AGO Factors and Methods Workbook

Transcription

1 AGO Facors and Mehods Workbook December 2006 For use in Ausralian greenhouse emissions reporing

2 Published by he Ausralian Greenhouse Office, Deparmen of he Environmen and Heriage. Commonwealh of Ausralia 2006 ISBN: This work is copyrigh. I may be reproduced in whole or par for sudy or raining purposes, subjec o he inclusion of an acknowledgemen of he source and no commercial usage or sale. Reproducion for purposes oher han hose lised above requires he wrien permission of he Ausralian Greenhouse Office, Deparmen of he Environmen and Heriage. Requess and enquires concerning reproducion and righs should be addressed o he Manager, Communicaions Team, Ausralian Greenhouse Office, Deparmen of he Environmen and Heriage, GPO Box 787, Canberra ACT Suggesions and commens would be appreciaed. They should be addressed o he Manager, Naional Greenhouse Gas Invenory Uni, Ausralian Greenhouse Office, Deparmen of he Environmen and Heriage, GPO Box 787, Canberra ACT Neiher he Ausralian Governmen nor he consulans responsible for underaking his projec acceps any responsibiliy and each disclaims any liabiliy for he accuracy of, or inferences from, he maerial conained in his publicaion, or for any acions as a resul of any person s or group s inerpreaions, deducions, conclusions or acions in reliance on his maerial. December 2006

3 Table of Conens 1 Key definiions and erms...1 Direc and indirec emissions...1 Harmonisaion wih inernaional reporing framework...2 Types of emission facors...3 Which emissions facor o use? Informaion sources...5 Addiional informaion and web sies AGO conac Energy Saionary energy emissions (non-ranspor) Transpor fuels Indirec emissions (elecriciy end use) Exracion and disribuion of coal, gas and peroleum Indusrial processes including synheic gases used as refrigerans or for oher uses Mineral, chemical and meal producs Synheic gases Explosives Wase o landfill and wasewaer reamen Inroducion Municipal solid wase Municipal wasewaer reamen Indusrial wasewaer reamen Agriculure Inroducion Greenhouse gas emissions from agriculure Reporing agriculural emissions for Challenge Plus members Esimaing agriculural emissions Land-use change and foresry (vegeaion sinks) Inroducion Naional accouning approach...30

4 5.3 Accouning mehod for AGO programme paricipans Reporing of land use change and foresry aciviies under Greenhouse Challenge Plus Furher informaion and advice...32 Appendix 1 Summary of energy emission facors for Greenhouse Challenge Plus members...33 Appendix 2 Glossary...38 Appendix 3 Greenhouse Gas Global Warming Poenials...39 Appendix 4 Unis and conversions...40 Appendix 5 Revised elecriciy emission facors for end users, (see noes)...42 Appendix 6 Revised elecriciy emission facors for T&D nework operaors, (see noes)...46

5 Lis of Tables Table 1: Fuel combusion emission facors (Saionary Energy)... 7 Table 2: Naural gas combusion emission facors (Saionary Energy)... 8 Table 3: Fuel combusion emission facors (Transpor Fuels) Table 4: Fuel consumpion raes by vehicle ype (L/km) Table 5: Emission facors for consumpion of purchased elecriciy from he grid for end users (no disribuors) Table 6: Emission facors for he producion of coal (fugiive) Table 7: Emission facors for he producion of oil and gas (fugiive) Table 8: Emission facors for flaring of gas a oil refineries Table 9: Indusrial processes-emission facors and aciviy daa Table 10: Iron and seel: emission facors per PJ of coke consumpion Table 11: Indusrial Processes emission facors and aciviy daa for synheic gases Table 12: Indusrial Processes emission facors for explosive use Table 13: Wase variables and defaul values Table 14: Wase mix mehane conversion facors Table 15: Wase emission facors for oal wase disposed o landfill by broad wase sream caegory Table 16: Municipal wase variables and defaul values Table 17: Indusrial wase variables and defaul values Table 18: Emission facors for consumpion of purchased elecriciy for end users (no disribuors) Table 19: Emission facors from he consumpion of naural gas Table 20: Fuel combusion emission facors (Transpor Fuels) Table 21: Glossary of symbols, abbreviaions and unis Table 22: Global Warming Poenials Table 23: Meric prefixes Table 24: Uni equivalences Table 25: Energy conversion facors Table 26: Municipal solid wase volume o weigh conversion facors Table 27: Revised emissions facors for consumpion of purchased elecriciy by end users, Table 28: Revised emission facors for consumpion of purchased elecriciy by T&D nework operaors,

6 Inroducion The AGO Facors and Mehods Workbook provides a single source of curren greenhouse gas emission facors for use by Ausralian organisaions operaing under a wide range of exising greenhouse reporing programmes. The emission facors repored in his Workbook are inended o be defaul facors - o be used in he absence of beer informaion - and are designed o be consisen wih boh inernaional reporing frameworks and naional emissions esimaion mehodologies. In paricular, he emission facors presened in his Workbook have been harmonised wih he inernaional reporing framework of he World Resources Insiue/World Business Council for Susainable Developmen, known as The Greenhouse Gas Proocol: A Corporae Accouning and Reporing Sandard (deails are provided on page 2). The emission facors are also designed o be consisen wih he emissions esimaes repored in Ausralia s Naional Greenhouse Gas Invenory. They are largely drawn or derived from maerial in he Ausralian Mehodology for he Esimaion of Greenhouse Gas Emissions and Sinks 2005 series, which documen he mehodologies and emission facors used o esimae Ausralia s naional invenory. These mehodologies are consisen wih inernaional guidelines and are subjec o inernaional exper review each year. The emission facors repored in his publicaion have been reviewed and updaed from he previous version of he AGO Facors and Mehods Workbook, released in December Updaed emission facors reflec changes in composiion of he fuel mix used o produce elecriciy; revisions o fuel consumpion daa previously published by official sources and changes in emissions esimaes repored in he naional invenory. In addiion, since he release of he las Workbook, new inernaional guidelines for emissions esimaion mehodologies have been released - he 2006 IPCC Guidelines for he Preparaion of Naional Invenories - which have also generaed revisions o some emission facors. Pas published emission facors refleced he bes informaion available a he ime of heir release and may remain valid for paricular programmes. This Workbook also repors revised esimaes of emission facors for pas years for elecriciy consumpion wih he aim of presening ime-series consisen esimaes for he period These esimaes are provided for he informaion of users in Appendices 5 and 6. Noe ha updaes o emission facors for pas years presened in his Workbook do no necessarily imply any need o revise esimaes of emissions for previous years - approaches o updaing pas emission esimaes will depend on he paricular deails of individual greenhouse reporing programmes. NOTE FOR GREENHOUSE CHALLENGE PLUS MEMBERS! Greenhouse Challenge Plus Programme members can use he new Online Sysem for Challenge Aciviy Reporing (OSCAR) o ener aciviy daa (elecriciy and fuel use, ec.) and have heir emissions calculaed auomaically. A logon and password can be obained from your indusry adviser. OSCAR uses he laes emission facors as repored in his workbook. Alernaively, members can use his workbook o complee heir annual progress repors (see: ). For simpliciy, a summary of energy emission facors for Greenhouse Challenge Plus members is provided a Appendix 1. For less complex emission profiles, members can use he spreadshee calculaor which incorporaes he mos commonly used emission facors (see: 1 Key definiions and erms Direc and indirec emissions Paricipans for many AGO programmes are required o repor boh direc and some indirec greenhouse gas (GHG) emission esimaes. 1

