**4. Grid emissions: understanding the problem**

Brazil has one of the largest interconnected systems in the world with similar dimensions to Western Europe (**Figure 4**); for large systems like this, it is very hard to quantify the amount of GHG emitted, especially with a combination of so many different sources with different environmental attributes like a coal-burning thermal plant or a carbon neutral small-scale wind turbine, for instance.

**135**

GHG emissions.

*Voluntary Certification of Carbon Emission in Brazil - The Experience of an Electricity Trader*

Being the Brazilian commercial model, a system of free competition, theoretically each plant at any point of the grid could inject the energy destined for a certain final consumer. It happens that even though the system is interconnected, the laws of physics determine that power and electric flows occur depending on the network topology, voltage levels, and the relative positioning between generation and load. Also, as interconnected grids are operated usually by independent entities and the criteria for dispatch is in regular bases, efficiency and supply security, it is virtually

This could be more complicated in Brazil, as sometimes hydro plants (the main source of power production in Brazil) may even be switched off to preserve water in the drier months, for future use. The resulting energy deficit is offset by energy

Therefore, there would be no one to one correspondence between generation and consumption, so the emission factor likely to be accounted for could be only that resulting from the average value to be determinate from some reasonable criterion. However, there is a very important conditioner that brings a solution to this issue, the purchase and sale contracts. Thus, considering that, the energy produced cannot be stored (at least not in relevant quantities and at competitive costs) and assuming that the electricity consumed is equal to that produced (after technical and commercial losses), the match between generation and load is supported by the contracts. Therefore, the generating fact that connects a consumer to a lowemission production (for example, small hydro power plant) can be made through

The methodology used by Comerc-Sinerconsult uses the set of rules established

The methodology discussed in this chapter is the one that is destined to inventories which reflect the Brazilian emissions on time line. It is noteworthy that unlike other countries, the Brazilian emissions, which are naturally very low among countries around world, have been worsened due to the massive insertion of intermittent renewable sources in the Brazilian electricity matrix (they need more thermo power plants in backup reserves) and by the growing difficulties of the hydrological

Since 2009, Comerc using the methodology developed by itself and in partnership with Sinerconsult served more than 1600 electricity consumers with power from incentivized sources in the deregulated market. This portfolio of clients has companies of more different industries in Brazil, like chemicals, vehicles, and auto parts, food, surgical and hospitals, electroelectronics, household cleaning products,

Brazil decides that hydro plants of any size, biomass thermal plants, solar farms,

packing, personal care, paper and cellulose, leverage, and so many others.

wind facilities, and some qualified cogeneration plants must be considered as carbon neutral. Although it is a known fact that some hydro plants do emit greenhouse gases, the Brazilian DNA has determined that for accounting purposes in the Brazilian electric power sector, all hydro plants are to be considered as having no

by the United Nations (UN) named "ACM-002-Methodology for Calculating the Average Grid Emission used for Clean Development Mechanism," available on the UNFCCC website [19]. Even if considering that the Kyoto Protocol is no longer valid, the methodology, which was developed with sound principles, has criteria that remain valid. By the way, it is based on this methodology that the Brazilian Government through its Ministry of Science Technology Innovation and Communication (Brazilian Designated National Authority—DNA) publishes monthly the hourly statistics of the emissions of the electric grid. These statistics are published for both carbon credit projects, whose useful life still remains after

*DOI: http://dx.doi.org/10.5772/intechopen.81185*

the contract between the parties.

regimes in the last 4 years.

impossible to unequivocally associate load and generation.

produced by thermal plants burning a range of fossil fuels.

the Kyoto Protocol and for corporate inventories [20].

**Figure 4.** *Brazilian interconnected grid [4].*

#### *Voluntary Certification of Carbon Emission in Brazil - The Experience of an Electricity Trader DOI: http://dx.doi.org/10.5772/intechopen.81185*

Being the Brazilian commercial model, a system of free competition, theoretically each plant at any point of the grid could inject the energy destined for a certain final consumer. It happens that even though the system is interconnected, the laws of physics determine that power and electric flows occur depending on the network topology, voltage levels, and the relative positioning between generation and load. Also, as interconnected grids are operated usually by independent entities and the criteria for dispatch is in regular bases, efficiency and supply security, it is virtually impossible to unequivocally associate load and generation.

