October 2011 e Bulletin on Carbon Footprint
Foreword Dear Readers, Climate change issues are now key components of the corporate agenda. We in Oil India Ltd. are working in high carbon intensive environment due to unavoidable gas flaring, fugitive emission, use of large number of engines etc., hence have added responsibility in ensuring minimization of carbon footprint in all our activities. Looking further into how business would be done in future, it is a well established fact today that the ability to shift to a low carbon growth path would determine the competitiveness, growth potential and sustainability in any organization. The transition to a low carbon growth path would require a transformational approach which is driven by our vision, mission and long term planning. OIL being a key player in the upstream oil & gas sector is also committed to minimize its impact on the Environment. Recently we have completed mapping of total carbon footprint and GHG emission arising out of our operation and identified the short term & long term measures to being down the emissions. We need your help and co-operation in our endeavour to off-set the emissions by taking a series of technical and administrative measures thereby making our company a carbon positive organization. Hope the input through this E-bulletin will provide an insight to the enormous challenge that the world is facing today while balancing industrial growth vis-à-vis Environmental preservation. ( Chitrabhanu Bose ) Head Safety & Envt.
What is carbon footprint? A carbon footprint is a measure of the impact our activities have on the environment, and in particular climate change. It relates to the amount of greenhouse gases (GHG) produced in our day-to-day lives through burning fossil fuels for electricity, heating and transportation etc. The carbon footprint is a measurement of all greenhouse gases we individually produce and has units of tonnes (or kg) of carbon dioxide equivalent. GHG (Kyoto Gas) Carbon dioxide (CO2 ) Methane (CH4) Nitrous oxide (N2O) Sulphur Hexafluoride (SF6) Perflurocarbons (PFCs) Hydroflorocarbons (HFCs) Example /Sources Burning fossil fuels Cattle, landfill sites, leaks from mines, burning fossil fuels Burning fossil fuels Leaks from electrical and electronics industries. Electronics industries, fire extinguishers Leaks from air conditioning and refrigeration systems. LPG storage A carbon footprint is made up of the sum of two parts, the primary footprint and the secondary footprint 1. The primary footprint is a measure of our direct emissions of CO2 from the burning of fossil fuels including domestic energy consumption and transportation (e.g. car and plane). We have direct control of these. 2. The secondary footprint is a measure of the indirect CO2 emissions from the whole lifecycle of products we use - those associated with their manufacture and eventual breakdown. To put it very simply the more we buy the more emissions will be caused on our behalf. Why work out a carbon footprint? The increasing interest in carbon footprinting comes as a result of growing public awareness of global warming. The global community now recognises the need to reduce greenhouse gas emissions to mitigate climate change. Calculating a carbon footprint can be a valuable first step towards making quantifiable emissions reductions. Did you know? 5 major sources of GHG Emissions Electricity and Heat (24.6%) Land Use Change (18%) Transport (13.5%) Agriculture (13.5%) Industry (10%) 1
Need for reducing GHG emission e Bulletin on Carbon Footprint As sunlight warms the earth, a good deal of the heat that arrives in these rays then escapes back to outer space through the atmosphere. Still, the atmosphere captures some of the heat. If the atmosphere thickens through the addition of increased levels of greenhouse gases (such as carbon dioxide and methane), more heat will be held in by the atmosphere resulting in Global Warming. Effect of Global warming Across the globe warming trend of 0.74ºC over the previous century was observed. Sea levels across the globe have risen in a way consistent with the warming. Extreme weather events (cyclones, storms, etc.) have shown increasing trends. Mountain glaciers and average snow cover have declined in both hemispheres. Did you know? At present India is the world s fifth largest emitter of GHGs, in terms of per capita emissions, India s rank is 137. As a developing nation and with 300 million people living below poverty line, in India the impacts of climate change can severely hamper development efforts and increase the risk to climate vulnerability. Following are some of the affects of global warming in India: North western Himalayas have become 1.4 C warmer in the last 100 years, a far higher level of warming than the 0.5 C 1.1 C for the rest of the globe. Due to sea level rise, the fresh water sources near the coastal FACT regions will suffer salt intrusion. Over the last 40 years there has been a decrease in annual rainfall in 68% of our country which would affect the food production. Wheat yields would fall by 5-10% with every increase of 1 degree celsius According to some modelling studies based on scenarios, 77% and 68% of the forest areas in the country are likely to experience shift in forest types by the end of the century, with consequent changes in forests produce, and, in turn, livelihoods based on those products. Heavily populated regions such as coastal areas are exposed to climatic events, such as cyclones, floods, and drought, and climate extremes Changes in climate may alter the distribution of important vector species (for Example, malarial mosquitoes) and may increase the spread of such diseases to new areas. 2
