The objective of this study is to realize the waste water quality improvement technology by chlorella cultivation in tropical countries and to reduce methane as a result of introduction of the new technology.This new technology is a continuous circulation culture system that uses chlorella in the raceway to degrade the organic matters in the waste water.During the process, chlorella shall be harvested and to be fermented with lactic acid bacteria to make healthy drink for swines.The treated water could be recycled for daily washing and also for hydroponic cultivation.In 2011, a pilot project was collaborated with a pig farm company located in Penang, Malaysia.The project was initiated to examine the systems water quality treatment performance by treating waste water from 10 pigs.Also, a preliminary feasibility study was conducted assuming the case of 200 pigs comparing to the current lagoon system from which methane has been generated as by-products.From the results concluded in February 2012, the system was more effective in reducing 98% of BOD and T-P, and 95% of T-N while reducing the 87% of the amount of washing water, comparing to the existing lagoon system.Moreover, the system also contributes a better livestock feed conversion rate (FCR) and, therefore, could lead to reducing overall production cost.Therefore, the system would help farmers to reduce the usage of livestock medicine products such as antibiotics as chlorella lactic acid is proven to have pro-biotic effect that would contribute to healthy livestock.Thus it is expected that the new system will replace the lagoon system.As a result, methane would be significantly reduced from pig farms;CDM/MRV scheme will be helpful as a driving force, in case that the new system is not feasible economically.