Unocal, Pelangi sign MoU on clean energy

Unocal, Pelangi sign MoU on clean energy

JAKARTA: Unocal North Sumatra Geothermal Ltd agreed to let its
geothermal power plant, Sarulla, in North Sumatra become a pilot
project for generating electricity with low emissions in an
agreement with Pelangi, a non governmental organization.

Last week's Memorandum of Understanding would turn Sarulla
into a Clean Development Mechanism (CDM) project, a statement by
Pelangi said on Tuesday.

As part of the Kyoto Protocol -- a convention to reduce
emissions worldwide -- the CDM project tracks the amount of
pollutants reduced compared to, if Sarulla had used coal instead
of geothermal to generate electricity, said Olivia a spokesperson
at Pelangi.

Sarulla's owners could convert the amount of reduced emission
into credit points to sell them.

Buyers, Olivia said, would be developed countries under the
Kyoto Protocol that could use the credit points to meet their
emission reduction targets. --JP