (s)/entity (ies) determining the baseline:


Date of completing the final draft of this baseline section: 19/10/2004
Name of person/entity determining the baseline:
Marisa Zaragozi, Ivana Cepón, and Fabián Gaioli, MGM International.
Junín 1655, 1º B
C1113AAQ, Buenos Aires, Argentina
Tel./Fax: (54 11) 5219-1230/32
e-mail: mzaragozi@mgminter.com
         icepon@mgminter,com
         fgaioli@mgminter.com


Marisa Zaragozi, Ivana Cepón, and Fabián Gaioli are not project participants.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 20




SECTION C. Duration of the project activity / Crediting period


C.1       Duration of the project activity:


          C.1.1. Starting date of the project activity:


The project is expected to be operating in January 2006.


          C.1.2. Expected operational lifetime of the project activity:


The expected operational lifetime is 35 years.


C.2       Choice of the crediting period and related information:


Renewable crediting period


          C.2.1. Renewable crediting period


                  C.2.1.1.           Starting date of the first crediting period:


01/01/2006


                  C.2.1.2.           Length of the first crediting period:


7 years


          C.2.2. Fixed crediting period:


                  C.2.2.1.           Starting date:


N/A


                  C.2.2.2.           Length:


N/A




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 21




SECTION D. Application of a monitoring methodology and plan


D.1.     Name and reference of approved monitoring methodology applied to the project activity:


There is an already approved methodology available in the UNFCCC website, namely AM0001,
which is designated: “Incineration of HFC 23 Waste Streams”.
For the current project, the revision to approved methodology AM0001 adopted by the CDM
Executive Board in its nineteenth meeting of May 2005 is considered.


D.2.    Justification of the choice of the methodology and why it is applicable to the project
activity:


This methodology is applicable to HFC 23 (CHF3) waste streams from an existing HCFC 22
production facility with at least three years of operating history between beginning of the year 2000
and the end of the year 2004 where the project activity occurs and where no regulation requires the
destruction of the total amount of HFC 23 waste.
The proposed project activities are located at the fluorocarbon production facility of Quimobásicos, in
Mexico, which has been in operation since 1963. Quantitative regulation of HFC 23 emissions does
not currently exist in Mexico (nor is it planned).
Referring to HCFC 22 manufacturing, the phase out program set by the Montreal Protocol for HCFCs
in developing Countries, allows for its continued use until 2040; at that time, consumption as
refrigerant and blowing agent should be banned. Nevertheless, HCFC 22 used as raw material
(feedstock) for fluoropolymer production is not regulated by Montreal, and may continue indefinitely.
Since the production of HCFC 22 can be continued, HFC 23 would be produced simultaneously as a
by-product.
The project therefore meets applicability criteria of the draft revision of AM0001.


The spreadsheet MGM_MVP_QB_ER.xls shows the application of this monitoring methodology.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                     page 22




         D.2. 1. Option 1: Monitoring of the emissions in the project scenario and the baseline scenario

                  D.2.1.1. Data to be collected in order to monitor emissions from the project activity, and how this data will be archived:

ID number
(Please use                                                           Measured (m),                      Proportion
                                                           Data                                                        How will the data be
numbers to                                                            calculated (c) or   Recording      of data to
               Data variable             Source of data    unit                                                        archived? (electronic/     Comment
ease cross-                                                           estimated (e)       frequency      be
                                                                                                                       paper)
referencing                                                                                              monitored
to D.3)
               Quantity of HFC 23                                                                                                                 It will be measured by two
               supplied to the                                                                                         Paper (field record)       flow meters located before
1                                        Quimobásicos      tonnes     M                   Monthly        100%
               condensation process                                                                                    Electronic (spreadsheet)   entering into the
               (q_HFC23CPy)                                                                                                                       condensation facility.
               Purity of the HFC 23                                                                                                               It will be measured by gas
               supplied to the                                                                                         Paper (field record)       chromatography before
2                                        Quimobásicos      %          M                   Monthly        Sampling
               condensation process                                                                                    Electronic (spreadsheet)   entering into the
               (P_HFC23CPy)                                                                                                                       condensation facility.
               Quantity of HFC 23
               supplied to the
                                                                                                                                                  It will be calculated using
               condensation process                                                                                    Paper (field record)
3                                        Quimobásicos      tonnes     C                   Monthly        100%                                     data number 1 and 2, as is
               after purity                                                                                            Electronic (spreadsheet)
                                                                                                                                                  shown in section D.2.1.2.
               adjustments
               (Q_HFC23CPy)
               Purity of HFC 23
                                                                                                                                                  It will be obtained by
               supplied to the                                                                                         Paper (field record)
4                                        Quimobásicos      %          M                   Monthly        Sampling                                 sampling in the tube trailer
               incineration plant                                                                                      Electronic (spreadsheet)
                                                                                                                                                  using gas chromatography.
               (P_HFC23y)
               Quantity of                                                                                                                        The weight of the tube trailer
               compressed HFC 23                                                                                                                  will be measured during the
                                                                                                                       Paper (field record)
5              loaded into the tube      Quimobásicos      tonnes     M                   Monthly        100%                                     loading of HFC 23 by using
                                                                                                                       Electronic (spreadsheet)
               trailer                                                                                                                            certified (calibrated) load
               (q_HFC23Ty)                                                                                                                        cells.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                     page 23

                                                                                                                                                  The weight of the tube trailer
               Quantity of HFC 23                                                                                                                 will be measured upon
               supplied to the                                                                                         Paper (field record)       reception and during the un-
6                                        Onyx              tonnes     M                   Monthly        100%
               incineration plant                                                                                      Electronic (spreadsheet)   loading of HFC 23 by using
               (q_HFC23y)                                                                                                                         certified (calibrated) load
                                                                                                                                                  cells.
               Quantity of HFC 23
               supplied to the                                                                                                                    It will be calculated using
               incineration process                                                                                    Paper (field record)       data number 4 and 6, as is
7                                        Quimobásicos      tonnes     C                   Monthly        100%
               after purity                                                                                            Electronic (spreadsheet)   shown in section D.2.1.2.
               adjustments
               (Q_HFC23y)
               Quantity of HFC 23
               lost from its
                                                                                                                                                  It will be calculated using
               collection until                                                                                        Paper (field record)
8                                        Quimobásicos      tonnes     C                   Yearly         100%                                     data numbers 3 and 7, as is
               reaching the                                                                                            Electronic (spreadsheet)
                                                                                                                                                  shown in section D.2.1.2
               incineration plant
               (L_HFC23y)
                                                                                                                                                  It will be calculated using
               CO2 emissions from                                                                                                                 data number 5 and the
                                                                                                                       Paper (field record)
9              HFC 23 transport          Quimobásicos      tonnes     C                   Yearly         100%                                     specific emission factor of
                                                                                                                       Electronic (spreadsheet)
               (CO2_Transporty)                                                                                                                   the trucks, as is shown in
                                                                                                                                                  section D.2.1.2.
                                                                                                                                                  On the first year of
                                                                                                                                                  operation, Onyx will not
                                                                                                                                                  treat any other fluoride
                                                                                                                                                  waste than the HFC 23 from
               Destruction and                                                                                                                    Quimobásicos, to perform a
               Removal Efficiency                                                         On the first                                            specific trial burn. The
                                                                                                                       Paper (field record)
10             of HFC 23                 Onyx              %          M                   year of        100%                                     specific Destruction and
                                                                                                                       Electronic (spreadsheet)
                                                                                          operation                                               Removal Efficiency of the
               (DREHFC23)
                                                                                                                                                  plant towards the HFC 23
                                                                                                                                                  will be determined.
                                                                                                                                                  It will not be used for
                                                                                                                                                  calculation of emission
                                                                                                                                                  reductions.



