EPA Efforts to Reduce Emissions of Non-CO2 Gases

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EPA Efforts to Reduce Emissions of Non-CO2 Gases Presentation for the UNFCCC Mitigation Workshop on Non-CO2 Gases December 7, 2007 Climate Change Division

Overview Importance of the Non-CO2 GHGs US Emissions and Mitigation Options EPA Efforts to Reduce Non-CO2 Gases High GWP Gases Methane Global Opportunities: The Methane to Markets Partnership Concluding Thoughts 2

Non-CO2 Gases Play an Important Role Anthropogenic Emissions of Non-CO2 Gases have been important contributors to an enhanced Greenhouse Effect Since Pre-Industrial Times 24% Methane 0.7 W/m 2 Carbon Dioxide 1.4 W/m 2 5% Nitrous Oxide 0.15 W/m 2 49% 10% 12% CFCs, HFCs, PFCs, SF 6 0.35 W/m 2 Total = 2.9 Watts/m 2 Tropospheric O 3 0.3 W/m 2 3

Non-CO2 Reductions Offer Important Climate and Economic Benefits Near-term Climate Benefits Looking to likely emissions over the next half century, it is also the case that feasible reductions in emissions of methane and other non-co 2 gases can make a contribution to slowing global warming that is as large or even larger than similar reductions in CO 2 emissions. - MIT, 2003 Mitigation cost are lower than for energy-related CO2 The result a large portfolio of mitigation options and the potential for reduced costs for a given climate policy objective Degrees C 0.6 0.4 0.2 0-0.2-0.4-0.6-0.8 CO 2 Non - CO 2 GHGs CH 4 Sox Non- GHGs Impact of a 50% reduction from BAU in 2050, maintained to 2100 2100 2050 4

U.S. GHG Emissions (2005) HFCs, PFCs, and SF 6 (2%) Total U.S. Emissions = 7260 Tg CO 2 -eq CH 4 (7%) N 2 O (6%) CO 2 (84%) 1 Tg = 1 million metric tons 5

U.S. Emissions of Fluorinated Gases (2005) Total = 163 Tg CO2-eq HCFC-22 Production (HFC-23) 10% Byproduct gases Aluminum Production (PFCs) 2% Semiconductor Prod. (mainly PFCs) 3% Magnesium Prod. (SF 6 )2% ODS Substitutes (mainly HFCs) 76% Electric Transmission (SF 6 ) 8% Deliberately produced gases 6

High GWP Mitigation Opportunities Source Aluminum Magnesium Electric Power Semiconductors HFC-23 ODS Substitutes Key Technology Reduce anode effects Improved process management, SF6 substitutes Improved gas handling, recycling, new equipment Improved process management, thermal destruction, alternative chemicals Improved process management, thermal destruction Improved gas management, alternative chemicals 7

U.S. Emissions of Methane (2005) Total = 539 Tg CO2-eq Livestock Manure Other 7% 20% Enteric Fermentation Wastewater Treatment 5% 8% Coal 10% 26% Natural Gas and Oil Systems 24% Landfills 8

Methane Mitigation Opportunities Source Landfills Coal Mines Gas/Oil Systems Key Technologies Methane recovery and combustion (i.e., power generation, industrial uses, flaring) Methane recovery and combustion, flaring, ventilation air use Use of low-bleed equipment, and better management practices Livestock Waste Methane collection from anaerobic digestors and combustion (power, flaring) Ruminant Livestock Improved production efficiency through better nutrition and management Rice Production Water management, organic supplements 9

EPA s Efforts to Reduce Emissions of Non-CO2 Gases Public-private partnership programs target major sources Landfill Methane Outreach Program Coal Mine Methane Outreach Program Natural Gas STAR AgSTAR Voluntary Aluminum Industrial Partnership Semiconductor Partnership Utility SF6 Partnership Magnesium Partnership HFC-23 Reduction Partnership HFCs in Mobile Air Conditioning Avoid High GWP Emissions by stratospheric ozone regulation Refrigerants (no venting, mandatory recovery and recycling) ODS Substitutes SNAP Program (Ban or limit use where more environmentally friendly substitutes exist) 10

High-GWP Partnerships Sectors: Aluminum, Magnesium, Semiconductors, Electric Power, Mobile Air Conditioning, and HFC and HCFC producers EPA Partnership Goals: Mobile Air Conditioning Partnership - Reduce HFCs 50% and improve fuel-efficiency by 30% PFC Reduction Partnership for the Semiconductor Industry - Reduce PFCs 10% below 1995 by end of 2010 Voluntary Aluminum Industrial Partnership - Reduce direct carbon intensity by 53% below 1990 levels by 2010 SF 6 Emissions Reduction Partnership for the Magnesium Industry - Phase out SF 6 by end of 2010 11