7 Direc emissions are produced from sources wihin he boundary of an organisaion and as a resul of ha organisaion s aciviies. These emissions mainly arise from he following aciviies: generaion of energy, hea, seam and elecriciy, including carbon dioxide and producs of incomplee combusion (mehane and nirous oxide); manufacuring processes which produce emissions (for example, cemen, aluminium and ammonia producion); ransporaion of maerials, producs, wase and people; for example, use of vehicles owned and operaed by he reporing organisaion; fugiive emissions: inenional or uninenional GHG releases (such as mehane emissions from coal mines, naural gas leaks from joins and seals); and on-sie wase managemen, such as emissions from company-owned and operaed landfill sies. For example, a company wih a car flee would repor greenhouse gas emissions from he combusion of perol in hose moor vehicles as direc emissions. Similarly, a mining company would repor mehane escaping from a coal seam during mining (fugiive emissions) as direc emissions and a cemen manufacurer would repor carbon dioxide released during cemen producion as direc emissions. Emission facors for calculaing direc emissions are generally expressed in he form of a quaniy of a given GHG emied per uni of energy (kg CO 2 -e /), fuel ( CH 4 / coal) or a similar measure. Emission facors are used o calculae GHG emissions by muliplying he facor (e.g. kg CO 2 / energy in perol) wih aciviy daa (e.g. kilolires x energy densiy of perol used). Indirec emissions are emissions generaed in he wider economy as a consequence of an organisaion s aciviies (paricularly from is demand for goods and services), bu which are physically produced by he aciviies of anoher organisaion. The mos imporan caegory of indirec emissions is from he consumpion of elecriciy. Oher examples of indirec emissions from an organisaion s aciviies include upsream emissions generaed in he exracion and producion of fossil fuels, downsream emissions from ranspor of an organisaion s produc o cusomers, and emissions from conraced/ousourced aciviies. The appropriae emissions facor for hese aciviies depends on he pars of upsream producion and downsream use considered in calculaing emissions associaed wih he aciviy. Harmonisaion wih inernaional reporing framework The AGO Facors and Mehods Workbook aims o provide a consisen se of emission facors for a variey of purposes. This Workbook adops he emissions caegories of he inernaional reporing framework of he World Resources Insiue/World Business Council for Susainable Developmen. The framework is known as The Greenhouse Gas Proocol: A Corporae Accouning and Reporing Sandard ( The GHG Proocol ) and is available a The GHG Proocol defines hree scopes of emission caegories. Scope 1 covers direc emissions from sources wihin he boundary of an organisaion such as fuel combusion and manufacuring processes. Scope 2 covers indirec emissions from he consumpion of purchased elecriciy, seam or hea produced by anoher organisaion. Scope 2 emissions resul from he combusion of fuel o generae he elecriciy, seam or hea and do no include emissions associaed wih he producion of fuel. Scopes 1 and 2 are carefully defined o ensure ha wo or more organisaions do no repor he same emissions in he same scope. Scope 3 includes all oher indirec emissions ha are a consequence of an organisaion s aciviies bu are no from sources owned or conrolled by he organisaion. Members of he Greenhouse Challenge Plus programme are required o separaely repor scope 1 and 2 emissions and he scope 3 emissions hey currenly repor (i.e. emissions from off-sie wase disposal, emissions associaed wih he producion of fuels, and emissions from he generaion of purchased elecriciy see below). Members are also encouraged (bu no required) o repor oher scope 3 emissions. 2