This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                     page 24

               Project emissions                                                                                                                  It will be calculated using
               inside of the                                                                                           Paper (field record)       data number 9, as is shown
11                                       Quimobásicos      tonnes     C                   Monthly        100%
               boundary                                                                                                Electronic (spreadsheet)   in section D.2.1.2.
               (PEy)




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 25




                 D.2.1.2. Description of formulae used to estimate project emissions (for each gas,
         source, formulae/algorithm, emissions units of CO2 equ.)


The emissions due to the recovery-to-decomposition process include the emissions coming from fuel
consumption during HFC 23 transportation and incineration process, the emissions of HFC 23 not
destroyed by the incineration facility, and GHG emissions of the destruction process in the
incineration plant.
All GHG emissions from HFC 23 incineration process are not considered in this project since they
occur in an Annex I country (United States of America). These emissions are consequence of the
current practice as a part of routine operation of the incineration plant, which are controlled by
the corresponding regulation authorities of US8. Such emissions are already counted in the US GHG
emission inventory.
Therefore, project emissions only include emissions due to transportation. These emissions are
calculated by multiplying the quantity of HFC 23 transported during the year by the specific emission
factor calculated below.


Project emissions within the project boundary PEy (tCO2e/year) in a year y are expressed as:


         PEy      = E_DPy
                  = CO2_Transporty
                  = q_HFC23Ty  E_Transporty
where
         E_DPy: emissions due to the destruction process that includes the condensation of the waste
         gas, the conditioning of the liquefied waste fluorocarbon stream containing about 90% of HFC
         23, the transportation of the compressed HFC 23 to the incineration plant, and the incineration
         process itself (tCO2e/yr)
         CO2_Transporty: CO2 emissions from HFC 23 transport (tCO2e/yr)
         q_HFC23Ty: quantity of HFC 23 loaded into the tube trailer (tHFC23/yr)
         E_Transporty: specific emission factor of the trucks (tCO2e/tonne HFC23)


The emission factor of HFC 23 transport is calculated in the following way:




8
 In addition, the facility must meet the requirements of the Texas Natural Resource Conservation Commission
and the Environmental Protection Agency, which guarantees that the project will not have negative local
environmental impacts.


This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 26

Input data9:
          (1) Distance travelled by truck in Mexico: 966 km each way10
          (2) Truck specific fuel consumption: 3 km/litre
          (3) HFC 23 transported per trip by the truck: 11.6 tonnes
          (4) Diesel density: 0.849 kg/litre
          (5) Lower Heating Value of diesel: 0.04333 GJ/kg
          (6) Emission factor of diesel: 74.07 kgCO2/GJ
Output:
          (7) Fuel consumption per round trip: (1)  2/(2) = 966  2/3 = 644 litres of diesel
          (8) Fuel consumption: (7)/(3) = 644 / 11.6 = 55.52 litres diesel/tHFC23


          Emission factor of HFC 23 transport:


          (4)  (5)  (6)  (8) = 0.849  0.04333  74.07  55.52 = 151.27 kgCO2e/tHFC23


During the condensation of the waste gas, the conditioning process of the liquefied waste fluorocarbon
stream, and the transportation of the compressed HFC 23 from Quimobásicos’ plant to the incineration
facility in the United States of America, some HFC 23 looses could occur. The quantity of HFC 23 lost
(L_HFC23y) is expressed as:


          L_HFC23y = Q_HFC23CPy  Q_HFC23y
where
          Q_HFC23CPy: quantity of HFC 23 supplied to the condensation process after purity
          adjustments (tHFC 23/yr)
          Q_HFC23y: quantity of HFC 23 supplied to the incineration process after purity adjustments
          (tHFC 23/yr)


The quantity of HFC 23 waste supplied to the condensation process after purity adjustments
(Q_HFC23CPy) is calculated in the following way:


          Q_HFC23CPy = q_HFC23CPy  P_HFC23CPy




9
  Data provided by Quimobásicos.
10
   The distance used for emissions calculation considers the existing kilometers between Quimobásicos and
Onyx plants. Strictly, only the distance between Quimobásicos’ plant and US border should be considered.
Nevertheless, since the actual kilometers travelled depend on the path followed by the trucks. In order to avoid
uncertainties a conservative approach is used, in which the distance from Quimobásicos’ plant to Onyx’s plant is
taken into account. It can be justified due to the low contribution of those emissions.


This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 27

where
         q_HFC23CPy: quantity of HFC 23 supplied to the condensation process (tHFC23/yr)
         P_HFC23CPy: purity of the HFC 23 supplied to the condensation process (%)


The quantity of HFC 23 waste supplied to the incineration process after purity adjustments
(Q_HFC23y) is calculated in the following way:


         Q_HFC23y = q_HFC23y  P_HFC23y
where
         q_HFC23y: quantity of HFC 23 supplied to the incineration plant (tHFC23/yr)
         P_HFC23y: purity of the HFC 23 supplied to the incineration plant (%)


Losses are calculated to control the processes and are implicitly taken into account because in the
calculation of baseline emissions it is considered the quantity of HFC 23 supplied to the incineration
plant instead of the quantity of HFC 23 at the end of the HCFC 22 production process.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                     page 28




             D.2.1.3. Relevant data necessary for determining the baseline of anthropogenic emissions by sources of GHGs within the project
boundary and how such data will be collected and archived:

ID number
(Please use
                                                                                                         Proportion
numbers to                                                            Measured (m),       Recording                    How will the data be
                                                           Data                                          of data to
ease cross-    Data variable             Source of data               calculated (c),                                  archived? (electronic/     Comment
                                                           unit                           frequency      be
referencing                                                           or estimated (e),                                paper)
                                                                                                         monitored
to table
D.3)
               Quantity of HFC 23
               supplied to the
                                                                                                                                                  It will be calculated using
               condensation process                                                                                    Paper (field record)
3                                        Quimobásicos      tonnes     C                   Monthly        100%                                     data number 1 and 2, as is
               after purity                                                                                            Electronic (spreadsheet)
                                                                                                                                                  shown in section D.2.1.2.
               adjustments
               (Q_HFC23CPy)
               Quantity of HFC 23
               supplied to the                                                                                                                    It will be calculated using
               incineration process                                                                                    Paper (field record)       data number 4 and 6, as is
7                                        Quimobásicos      tonnes     C                   Monthly        100%
               after purity                                                                                            Electronic (spreadsheet)   shown in section D.2.1.2.
               adjustments
               (Q_HFC23y)
               Quantity of HCFC 22                                                                                                                It is reference data to
               produced in the plant                                                                                                              check cut-off condition
                                                                                                                       Paper (field record)
12             generating the HFC        Quimobásicos      tonnes     M                   Monthly        100%                                     and rough estimation of
                                                                                                                       Electronic (spreadsheet)
               23 waste                                                                                                                           HFC 23 generation. See
               (Q_HCFC22y)                                                                                                                        section D.2.1.4.
                                                                                                                                                  It is reference data to
               HFC 23 sold by the
                                                                                                                                                  check cut-off condition
               facility generating the                                                                                 Paper (field record)
13                                       Quimobásicos      tonnes     M                   Annually       100%                                     and rough estimation of
               HFC 23 waste                                                                                            Electronic (spreadsheet)
                                                                                                                                                  HFC 23 generation. See
               (HFC23_soldy)
                                                                                                                                                  section D.2.1.4.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                     page 29

                                                                                                                                                  It will be estimated taking
               Baseline quantity of                                                                                                               into account local
                                                                                                                       Paper (field record)
14             HFC 23 destroyed          Quimobásicos      tonnes     C                   Annually       100%                                     regulations and using data
                                                                                                                       Electronic (spreadsheet)
               (BQ_HFC23y)                                                                                                                        number 3, as is shown in
                                                                                                                                                  section D.2.1.4.
                                                                                                                                                  It will be calculated using
               Baseline Emissions                                                                                      Paper (field record)       data number 7 and 14, as
15                                       Quimobásicos      tonnes     C                   Monthly        100%
               (BEy)                                                                                                   Electronic (spreadsheet)   is shown in section
                                                                                                                                                  D.2.1.4.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 30


                 D.2.1.4. Description of formulae used to estimate baseline emissions (for each
         gas, source, formulae/algorithm, emissions units of CO2 equ.)


