SRF Rajasthan

Project full name

GHG emission reduction by thermal oxidation of HFC 23 at refrigerant (HCFC-22) manufacturing facility of SRF. Ltd.

CDM Project number

0115

Description

The main objective of this CDM project is to reduce GHG emissions through the destruction of HFC 23 gases in a proposed thermal oxidation system. HFC 23 is generated as a waste stream during the manufacturing of HCFC 22. Since there are no regulations in India restricting the emission of HFC 23, SRF has been releasing the gas into the atmosphere. HFC 23 has low toxicity, but has a high global warming potential.  The thermal oxidation system will enable SRF to avoid HFC 23 emissions, which would have been released into the atmosphere in absence of the project activity.

Report summary

Key promises made by project proponents:

  • improved management of natural resources within the project and the vicinity of the project activity
  • project activity shall result in significant reduction in GHG emissions
  • project design takes into account all measures to mitigate risks of handling hazardous substances
  • sponsors have in the past contributed to construction of water management structures like check dams ect and propose to utilize part of the CDM revenues towards facilitating improved management of water and soil resources by local communities
  • setting up of unit shall provide some amount of income security to agricultural labourers in the region
  • SRF intends to reinvigorate the present community initiatives in health

Situation on the ground:

HFC gases are banned in European countries, however, this project activity generates carbon credits to reduce GHG emissions through the destruction of HFC23 gases. As outlined in the sustainable development promises made in the Project Design Document (PDD), the project shall contribute to improved management of natural resources within the project and the vicinity of the project activity. However, the project activity has adverse effects on the environment as well as human health due to unfiltered gas releases and leakages. These unfiltered releases cause eye irritations and lung problems of the local population. Moreover, mostly untreated waste water is discharged in the nearby stream causing water pollution. In the PDD it was outlined that the project proponent is proposing to utilize part of the CDM revenues towards facilitating improved management of water and soil resources by local communities. These activities have not been carried out, but on the contrary, the project activity is causing water pollution in the area. The discharge of untreated waste water is negatively influencing the agricultural production and access to clean water resources for locals.

Industrial gases Industrial gases

Project participants

  • India:
  • SRF. Ltd.
  • Germany: 
  • Solvay Fluor GmbH
  • UK:
  • ICECAP Trading Limited
  • EDF Trading Limited (withdrawn)
  • Goldman Sachs International
  • Noble Carbon Credits Ltd (withdrawn)
  • Netherlands:
  • Goldman International
  • Italy:
  • ENEL Trade S.p.a. (withdrawn)
  • France: 
  • Mercuria Energy Trading SA (withdrawn)
  • Switzerland: 
  • Mercuria Engergy Trading SA (withdrawn)
  • STX Services B.V.
  • SRF Limited

financial institutions involved:

  • UK:
  • BNP Paribas S.A. (withdrawn)
  • Rabobank International (withdrawn)
  • Climate Change Capital Carbon Fund S.a.r.l (withdrawn)
  • France:
  • BNP Paribas S.A. (withdrawn)
  • NATIXIS (withdrawn)
  • Switzerland:
  •  BNP Paribas S.A. (withdrawn)
  • Germany:
  • Kreditanstalt fuer Wiederaufbau (withdrawn)

Registration date

24. December 2005

Carbon credits issued to date

29.688.497

Exact location



Rajasthan
India

Relevant links at UNFCCC website

PDD
host country letter of approval
validation report

Sustainable development benefits

social well-being

sustainable development benefits according to claims made by project developers:

  • community development that recommend spending a part of the revenues for projects such as HIV/AIDS awareness, rain water harvesting, education and livelihoods promotion
  • the project would boost ongoing initiatives and broaden SRF’s role in the sustainable development of all areas where SRF units are located
  • SRF commits a total fund of INR 100 million (about 1.3 million EUR) for the life of the entire CDM project out of the revenues received once there is revenue stream from sale of CERs, which will be used for:
  • 1. integrated water shed development in Rajasthan and Tamil Nadu
  • 2. improvement of the effectiveness of existing educational infrastructure in selected areas of its plant through strategic interventions
  • 3. undertaking HIV/AIDS awareness amongst high risk groups and improving the the effectiveness of HIV/AIDS solution delivery
  • project activity is proposed in rural area and thereby creating employment opportunities in the rural areas in construction, operation and maintenance
  • project would generate direct and indirect employment to local population and increased income securtity
  • setting up of unit shall provide some amount of income security to agricultural labourers in the region
  • employment opportunites shall contribute to empowerment of vulnerable sections, especially agricultural labourers and marginal labourers
  • it is expected that the project activity shall result in widening of skill base of local community
  • several operation and maintenance work is proposed to be outsourced to local contractors and the local labour and workman shall thus acquire new skills through a type of “on the job training”
  • exposure to, together with an increased income potential in construction, operation and maintenance of an operating facility shall result in capacity development of all persons involved in these phases of the project
  • increased activity and income on account of the project shall result in redistribution benefits and cropping up of allied services
  • SRF intends to reinvigorate the present community initiatives in health, hygiene and education with focus on education and health care of girl children