8 Types of emission facors The world of emission facors can become confusing he following is provided o clarify he purpose of he ypes of emissions facors in his workbook. Firsly, i is imporan o noe ha an emission facor is aciviy-specific. The aciviy deermines he emission facor used. The scope ha emissions are repored under is deermined by wheher he aciviy is wihin he organisaion s boundary (direc scope 1) or ouside i (indirec scope 2 and scope 3). Direc (or poin-source) emission facors give he kilograms of carbon dioxide equivalen (CO 2 -e) emied per uni of aciviy a he poin of emission release (i.e. fuel use, energy use, manufacuring process aciviy, mining aciviy, on-sie wase disposal, ec.). These facors are used o calculae scope 1 emissions. Indirec emission facors are used o calculae scope 2 emissions from he generaion of he elecriciy (or seam or heaing/cooling) purchased and consumed by he reporing organisaion as kilograms of CO 2 -e per uni of elecriciy consumed. Scope 2 emissions are physically produced by he burning of fuels (coal, naural gas, ec.) a he power saion or faciliy. o Following The GHG Proocol, scope 2 emissions are allocaed o he organisaion ha owns or conrols he plan or equipmen where he elecriciy is consumed. The elecriciy consumer repors only he emissions from he elecriciy hey use under scope 2, and repors he emissions associaed wih ransmission and disribuion (T&D) losses under scope 3. Companies ha own or conrol T&D neworks repor he emissions associaed wih all T&D losses on heir neworks under scope 2. Various emission facors can be used o calculae scope 3 emissions. For ease of use, his workbook repors specific scope 3 emission facors for organisaions ha: (a) burn fossil fuels: o esimae heir indirec emissions aribuable o he exracion, producion and ranspor of hose fuels; or (b) consume purchased elecriciy: o esimae heir indirec emissions from he exracion, producion and ranspor of fuel burned a generaion and he indirec emissions aribuable o he elecriciy los in delivery in he T&D nework. More broadly, scope 3 emissions can include: o Disposal of wase generaed (e.g. if he wase is ranspored ouside he organisaion and disposed of); o Use of producs manufacured and sold; o Disposal (end of life) of producs sold; o Employee business ravel (in vehicles or aircraf no owned or owned by he reporing organisaion); o Employees commuing o and from work; o Exracion, producion and ranspor of purchased fuels consumed; o Exracion, producion and ranspor of oher purchased maerials or goods; o Purchase of elecriciy ha is sold o an end user (repored by elecriciy reailer); o Generaion of elecriciy ha is consumed in a T&D sysem (repored by end user); o Ou-sourced aciviies; and o Transporaion of producs, maerials and wase. In many cases, emissions from hese aciviies can be calculaed wih he emission facors provided in his workbook. For example, if a company decides o repor on emissions from an off-sie aciviy, and has he necessary daa, hen he direc (or poin-source) emission facor could be used o calculae emissions, and hese emissions would be repored as scope 3. For fuel use, he company would use he same direc emission facor o calculae scope 3 emissions from off-sie combusion of a fuel as i would o calculae scope 1 emissions from on-sie combusion of he same fuel. A full fuel cycle emission facor gives he quaniy of emissions released per uni of energy for he enire fuel producion and consumpion chain. This erm is no used in The GHG Proocol. 3

9 o o For fuel combusion, he full fuel cycle emission facor is he sum of he direc emission facor for he fuel and he specific scope 3 emission facor for he emissions from he exracion, producion and ranspor of he fuel. For he consumpion of purchased elecriciy, he full fuel cycle emission facor is he sum of he scope 2 indirec emission facor for emissions from fuel combusion a he power saion and he specific scope 3 emission facor for emissions from he exracion, producion and ranspor of ha fuel and for emissions associaed wih he elecriciy los in T&D. Which emissions facor o use? AGO programmes ofen require organisaions o consider he full greenhouse impac of heir aciviies in erms of direc and indirec emissions (including upsream and downsream aciviies). For energy-relaed emissions in paricular, organisaions should use he appropriae emission facors for scopes 1, 2 and 3 o calculae boh heir direc and indirec emissions. The AGO reviewed he emission facors used by Greenhouse Challenge Plus o harmonise reporing wih he WRI/WBCSD GHG Proocol and raionalised he range of facors applied in he 2005 ediion of he Workbook. The review included consulaion wih he Parnerships Commiee Reporing Working Group. Like he 2005 ediion, he 2006 ediion of he AGO Facors and Mehods Workbook preserves mos of he principles used in previous Challenge reporing, and implemens he new GHG Proocol emissions caegories (scopes 1, 2 and 3). An appendix summarising he appropriae energy emissions facors for Greenhouse Challenge Plus Members has been provided o simplify he process of locaing he righ facor for his year. The new Online Sysem for Challenge Aciviy Reporing (OSCAR) auomaically calculaes emissions in he differen scopes, using he laes emission facors as repored in his workbook. The Greenhouse Challenge Plus Programme covers boh direc and some indirec emissions. The emissions facors provided a Appendix 1 for calculaing emissions invenories for Greenhouse Challenge Plus members reflec his coverage of emissions: Transpor fuel emissions under Greenhouse Challenge Plus are repored as scope 1 emissions from he combusion of he fuel only. OSCAR also calculaes scope 3 emissions. All oher fuel and energy use (including elecriciy) emissions are repored for he complee fuel cycle from exracion o consumpion. Direc fuel combusion emissions are repored under scope 1, elecriciy consumpion under scope 2, and indirec emission from fuel exracion are calculaed wih specific scope 3 emission facors. Wase emissions are calculaed using consisen facors for boh on-sie and off-sie disposal. On-sie disposal is repored under scope 1. Off-sie is repored under scope 3. 4

10 2 Informaion sources The principal sources of informaion used in developing his workbook are: 1. Ausralian Greenhouse Office (2006), Naional Greenhouse Gas Invenory 2004, Commonwealh of Ausralia. 2. Naional Greenhouse Gas Invenory Commiee (NGGIC) (2006), Ausralian Mehodology for he Esimaion of Greenhouse Gas Emissions and Sinks 2005, Commonwealh of Ausralia. 3. Inergovernmenal Repor on Climae Change (2000), Good Pracice Guidance and Uncerainy Managemen in Naional Greenhouse Gas Invenories, Japan. 4. Inergovernmenal Repor on Climae Change (2006), 2006 IPCC Guidelines for Naional Greenhouse Gas Invenories; Japan. 5. George Wilkenfeld and Associaes Py Ld and Energy Sraegies Py Ld (2002), Ausralia s Naional Greenhouse Gas Invenory, End Use Allocaion of Emissions, Repor o he Ausralian Greenhouse Office, Commonwealh of Ausralia. 6. George Wilkenfeld and Associaes Py Ld (2006), Naional Greenhouse Gas Invenory, 2005 Elecriciy Secor Emissions and Facors and Mehods Emission Facors 1990 o 2005: repor o he Ausralian Greenhouse Office. 7. Ausralian Bureau of Saisics (2006), Survey of Moor Vehicle Use 2006, , Commonwealh of Ausralia. 8. Energy Supply Associaion of Ausralia (2006), Elecriciy, Gas Ausralia Addiional informaion and web sies 3 AGO conac 1. Greenhouse Challenge Plus Programme Ausralian Naional Greenhouse Gas Invenory and relaed opics 3. Inergovernmenal Panel on Climae Change (IPCC) Naional Greenhouse Gas Invenories Programme 4. Unied Naions Convenion on Climae Change and relaed opics including he Kyoo Proocol 5. The Greenhouse Gas Proocol Iniiaive (convened by he World Business Council for Susainable Developmen (WBCSD) and he World Resources Insiue (WRI)) The Manager Naional Greenhouse Gas Invenory Uni Ausralian Greenhouse Office Deparmen of he Environmen and Heriage GPO Box 787 CANBERRA ACT greenhouseassessmenmail@deh.gov.au Tel:

11 Facors, Mehods and Calculaions 1 Energy This secion addresses he esimaion of emissions in he energy secor and includes emission facors for: he saionary combusion of solid, gaseous and liquid fuels (secion 1.1); he mobile combusion of liquid and gaseous fuels for ranspor (secion 1.2); he consumpion of purchased elecriciy (secion 1.3); and he exracion of fossil fuels (secion 1.4). The approach o calculaing GHG emissions may depend on he programme or purpose for which hey are being used and his should be confirmed, if necessary, prior o esimaion. A summary of energy emission facors ha should be used by Greenhouse Challenge Plus members is provided a Appendix Saionary energy emissions (non-ranspor) Fuel combusion emissions (excluding naural gas) The following formula can be used o esimae greenhouse gas emissions from he combusion of each ype of fuel lised in Table 1. (For emissions from he consumpion of purchased elecriciy, use Table 5.) GHG emissions ( CO 2 -e) = Q x EC x EF/1000 where: Q is he quaniy of fuel in onnes or housands of lires (sourced from invenory or supplier invoices or producion records), EC is he energy conen of fuel in /onne or /kl in Column A, Table 1, and EF is he relevan emission facor. Table 1 repors he emission facor for scope 1 (he direc/poin source EF for fuel combusion emissions) (column B), he emission facor for scope 3 (he indirec EF for fuel exracion emissions) (column C) and he full fuel cycle emission facor (Column D) in kg CO 2 -equivalen (CO 2 -e) per. The full fuel cycle emission facor is he sum of he emissions facors for scope 1 and scope 3. Division by 1000 convers kg o onnes. Emissions are generally expressed in onnes of CO 2 -e, which includes CO 2 and he global warming effec of he relaively small quaniies of CH 4 and N 2 O emied. Mos of he emissions occur a he poin of final fuel combusion, bu here are also indirec emissions associaed wih he producion and ranspor of he fuel. Organisaions can apply he EF for scope 1 o calculae heir direc emissions from fuel combusion, and he EF for scope 3 o calculae heir indirec emissions associaed wih fuel exracion. For reporing under Greenhouse Challenge Plus, emissions facors for scope 1 and scope 3 should be used o separaely calculae and repor direc and indirec emissions. Separae calculaions should be carried ou for each fuel ype. 6

12 Table 1: Fuel combusion emission facors (Saionary Energy) * ** Fuel combused Solid Fuels Black coal NSW Elecriciy Generaion Black coal NSW oher uses Black coal Qld Elecriciy Generaion Black coal Qld oher uses Energy conen EF for scope 1 EF for scope 3 b Full fuel cycle EF (gross) a (Direc / poin source EF for combusion emissions) (Indirec EF for fuel exracion emissions) 7 (= EF for scope 1 + EF for scope 3) A B C D / 27.0 (washed) 23.9 (unwashed) (washed) (unwashed) 27.0 (washed) (unwashed) 27.0 (washed) (unwashed) 19.7 (unwashed) Black coal WA Elecriciy Generaion Brown coal c Coal used in seel indusry Brown Coal Briquees Coke Used yres Wood and wood wase (dry) d (if used in boiler) 14.0 (if used in residenial) Bagasse as crushed (if used in (CO 2 no couned d ) boiler) Gaseous Fuels MJ/m (if used in boiler) 14.0 (if used in residenial) 1.5 (if used in boiler) Coal by-producs (gaseous) 18.1 MJ/m Naural gas (incl. coal seam mehane) Refer Table 2 Refer Table 2 Refer Table 2 Refer Table 2 Town gas Consumpion measured in Biogas mehane (from landfill and 37.7 MJ/m wasewaer) d / or /kl Liquid Fuels LPG non ranspor e 49.3 / Coal by-producs (coal ar and BTX) 41.9 / Napha 48.2 /kl Lighing kerosene 36.6 /kl Power kerosene 36.6 /kl Heaing oil 37.3 /kl Auomoive diesel oil (ADO) 38.6 /kl Indusrial/marine diesel oil 39.6 /kl Fuel oil 40.8 /kl Noes: * All emission facors incorporae relevan oxidaion facors (sourced from he AGO s Naional Invenory Repor). Respecive Scope 1 CO 2 facors are available from he AGO s Naional Invenory Repor. a. Energy measured as gross calorific equivalen. Coal onnages measured on an as fired basis. b. The EF for scope 3 comprises indirec emissions from he exracion, producion and ranspor of he specified fuel. c. No daa are available o separaely esimae scope 3 emissions from combusion of Vicorian brown coal (i.e. energy used in he open cus, mainly elecric draglines and conveyors, and some ADO for rucks), bu as mining and generaion are highly inegraed he energy may be accouned for as par of he power saion auxiliaries. d. Under inernaional guidelines, he CO 2 released from combusion of biogenic carbon fuels is no repored under energy combusion. e. Indusrial LPG is usually propane only and fuel use daa in lires can be convered o kilograms by muliplying by he specific graviy of 0.52 kg/l (Linahan, P., Ausralian LPG Associaion, personal communicaion, Augus 2005) or o onnes by muliplying by /L. **Under he Greenhouse Challenge Plus and Greenhouse Friendly Cerificaion, emissions facors for scope 1 and scope 3 (Columns B and C) should be used o separaely repor direc and indirec emissions.