Baseline emissions involve the HFC 23 that would be released to the atmosphere in absence of the
project.
Baseline emissions is equal to the quantity of HFC 23 waste destroyed by the incineration facility less
the baseline HFC 23 destruction during that year multiplied by the GWP of HFC 23.
The baseline quantity of HFC 23 destroyed is the quantity of the HFC 23 waste stream required to be
destroyed by the applicable regulations, if any. In the absence of regulations requiring the destruction
of HFC 23 waste the typical situation in non-Annex I Parties the HFC 23 waste is typically
released to the atmosphere so the baseline corresponds to zero destruction.
To date, domestic law of Mexico does not restrict HFC 23 emissions at all. This condition will be
checked annually and will be modified as appropriate, as specified in the approved methodology
AM0001, if some regulation were introduced in Mexico.


Baseline emissions BEy (tCO2e/year) in a year y are described as:


         BEy = (Q_HFC23y  BQ_HFC23y)  GWP_HFC23
where
         Q_HFC23y: quantity of HFC 23 supplied to the incineration process after purity adjustments
         (tHFC 23/yr)
         BQ_HFC23y: baseline quantity of HFC 23 destroyed during the year (tHFC 23/yr)
         GWP_HFC23: Global Warming Potential of HFC 23. The approved Global Warming
         Potential value for HFC 23 is 11,700 tonne CO2e/tonne HFC 23.


The baseline quantity of HFC 23 destroyed is the quantity of the HFC 23 waste stream required to be
destroyed by the applicable regulations. In this project, the entire HFC 23 waste stream will be
supplied to the recovery-to-decomposition process; in consequence, Q_HFC23CPy is the total amount
of HFC 23 waste generated. Thus, baseline quantity of HFC 23 destroyed is estimated as follows:


         BQ_HFC23y = Q_HFC23CPy  ry
where
         Q_HFC23CPy: quantity of HFC 23 waste supplied to the condensation process after purity
         adjustments (tHFC 23/yr)
         ry: fraction of the waste stream required to be destroyed by the regulations that apply during
         year y


For the decomposition of HFC 23 without any regulation (current status), the baseline emissions are:
         BEy = Q_HFC23y  11,700




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 31

To exclude the possibility of manipulating the production process to increase the quantity of waste, the
quantity of HFC 23 waste (Q_HFC23CPy) is limited to a fraction (w) of the actual HCFC 22
production during the year at the originating plant.


         Q_HFC23CPy ≤ Q_HCFC22y  w
where
         Q_HCFC22y: actual production of HCFC 22 during the year at the plant where the HFC 23
         waste originates (tHCFC 22/yr). This value is limited to the “Existing production capacity”.
         For Quimobásicos, it is considered the maximum annual production value, obtained during the
         2002 – 2004 period, of the existing HCFC 22 production facility plus the adjusted CFC
         production of the swing plant.
         w: waste generation rate (HFC 23)/(HCFC 22) for the originating plant. The quantity of HFC
         23 used to calculate this coefficient is the sum of HFC 23 recovered for sale plus the waste
         HFC 23 (kg HFC 23/kg HCFC 22).


The cut-off condition is to be checked against the actual situation on an ex post basis.
According to AM0001, the value of w shall be set at the lowest actual value of the three most recent
years of operation up to 2004 to a maximum of 3% (0.03 tonnes of HFC 23 produced per tonne of
HCFC 22 manufactured). If no historical data are available, the default value shall be 1.5%.
In this case, historical data from Quimobásicos plant is used to calculate the (HFC 23)/(HCFC 22)
production ratio, that is set as 2.44%, since it is the lowest annual value obtained during 2002 to 2004
at the Quimobásicos plant (for more details see Annex 3).


In case of Q_HFC23CPy > Q_HCFC22y  w, the quantity of HFC 23 supplied to the incineration plant
should be recalculated in the following way:


         Q_HFC23y = (Q_HCFC22y  w)  (L_HFC23y  Q_HCFC22y  w / Q_HFC23CPy)


where
         (Q_HCFC22y  w): maximum quantity of HFC 23 waste that can be considered in this project,
         according to the cut off condition.
         (L_HFC23y  Q_HCFC22y  w / Q_HFC23CPy): quantity of HFC 23 lost corresponding to the
         maximum quantity of HFC 23 waste that can be considered in this project.


In addition, the amount of HFC 23 generated from the HCFC 22 production plant will be checked
yearly by comparing the amount of HCFC 22 produced to the sum of the HFC 23 recovered for sale
and HFC 23 decomposed.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                  page 32



         D. 2.2. Option 2: Direct monitoring of emission reductions from the project activity (values should be consistent with those in section E).


                  D.2.2.1. Data to be collected in order to monitor emissions from the project activity, and how this data will be archived:

ID number
(Please use
                                                                                      Proportion    How will the data
numbers to                                           Measured (m),
               Data       Source of       Data                          Recording     of data to    be archived?
ease cross-                                          calculated (c),                                                    Comment
               variable   data            unit                          frequency     be            (electronic/
referencing                                          estimated (e),
                                                                                      monitored     paper)
to table
D.3)




N/A


                  D.2.2.2. Description of formulae used to calculate project emissions (for each gas, source, formulae/algorithm, emissions units of CO2
equ.):


N/A




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                     page 33



         D.2.3. Treatment of leakage in the monitoring plan

                   D.2.3.1. If applicable, please describe the data and information that will be collected in order to monitor leakage effects of the
project activity
ID number
(Please use
                                                                                                         Proportion
numbers to     Data variable                                          Measured (m),       Recording                    How will the data be
                                                           Data                                          of data to
ease cross-                              Source of data               calculated (c) or                                archived? (electronic/     Comment
                                                           unit                           frequency      be
referencing                                                           estimated (e)                                    paper)
                                                                                                         monitored
to table
D.3)
               N2 consumption
               during the                                                                                                                         The weight of the N2 tank
                                                                                                                       Paper (field record)
16             condensation process      Quimobásicos      tonnes     E                   Monthly        100%                                     will be measured using
                                                                                                                       Electronic (spreadsheet)
                                                                                                                                                  weigh cells.
               (Q_Ny)
                                                                                                                                                  It will be calculated using
               Electricity                                                                                                                        data number 16 and the
               consumption at the N2                                                                                   Paper (field record)       specific electricity
17                                       Quimobásicos      kWh        C                   Monthly        100%
               production plant                                                                                        Electronic (spreadsheet)   consumption of the N2
               (Q_PowerNy)                                                                                                                        production plant, as is
                                                                                                                                                  shown in section D.2.3.2.
               Electricity
               consumption by the
               condensation and
                                                                                                                       Paper (field record)       It will be measured using
18             conditioning              Quimobásicos      kWh        M                   Monthly        100%
                                                                                                                       Electronic (spreadsheet)   electricity meter.
               processes at
               Quimobásicos plant
               (Q_PowerQBy)




