SECTION B.  Application of a baseline and monitoring methodology:

B.1. Title and reference of the approved baseline and monitoring methodology applied to the project activity:
The project uses version 2 of the consolidated methodology, name of method: ACM0012/Version 02—Consolidated baseline methodology for GHG emission reductions for waste gas or waste heat or waste pressure based energy system
Reference:
The following information is available on UNFCCC website:
1、 The consolidated methodology ACM0012 approved by the executive board - Consolidated baseline methodology for GHG emission reductions for waste gas or waste heat or waste pressure based energy system；
2、 The calculation method for the emission factor for an electricity system: Annex 12 Methodological tool(version 01)“Tool to calculate the emission factor for an electricity system”
3、 Tool for demonstration and assessment of additionality: Methodological Tool“Tool for demonstration and assessment of additionality (Version 04)”

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B.2. Justification of the choice of the methodology and why it is applicable to the project activity:
The method is the baseline methodology and the relevant monitoring plan methodology approved by the executive board (EB). The project activity is to use the blast furnace top gas to generate power, which takes the place of grid power on condition that the project is not developed.
According to applicability description of ACM0012 – the consolidated methodology is applicable when waste gas and/or waste heat are used as energy, which includes cogeneration, power generation, heat produced in base processes (such as steam, hot water, hot oil and hot gas), and the consolidated methodology is also applicable in the project activity of gas power generation – the project activity employs blast furnace top gas to generate power which is measurable, so the methodology can be used in the project activity. The project selects the baseline methodology whose application conditions, basic assumptions, calculation formulas, data requirements and sources are applicable to this project activity. Using this method to estimate the emission reductions of the project activity is transparent and conservative.