13 Sources: Derived from AGO (2006); NGGIC (2006); George Wilkenfeld and Associaes (2006); George Wilkenfeld and Associaes and Energy Sraegies (2002). Example: Calculaion of Emissions Generaed from LPG (non-ranspor) An island resor locaed off he coas of Queensland uses 80 onnes of LPG for non-ranspor purposes per annum. As a Greenhouse Challenge Plus member, emission facors for scope 1 and scope 3 should be used o calculae scope 1 direc combusion emissions and scope 3 indirec emissions as follows: Scope 1 GHG Emissions () = Aciviy () x Energy Conen of Fuel (/) x EF () /1000 = (80 x 49.3 x 59.8)/1000= CO 2 -e Scope 3 GHG Emissions () = Aciviy () x Energy Conen of Fuel (/) x EF () /1000 = (80 x 49.3 x 7.8)/1000= 30.8 CO 2 -e Naural gas Naural gas is usually supplied a eiher high or low pressure, depending on he scale of use. Major users are hose supplied a high pressure and wih an annual usage of more han 100,000. Esimaes of emissions may be calculaed using he following formula. (For emissions from he consumpion of purchased elecriciy, use Table 5.) GHG Emissions ( CO 2 -e) = Q x EF / 1000 where: Q is he quaniy of naural gas consumed and expressed in and sourced from supplier invoices/meers, and EF is he relevan emission facor. In his case, he scope 1 (poin source/fuel combusion) emission facor, by sae and erriory (column A for small users, column D for large users), scope 3 (indirec/fuel exracion) emission facor (column B for small users, column E for large users) and he full fuel cycle emission facor (column C for small users and column F for large users) are provided in kg CO 2 -e /. For reporing under Greenhouse Challenge Plus, emissions facors for scopes 1 and 3 should be used o separaely calculae and repor direc and indirec emissions. Division by 1000 convers kg o onnes. Table 2: Naural gas combusion emission facors (Saionary Energy) Small user < 100,000 per annum Sae EF for EF for Full fuel scope 1 scope 3 cycle EF EF for scope 1 Large user > 100,000 per annum EF for scope 3 Full fuel cycle EF (direc / poin source EF for combusion emissions) (indirec EF for fuel exracion emissions) (= EF for scope 1+ EF for scope 3) (direc / poin source EF for combusion emissions) (indirec EF for fuel exracion emissions) (= EF for scope 1 + EF for scope 3) A B C D E F kg CO 2 -e / kg CO 2 -e / kg CO 2 -e / kg CO 2 -e / kg CO 2 -e / 8 kg CO 2 -e / NSW & ACT VIC QLD SA WA TAS NA NA NA NA NA NA NT * Under he Greenhouse Challenge Plus and Greenhouse Friendly Cerificaion, emissions facors for scope 1 and scope 3 should be used o separaely repor direc and indirec emissions (eiher columns A and B or columns D and E depending on he size of he user).

14 Source: George Wilkenfeld and Associaes (2005); George Wilkenfeld and Associaes and Energy Sraegies (2002). Example: Calculaion of Emissions Generaed from Naural Gas Consumpion A Vicorian Hoel uses 9000 of naural gas per annum. Is emissions are calculaed as follows: Scope 1 GHG Emissions = Q x EF / 1000 = 9000 x 51.9 / 1000 = CO 2 -e Scope 3 GHG Emissions = Q x EF / 1000 = 9000 x 11.7 / 1000 = CO 2 -e. 9

15 1.2 Transpor fuels Esimaes of emissions from he consumpion of ranspor fuels may be esimaed wih he following formula: GHG emissions ( CO 2 -e) = Q (kl) x EF OR GHG emissions ( CO 2 -e) = Q () x EF / 1000 where: Q is he quaniy of fuel in housands of lires or (sourced from invenory or supplier invoices or producion records). EF is he relevan emission facor. Emission facors for combusion of ranspor fuels are repored in Table 3 in boh kg CO 2 -e per and onnes of CO 2 -e per kl. These comprise scope 1 (poin source/fuel combusion) emission facors (Columns B or C), scope 3 (indirec/fuel exracion) emission facors (columns D or E) and he full fuel cycle emission facors (Columns F or G), all including CO 2 and non-co 2 gases. For reporing under Greenhouse Challenge Plus, emissions facors for scope 1 and scope 3 should be used o separaely calculae and repor direc and indirec emissions. Division by 1000 convers kg o onnes. Table 3: Fuel combusion emission facors (Transpor Fuels) * ** Fuel Energy conen Emission facor for scope 1 Emission facor for scope 3 Full fuel cycle emission facor (direc / poin source EF for combusion emissions) (indirec EF for fuel exracion emissions) (= EF for scope 1 + EF for scope 3) A B C D E F G /kl CO 2 -e/kl CO 2 -e/kl CO 2 -e/kl Auomoive gasoline (perol) Auomoive diesel oil (diesel) Aviaion gasoline Aviaion urbine Fuel oil LPG Biofuels a E-10 molasses E-10 whea sarch BD 100 (canola) BD100 (allow) BD100 (wase oil) BD20 (canola) BD20 (allow) BD20 (wase oil) /m 3 CO 2 -e/m 3 CO 2 -e/m 3 CO 2 -e/m 3 Naural gas b (LDV c ) Naural gas b (HDV c ) Noes: * All emission facors incorporae relevan oxidaion facors (sourced from he AGO s Naional Invenory Repor). Respecive Scope 1 CO 2 facors are available from he AGO s Naional Invenory Repor. a AGO esimaes, derived from Appropriaeness of a 350 Million Lire Biofuels Targe, December 2003, CSIRO, ABARE, BTRE. The emission facors repored here are defaul facors - o be used in he absence of beer daa on emissions ha may resul, for example, on acual producion mehods employed. b. The emission facors for naural gas engines are indicaive only. From AGO experience wih he Alernaive Fuels Conversion Programme, he AGO has discovered ha many naural gas engines, wheher dual fuel or dedicaed, emi significan amouns of unburn fuel o he amosphere. This level of mehane is dependen on a range of facors and varies from sysem o sysem. An accurae emissions facor herefore requires measuremen of a leas CO 2 and CH 4 for each engine ype. c. LDV sands for Ligh Duy Vehicles, e.g. forklifs, and HDV sands for Heavy Duy Vehicles, e.g. buses. 10