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                     page 34

               CO2 emission factor
                                                                                                                                                  The emission rate is
               from the grid
                                                                                                                                                  computed from the most
               supplying electricity     Latest local      tCO2e/                                                      Paper (field record)
19                                                                    C                   Yearly         100%                                     recent official information
               to the N2 production      statistics        kWh                                                         Electronic (spreadsheet)
                                                                                                                                                  on the Mexican electric
               plant
                                                                                                                                                  power sector.
               (E_PowerNy)
               CO2 emission factor
                                                                                                                                                  The emission rate is
               from the isolated
                                                                                                                                                  computed from the most
               power plant supplying     Isolated power    tCO2e/                                                      Paper (field record)
20                                                                    C                   Yearly         100%                                     recent official information
               electricity to            plant             kWh                                                         Electronic (spreadsheet)
                                                                                                                                                  of the local energy
               Quimobásicos
                                                                                                                                                  supplier of Quimobásicos.
               (E_PowerQBy)
               CO2 emissions from                                                                                                                 It will be calculated using
                                                                                                                       Paper (field record)
21             electricity generation    Quimobásicos      tonnes     C                   Yearly         100%                                     data number 17 to 20, as is
                                                                                                                       Electronic (spreadsheet)
               (CO2_Powery)                                                                                                                       shown in section D.2.3.2.
                                                                                                                                                  It will be calculated using
               Leakage                                                                                                 Paper (field record)
22                                       Quimobásicos      tonnes     C                   Monthly        100%                                     data number 21, as is
               (LEy)                                                                                                   Electronic (spreadsheet)
                                                                                                                                                  shown in section D.2.3.2.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 35



                D.2.3.2. Description of formulae used to estimate leakage (for each gas, source,
         formulae/algorithm, emissions units of CO2 equ.)


Leakage corresponds to emissions of GHG due to the project activity that occur outside the project
boundary. The sources of leakage due to the condensation, conditioning, and incineration processes
are GHG emissions associated to the production of electricity purchased to the suppliers and CO 2
emissions due to transport of sludge to the final disposal.
The leakage considered for this particular project are these related with purchased electricity for the
condensation and conditioning processes, because the other leakage correspond to an Annex I country,
and is disregarded in this project. In addition, emissions from electricity generation consumed by the
producer of the N2 used during the condensation of the waste gas, are also considered as leakage of
this project.


Leakage LEy (tCO2e/year) in a year y are calculated in the following way:


         LEy      = CO2_Powery
                  = Q_PowerNy × E_PowerNy + Q_PowerQBy × E_PowerQBy
where
         CO2_Powery: CO2 emissions from electricity generation (tCO2e)
         Q_PowerNy: electricity consumption at the N2 production plant (kWh)
         E_PowerNy: emission factor from the grid supplying electricity to the N2 production plant
                   (tCO2e/kWh). It corresponds to the CO2 emission factor of the Mexican grid
                   (Comisión Federal de Electricidad – CFE).
         Q_PowerQBy: electricity consumption by the condensation and conditioning processes at
                     Quimobásicos plant (kWh)
         E_PowerQBy: emission factor from the isolated power plant supplying electricity to
                     Quimobásicos (tCO2e/kWh)


Electricity consumption at the N2 production plant results from multiplying the N2 consumption during
the condensation process (Q_Ny) by the specific electricity consumption of the N2 production plant
(EQ_PowerN), whose value is considered fixed and equal to 0.88 MWh/tN2.


Thus
LEy = Q_Ny × EQ_PowerN × E_PowerNy + Q_PowerQBy × E_PowerQBy


         D.2.4. Description of formulae used to estimate emission reductions for the project
         activity (for each gas, source, formulae/algorithm, emissions units of CO2 equ.)

GHG emission reduction achieved by the project activity is the quantity of waste HFC 23 actually
destroyed less GHG emissions generated by the recovery-to-decomposition process less leakage due to
the recovery-to-decomposition process.



This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 36

Specifically, GHG emission reduction (ERy) achieved by the project activity during a given year (y) is
equal to the quantity of HFC 23 waste from HCFC 22 production facility (Q_HFC23y) destroyed by
the incineration facility less the baseline HFC 23 destruction (BQ_HFC23y) during that year multiplied
by the GWP of HFC 23 (GWP_HFC23), less GHG emissions generated by the recovery-to-
decomposition process (E_DPy), less GHG leakage (Ly) due to this process.


Emission reductions ERy (tCO2e/year) in a year y are calculated as


         ERy      = BEy – (PEy+ LEy)
                  = (Q_HFC23y  BQ_HFC23y) × GWP_HFC23  (q_HFC23Ty × E_Transporty +
                  + Q_Ny × EQ_PowerN × E_PowerNy + Q_PowerQBy × E_PowerQBy)




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                      page 37



D.3.     Quality control (QC) and quality assurance (QA) procedures are being undertaken for data monitored


Data
(Indicate table and      Uncertainty level of data
                                                             Explain QA/QC procedures planned for these data, or why such procedures are not necessary.
ID number e.g. 3.-1.;    (High/Medium/Low)
3.2.)
                                                             Mass flow of HFC 23 waste gas produced will be measured by two Micro Motion flow meters placed in the
                                                             entrance of the condensation system. The flow meters have an accuracy of +/- 0.35%. The flow meters will be
                                                             connected to Distributed Control System (DCS) and their data will be archived in the database of the plant.
                                                             Verification of the flow meters will be done by instrument personnel using the pattern flow meters. Calibration of
                                                             the pattern flow meters will be done according to the calibration procedure of an external national or international
                                                             company. The pattern flow meters will be recalibrated by an external company. The instrument supervisor shall
1 q_HFC23CPiy            High                                ask the contract department for the calibration certificate from this external company.
                                                             In order to have more accurate data, flow meter verification will be done weekly and, most of the time, under
                                                             normal operation, both flow meters will measure the same amount of HFC 23 mass flow simultaneously. Where
                                                             the flow meter readings differ by greater than 0.70%, the reason for the discrepancy will be investigated and the
                                                             fault remedied. For the sake of conservativeness, the lower value of the two readings will always be used to
                                                             estimate HFC 23 mass flow.

                                                             It will be measured by sampling using gas chromatography before entering into the condensation facility.
2 P_HFC23CPiy            High                                Verification of the equipment for gas chromatography will be carried out according to the instructive CCL-7.602-
                                                             01, using the HFC 23 standard. The analysis will be repeated in case of doubt regarding its veracity.
                                                             It will be obtained by sampling in each tube using gas chromatography. Verification of the equipment for gas
                                                             chromatography will be carried out according to the instructive CCL-7.602-01, using the standard of HFC 23. The
4 P_HFC23y               High
                                                             analysis will be repeated in case of doubt regarding its veracity. An average purity of HFC 23 will be considered
                                                             as a conservative assumption, due to the similarity of the values measured in each tube.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                         page 38


                                                             The weight of the tube trailer will be measured during the loading of HFC 23 by using load cells. Each tube will
                                                             be loaded individually to avoid overloading. The tube trailer will be positioned in a truck scale that will close the
                                                             loading system when reaching the specified weight. The net weight of HFC 23 contained in the tube trailer will be
                                                             registered before it is transported to the incineration facility. The truck scale has a high accuracy (0.03%).
                                                             Calibration of the scale will be done according to the calibration procedure set by a national or international
                                                             standards.
                                                             The mechanical integrity of the tube trailers to be used by Quimobásicos is assured through the tube trailer sealing
                                                             verification tests. The tube trailer will be fabricated and inspected as per the Department of Transportation (DOT)
                                                             Federal Rule CFR 49, paragraph 173.301, which requires for these metal containers to perform a non-destructive
                                                             pressurization test prior to be issued for use. Each tube will be re-tested at least every 60 months, using the same
                                                             pressurization test, as required by DOT. Each tube trailer will include at least: actual tube trailer specification,
                                                             maintenance history, actual pipe and instrument diagram, specifications for each component, approved standard
                                                             operating procedures.