Did you know? Where India s emissions come from? Source: CEA & MNRE (2008), Amit Garg(2006) Climate change will only be addressed if individuals,businesses and government organisations all takes responsible steps to reduce our CO2 emissions as much as possible and then offset the remaining unavoidable emissions. Steps taken by India to combat climate change In the pursuit of emerging as a developed economy India has taken many initiatives towards combating climate change. India has made targets to reduce its carbon intensity output of 20-25% below 2005 levels to have 7% reduction on 2020 in business as usual scenario. Some of the steps taken up by GOI are listed below: 1. National Auto Fuel Policy, 2010 : This policy introduces certain emission limits for gasoline and diesel vehicles which is being implemented across the nation in a phased manner. 2. National Action Plan for Climate Change (NAPCC), 2008: A robust and comprehensive plan which has a mix of both mitigation and adaptation measures has been promulgated. 3. National Rural Employment Guarantee Act, 2006: A flagship anti-poverty scheme which provides 100 days of employment under green jobs to rural poor. 4. Energy Conservation Act, 2001: Aims to reduce specific energy consumption in different sectors, at macro level under Bureau of Energy Efficiency. 3
5. India is also an active participant in the Clean Development Mechanism (CDM), with the second highest number of projects registered for any country and estimated to offset almost 10 percent of India s total emissions per year by 2012. Role of companies Organizations are required to formulate a carbon management strategy and plan, set realistic carbon reduction targets and meet them. Organization need to develop/ adopt technologies to mitigate emissions by sources or to adapt the adverse impacts of climate change. Organisation need to create awareness among its stakeholders on the potential impact of climate change and help in taking measures to mitigate the effects of climate change. Role of Oil India Ltd As a responsible corporate citizen, Oil India Limited has taken up many initiatives to curb its carbon footprint and contribute towards building a green economy. As a first step OIL has calculated it carbon footprint and GHG emission level of various operational units. The overall GHG footprint of OIL as per the organizational & operational boundary is 1.39 million ton CO2 e for base year 2009-2010 OIL India Limited has registered a Clean Development Mechanism (CDM) project Green house Gas Emission Reduction through Recovery and Utilization of Flare Gas, 2009 at EPS Kumchai at Arunachal Pradesh. This initiative shall reduce GHG emission and contribute towards cleaner environment besides generating revenue for the state. OIL has formulated its HSE policy, which address the highest concern for preserving the environment & ecology, sustainable development, enrich quality of all the stakeholders. OIL has introduced new technologies for pollution control in its drilling rigs and ITF unit. OIL conducts public awareness drives on conservation of environment. Benefits of GHG foot print assessment to Oil India Ltd: The potential benefits of assessing and reporting GHG foot print for OIL are: Carbon foot print assessment will help OIL identify emission intensive processes and units and help to make strategies to cut down its carbon foot print. OIL can benefit from opportunities for participation in GHG markets like cap & trade allowance trading program. 4
Development and implement GHG management strategies and plan for adopting a low carbon growth. A robust system for monitoring and reporting GHG emissions could help OIL to manage climate change related regulatory risks. GHG footprint reporting can be useful tool for OIL to communicate its proactive stance to all the stakeholders. OIL can participate in public reporting and voluntary GHG programs and progress towards GHG targets. In the future, Under National Action Plan for Climate Change- National Mission for Enhanced Energy Efficiency, OIL can participate in Perform Achieve- Trade (PAT) scheme and earn energy saving certificated (ESCerts). Role of OIL Indians All employees can help Oil India Ltd to cut its emission levels and contribute towards a low carbon growth. To oblige and extend full support to the environmental policy of the company. Adopt and develop low carbon intensive technologies. Avoid Air travel, switch to video conferencing for meetings. Use Recycle/ Reused paper for office work. Repair the leaks to reduce GHG emission. Use vehicle in pool as far as possible. There is a sufficiency in the world for man's need but not for man's greed Note: Log on to www.carbonfootprint.com and know your carbon footprint today. Pledge to make your carbon footprint to 350ppm 5
Role of individuals Be a change champion CAR Avoid cars or buy a small car; drive sensibly, car pool Kitchen 1. Allow hot food to cool before putting it in the fridge 2. Use the gas flame appropriately 3. Partially thaw food before cooking Bathroom 1. Save water - use a smaller flush 2. Turn off the geyser and/or get solar water heater 3. Take a bucket bath Bedroom 1. Use natural fabrics 2. Using a ceiling fan will allow you to set the thermostat higher because they cool the room 3. Use minimal lighting, as it also brings down the temperature of the room 4. Don t use the AC, if you do, set it at a higher temperature. On cool evenings leave your windows open instead of switching on the AC. LIVING ROOM 1. Switch to CFL bulbs. They use 75% less energy and last 10 times longer than incandescent bulbs 2. Switch off computer monitor 3. Switch off appliances instead of leaving them on standby mode. 4. Switch off lights when not needed 5. Use indoor plants to offset your carbon dioxide. 6. Buy 5 star rated appliances Together we can reduce the size of our carbon footprint and make our earth a better place to live 56