Brazilian Biomass Energy Project

SES, Inc. (SES) is an approved verifier of offset credits through the Chicago Climate Exchange (CCX). SES was contracted to verify offset credits that were generated by the Serraria Egidio Biomass Project in Juruena, Mato Grosso, Brazil. Environmental Credit Corporation (ECC) is project owner for these offsets. The verification was conducted by Mr. Rob Dobson of SES. The site visit took place on July 15, 2008. Mr. Fellipe Stuhler of Serraria Egidio was present during the site visit. Serraria Egidio Ltda. (Serraria Egidio) is claiming credits for operation of electrical generating equipment producing power from wood and wood residue. Two types of credits are being claimed from this project: (1) generation of electricity from renewable fuels, and (2) avoided methane emissions from controlled combustion of the wood residue.

Renewable Energy Production

SES used CCX's Rulebook, Section 9.12 pertaining to "Offset Issuance for Electricity Produced by Renewable Energy," as the guidance for the verification of the renewable electricity portion of this project. SES performed a document review, site assessment and interviews with personnel at Serraria Egidio to conduct the verification of the renewable energy source portion of this project.

Calculation of Credits

The CCX protocols specify a crediting rate of 0.40 metric tons of carbon dioxide equivalent (CO2e) per megawatt-hour (MWh) generated by eligible renewable energy facilities unless the project can support a higher issuance rate. ECC has used 0.80 metric tons per MWh based on country-specific and region-specific factors. As noted above, the rural areas of northern Mato Grosso, where Serraria Egidio is located, are not served by the national connected grid in Brazil. Power is produced locally by generators powered by diesel fuel. To determine an emission factor for the local grid, ECC used United Nations Clean Development Mechanism (CDM) method I.D. Table I.D.1 specifies the emission factors for electricity generated exclusively with diesel or fuel oil, which is the case in Juruena. The emission factor for systems over 200kW is 0.

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Valley Wood Carbon Sequestration Project

Valley Wood manages The Holland M. Ware Charitable Foundation carbon sequestration project, one of the CCX's first projects using a managed forest protocol. The foundation is a 501c3 organization that was established by Mr. Holland Ware to fund philanthropic pursuits, including animal shelters, animal research, and the prevention of cruelty to animals. Mr. Ware, and the foundation, are significant contributors to the U.S. Humane Society. Mr. Ware contributed more than 60,000 acres of forest land to the foundation and those lands, all in Georgia, have been enrolled in a carbon sequestration program with the CCX.

Carbon sequestration scientifically measures the net amount of CO2 stored by a sustainably managed forest as it grows and matures. Through complex quantification and certification processes, Valley Wood calculates the carbon stored on timber lands. Sustainable forestry is the management of forests to meet the needs of the present without compromising the ability of future generations to meet their own needs by practicing a land stewardship ethic which integrates the reforestation, managing, growing nurturing and harvesting of trees for useful products with the conservation of wildlife, plants, soil, air and water quality, and aesthetics.