5 q_HFC23Ty              High                                The tube trailer will be carried by Transport Company permitted as per DOT under the “MX” nomenclature. It
                                                             will be registered and approved by the FMCSA (Federal Motor Carrier Safety Administration). The truck driver
                                                             will be trained and certified under HAZMAT, DOT (Office of Hazardous Materials Safety).
                                                             Before loading of HFC 23, the tubes shall be visually inspected. A cylinder that has a crack or leak, is bulged, has
                                                             a defective valve or a leaking or defective pressure relief device, or bears with evidence of physical abuse, fire or
                                                             heat damage, or detrimental rusting or corrosion, will not be loaded and will be reported for repairs as required by
                                                             DOT Rules and Regulations.
                                                             The truck driver will receive and verify manifest denoting contents and “as charged” pressure, the driver will stop
                                                             as required and verify container and pressure indicators to ensure that no leakage has occurred. The driver will be
                                                             trained and will follow company procedures as to what to do and inspect during each mandated stop.
                                                             Each tube has mechanisms to regulate the internal pressure. Most of the time, under normal conditions, internal
                                                             pressure is much lower that maximum pressure admitted by the tube. However, in case of a greater internal
                                                             pressure develops, first a safety flange ruptures, secondly, a relief valve opens until set point pressure returns to
                                                             the tube, realising an small portion of the waste gas.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                                                  PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                                                                            page 39


                                                             The weight of the tube trailer will be measured during the un-loading of HFC 23 by using certified (calibrated)
                                                             load cells. For the sake of conservativeness, the lower value between Quimobásicos scale and Onyx scale
                                                             measurements will always be used to estimate the quantity of HFC 23 supplied to the incineration facility. The
                                                             tube trailer will be documented and stored until burning plan schedules its destruction.
                                                             The complete unloading operation is performed under internal Standard Division Practice # 2761R6 “Direct Feed
                                                             System Operation” of Onyx. The practice describes the preparation of the DFSC (Direct Feed Safety Checklist),
                                                             training on the DFSC, load receiving, sampling and staging, hook up, check of strainers, purge of feed and return
                                                             lines, preparation of tanker/trailer for unloading, recirculation process, tanker/trailer raising, unloading/feeding
                                                             process, system flushing, cleaning of strainers, and disconnecting and releasing of tanker/trailer. The Standard
6 q_HFC23y               High                                Practice assures a safe and leak-free feeding of the waste to the incinerator.
                                                             The tube trailer is first placed in the fluorinated products injection port. The trailer is sited on calibrated load cells,
                                                             so the injected material will be weighed during the unloading operation (without the car-truck, giving a highly
                                                             accurate measurement). All connections to the tube trailer manifold are performed before the unloading operation
                                                             begins; the pressure of the HFC 23 waste from the tubes is lowered to 7 atm (100 psi) with a regulating valve
                                                             while leaving the tubes. An ambient vaporizer installed after the pressure-regulating valve avoids any mixed feed
                                                             (liquid-gas) before entering the direct feed line. The mass flow entering the incinerator is controlled by a valve
                                                             connected to the Distributed Control System (DCS) of the plant. The tip of the direct feed line injects the HFC 23
                                                             waste gas 2 m (7 ft) deep at the front wall of the rotary kiln.
                                                             A specific Test Burn (considering EPA’s Comprehensive Performance Test protocol pursuant to 40 CFR part 63,
                                                             subpart EEE) will be performed at the beginning of the Quimobásicos operation to define the actual specific
                                                             Destruction and Removal Efficiency (DRE). Considering the scale and operating conditions (higher residence
10 DREHFC23              High                                time) at the Onyx facility, it is expected that a more complete destruction of the waste will be attained, compared
                                                             to a dedicated incinerator unit that could have being installed at Quimobásicos’ site. The expected destruction
                                                             efficiency for the HFC 23 waste is higher than 99.999%.

                                                             It will be obtained from production records of the facility. It is reference data to check cut-off condition and rough
12 Q_HCFC22y             High
                                                             estimation of HFC 23 generation.
                                                             It will be obtained from production records of the facility. It is reference data to check cut-off condition and rough
13 HFC23_soldy           High
                                                             estimation of HFC 23 generation.
16 Q_Ny                  Medium                              The weight of the N2 tank will be measured using weigh cells. N2 consumption will be registered once an hour.
18 Q_PowerQBy            High                                It will be measured using electricity meter.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 40



Quimobásicos has an operating manual according to the P-6.2.2-02 procedure and a Distributed
Control System (DCS) to support the work of the condensation unit operator.
All the electronic documents and archives related to DCS or I/A of processes for operating plants of
Quimobásicos, are contained in the database ISO ARCHIVER Documents of the company.
The control of the preventive maintenance of critical equipment that affects the process is carried out
through the P-6.3-10 procedure, to guarantee the good condition of the equipment, as well as the
continuity and security of the operation, apart from providing improvements.
On the other hand, it is assured that control and measuring instruments are in optimal conditions
according to the P-7.6-04.
The scale of tube trailer, the flow meters placed in line, and the pattern flow meters have the
identification numbers of the corresponding equipment and are registered in the Management System
of Maintenance (MSM).




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                   page 41




D.4     Please describe the operational and management structure that the project operator will
implement in order to monitor emission reductions and any leakage effects, generated by the
project activity


The structure that the companies will implement for the monitoring process is showed through the
following table.


                                             Table 4: Monitoring process


    Task name                Responsible                     Frequency                       Documentation

Measurement of           Condensation unit          Mass flows: at the beginning      These data will be registered
HFC 23 waste gas         operator                   of each turn and once an          in the Condensation Unit
production                                          hour during the turn.             Operation Report.
                                                    Weight of tube trailer: at the
                                                    beginning of each turn and
                                                    every two hours during the
                                                    turn.
Calibration of           Instruments                Pattern flow meters               Measurements made in the
equipment to             Department                 calibration: every year           internal calibration will be
measure the                                                                           registered in the calibration
                                                    Flow meters verification:
production of HFC                                                                     registry.
                                                    every week.
23 waste gas
                                                                                      In case of external calibration
                                                    Cells calibration: every 6
                                                                                      of equipment, the external
                                                    months
                                                                                      company will emit the
                                                                                      corresponding registry of
                                                                                      calibration.
                                                                                      These registries will be
                                                                                      archived during a year.
Measurement of           Quality Assurance          Purity of HFC 23 supplied to      The results will be registered
HFC 23 waste gas         Department                 condensation process: twice       in the laboratory analysis
purity                                              a week                            system according to
                                                                                      instructive CCL-7.4.302-09.
                                                    Purity of HFC 23 supplied to
                                                    incineration process: when        Registries will be archived
                                                    loading of the tube trailer is    during a year according to
                                                    finished                          General Procedure of Quality
                                                                                      Registry Control P-4.2.4-02.

