ACEN Corp. and The Rockefeller Foundation said Wednesday the first Coal to Clean Credit Initiative (CCCI) pilot project could avoid up to 19 million tons of carbon dioxide (CO2) emissions.
RMI, a technical partner of The Rockefeller Foundation under CCCI, led the initial assessment of the eligibility of the 270-megawatt South Luzon Thermal Energy Corp. (SLTEC) for the pilot project.
RMI’s assessment, supported by The Rockefeller Foundation, explored the climate impact of leveraging carbon finance to close the SLTEC coal plant in 2030, 10 years ahead of its scheduled retirement.
The project also plans to replace the SLTEC plant with clean power and battery storage, while supporting the livelihoods of workers affected by the early transition.
The analysis applied CCCI’s draft methodology, currently under review by Verra, to assess SLTEC’s eligibility for carbon financing. It found that the project meets the eligibility criteria of the draft methodology and that decommissioning by 2030 would not be possible without carbon finance.
“We are delighted to accomplish this important milestone of confirming the project’s eligibility under CCCI’s draft methodology. This paves the way to fully develop the just transition plan and engage with potential buyers of carbon credits. We will continue to build on this momentum and hopefully deliver a successful pilot project,” ACEN president and chief executive Eric Francia said.
The Rockefeller Foundation president Dr. Rajiv Shah said this is an important next step for CCCI, and everyone is counting on innovative technical and financial solutions to the threat of climate change.
“Right now, vulnerable people around the world are already experiencing the effects of climate change first and worst. This pilot can give us the necessary data, lessons, and hope to replicate a similar approach in other emerging markets and developing economies, potentially avoiding billions of tons of carbon emissions while providing clean, reliable electricity to those who need it most,” ACEN said.