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Electricity from flowing water instead of fossil fuels

Location:Karcham-Wangtoo, Kinnaur District, Himachal Pradesh, India
SDG:Hydropower
Certificate type:VCSDatabase

Hydroelectric Project in Kinnaur District, Himachal Pradesh, India

Through this hydropower project in Kinnaur District, renewable electricity generated from water is supplied to India’s national grid, displacing electricity that would otherwise be produced from fossil sources.

By generating hydropower, the project substitutes emissions-intensive power generation from fossil-dominated plants. This avoids greenhouse gas emissions that would otherwise occur from conventional electricity generation within India’s grid mix. 

Over its technical lifetime, the plant provides a continuous supply of renewable electricity and delivers a measurable contribution to emissions reductions in the power sector. At the same time, the project supports electricity supply security and the expansion of renewable energy in India—particularly within a power system that remains strongly shaped by fossil fuels.

Technical project data – VCS1742

Key facts about the hydropower project at a glance.

Parameter DescriptionSource
Project locationIndia; State of Himachal Pradesh, Kinnaur District (Karcham–Wangtoo on the Sutlej River)Project Description (VCS PD), Section 1.9
Project typeGrid-connected run-of-river hydropower project for renewable electricity generationProject Description, Section 1.2
Project standardVerified Carbon Standard (VCS)VCS Program
Project developerJSW Hydro Energy Limited (formerly Himachal Baspa Power Company Ltd)Project Description, Section 1.3
Installed capacity1,045 MW hydropower (4 × 261.25 MW after uprating)Monitoring Report, Section 1.1
Technology / approachRun-of-river hydropower plant with an underground powerhouse; use of natural river flows without large-scale storageProject Description, Section 1.8
Baseline scenarioElectricity generation from the existing Indian grid mix, which is predominantly fossil-based (primarily coal, gas, diesel)Project Description, Section 2.4
MethodologyACM0002 – Grid-connected electricity generation from renewable sources (Version 12.1.0)Monitoring Report, Section 1.9
Project startStart of electricity generation from May 2011 (commissioning of the first unit)Monitoring Report, Section 1.6
Crediting period10 years, fixed (01/01/2013–12/31/2022)Monitoring Report, Section 1.7
Project statusRegistered VCS project with regular verificationsVCS Registry
Annual emission reductionsProject-specific per monitoring period; e.g., 1,361,528 tCO₂e for 08/2022–12/2022Verification Report, Summary
Main impact mechanismAvoidance of CO₂ emissions through the supply of renewable hydropower to the grid and displacement of fossil-based electricity generationProject Description, Section 1.1
Monitoring & verificationContinuous measurement of electricity supplied to the grid; independent verification by accredited VVBsMonitoring Report, Sections 4 & 5
AdditionalityFinancial implementation and the investment decision supported by revenues from the carbon marketProject Description, Section 2.5
Permanence & risk managementTechnical emissions avoidance over the lifetime of the plant; no physical permanence requirementsEnergy project type
Carbon Credit RatingNo external, independent carbon credit rating currently publishedNo published ratings
Carbon Credit Rating TypeNo project-specific external classification indicated
Article 6 Authorization (Paris Agreement)No authorization under Article 6 indicatedVerra Registry
CCP Status (ICVCM)No CCP classification currently publishedICVCM
Management of Double Counting RisksClear allocation and registration of emission reductions in the VCS registryVCS Rules; Monitoring Report, Section 1.10
Monitoring ApproachRecording electricity generation using calibrated energy meters; daily generation reports and plausibility checksMonitoring Report, Section 4
Project Lifetime / Long-term DesignLong-term infrastructure project with a fixed crediting periodProject Description, Section 1.6
Contribution to National Climate StrategyContribution to emissions reductions in the power sector; no national accounting under Article 6Project Documentation

What the project can contribute

Here we summarize what the project is actually intended to achieve and which practical improvements it can enable.

  1. 1

    Replacing large volumes of fossil electricity

    The hydropower project feeds substantial volumes of renewable electricity into India’s national grid. This displaces generation from coal- and gas-fired power plants—so the associated emissions do not occur in the first place.

  2. 2

    Delivering climate impact where electricity demand is rising

    India is among the countries with rapidly growing electricity demand. The hydropower generation takes effect precisely where additional power supply would otherwise often be fossil-based. This increases the real-world climate impact of the emission reductions.

  3. 3

    Providing renewable baseload power

    As a run-of-river facility, the plant supplies electricity on a continuous basis and complements weather-dependent renewables such as solar and wind. This supports the stability and reliability of the power system.