Calibration of           Quality Assurance          Calibration: every year           To be confirmed
equipment to             Department
                                                    Verification: every 2 months
measure the purity
of HFC 23 waste
gas




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 42




D.5      Name of person/entity determining the monitoring methodology:


Marisa Zaragozi, Ivana Cepón, and Fabián Gaioli MGM International.
Junín 1655, 1º B
C1113AAQ, Buenos Aires, Argentina
Tel./Fax: (54 11) 5219-1230/32
e-mail: mzaragozi@mgminter.com
         icepon@mgminter.com
         fgaioli@mgminter.com


Marisa Zaragozi, Ivana Cepón, and Fabián Gaioli are not project participants.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 43




SECTION E. Estimation of GHG emissions by sources


E.1.      Estimate of GHG emissions by sources:


As mentioned above, project emissions within the project boundary correspond to emissions from
compressed HFC 23 transportation to the incineration plant.
Project emissions within the project boundary PEy (tCO2e/year) are given by:


          PEy     = E_DPy
                  = CO2_Transporty
                  = q_HFC23Ty  E_Transporty
                  = q_HFC23Ty  151.27/1000 tCO2e/tHCFC 23


For the ex-ante calculations, it have been made the following assumptions:


         The annual HCFC 22 production of Quimobásicos plant is 13,156 tonnes/year, the maximum
          annual production, obtained during the 2002 – 2004 period, of the existing HCFC 22
          production facility plus the CFC production of the second unit, appropriately adjusted to
          HCFC 22 production equivalent (see Annex 3).
         The (HFC 23)/(HCFC 22) production ratio is 2.44%, the lowest actual value of the three most
          recent years of operation up to 2004 (see Annex 3).
         After the condensation process, the liquefied waste fluorocarbon stream will be composed by
          90% of HFC 23 and 10% of HCFC 22.
         There are no looses of HFC 23 from its collection until reaching the incineration plant.
         There are no sales of HFC 23 from Quimobásicos plant.


Thus the quantity of HFC 23 loaded into the tube trailer results to be:


q_HFC23Ty         =13,156  0.0244 / 0.90 tHFC23/year
                  = 355.95 tHFC23/year


In consequence, ex-ante project emissions within the project boundary are given by:


PEy       = 355.95  151.27/1000 tCO2e/year
          = 53.84 tCO2e/year




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                    PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                          page 44

Thus, the amount of project GHG emission is expected to be around 1,131 tonnes of CO2-equivalent
over a 21-year time frame.


E.2.      Estimated leakage:


As mentioned above, the leakage considered for this particular project are these related with purchased
electricity for the condensation and conditioning processes. In addition, emissions from electricity
generation consumed by the producer of the N2 used during the condensation of the waste gas, are also
considered as leakage of this project.


Leakage LEy (tCO2e/year) in a year y are calculated in the following way:


LEy       = Q_Ny × EQ_PowerN × E_PowerNy + Q_PowerQBy × E_PowerQBy


E_PowerNy will be updated annually and corresponds to the CO2 emission factor of the Mexican grid
(Comisión Federal de Electricidad – CFE) from which the electricity is supplied. Its current value is
0.587 tCO2/MWh. 11
E_PowerQBy will also be updated annually and corresponds to the CO2 emission factor of the isolated
power plant supplying electricity to Quimobásicos. Its current value is 0.3553 tCO 2/MWh, as is
provided by the isolated power plant and verified by the Secretary of Energy.
Electricity consumption at the N2 production plant results from multiplying the N2 consumption during
the condensation process (Q_Ny) by the specific electricity consumption of the N2 production plant
(EQ_PowerN), whose value is considered fixed and equal to 0.88 MWh/tN2.


Thus


LEy       = Q_Ny × 0.88 × 0.587 tCO2/tN2 + Q_PowerQBy × 0.3553 tCO2/MWh


For the ex-ante calculations, it is considered that 2 tonnes of N2 and 0,5 MWh are consumed per tonne
of recovered fluorocarbons. Thus estimated annual consumption of N2 and electricity during the
condensation and conditioning processes are:


Q_Ny      = q_HFC23Ty × 2 tN2/tHFC23
          = 355.95 × 2 tN2/tHFC23
          = 711.89 tN2/year




11
  For the ex-ante calculation of emission reductions, the emission factor calculated for “El Gallo Hydroelectric Project” is
considered, since the N2 production plant is taking its electricity from the same grid and the emission factor computed for the
year 2006 in this project was already accepted in the validation of the project.


This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 45


Q_PowerQBy        = q_HFC23Ty × 0.5 Mwh/tHFC23
                  = 355.95 × 0.5 Mwh/tHFC23
                  = 177.97 Mwh/year


In consequence, ex-ante leakage is given by:


LEy      = 711.89 × 0.88 × 0.587 tCO2/year+ 177.97 ×0.3553 tCO2/year
         = (367.73 + 63.23) tCO2/year
         = 430.97 tCO2/year


Thus, the amount of leakage is expected to be around 9,050 tonnes of CO2-equivalent over a 21-year
time frame.


E.3.     The sum of E.1 and E.2 representing the project activity emissions:


The ex-ante estimations of total project GHG emission is expected to be around 10,181 tonnes of CO2-
equivalent over a 21-year time frame.

E.4.     Estimated anthropogenic emissions by sources of greenhouse gases of the baseline:


Baseline emissions involve the HFC 23 that would be released to the atmosphere in absence of the
project.


Baseline emissions BEy (tCO2e/year) in a year y are described as:


         BEy = (Q_HFC23y  BQ_HFC23y)  GWP_HFC23


As mentioned above, the baseline quantity of HFC 23 destroyed (BQ_HFC23y) is the quantity of the
HFC 23 waste stream required to be destroyed by the applicable regulations. In the absence of
regulations requiring the destruction of HFC 23, the HFC 23 waste is typically released to the
atmosphere so the baseline corresponds to zero destruction. To date, domestic law of Mexico does not
restrict HFC 23 emissions at all.


Thus baseline emissions are:


BEy = Q_HFC23y  11,700


For the ex-ante calculations, it have been made the following assumptions:




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 46

         The annual HCFC 22 production of Quimobásicos plant is 13,156 tonnes/year, the maximum
          annual production, obtained during the 2002 – 2004 period, of the existing HCFC 22
          production facility plus the CFC production of the second unit, appropriately adjusted to
          HCFC 22 production equivalent (see Annex 3).
         The (HFC 23)/(HCFC 22) production ratio is 2.44%, the lowest actual value of the three most
          recent years of operation up to 2004 (see Annex 3).
         There are no looses of HFC 23 from its collection until reaching the incineration plant.
         There are no sales of HFC 23 from Quimobásicos plant.


Thus the quantity of waste HFC 23 destroyed (Q_HFC23y) results to be:


Q_HFC23y          = 13,156  0.0244 tHFC23/year
                  = 320.35 tHFC23/year


In consequence, ex-ante baseline emissions are given by:


BEy       = 320.35  11,700 tCO2e/year
          = 3,748,110 tCO2e/year


Thus, the amount of baseline GHG emission is expected to be around 78,710,308 tonnes of CO2-
equivalent over a 21-year time frame.

E.5.    Difference between E.4 and E.3 representing the emission reductions of the project
activity:


As mentioned above, GHG emission reduction achieved by the project activity is the quantity of waste
HFC 23 actually destroyed less GHG emissions generated by the recovery-to-decomposition process
less leakage due to the recovery-to-decomposition process.


