September 11, 2007 (The Herald) – Scottish & Southern Energy has signed a deal to back four new wind farms in China as part of its carbon reduction programme.SSE said yesterday it had finalised the agreements with GD Power Development, a subsidiary of China Guodian Corporation, one of China’s major energy companies, to support the development of the farms in the north-east of the country. The first agreement was signed in June.
SSE Energy Supply will purchase about two million carbon emissions reduction certificates (CERs) over a period of five years from the start of 2008.
Under the Clean Development Mechanism (CDM) established under the Kyoto Protocol, countries and companies can meet their carbon emission reduction targets by purchasing CERS from CDM-approved carbon reduction projects in the developing world. This is the first time that SSE has directly acquired primary CERs from a project.
Each of the farms is expected to have an installed capacity of around 50mw and will displace carbon emissions from coal-fired power stations in the region. The construction of the first farm is already under way and the last is expected to be commissioned during 2008.
In May 2007, SSE announced that it had set a target to reduce by 20% over 10 years to 2016 the amount of carbon dioxide per kilowatt hour of electricity produced at power stations in which it has an ownership or contractual interest.
It said its target would include CERs from specific generation projects under the CDM, but would exclude those which are not related to a specific generation project.