CEA’s CO2 Baseline Database- Impact of RE On Indian Grid Emissions Intensity

The Central Electricity Authority (CEA) under the Ministry of Power, Government of India, has published the latest “CO2 Baseline Database for the Indian Power Sector, Version 20.0” in December 2024. The CDM tool, “Tool to Calculate the Emission Factor for an Electricity System” (Version 7.0), was used for the calculations. The calculations are based on generation, fuel consumption and fuel quality
data obtained from the power stations. Typical standard data were used only for a few stations where information was not available from the station. With data till 2023-24 part of the same, the updated emission factor for the combined margin is now;

– For Solar/Wind Projects – 0.861 tCO2e
– For Non-Solar/Wind Projects – 0.758 tCO2e

The full report with definitions and methodology can be viewed here.

These values are used for estimating emission reductions in Indian project documents and for calculating the actual emission reductions.

The CEA’s effort seeks to highlight India’s efforts to balance energy needs with environmental sustainability. The emphasis on showcasing the reduction in carbon intensity through the inclusion of renewable energy in grid calculations serves to demonstrate real progress on the ground. Readers will recall that India has been under scrutiny for continuing to go for more coal based thermal capacities, even as it expands its renewable base as well.  For 2023-24, renewable energy generation increased to 225.83 billion units, up from 203.55 billion units the previous year. As a result, the weighted average emission factor adjusted for renewable energy was calculated at 0.727 tCO2/MWh. A challenge for India till 2023-24 has been the higher than expected rise in power demand, which has necessitated a relook at coal based plants, as renewables were seen as too risky to assure grid stability.

Build Margin (BM) and Combined Margin (CM), which represent emissions from the latest capacity additions and a blend of operating and build scenarios, will now better reflect the environmental benefits of renewable energy after the latters inclusion in calculating these. For 2023-24, the BM was 0.552 tCO2/MWh, and the CM stood at 0.757 tCO2/MWh. Both values show a decline due to the increased share of renewables.