Emission reductions ERy (tCO2e/year) in a year y are calculated as


          ERy     = BEy – (PEy+ LEy)
                  = (Q_HFC23y  BQ_HFC23y) × GWP_HFC23  (q_HFC23Ty × E_Transporty +
                  + Q_Ny × EQ_PowerN × E_PowerNy + Q_PowerQBy × E_PowerQBy)
                  = 320.35  11,700 tCO2e/year – (355.95  151.27/1000 +
                  + 711.89 × 0.88 × 0.587 + 177.97 × 0.3553) tCO2/year
                  = 3,748,110 tCO2e/year – (53.84 + 367.73 + 63.23) tCO2e/year
                  = 3,747,625 tCO2e/year




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                   page 47




E.6.     Table providing values obtained when applying formulae above:

               Table 5: Ex-ante estimation of emission reductions during the 21-year crediting period
                                                      (tCO2e)

                                       Baseline       Project                        Emission
                        Year                                          Leakage
                                      emissions      emissions                      reductions
                         2006         3,748,110           54             431         3,747,625
                         2007         3,748,110           54             431         3,747,625
                         2008         3,748,110           54             431         3,747,625
                         2009         3,748,110           54             431         3,747,625
                         2010         3,748,110           54             431         3,747,625
                         2011         3,748,110           54             431         3,747,625
                         2012         3,748,110           54             431         3,747,625
                         2013         3,748,110           54             431         3,747,625
                         2014         3,748,110           54             431         3,747,625
                         2015         3,748,110           54             431         3,747,625
                         2016         3,748,110           54             431         3,747,625
                         2017         3,748,110           54             431         3,747,625
                         2018         3,748,110           54             431         3,747,625
                         2019         3,748,110           54             431         3,747,625
                         2020         3,748,110           54             431         3,747,625
                         2021         3,748,110           54             431         3,747,625
                         2022         3,748,110           54             431         3,747,625
                         2023         3,748,110           54             431         3,747,625
                         2024         3,748,110           54             431         3,747,625
                         2025         3,748,110           54             431         3,747,625
                         2026         3,748,110           54             431         3,747,625

                    Total            78,710,308         1,131          9,050        78,700,127




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 48




SECTION F. Environmental impacts


F.1.   Documentation on the analysis of the environmental impacts, including transboundary
impacts:


The process of condensation of the waste gas containing HFC 23 and the conditioning process have
not any negative environmental impact because it does not emit any gaseous pollutant or particulate
compound.
There is a very low negative impact mainly due to particulate matter emissions from transportation of
HFC 23 by heavy-duty diesel trucks. Nevertheless pollutant emissions released by trucks are
controlled by the transport regulation entity. Moreover, this low environmental impact is negligible in
comparison to the large environmental global benefit due to HFC 23 destruction.


F.2.    If environmental impacts are considered significant by the project participants or the
host Party, please provide conclusions and all references to support documentation of an
environmental impact assessment undertaken in accordance with the procedures as required by
the host Party:


No significant negative environmental impacts are expected from the implementation of the project
activity. An environmental impact study is not required by Mexican authorities.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 49




SECTION G. Stakeholders’ comments


G.1.     Brief description how comments by local stakeholders have been invited and compiled:


The process followed to collect stakeholder comments of the Quimobásicos HFC Recovery and
Decomposition Project was implemented through a survey.


The following set of questions was sent to stakeholders, during June 2005:


    1) Do you know what “Greenhouse Effect” or “World Climate Change” means?
    2) Do you know that there are actions we can take in order to prevent Climate Change?
    3) What would you think of an industry that takes measures to reduce Climate Change?
    4) Should the industries in Monterrey be national leaders for Greenhouse Gases reduction? Why?
    5) Do you know that Quimobásicos has started a Greenhouse Gases Reduction Program and that
       it is one of the largest and most important programs in Latin America?
    6) Do you agree with this type of programs? Should these efforts be known by the whole nation?
    7) Should authorities incentive this type of actions in the Industry?
    8) Do you agree with Quimobásicos development of this type of programs in their plant?
    9) Is there any additional comment or suggestion that you would like to make in order to spread
       this action for the benefit of the Planet?


The questionnaire was sent to judges and stakeholders from academic institutions and committees.


G.2.     Summary of the comments received:


The following table shows a synthesis of the comments received at the moment:




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                     PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                             page 50




                                                  Table 6: Comments received



    Question        Academic institutions (4)                        Committees (6)                         Judges (1)
1              4 Yes.                                  5 Yes.                                      1 Yes.
                                                       1 A little.
2              3 Yes.                                  6 Yes.                                      1 Yes.
               1 Not until now. Got to know by         It is necessary to know more.
               means of this survey
                                                       There are governments that still consider
                                                       these actions as a threat to the industry
                                                       and progress.
3              2 It is a committed industry.           4 Those industries are committed to the     1 It cares about the planet.
                                                       planet and their environment.
               1 All industries should do that.
                                                       2 It should be compulsory for all
               1 Good impression. Working for          industries.
               economic development and taking
               care of the environment at the same
               time.
4              2 Yes. Because they are leading         4 Yes. Because Monterrey is a leading       1 Yes. Because Monterrey
               companies.                              company.                                    is an industrial leader.
               1 Yes. Because they are supposed to     1 Yes. Because they care about human
               have an integral vision.                survival. They are leaders.
               1 Not necessarily, the issues involves 1 Yes.
               us all
5              4 Not until now. We feel proud of       3 Yes.                                      1 No.
               them. Got to know by means of this
               survey                                  3 No.

6              4 Yes. General diffusion through the    3 Yes. General diffusion through the        1 Yes.
               mass media is necessary.                mass media is necessary.
                                                       2 Yes. It would be the starting point to
                                                       raise an excellent environmental
                                                       conscience and would improve the life
                                                       quality.
                                                       1 Yes.
7              4 Yes.                                  6 Yes.                                      1 It should be promoted and
                                                                                                   also compulsory.
               Though fiscal incentives for the        Though economic resources.
               company.
                                                       With an adequate regulation.
               Not only the authorities. Also the
               company owners.
8              4 Yes.                                  1 Yes. Provided the region, health, and     1 Of course.
                                                       life quality are not negatively affected.
               It should be an example for other
               industries.                             3 Yes. The Fracc should be notified.
               They are direct players.                2 Yes.
9              2 Increase of measures to reduce gas    1 To inform in educational sectors.         1 To be massively spread
               emissions.                                                                          and publicized.
                                                      2 To inform about the use and risks of
               1 Programs and diffusion in the mass products elaborated by industries.
               communication means.
                                                      3 To build an environment-friendly
               1 To work in order to inherit a better culture in the region.
               environment.



This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 51



G.3.     Report on how due account was taken of any comments received:

Eleven comments have been received and they were very positive for project implementation.
Quimobásicos invites comments from other stakeholders, once the PDD has been published at the
DNV website during the validation process:
http://www.dnv.com/certification/climatechange/Projects/ProjectList.asp
Depending on the comments, proper account will be taken, if necessary.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 52




                                                     Annex 1


        CONTACT INFORMATION ON PARTICIPANTS IN THE PROJECT ACTIVITY



Organization:               Quimobásicos S.A. de C.V.
Street/P.O.Box:             Ave. Ruíz Cortínez Nº. 2333 Pte.
Building:
City:                       Monterrey
State/Region:               Province of Nuevo León
Postfix/ZIP:                64400
Country:                    Republic of Mexico
Telephone:                  (52) (81) 8158-2323
FAX:                        (52) (81) 8158-2688
E-Mail:
URL:                        www.quimobasicos.com
Represented by:
Title:                      General Manager
Salutation:                 Mr
Last Name:                  Lozano-García
Middle Name:
First Name:                 Sergio
Department:
Mobile:
Direct FAX:
Direct tel:
Personal E-Mail:            slozano@cydsa.com




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 53




Organization:               Honeywell Fluorine Products Europe B.V.
Street/P.O.Box:             Kempemweg 90
Building:                   P.O. Box 264
City:                       Weert
State/Region:               West Europe
Postfix/ZIP:                NL-6000 AG
Country:                    The Netherlands
Telephone:                  3149 55 14251
FAX:                        3149 55 18259
E-Mail:
URL:                        www.honeywell.com
Represented by:
Title:                      Director of Regulatory Affairs
Salutation:                 Mr.
Last Name:                  Vinck
Middle Name:
First Name:                 Timothy
Department:
Mobile:
Direct FAX:
Direct tel:
Personal E-Mail:            tim.vinck@honeywell.com




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 54




                                                     Annex 2

                         INFORMATION REGARDING PUBLIC FUNDING

No funds from public national or international sources were used in any aspect of the proposed
project.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                  page 55




                                                       Annex 3

                                           BASELINE INFORMATION


The key data used to determine ex-ante the baseline scenario is given in the following table.


