Background and objective

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1 Background and objective Hand-on Training Workshop on National GHG Inventories Category-Specific Workshop on Iron and steel 18 February Ankara, Turkey

2 Background Main recommendations from the last UNFCCC review process: reconcile and report separately Energy and IPPU sector fuel statistics and emission estimates for entire time series; report a complete time series (1990 onwards); and provide transparent documentation in the NIR on the use of carbon feedstocks in the iron and steel industry

3 Key findings of the Report on the 2014 inventory review for Iron and steel category

4 Main tasks Develop a system for the collection of carbon feedstock data from the iron and steel industry, taking into account the reporting and calculation requirements in 2006 IPCC Guidelines Estimate complete CO 2 from iron and steel production for the entire time series and covering all iron and steel production in Turkey using higher tier technology-specific emission factors and production data Develop a transparent description of the flows and uses of fossil fuel feedstocks for energy and reducing agents in iron and steel production in Turkey for use in future NIRs Improve description and cross-cutting category related issues in the NIR

5 Main steps Collection and analysis of information on all iron and steel production facilities in Turkey as well as carbon and fuel inputs (through available statistics, literature, Turkish experts, questionnaires sent to producers, site visits) Prepare a complete time series of iron and steel production statistics by technology-type (using available data and data gap filling recalculation techniques as necessary)

6 Main steps Create a carbon mass balance for the entire iron and steel industry, as well as for currently operating major facilities, covering fossil fuel energy and reducing agent sources (including coke and sinter) Identification of country-specific and/or technology-specific emission factors covering all facilities in Turkey, both current and historical Recalculation of CO 2 from iron and steel production emissions for the whole time series Investigate energy balance statistics for entire time series to properly subtract carbon feedstock consumption (e.g., coke as a reducing agent) that are reported in IPPU sector but were previously reported under fossil fuel combustion emission estimates in Energy sector Develop recalculations for Energy sector, as necessary, and fully document Other QA/QC activities

7 2006 IPCC Guidelines Activity Data TIER 2 METHOD The total amount of iron and steel, coke oven gas, blast furnace gas, and process materials such as limestone used for iron and steel production, direct reduced iron production, and sinter production in the country, in addition to onsite and offsite production of coke should be available. These amounts can then be multiplied by the appropriate default carbon contents and summed to determine total CO2 emission from the sector. TIER 3 METHOD This method can be based on a plant-specific mass balance approach (for CO2 emissions) or on plant-specific direct emissions monitoring data (for both CO2 and CH4 emissions). It may require activity data to be collected at the plant level and aggregated for the sectors. The plant-specific data should preferably be aggregated from data furnished by individual iron and steel and coke production companies. The appropriate amounts can then be multiplied by facility specific carbon content data and summed to determine total CO2 emissions.

8 2006 IPCC Guidelines Emission factors TIER 2 METHOD Default carbon contents should be used if information on conditions in iron and steel-making facilities and coke production facilities is not available, but detailed activity data for the process materials and offsite transfers are known. TIER 3 METHOD Aggregated plant-specific emission estimates or the application of the Tier 2 equations at a plant specific level should be used. The inventory compiler should ensure that each facility has documented the emission factors and carbon contents used, and that these emission factors are indicative of the processes and materials used at the facility. The Tier 3 method requires carbon contents and production/consumption mass rates for all of the process materials and off-site transfers. Default factors are only appropriate if plant-specific information indicates that they correspond to actual conditions.

9 2006 IPCC Guidelines

10 2006 IPCC Guidelines

11 2006 IPCC Guidelines

12 2006 IPCC Guidelines Tier 2 and Tier 3 Tier 2 is based on data for the known consumption of raw materials, including reducing agents, and industry-wide data. It uses a mass balance approach and material specific carbon contents. National data on the use of process materials for iron and steel production, sinter production, pellet production, and direct reduced iron production should be considered. Equations are reported in the guidelines. It should be noted that in calculating emissions from pellet production, energy consumption and heating value and carbon content of the fuel can be used similarly to other methodologies. Default carbon contents can be used if this information is not available. Emissions from direct reduced iron production are calculated based on fuel consumption and fuel carbon content (equation 4.11); emissions are derived from combusting fuel, metallurgical coke or other carbonaceous materials and are to be reported as IPPU emissions. Figures in the material specific carbon contents are also specified in the guidelines for the different materials used in the process. Tier 3 requires plant-specific emissions or activity data aggregated to the national level. If actual measured CO 2 emissions data are available from iron and steelmaking facilities, these data can be aggregated to account for national CO 2 emissions. If plant-specific CO 2 emissions data are not available, CO 2 emissions can be calculated from plant-specific activity data for individual reducing agents, exhaust gases, and other process materials and products. Total national emissions will equal the sum of emissions reported from each plant. Plant-specific carbon contents for each material are required for the Tier 3 method.

13 Relationship with the Energy sector There are new allocation rules defined in the 2006 IPCC Guidelines. All carbon, including that from carbonate use, used in blast furnaces, direct reduced iron (DRI), basic oxygen furnaces (BOF), electric arc furnaces (EAF) and open heart furnaces (OHF) should be considered as processrelated (2C1) emissions and all carbon used in the coke oven should be reported in the energy sector (1A1c). More than other categories, the risk of double counting or omissions of emissions either in the Energy sector or in IPPU is very high. Since the primary use of carbon sources (predominantly coke, but also coal, oil, natural gas, limestone etc.) is to produce pig iron, the CO 2 and CH 4 emissions from iron and steel production including sinter production are to be reported under industrial processes. The CO 2 and CH 4 emissions from coke production (both fuel consumption and conversion losses) both onsite and offsite from the iron and steel production facility are to be considered as energy production and reported under the energy sector. However, for integrated production and iron and steel with on site coke production, there may be flows of by-products (e.g. coke oven gas, blast furnace gas, coke oven by-products) between the coke production facility and the iron and steel production facility, creating potential double counting issues. Carbon consumed in the form of coke oven gas or blast furnace gas at an iron and steelmaking facility and the resulting CO 2 and CH 4 emissions would be categorised as IPPU; carbon consumed in the form of coke oven gas or blast furnace gas at an onsite coke production facility and the resulting CO 2 and CH 4 emissions would be categorised as energy sector emissions. So it is important that the Party shows a complete carbon balance to show transparently its reporting. Because of the dominant role of coke, it is important to consider the existence of coke making at a facility and define the boundary limits of a carbon balance at an iron and steelmaking facility to assure that CO 2 emissions are not double counted.

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