METHANE AT NUBARASHEN DUMP IS MORE THAN EXPECTED

Yerevan, February 6. ArmInfo. Instead of the promised $8 mln, the
Japanese "Shimidzu" Corporation will grant $3-4 mln under construction
of a plant for obtainment of biogas from domestic garbage in Yerevan,
the Head of "Mijavair" CJSC, Vram Tevosyan, said at public hearings.

To note, Japan committed itself to reduce the emissions of hotbed
gases to 8% by 2015 within the frames of Kyoto Protocol to the
Framework Convention for the climate change. By investing in the
Nubarashen project, the Japanese Corporation can receive credits in
the emission trade of carbonic acid. The "Shimidzu" had expressed a
desire to invest a project in Armenia for the reduction of emissions
of hotbed gases even two years ago, which, in its turn, may bring
credits to Japan for the reduction of emissions.

Meanwhile, as Tevosyan noted, during the Project development,
calculations were carried out for determination of methane in
experimental 7 boreholes, which allowed to determine the total volume
of methane of 8190 tons, produced by the Nubarashen dump. The previous
calculations indicated a greater content of methane. To note, the
Nubarashen dump has been accepting the solid domestic waste of Yerevan
since 1960. According to the preliminary calculations, 420-450 tons
(149 100 tons per year) of garbage is annually sent to the dump. In
some places, the garbage layer reaches 20 meters.

To note, the advantage of the emission trade is that 1 ton of
methane is equal to 21 tons of carbonic acid. In fact, the Japanese
Corporation can receive a credit of 172,000 tons CO2 under the
Nubarashen project. In Japan, investments of $130-140 mln will be
required for the reduction of 1 mln ton of CO2, while in Armenia it
will make up $3-4 mln. By the way, according to the latest data, the
world prices for the trade of emissions reach 5-7 Euro per 1 ton of
CO2. Thus, if sell the above-given 172,000 tons of CO2 at a minimum
price of 5 Euro, on can gain 860,000 Euro. According to the Kyoto
Protocol, Japan is authorized not only to invest in the reduction
of emissions in other countries but to sell the credits, received
from these deals. That is, at quotation in N Euro or N US dollars,
Japan will have a reverse capital inflow from the investment percents.

Having no alternative for utilization of methane and other hotbed
gases, which cause a damage to Yerevan of 41,5 mln drams per
year only from the Nubarashen dump, the Japanese proposal becomes
profitable for Armenia since electric energy may be also produced as
a result. According to Tevosyan, the later installed generator will
be capable to receive 620 kW of electric energy from gas, received
as a result of methane burning. He said, the project implementation
will also improve the environment in the range suburbs.