                                               Table 7: Baseline data



 Item                                          Value                      Source
 Global Warming Potential (HFC 23)             11,700                     Revised 1996 IPCC Guidelines for
                                                                          National Greenhouse Gas Inventories:
                                                                          Reference Manual, page 2.45, table 2-26.
 Cut-off condition fraction                    2.44%                      Quimobásicos
 Fraction of the waste stream required to be   0                          Local regulation
 destroyed
 HCFC 22 production                            13,156 tHCFC22/year        Quimobásicos
 HFC 23 sold by the facility                   0                          Quimobásicos
 HFC 23 looses from its collection until       0                          Quimobásicos
 reaching the incineration plant



For the ex-ante calculations of baseline emissions, it have been made the following assumptions:


        The annual HCFC 22 production of Quimobásicos plant is 13,156 tonnes/year, the maximum
         annual production, obtained during the 2002 – 2004 period, of the existing HCFC 22
         production facility plus the CFC production of the second unit, appropriately adjusted to
         HCFC 22 production equivalent.
        The (HFC 23)/(HCFC 22) production ratio is 2.44%, the lowest actual value of the three most
         recent years of operation up to 2004.
        Domestic law of Mexico does not restrict HFC 23 emissions at all.
        There are no looses of HFC 23 from its collection until reaching the incineration plant.
        There are no sales of HFC 23 from Quimobásicos plant.


HCFC 22 production of Quimobásicos plant


In order to calculate the maximum annual production that can be considered for this project activity,
the following historical data of Quimobásicos plant have been used:




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                   page 56


                                   Table 8: Total equivalent HCFC 22 production


                                                                    Production
                                     Products                        (tonnes)
                                                          2002         2003         2004
                            CFC 11                        757          1,291        1,177
                            CFC 12                        4,894        7,402        6,867
                            Total CFCs                    5,651        8,693        8,044
                            HCFC 22                       4,947        5,117        7,570
                            Total equivalent HCFC 22
                                                          8,871       11,154       13,156
                            production12



According to AM0001, it is assumed a maximum annual HCFC 22 production capacity of 13,156
tonnes. It is the value used for the ex-ante calculation of emission reductions.


(HFC 23)/(HCFC 22) production ratio
The following historical data from Quimobásicos plant is used to calculate the (HFC 23)/(HCFC 22)
production ratio13:


                                   Table 9: (HFC 23)/(HCFC 22) production ratio


                                                                    2002          2003        2004
                  HCFC 22 produced (tonnes)                       4,947.246     5,117.534   7,569.779
                  HFC 23 generated (tonnes)                       121.4961      129.2177    184.3241
                  (HFC 23)/(HCFC 22) production ratio (%)           2.46          2.53        2.44



According to AM0001, the value of w shall be set at 2.44 %.




12
   According to information from Quimobásicos plant, while the CFC plant produce 36 tonnes of CFC per day,
the HCFC 22 plant produce 25 tonnes of HCFC 22. It is expected that the CFC plant produce 25 tonnes of HCFC
22 per day when it start producing HCFC 22, since the current HCFC 22 plant and the current CFC plant have
the same design. Thus, in calculation of HCFC 22 maximum annual production capacity, it is considered that 36
tonnes of CFC is equivalent to 25 tonnes of HCFC 22.
13
   Data obtained from mass balances carried out by Quimobásicos.


This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 57



                                                     Annex 4


                                            MONITORING PLAN


The Monitoring and Verification Plan describes the procedures for data collection, and auditing
required for the project, in order to determine and verify emissions reductions achieved by the project.
This project will require only very straightforward collection of data, described above.
The Monitoring and Verification Plan (MVP) document fulfills the CDM Executive Board
requirement that CDM projects have a clear, credible, and accurate set of monitoring and verification
procedures. The purpose of these procedures is to direct and support continuous monitoring of project
performance and periodic auditing, verification and certification activities to determine project
outcomes, in particular in terms of greenhouse gas (GHG) emission reductions. The MVP is a vital
component of project design, and as such is subject to a formal third-party validation process —along
with the project baseline and other project design features.
Managers of the Project must maintain credible, transparent, and adequate data estimation,
measurement, collection, and tracking systems to successfully develop and maintain the proper set of
information to undergo an audit for a greenhouse gas (GHG) emission reduction investment. These
records and monitoring systems are needed to subsequently allow an Operational Entity to verify
project performance as part of the verification and certification process. In particular, this process
reinforces the fact that GHG reductions are real and credible to the buyers of the Certified Emissions
Reductions (CERs). This set of information will be needed to meet the evolving international reporting
standards developed by the UNFCCC.
The document must be used by the project implementers and operators of the Technical Departments
of Quimobásicos plant. Strict adherence to the guidelines set out in this monitoring plan is necessary
for the project managers and operators to successfully measure and track project impacts for audit
purposes. MGM International will provide capacity building to the Technical Departments
Quimobásicos plants, in order to meet the requirements presented in this MVP.
The new methodology describes the procedure and equations for calculating project and baseline
emissions from monitored data. For the specific project, the methodology is applied through a
spreadsheet model. The staff responsible for Project monitoring must complete the electronic
worksheets on a monthly basis. The spreadsheet automatically provide annual totals in terms of GHG
reductions achieved through the project.
The models contain a series of worksheets with different functions:


Data entry sheets:
        HCFC 22 production
        Quantity and purity of HFC 23 supplied to de condensation process and to the incineration
         process
        Quantity of HFC 23 loaded into the tube trailer
        HFC 23 sold
        Fraction of HFC 23 required to be destroyed
        Destruction and Removal Efficiency of HFC 23
        N2 and electricity consumption at Quimobásicos plant



This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.
                   PROJECT DESIGN DOCUMENT FORM (CDM PDD) - Version 02

CDM – Executive Board                                                                                 page 58

        Emission factor for electricity generation


Calculation sheets:
        Baseline emissions
        Project emissions
        Leakage


Result sheet:
        Emission reductions


There are worksheets where the user is allowed to enter data. Even in these sheets, only those cells
where the staff of each plant is required to enter data have been left unblocked. All other cells contain
model fixed parameters or computed values that cannot be modified by the staff.


A color-coded key is used to facilitate data input. The key for the code is as follows:


   Input Fields: Pale yellow fields indicate cells where project operators are required to supply data
    input, as is needed to run the model;
   Result Fields: Green fields display key result lines as calculated by the model.


Other sheets are shown in subsequent pages. All fields in these sheets include fixed values, or values
that are computed from data in the data entry sheets. The last sheet shows the results, comparing year-
by-year GHG emissions with the project with baseline values in order to determine annual emissions
reductions, shown in the last column.
All electronic data will be backed up on a daily basis, and two electronic copies of each document will
be kept in different locations: the plant and its Head Office.




This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

								
To top