  4. 4

    Embedding renewable energy in the system for the long term

    The project is designed as long-lived infrastructure. It demonstrates how hydropower can hold a durable role in the energy system over decades—as part of a diversified renewable electricity mix.

  5. 5

    Transparently safeguarding measurable emission reductions

    Avoided emissions are monitored regularly, independently verified, and documented. This provides traceable evidence of climate impact and safeguards it across the entire crediting period.

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Global climate relevance

  • Long-term emissions avoidance

    Hydropower generates renewable electricity over decades. This avoids large volumes of greenhouse gas emissions that would otherwise have resulted from fossil electricity generation.

  • Impact in a growth market

    In a country with strongly rising electricity demand, renewable power generation can deliver particularly high climate impact. The project operates where additional electricity would otherwise be generated predominantly from fossil fuels.

  • Contribution to the power system

    Hydropower supplies electricity reliably and complements weather-dependent renewables. In this way, the project supports the development of a more stable and lower-emission electricity mix.

  • Long-term infrastructure

    As a long-lived infrastructure asset, the plant is designed to operate for many years. Its climate impact accrues continuously over the full technical lifetime.

Sustainable Development Goals (SDGs) – The relevant and the complementary contributions

Beyond greenhouse gas emission reductions, the project can generate additional benefits for people, the environment, and the local economy. This supports engagement in line with the UN Sustainable Development Goals (SDGs). The most material contributions of this project relate to SDG 7 (Affordable and Clean Energy) and SDG 13 (Climate Action). Other goals are supported in a secondary or complementary way. Some SDGs are often cited as peripheral contributions, but in practice their effects are more indirect.

  • The hydropower project supplies renewable electricity to India’s national grid and expands the energy mix with a reliable renewable source. This supports the long-term provision of cleaner electricity and reduces reliance on fossil-based power generation.

    Contribution:
    Provision of grid-connected renewable electricity generation and strengthening of a cleaner energy supply.

  • By generating electricity from hydropower, the project displaces emissions-intensive generation from fossil power plants. The avoided emissions occur directly in the power sector and deliver a measurable contribution to reducing global greenhouse gas emissions.

    Contribution:
    Avoidance of greenhouse gas emissions through the replacement of fossil electricity generation.

  • Construction, operation, and maintenance of the hydropower plant create employment and technical know-how in the energy sector. These effects support the regional economy, but they are not the core purpose of the project.

    Contribution:
    Support for employment and economic activity in the energy sector.

  • As a large-scale infrastructure project, the hydropower plant contributes to the expansion of modern energy infrastructure. Over the long term, it strengthens the technical foundation for renewable electricity supply.

    Contribution:
    Strengthening energy-related infrastructure and technical capacities.

  • A more stable and diversified electricity supply can indirectly improve supply security for cities and communities. However, the project does not have a direct focus on urban development.

    Contribution:
    Indirect support for more stable energy supply without an explicit urban development focus.

How CO₂ Savings Are Generated

Clean electricity from renewable energy projects replaces fossil-based power. The emissions avoided through this shift can be measured and form the basis for issuing carbon credits.

Renewable power changes the overall energy mix: every kilowatt hour produced by wind, solar or hydropower reduces the need for electricity from coal, gas or oil.

The amount of CO₂ emitted per kilowatt hour varies by country and by fuel type. These official grid emission factors make it possible to calculate how much CO₂ would have been released without the renewable energy project.

For each project, the expected fossil share is compared with the clean electricity actually delivered. The difference shows the verified emission reductions — the real CO₂ savings. These values are reviewed by independent auditors, updated regularly, and form the certified basis for carbon credits.

Einordnung und Transparenz

Dieses Wasserkraftprojekt ist nach dem Verified Carbon Standard (VCS) registriert und wird regelmäßig überwacht sowie unabhängig verifiziert. Die ausgewiesenen Emissionsminderungen basieren auf geprüften Monitoringberichten und anerkannten Methodologien zur Berechnung vermiedener Emissionen aus fossiler Stromerzeugung.

Legally secure offsetting and measurable impact

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A critical point for companies is legally secure offsetting. Through the use of modern hydropower technologies, we promote an emission-free global energy infrastructure. These technological projects are an essential lever for decarbonization and meet the highest requirements for additionality and transparency – crucial for meeting the requirements of the Green Claims Directive.

The quality of our approach is evident in our own PROJECT TOGO. Here, we combine climate protection with a social transformation that directly contributes to 12 of the 17 SDGs.

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