Natural Gas STAR Methane Partnerships over 100 companies (57% of industry) in program Since 1993, companies have reported reductions of 63 MMTCE, valued at over $4.2 billion USD. Coalbed Methane Outreach Program 80% of mine degasification CH4 is used (up from 25% in 1993) industry effort to demonstrate use for ventilation air methane Landfill Methane Outreach Program Over 425 US projects -- tripled since 1994 Strong corporate interest in use of landfill gas AgSTAR Since 1994, the number of biogas recovery systems has doubled; over 180 projects - generating about 300 million kwh per year. MMTCE 170 165 160 155 150 145 140 Changes in US Methane Emissions and Economic Growth 1990-2004 1990 1996 1997 1998 1999 2000 2001 2002 Methane Emissions 2003 2004 14000 12000 10000 8000 6000 4000 2000 0 GDP Billion $ 12

General EPA Program Approach Understand the Fundamentals Emission Sources Mitigation Technologies Cost and Benefits Identify the Barriers to Adoption If technologies are profitable, why aren t they being implemented? Can EPA assist in overcoming the barriers? Design programs that address the barriers MOU Approaches General Outreach Approaches Routinely measure, monitor and report progress Internal programmatic assessment External communication 13

Common Barriers Unaware of emission levels, environmental consequences The common wisdom of the industry Steep learning curve to understand and assess mitigation technologies Unaware of other project benefits Hard to find project partners, financing Difficult to get management acceptance of new approaches Legal/Regulatory issues 14

Partnerships Overcome Barriers Each program is customized to its industry Common strategies and approaches to address barriers: Technology assessment Technical/analytical support Identification of Candidate Sites Cost/Benefit and Financing Information Information Access and Networking Regulatory Assistance Public Recognition 15

Trends (1990-2020, with Programs) 350 300 250 Historical Projected Tg CO2-eq 200 150 ODS Substitutes (m ainly HFCs) 100 50 0 Magnesium Prod. (SF 6 ) Electric Transmission (SF 6 ) Semiconductor Prod. (mainly PFCs) Aluminum Prod. (PFCs) HCFC-22 Production (HFC-23) 1990 1995 2000 2005 2010 2015 2020 Emissions from ODS substitutes have risen from zero in 1990 to 123 MtCO2- eq today; rise will continue through 2030 as ODS phaseout continues. Emissions of HFCs, PFCs, and SF6 from industrial sources have fallen by 55%, primarily due to EPA-industry partnership programs. 16

Trends (1990-2020, with Programs) 600 500 Other TgCO2Eq 400 300 200 Livestock Oil and Gas Coal 100 Landfills 0 1990 2000 2005 2010 2015 As of 2005, the CH4 partnership programs have successfully reduced US emissions 11% below 1990 levels With continued efforts, emissions are expected to remain below 1990 level in spite of economic growth through 2020 17

Keys to Successful Partnerships Strong technical and economic foundation Customized programs Clear roles and responsibilities and program goals and boundaries Extensive expertise of program managers Flexible strategies Information sharing across industry partners Strategy for measuring success Recognition 18

Catalyze Global Reductions High GWP Gases World Semiconductor Council PFCs 10% below 1995 by 2010 International Aluminum Institute PFCs 80% below 1990 by 2010 Asia Pacific Partnership Aluminum Task Force Reduce PFC emissions and improve efficiency from aluminum smelting Working in partnership with Australia and China - Measurement/ Inventory/ Demonstration/Training International Magnesium Association Methane Phase-out SF6 by 2010 Methane to Markets Potential to achieve annual reductions of global CH4 emissions totaling 50 MMTCE by 2015 19

Methane to Markets Encourages development of cost-effective methane recovery and use opportunities in coal mines landfills oil and gas systems and agriculture (manure waste management) Private companies, multilateral development banks and other relevant organizations participate by joining the Project Network over 650 organizations now participating 21 Partner Governments Argentina Australia Brazil Canada Colombia China European Comm. Ecuador Germany India Italy Japan Korea Mexico Nigeria Poland Russia Ukraine United Kingdom United States Vietnam 20

US Commitment Pledged $53 million over five years at Partnership launch in 2004. To date: Provided $18.3 million to support a wide range of projects and activities Leveraged over $261 million in public and private sector contributions M2M grant solicitation from EPA will be out shortly - up to $7 million Providing significant support to the Partnership through the ASG and technical support in all 4 sectors Providing assistance for methane recovery and use project activities in Argentina, Brazil, China, Colombia, Ecuador, India, Korea, Mexico, Nigeria, Russia, and Ukraine. Through 2007, supporting projects that, if fully implemented, will result in estimated annual emission reductions of approximately 9 million metric tons of carbon dioxide equivalent (MMTCO2E) 21

Concluding Thoughts Significant climate and other environmental and energy benefits Reduces cost of climate mitigation Technologies are available and in demand Barriers are being addressed Emissions can be reduced rapidly Partnership and industry sector approaches are successful and need to play a role in future mitigation efforts 22