16 ** Under Greenhouse Challenge Plus and Greenhouse Friendly Cerificaion, emissions facors for scopes 1 and 3 (eiher column B and D or C and E depending on fuel daa unis) should be used o separaely repor direc and indirec emissions. Source: NGGIC (2006); George Wilkenfeld and Associaes and Energy Sraegies (2002). Example: Calculaion of emissions generaed from ranspor fuels consumed A New Souh Wales freigh company consumes 2000 kl of perol and 3000 kl auomoive diesel (ranspor) per annum. The scope 1 direc GHG emissions are calculaed as follows: Emissions ( CO 2 -e) = Q (kl) x EF ( CO 2 -e/kl) Perol scope 1 GHG emissions = 2,000 x 2.4 = 4,800 CO 2 -e Diesel scope 1 GHG emissions = 3,000 x 2.7 = 8,100 CO 2 -e Toal scope 1 GHG emissions = 4, ,100 = 12,900 CO 2 -e Kilomeres ravelled If flee records show kilomeres ravelled and no he oal quaniy of fuel purchased, he following able can be used o derive he average fuel consumed. Noe ha hese are hree-year moving average fuel consumpion raes for he enire Ausralian flee. Given he variabiliy in fuel consumpion raes in pracice, using daa on acual fuel consumpion, where available, is likely o produce more accurae resuls. Table 4: Fuel consumpion raes by vehicle ype (L/km) Vehicle ype Auomoive gasoline (unleaded perol) Auomoive diesel oil (diesel) Fuel ype LPG/ Naural gas (CNG) E-10 c Passenger Cars Ligh Commercial Vehicles (LCV) Medium Trucks a Heavy Trucks b Buses Moor Cycles NA NA Noes: a. Medium rucks are assumed o be rigid rucks. Heavy rucks are assumed o be ariculaed rucks. c AGO esimaes, derived from Appropriaeness of a 350 Million Lire Biofuels Targe, Appendices, December 2003, CSIRO, ABARE, BTRE. NA is no applicable. Source: ABS Survey of Moor Vehicle Use Ca , 2006 and various issues and Appropriaeness of a 350 Million Lire Biofuels Targe, December 2003, CSIRO, ABARE, BTRE. Example: Calculaion of emissions generaed from vehicle disance ravelled A Vicorian delivery company s perol fuelled car flee ravels 100,000 km and is E-10 fuelled flee ravels 100,000 km in a year. The direc scope 1 GHG emissions are calculaed as follows: Emissions ( CO 2 -e) = D (km) x FCR (L/km) x EF ( CO 2 -e/kl) / 1000, where D is disance ravelled, FCR is he fuel consumpion rae, and division by 1000 convers L/km o kl/km. Perol scope 1 GHG emissions = 100,000 x x 2.4 / 1000 = 27.2 CO 2 -e E-10 scope 1 GHG emissions = 100,000 x x 2.1 / 1000 = 26.0 CO 2 -e Toal scope 1 GHG emissions = = 53.2 CO 2 -e 11

17 1.3 Indirec emissions (elecriciy end use) Indirec emission facors for he consumpion of purchased elecriciy are provided in Table 5. (Emission facors for he burning of fuel o generae elecriciy are repored in Tables 1 and 2.) Following he inernaional reporing framework of he World Resources Insiue/World Business Council for Susainable Developmen - known as The Greenhouse Gas Proocol: A Corporae Accouning and Reporing Sandard ( The GHG Proocol ) - his secion provides facors for boh scope 2 and scope 3 caegories. Sae emissions facors are used because elecriciy flows beween saes are consrained by he capaciy of he iner-sae inerconnecors and in some cases here are no inerconnecions. The facors esimae emissions of CO 2, CH 4 and N 2 O expressed ogeher as carbon dioxide equivalen (CO 2 -e). The greenhouse gas emissions in onnes of CO 2 -e aribuable o he quaniy of elecriciy used may be calculaed wih he following equaion. GHG emissions ( CO 2 -e) = Q x EF / 1000 where: Q (Aciviy) is he elecriciy consumed by he reporing organisaion expressed in kwh, and EF is he relevan emission facor expressed in kwh in Columns A, C and E, Table 5. OR GHG emissions ( CO 2 -e) = Q x EF / 1000 where: Q (Aciviy) is he elecriciy consumed expressed in, and EF is he relevan emission facor expressed in in Columns B, D and F, Table 5. Emission facors are repored for scope 2, scope 3 and he full fuel cycle (he sum of scope 2 and scope 3). The emission facor for scope 2 covers emissions from fuel combusion a power saions associaed wih he consumpion of purchased elecriciy from he grid. The emission facor for scope 3 covers boh he emissions from he exracion, producion and ranspor of fuels used in he producion of he purchased elecriciy (i.e. fugiive emissions and saionary and mobile fuel combusion emissions) and also he emissions associaed wih he elecriciy los in ransmission and disribuion on he way o he consumer (from boh fuel combusion and fuel exracion) see he following box for more deails on he emission facor definiions. Greenhouse Challenge Plus members should use he facors o separaely calculae and repor heir scope 2 and scope 3 emissions. Reporing organisaions ha own or conrol ransmission and disribuion (T&D) neworks should use differen emission facors repored in Appendix 6, so as no o double-coun emissions arising from ransmission losses. Division by 1000 convers kg o onnes. 12

18 Table 5: Emission facors for consumpion of purchased elecriciy from he grid for end users (no disribuors) Sae EF for scope 2 EFs for scope 3 Full fuel cycle EF Indirec EF for fuel exracion and line loss (T&D) emissions (= EF for scope 2 + EF for scope 3) A B C D E F kwh a ab kwh a ab kwh a ab NSW & ACT VIC QLD SA WA (SWIS) TAS NT Noes: a The emission facors should be applied o he amoun of elecriciy acually consumed (i.e. he amoun shown on he elecriciy bill). A echnical explanaion of he definiions and unis of hese facors are provided in he box on pages 14 and 15. b is he same as k CO 2 -e/pj and Gg CO 2 -e/pj. Transmission and disribuion nework operaors should use EFs in Appendix 6. Source: Ausralian Greenhouse Office esimaes derived from George Wilkenfeld and Associaes Primary daa sources comprise generaor survey reurns o he AGO, ABARE, ESAA and NEMMCO daa. Example: A company in New Souh Wales consumes 100,000 kwh of purchased elecriciy from he grid. Scope 2 GHG Emissions ( CO 2 -e) = (100,000 x 0.893) / 1000 = 89.3 onnes. Scope 3 GHG Emissions ( CO 2 -e) = (100,000 x 0.176) / 1000 = 17.6 onnes. 13

