Cookbook for a Facility Carbon Footprint

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1 Cookbook for a Facility Carbon Footprint John M. Beath, P.E. (TX), LCA-CP LLC Manager, Senior Technical Consultant and Environmental Coach John Beath Environmental, LLC April 12, 2018 PERF Copenhagen, DE Striving to make something better every day Source: Study Facility Sketch

2 Agenda Why is a facility carbon footprint important? What are the key elements? What is the data gathering process? What results can we expect? What do we do with the results? Disclaimer: You may not be able to bake the complete cake from the recipe set provided here, but you ll see most of the major steps illustrated 2

3 Is a Facility Carbon Footprint Important? Most oil and chemical companies do have corporate GHG goals and policies (but some are stated as energy efficiency and flaring reduction) If there is a corporate goal, not having a facility-level goal is a gap (and there should be a metric so it gets worked on) Logic suggests it is better to understand risks clearly before you prioritize them Having a plant-level policy (no matter what it says) will help make sure effort is not too much or too little It may be helpful to take credit for favorable GHG results even if they re a byproduct of regulatory requirements or cost reduction 3

4 Is a Facility Carbon Footprint Important? Q: So how can we tell how well our facility / plant / refinery / field / business unit is doing? A: A simplified facility carbon footprint of course... so let s use a refinery as an example 4

5 Facility Carbon Footprint Illustrative Aspects Facility of Interest Power Plant Power Lines Electric Powered Equipment Power Generated for Internal Use Truck Transport Products for End User Non-Ingredient Feedstocks Packaging Materials Truck Transport Truck Transport Portable Combustion Sources Truck Transport By-Product User Ingredients Various Transport Vehicles and Trucks Employee Travel and Commute Capital Equipment Manufacturing Truck Transport Stationary Combustion Sources Water Treatment Legend: US Facility Mandatory GHG Reporting Purchased Fuel Extraction and Production Truck or Pipeline POTW Landfill US Direct Impacts Not GHG Reportable Indirect Impacts 5

6 Data Collection Process Example A City in One Day 6

7 City Results Beaumont, Texas USA (2014) Category % of Total kg CO2e Capital Equipment 0.8% 487,090 Fleet Use 18.2% 11,106,282 Electricity 24.7% 15,077,862 Natural Gas 1.8% 1,126,852 Commuting 5.2% 3,151,212 Solid Waste 20.3% 12,388,681 Wastewater Treatment 1.1% 658,959 Paper 2.6% 1,571,549 Travel 0.2% 93,252 Road Repair 25.1% 15,330,000 Total 100% 60,991,740 Travel, 0.2% Paper, 2.6% Capital Equipment, 0.8% Wastewater Treatment, 1.1% Road Repair, 25.1% Solid Waste, 20.3% Commuting, 5.2% Fleet Use, 18.2% Electricity, 24.7% Natural Gas, 1.8% Road repair has the largest impact (this combines manufacture of concrete and energy consumed to apply) Solid waste impact is due to landfill gas (methane) from disposed materials (city-managed waste containers only) Reference: Beath, JM, Lessons Learned from the Carbon Footprint of a City 7

8 Refinery Footprint Strategy Rule #1 - Follow the oil Rule #2 - Does anything else matter? 8

9 Refinery Carbon Footprint Simplified Elements Simplified Refinery Carbon Footprint System Diagram Crude Production Refinery Operation Produced Fuel Combustion Data Sources GREET Crude Production Data EIA Refinery Production Data GHG Report Electricity Bill Yield Data GREET Engine Test Data GREET Refinery Data Notes: (1) Chemicals, catalyst, waste considered small (2) Transportation included in crude and refining GREET: GHG, Regulated Emissions and Energy Use in Transportation Model 9

10 Refinery Footprint Public Data Sources US EPA GHG Report Data EPA Annual GHG Data is searchable by facility, company, state, etc. Detailed by source information can be downloaded in text format 10

11 Refinery Footprint Public Data Sources US EIA Refinery Capacity Data EIA collects and publishes US average data that includes rated capacities of each refinery and its main process units 11

12 Refinery Footprint Public Data Sources Argonne Lab GREET Workbook ANL s GREET fuel transportation model is key to a fuel footprint analysis (available for free) It is used by both government and industry to analyze many proposed projects and to study decision-making 12

13 Refinery Footprint Public Data Sources Detailed Refinery Process Unit Flowsheet Model Prelim (University of Calgary) Detailed Upstream Model OPGEE (Stanford University) 13

14 Is a Facility Carbon Footprint Important? The Essence of a Footprint (really just like an emissions inventory) A X B = C Material Processed (kg/yr) X Impact Factor (kg CO2e /kg of = Carbon Impact (kg CO2e/yr) material) 14

15 Example Refinery Results GREET GHG for Refinery EPA GHG Reported Value = 9.9 MMT CO2-e/yr = 9.8 MMT CO2-e/yr References: US EIA Refinery Yield Data (US Consolidated Output) GREET: 15

16 Does Infrastructure Matter? Reference: Contribution of Infrastructure to Oil and Gas Production and Processing Carbon Footprint, Table 3, Beath et al (for Argonne National Laboratory) Oct It matters a little 16

17 Does Electricity Matter? Reference: US Energy Information Agency (EIA) 2016 Fuels Purchased by Refineries (electricity) Well, yes! 17

18 Does Water Use Matter? Well, not really (but regional water impacts may separate story) 18

19 Can Operational Improvement Reduce Impact? Reference: Example methodology for investigating refinery CO 2 reduction cost and benefit ASSESSMENT OF CO 2 EMISSION MITIGATION FOR A BRAZILIAN OIL REFINERY Well, yes! 19

20 Refinery Results Perspective is Important Results - Refinery Fuel Cycle The refinery s part of the overall life cycle is small, so even large changes there impact less than impacts to produced fuel combustion Impacts from crude supply can be important also 20

21 Refinery Results Crude Source Differences West Texas crude shipped to a Houston refinery is quite favorable compared to crude oil from the Bakken field. Bakken refinery impacts higher than Eagle Ford. 21

22 Refinery Results Benchmarking Is Possible GHG results can be normalized using crude rate or GHG impacts from produced fuels Public data means comparisons between refineries will definitely occur Impacts of stringent regulations for air pollution for California refineries are evident here 22

23 Conclusions Crude oil selection can significantly influence refinery footprint (as much as 15%) Gasoline versus diesel can alter overall footprint by as much as 5% Crude transportation distance can significantly influence the crude production footprint Texas refinery GHG values are flat or trending slightly lower versus 2010 GREET can be effective at estimating footprints based on comparison to reported GHG data 23

24 Implications Your facility carbon footprint can help you prioritize This could be that success story that helps you get that permit you need for an expansion, revamp, etc. Contributions to corporate goals can have important impacts on your facility s perception within the company 24

25 Contact Information John M. Beath, P.E. (Texas) LCA-CP John Beath Environmental, LLC S. Dowlen #86 Beaumont, TX Website: Source: Photo by John M. Beath (2016) 25