02 Nov 2011
Everbright International's Dangshan Biomass Power Generation CDM Project Was Successfully Registered in the United Nations
Demonstrates Strengths in Developing New ProjectsChina Everbright International Limited ("Everbright International" or "the Group"), is pleased to announce that its Dangshan Biomass Power Generation Project ("Dangshan Project" or "the Project") was successfully registered as a clean development mechanism "CDM" project (code: 4079) by the United Nations on 8 August 2011.
At the end of 2009, the Chinese Government issued a directive "Supplementary Information for Hong Kong Enterprises to Initiate (CDM) Projects in the Mainland China", which provided favourable conditions for Everbright International, as a Hong Kong enterprise, to apply for CDM project certification. The Dangshan Project is the Group's first CDM project. Within one year of the agreement signed in November 2010 in relation to the purchase of carbon emission quotas, the Group succeeded in certifying the Project as a CDM project in its first attempt, an achievement seldom seen for a project with a relatively short development period.
Located in Dangshan County, Anhui Province, Dangshan Project is the Group's first biomass power generation project. It mainly uses biomass including straw, waste from fruit trees and board processing waste materials to generate power. Construction started in July 2010, and it was connected to the power grid in September 2011. Upon commencement of operation, it is expected to reduce carbon dioxide emissions by not less than 140,000 tonnes each year. The successful registration of the Project may bring an annual revenue to the Company of not less than RMB10,000,000 from reduction of carbon emissions, and benefit both the society and the economy.
The uncertainties in the carbon market and the accumulated number of projects in the United Nations have made the successful registration of CDM projects more difficult. Under such circumstances, the certification of the Dangshan Project has fully demonstrated the Group's capability in developing new projects.
Mr. Chen Xiaoping, Chief Executive Officer of Everbright International, said, "Developing biomass energy business is currently one of our key strategies. Apart from the Dangshan Project, we are also planning several other biomass power generation projects in the Mainland China. We will build these projects and at the same time, aim to register them as CDM projects so as to generate greater development opportunities for the Company and bring greater benefit for the society and the economy."