sustainable development benefits according to reports:

Jobs  

  • non-permanent jobs:
  • small number of local people employed under temporary contracts
  • income generation: 
  • income security negatively influenced by project activity as farming activities are adversily influenced
  • unemployment of farming labours major issue at local level, as gas leakages and shortage of ground water cause destruction of harvest in farming lands

Health and safety

  • enhancing health services:
  • SRF organized one general medical camp in 2011 reducing health damaging pollution
  • unannounced releases of poisonous gas from the project site cause severe human health impacts in form of eye irritation and burning skin

Education

  • educational services: 
  • 4-5 teachers appointed in primary school of village
  • teacher salary of INR 4000 (ca. 50 EUR) per month paid by SRF
  • 3-4 rooms have been constructed in local school by the SRF

Welfare 

  • community upliftment: 
  • no activities towards sustainable development carried out using the committed fund of INR 100 million (about 1.3 million EUR)

economic well-being

sustainable development benefits according to claims made by project developers:

  • implementation of watershed development programme with the salient components of: afforestation of about 7000 hectars of available (fallow, waste lands and hilly areas) soil and water conserving structures in the Tijara Tehsil and in the identified watershed water harvesting in built-up areas

environmental well-being

sustainable development benefits according to claims made by project developers:

  • improved management of natural resources within the project and the vicinity of the project activity
  • project activity shall result in significant reduction in GHG emissions
  • sponsors are carrying out an Environment Impact Assessment for the project activity and implement an Environment Management Plan to effectively mitigate adverse environmental impacts of the project, if any
  • project proposed in the existing plant premises and no new land is proposed to be procured and diverted to the project
  • project design takes into account all measures to mitigate risks of handling hazardous substances
  • by recovering HF through application of innovative technology, SRF would not only be conserving resources but also avoid handling and disposal of solid waste
  • sponsors have in the past contributed to construction of water management structures like check dams ect and propose to utilize part of the CDM revenues towards facilitating improved management of water and soil resources by local communities
  • sponsors shall devote part of income for the project activity to create green-belt n their premises and if permitted, undertake afforestation in village wastelands and other available locations
  • afforestation in about 7000 hectar, which would be undertaken in the waste land and hilly areas as also in available landmass of cultivates areas
  • afforestation would address the purposes of water recharge, soil erosion control, fuel wood, industrial raw material and ecological material which specific emphasis on native species and link to income generation activities
  • soil and water conservation through agronomic measures such as contour farming, off season tillage, deep tillage, mulching and providing vegetative barriers on the contour will be undertaken
  • engineering measures will be adopted based on requirements of location, slope of the land, soil type, and amount and intensity of rain fall
  • precolation ponds, silt detention tanks and irrigation tanks will be constructed to harvest water and recharge it to the groundwater for use in agriculture (irrigation)

sustainable development benefits according to reports:

Water 

  • water management: 
  • mostly untreated water discharged into nearby stream, causing negative enviromental impacts •only one check dam was constructed
  • no further measures initiated by company to improve water management structures

Air

  • SOx and NOx: 
  • numerous gas leakages from SRF plant
  • without prior warning, company releases poisonous gas in the early mornings
  • unfiltered gas releases cause negative impacts for environment and human health
  • gas leakages cause burning of harvest of local farmers •per leakage incident, company pays INR 500-700 (6-7 EUR) to local farmers for compensation

Sources and Materials

Sources

  • Glimpse from Ground: Analysis of selected CDM projects by Gujarat Forum on CDM

Organisations working on project

  • Gujarat Forum on CDM
  • Paryavaran Mitra

Last update

03.12.2014


Speak Your Mind

Your email address will not be published. Required fields are marked *

XHTML: You can use these tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>