19 Box: Elecriciy emission facor definiions The esimaed elecriciy emission facors in his workbook have been aligned wih he definiions used in The Greenhouse Gas Proocol: A Corporae Accouning and Reporing Sandard of he WRI and WBCSD for he firs ime in his ediion (he Proocol is available a This box provides more deailed explanaion and he definiions of hese elecriciy emission facors, bu his is no necessary informaion for readers simply wishing o apply he facors. The emission facors are calculaed as financial year averages based on elecriciy generaion wihin each sae/erriory and aking ino accoun iner-sae elecriciy flows (where hey exis) and he emissions aribuable o hose flows. Boh he elecriciy emissions esimaes in he NGGI prepared by George Wilkenfeld and Associaes and he emission facors for consumpion of purchased elecriciy use daa from ESAA, NEMMCO, he ABARE Fuel and Elecriciy Survey, AGO surveys and advice from he WA Susainable Energy Developmen Office. Emission facor for scope 2 Scope 2 emissions resul from he generaion of purchased elecriciy from each sae s elecriciy grid (or seam or heaing/cooling). The Emission Facor a Generaion (EFG scope2 i) is used o calculae scope 2 emissions and is defined for sae i and financial year as: Combusion emissions from elecriciy consumed from he grid in sae i ( CE _ Ci ) EFG scope2i = Elecriciy sen ou consumed from he grid in sae i ( ESO _ C ) where combusion emissions from elecriciy consumed from he grid in sae i (CE_C i) and elecriciy sen ou consumed from he grid in sae i (ESO_C j) are defined in erms of he sae s elecriciy grid producion, impors and expors as follows: i CE _ C i = CE _ P i + j ESO _ M j ESO _ Pj, i CE _ P j k ESO _ X i, ESO _ Pi k CE _ P i j ESO _ Ci = ESO _ Pi, ESO _ X i, + ESO _ M j i k k where CE_P i = oal CO 2 -e emissions from fuel combusion a generaion aribued o he elecriciy generaed/produced for he grid in sae i in financial year, CE_P j = oal CO 2 -e emissions from fuel combusion a generaion aribued o he elecriciy generaed/produced for he grid in sae j in financial year, ESO_M j,i = impors of elecriciy sen ou from sae j o sae i in financial year, ESO_P j = oal elecriciy sen ou on he grid ha is generaed/produced wihin sae j in financial year, ESO_X i,k = expors of elecriciy sen ou from sae i o sae k in financial year, and ESO_P i = oal elecriciy sen ou on he grid ha is generaed/produced wihin sae i in financial year. The emission facor for scope 2 is defined in erms of elecriciy sen ou on he grid raher han elecriciy delivered so ha end users of elecriciy are allocaed only he emissions aribuable o he elecriciy hey consume and no he emissions aribuable o elecriciy los in ransmission and disribuion (T&D). This follows The GHG Proocol guidance ha scope 2 emissions be repored by he organisaion owning or conrolling he plan or equipmen where he elecriciy is consumed. Companies ha own or conrol T&D neworks should repor heir T&D loss emissions under scope 2, while end users should repor he share of hese T&D loss emissions aribuable o heir elecriciy consumpion under scope 3. Furher explanaion of hese issues can be found on pp and pp of The GHG Proocol. Emission facor for scope 3 Specific scope 3 emission facors are provided in his workbook for purchased elecriciy from he grid ha cover indirec emissions aribuable o he exracion, producion and ranspor of fuel burned a generaion and o he elecriciy los in delivery in he T&D nework. 14

20 The emission facor for fuel exracion, producion and ranspor (EF FE i) is defined as: EF FE = i Fuel exracion emissions from elecriciy consumed on he grid in sae i ( FEE _ Ci ) Elecriciy sen ou on he grid consumed in sae i ( ESO _ C ) i where fuel exracion emissions from elecriciy consumed on he grid in sae i (FEE_C i) is defined in erms of he sae s elecriciy grid producion, impors and expors as follows: FEE _ C i = FEE _ P i + j ESO _ M j ESO _ Pj, i FEE _ P j k ESO _ X i, ESO _ Pi k FEE _ P i where ESO_C i, ESO_M j,i, ESO_P j, ESO_X i,k, ESO_P i are defined above, and FEE_P i and FEE_P j are oal CO 2 -e emissions from fuel exracion aribued o he elecriciy generaed/produced for he grid in sae i and sae j, respecively, in financial year. The emission facor for emissions from ransmission and disribuion losses (EF TDL i) is defined as: i ( EFG scope EF FE ) ESO _ Ci ED _ Ci EF TDLi = 2i + ED _ C where ED_C j is elecriciy delivered on he grid consumed in sae i and is defined analogously o ESO_C j above: j ED _ Ci = ED _ Pi, ED _ X i, + ED _ M j i k k i Noe ha alhough he echnical definiions of he emission facors for scopes 2 and 3 above are in erms of elecriciy sen ou on he grid, reporing organisaions should apply he facors o he amoun of elecriciy delivered o and consumed by hem (no o an esimae of he corresponding amoun of elecriciy sen ou ono he nework before ransmission and disribuion losses). Reporing organisaions ha own or conrol T&D neworks should use differen emission facors which are provided in Table 28 in Appendix 6. The single specific scope 3 emission facor (EF scope3 i) for sae i and financial year repored in Table 5 of his workbook is he sum of he emission facors for fuel exracion and T&D losses: EF scope3 = EF FE + EF TDL i i i Full fuel cycle emission facors The full fuel cycle emission facor (EF FFC i) is he sum of he emission facor for scope 2, EFG scope2 i, and he emission facor for scope 3, EF scope3 i : EF FFC = EFG scope2 + EF scope3 By insering he definiions for EFG scope2 i and EF scope3 i, i i i i can be shown ha he full fuel cycle emission facor is he raio of emissions from fuel combusion and fuel exracion over elecriciy delivered: EF FFC i CE _ Ci + FEE _ C = ED _ C i i Readers familiar wih previous ediions of his workbook should noe ha he full fuel cycle emission facor coninues o be defined in erms of emissions per uni of elecriciy delivered on he grid, as before, even hough he scope 2 emission facor a generaion and he scope 3 emission facor for fuel exracion emissions are defined in erms of elecriciy sen ou on he grid. This is due o he inclusion of a scope 3 emission facor for T&D losses. The consequence is ha for elecriciy end users, emissions from T&D losses are excluded from scope 2 emissions bu included in scope 3 emissions and full fuel cycle emissions. 15

