INCaF PhasCon

completed

The project involves construction and operation of three landfill gas to energy (“LFGTE”) projects in existing landfills in China at Dalian in Liaoning Province and Huizhou and Huiyang in Guangdong Province. For each LFGTE project, there will be a network of vertical landfill gas (“LFG”) extraction wells, a LFG conveyance system, a blower station, an enclosed flare, and LFG fueled internal combustion engine(s) for the generation of electricity that will be sold to the local power grid. PhasCon is implementing a Clean Development Mechanism (CDM) project at landfill based on the capture of fugitive methane from each site and the displacement of grid-based power, which is primarily supplied by coal-fired power stations, with power generated from each LFGTE project. Jointly or independently with the landfill operator at each site, PhasCon will undertake the following:- Designing, constructing, and maintaining a one meter thick landfill cover system to divert storm water, prevent storm water infiltration, and enhance the anaerobic degradation of the in-place waste; - Designing, installing and operating the LFG collection system to limit fugitive emissions of methane;- Designing, installing and operating a leachate recirculation system for leachate pre-treatment while enhancing the degradation of the in-place waste; - Designing, constructing and operating a power generation system that uses the captured methane to generate electricity; Each project will be developed in two stages. During the first stage, the final cover system for the landfill, the leachate recirculation system (where applicable) and the LFG collection and conveyance systems will be constructed. The collected LFG will be thermally treated in the enclosed landfill gas flare. In the second stage, the LFG-fueled power generation equipment will be installed at the site and a grid connection established by the electric company. During the second stage, LFG will be consumed during power generation, while the enclosed flare will serve as a backup LFG treatment system.Based on review of the Feasibility Studies and other pertinent project information, the LFGTE projects were found to be in conformance with applicable local and provincial regulations and will result in net improvements to current health, social and environmental conditions at the landfills and surrounding areas. Extrapolating from PhasCon''s experience at the presently operating Meizhou LFGTE project, it is expected that PhasCon will operate the projects in broad compliance with IFC performance standards regarding environmental and social issues, labor practices, workers and community health and safety, public consultation and waste management operational practices.Past, current, and future operations of the waste disposal facilities are not considered part of the LFGTE projects in which IFC is considering investing, since implementation of the LFGTE project will only take place on the already existing and non active landfill areas, where no more landfilling operations are taking place. However, environmental and social impacts linked to landfill design and operation were also analyzed during the consultant site visit and review and all 3 landfills were found to be of adequate standards to broadly meet IFC performance standards.