This could be more complicated in Brazil, as sometimes hydro plants (the main source of power production in Brazil) may even be switched off to preserve water in the drier months, for future use. The resulting energy deficit is offset by energy produced by thermal plants burning a range of fossil fuels.

Therefore, there would be no one to one correspondence between generation and consumption, so the emission factor likely to be accounted for could be only that resulting from the average value to be determinate from some reasonable criterion.

However, there is a very important conditioner that brings a solution to this issue, the purchase and sale contracts. Thus, considering that, the energy produced cannot be stored (at least not in relevant quantities and at competitive costs) and assuming that the electricity consumed is equal to that produced (after technical and commercial losses), the match between generation and load is supported by the contracts. Therefore, the generating fact that connects a consumer to a lowemission production (for example, small hydro power plant) can be made through the contract between the parties.

The methodology used by Comerc-Sinerconsult uses the set of rules established by the United Nations (UN) named "ACM-002-Methodology for Calculating the Average Grid Emission used for Clean Development Mechanism," available on the UNFCCC website [19]. Even if considering that the Kyoto Protocol is no longer valid, the methodology, which was developed with sound principles, has criteria that remain valid. By the way, it is based on this methodology that the Brazilian Government through its Ministry of Science Technology Innovation and Communication (Brazilian Designated National Authority—DNA) publishes monthly the hourly statistics of the emissions of the electric grid. These statistics are published for both carbon credit projects, whose useful life still remains after the Kyoto Protocol and for corporate inventories [20].

The methodology discussed in this chapter is the one that is destined to inventories which reflect the Brazilian emissions on time line. It is noteworthy that unlike other countries, the Brazilian emissions, which are naturally very low among countries around world, have been worsened due to the massive insertion of intermittent renewable sources in the Brazilian electricity matrix (they need more thermo power plants in backup reserves) and by the growing difficulties of the hydrological regimes in the last 4 years.

Since 2009, Comerc using the methodology developed by itself and in partnership with Sinerconsult served more than 1600 electricity consumers with power from incentivized sources in the deregulated market. This portfolio of clients has companies of more different industries in Brazil, like chemicals, vehicles, and auto parts, food, surgical and hospitals, electroelectronics, household cleaning products, packing, personal care, paper and cellulose, leverage, and so many others.

Brazil decides that hydro plants of any size, biomass thermal plants, solar farms, wind facilities, and some qualified cogeneration plants must be considered as carbon neutral. Although it is a known fact that some hydro plants do emit greenhouse gases, the Brazilian DNA has determined that for accounting purposes in the Brazilian electric power sector, all hydro plants are to be considered as having no GHG emissions.

*Green Energy Advances*

tary certifications.

(especially defended by Brazilian Diplomacy).

to be evenly defined to avoid "polluter havens" [16].

**4. Grid emissions: understanding the problem**

Among the most relevant points that could be mentioned is the need to create metrics to compare the efforts expended by countries, since different ethical concepts can be raised, involving, for example, the "polluter pays" principles [18]

Other aspects include the principle of equity, in other words, the right each party has to guarantee its citizens can have access to the planet**'**s natural resources; the principle of capability, the capacity to produce actions that are feasible for the country, and finally, the principle of sovereignty, that involves the discussion of whether countries should have proportional targets or whether the sovereign right to decide according to their circumstances would apply. It should be noted that with regards to the "polluter pays" principle, it would be necessary for the carbon "price"

Most of the points above are included in the COP 24 agenda—the summit will take place in Poland in 2018 to discuss accounting principles, legislation, procedures, compliance with the targets defined by the NDCs themselves, as well as the rules to report reductions achieved through market mechanisms, including volun-

Brazil has one of the largest interconnected systems in the world with similar dimensions to Western Europe (**Figure 4**); for large systems like this, it is very hard to quantify the amount of GHG emitted, especially with a combination of so many different sources with different environmental attributes like a coal-burning

thermal plant or a carbon neutral small-scale wind turbine, for instance.

**134**

**Figure 4.**

*Brazilian interconnected grid [4].*