21 1.4 Exracion and disribuion of coal, gas and peroleum Coal Emissions from he producion of coal may be esimaed from he following formula: GHG Emissions (CO 2 -e) = Q x EF (CO 2 -e)/1000 where: Q (Aciviy) is he mass of fuel produced (onnes), and EF is he relevan scope 1 (poin source) emission facor in kg CO 2 -e /onne in Column C of Table 6 below. Division by 1000 convers kg o onnes. The CO 2 -e esimae (Column C) is he sum of CO 2 (Column A) and 21 imes he CH 4 (Column B). Table 6: Emission facors for he producion of coal (fugiive) Emission facor for scope 1 (direc / poin source EF) CO 2 CH 4 CO 2 -e A B C COAL kg/onne raw coal kg/onne raw coal kg/onne raw coal Gassy underground mines NSW NA Gassy underground mines Queensland NA Non-gassy underground mines NA Open cu mines NSW NA Open cu mines Queensland NA Open cu mines Tasmania NA Source: NGGIC (2006). Peroleum and gas Emissions from he producion of peroleum and gas may be esimaed from he following formula: GHG Emissions (CO 2 -e) = Q x EF (CO 2 -e)/1000 where: Q (Aciviy) is he mass of fuel produced in onnes (or energy conen measured in PJ), and EF is he relevan scope 1 (poin source) emission facor in kg CO 2 -e /PJ in Column C, Table 7 below. The CO 2 -e esimae (Column C) is he sum of CO 2 (Column A) and 21 imes he CH 4 (Column B). 16

22 Table 7: Emission facors for he producion of oil and gas (fugiive) Emission facor for scope 1 (direc / poin source EF) CO 2 CH 4 CO 2 -e A B C PETROLEUM Gg/PJ hroughpu Gg/PJ hroughpu Gg/PJ hroughpu Crude oil producion NA Crude oil ranspor: domesic NA Crude oil refining and sorage NATURAL GAS Producion and processing NA Transmission Disribuion PETROLEUM AND GAS COMBINED Vening a gas processing plan a Flaring a Noe: a. These esimaes are naional average emission facors and should be used in he absence of plan- or company-specific daa. Source: NGGIC (2006). Table 8: Emission facors for flaring of gas a oil refineries Emission facor for scope 1 (direc / poin source EF) CO 2 CH 4 CO 2 -e kg/ energy flared Source: NGGIC (2006). 17

23 2 Indusrial processes including synheic gases used as refrigerans or for oher uses Greenhouse gas emissions from indusrial processes oher han from combusion of fuels for energy may be esimaed by using he emission facors described in Tables 9 o 12. These emission facors are naional average emissions facors and can be used in he absence of plan- or company-specific daa. 2.1 Mineral, chemical and meal producs Table 9: Indusrial processes-emission facors and aciviy daa Source Emission facor for scope 1 by gas () (direc / poin source EF) Aciviy daa required CO 2 CH 4 N 2 O PFC SF 6 CO 2 -e A B C D E F Cemen clinker (plus cemen kiln dus los) Commercial lime producion b Q= clinker produced (plus he quaniy of cemen kiln dus calcined) () Q= commercial lime produced () In-house lime producion Q= In-house lime produced () Limesone use Q= limesone used () Dolomie use Q= dolomie used () Soda ash use Q= soda ash used () Aluminium producion (CF 4 ) Q= aluminium produced () (C 2 F 6 ) Iron & Seel crude Q= crude seel () seel producion a Noe: a. See explanaion below under heading Emission from reducan use in iron and seel producion. b. Clinker emission facor also accouns for oal organic carbon in he raw meal. Source: NGGIC (2006). The general mehodology employed o esimae emissions associaed wih each indusrial process involves he produc of aciviy level daa, e.g. amoun of maerial produced or consumed, and an associaed emission facor per uni of consumpion/producion according o: E j = Q j X EF j where: E j is he process emission (/yr) of CO 2 -e from indusrial secor j, Q j is he amoun of aciviy or producion of process maerial in indusrial secor j (onnes/yr unless oherwise specified), and EF j is he relevan emission facor in CO 2 -e per onne of producion in Column F, Table 9. 18

24 Emissions from reducan use in Iron and Seel Producion For companies involved in he producion of iron and seel, i is necessary o calculae he greenhouse gas emissions associaed wih he use of reducans (coke) in he producion process. The following mehodology should be applied: CO 2 emissions from reducan use = (AD coke - ( C sequ * 44/12 / ( CO 2 EF coke *OF))) * OF * CO 2 EF coke where: AD coke is he quaniy of coke used in pea-joules C sequ is he carbon sequesered in seel (he produc of he seel carbon conen (0.02) and he quaniy of seel produced) CO 2 EF coke is he CO 2 emission facor (shown below) OF is he oxidaion facor (0.98) Non CO 2 emissions from reducan use = (AD coke - (C sequ x 44/12 / ( CO 2 EF coke x OF))) x Non-CO 2 EF coke. where: AD coke is he quaniy of coke used in pea-joules C sequ is he carbon sequesered in seel (he produc of he seel carbon conen (0.02) and he quaniy of seel produced) CO 2 EF coke is he CO 2 emission facor (shown below) OF is he oxidaion facor (0.98) Non-CO 2 EF coke is he emission facor for CH 4 and N 2 O. Emission facors are shown in he Table 10 below: Table 10: Iron and seel: emission facors per PJ of coke consumpion Gas CO 2 CH 4 N 2 O Emission facor Gg/PJ 1.07 Mg/PJ 0.8 Mg/PJ Noe: Emissions should be added o process-relaed mehane emissions calculaed from Table 9 above. Source: NGGIC (2006). Example: Calculaion of emissions generaed from cemen clinker producion A company produces 20,000 onnes of cemen clinker and 130 onnes of cemen kiln dus is los per annum. The GHG emissions are calculaed as follows: Emissions ( CO 2 -e) = (Q x EF) Clinker producion = 20,000 onnes Cemen kiln dus producion = 130 onnes Clinker emission facor (/) = Cemen kiln dus emission facor (/) = CO 2 -e emissions () = (20,000 x 0.534) + (130 x 0.534) = 10,749.4 onnes CO 2 -e per annum 19