Non-CO2 Gas Offsets (Methane and fluorinated gases): EPA’s voluntary program experiences Paul M. Gunning US EPA Climate Change Division May 12, 2009 Resources for the Future Workshop: Modeling the Costs and Volumes of GHG Offsets What Are the “Other Gases”? • Methane (CH4) • Nitrous Oxide (N2O) • Ozone Depleting Substances (CFC, HCFC) – phased out by the Montreal Protocol • High Global Warming Potential (GWP) Gases (HFC, PFC, SF6, NF3) – including industrial gases and substitutes for Ozone Depleting Substances (ODS) • Aerosols (sulfate, black carbon) • Ozone and its precursors (CO, NMVOC, NOx) 2 Characteristics of Non-CO2 Gases Greenhouse Gas Atmospheric Lifetime (years) 100-Year GWP 12 25 Landfills, coal mines, natural gas and oil systems, enteric fermentation, livestock waste management, rice cultivation, wastewater treatment 1.3 – 1,700 77 – 14,400 Ozone-Depleting Substances (ODS), being phased out by Montreal Protocol and Clean Air Act 1.4 – 240 124 – 9,810 Substitutes for ODS in refrigeration, air conditioning, foam blowing, fire extinguishing, aerosol propellants, solvents 270 14,800 2,600 – 50,000 7,390-12,200 Primary aluminum smelting, electronics manufacturing, minor use as ODS substitutes SF6 3,200 23,900 Magnesium production and casting, electric utility switchgear, electronics manufacturing NF3 740 10,970 Electronics manufacturing Methane CFCs and HCFCs HFCs HFC-23 PFCs Key Sources Also a byproduct of HCFC-22 production 3 Non-CO2 Gases play important roles Anthropogenic Emissions of Non-CO2 Gases have been important contributors to an enhanced Greenhouse Effect Since PreIndustrial Times Methane 0.7 W/m2 Nitrous Oxide 5% 24% Carbon Dioxide 1.4 W/m2 Nitrous Oxide 0.15 W/m2 12% CFCs, HFCs, 10% Total = 2.9 Watts/m2 HFCs 2% Methane 8% 5% 49% Total global forcing PFCs, SF6, HFC23 1% PFCs, SF6 0.35 W/m2 Tropospheric O3 0.3 W/m2 CO2 84% US Emissions: Total 7,260 Tg CO2 Eq. 4 Non-CO2 Reductions Offer Important Climate and Economic Benefits • Near-term climate benefits • Mitigation costs are lower than for energy-related CO2 0.6 0.4 Degrees C 0.2 Non - CO2 GHGs CO2 CH4 0 -0.2 Sox NonGHGs 2100 2050 -0.4 -0.6 -0.8 Impact of a 50% reduction from BAU in 2050, maintained to 2100 5 Methane • • • • Emitted by many sources in energy, agriculture & waste sectors Principal component of natural gas Emissions can be reduced but not eliminated Mitigation efforts deliver many co-benefits – – – – – – Climate Change Energy Air Quality Mine/Industrial Safety Water Quality Odor Control Global Anthropogenic Methane Emissions by Source (2005) Rice Cultivation 10% Other Agriculture 7% Oil and Gas 18% Landfills 12% Coal Mining 6% Enteric Fermentation 30% Biomass Combustion 3% Fuel (stationary and mobile) 1% Wastew ater Manure 9% Management 4% 6 Methane Mitigation Opportunities Source Key Technologies Landfills Methane recovery and combustion (i.e., power generation, industrial uses, flaring) Coal Mines Methane recovery and combustion, flaring, ventilation air use Gas/Oil Systems 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 7 Trends - Methane 600 Other 500 TgCO2Eq 400 Livestock 300 Oil and Gas 200 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 8 F-GHG Background • Intentionally manufactured and by-product emission sources – – – – HFCs, PFCs, SF6, NF3, HFEs HFCs generally ODS substitutes PFCs, SF6, NF3, HFEs generally used in other industrial applications Small number of by-product sources • All potent GHGs – HFCs, HFEs short-lived – PFCs, SF6, NF3 long-lived • Small part of current [and future] US and global GHG inventory ~ 2% • Used in socially valued applications – ODS substitutes: essential to HCFC phase-out – Other industrial uses: critical inputs to climate protection technologies • No substitutes for some uses – HFCs in residential A/C – SF6 in High voltage T&D equipment • Nevertheless, significant reduction opportunities exist – Avoid growth 9 9 How Are F-GHGs Emitted? F Gases Gases Fluorinated Other Industrial Sources Substitutes for Ozone-Depleting Substances Emitted Duringduring Use & use Disposal Emitted Produced as Byproduct Emitted Use Emitted During during use Primary Aluminum Production Magnesium Magnesium Production & Production and Casting Casting Refrigeration & Air Conditioning Foam-Blowing Agents Manufacturing HCFC-22 (ODS) Electronics Manufacturing Fire Suppression Cleaning Solvents Aerosols Metered-Dose Inhalers Electric T&D Equipment Other Uses Fumigants Nonessential Uses10 10 High GWP Gas Mitigation Opportunities Source Key Technology Aluminum Reduce frequency and duration of anode effects Magnesium Improved process management, Alternative chemicals Electric Power Improved gas handling, recycling, new equipment Semiconductors Improved process management, thermal destruction, alternative chemicals HFC-23 Improved process management, thermal destruction ODS Substitutes Improved gas management, alternative chemicals and processes, ban nonessential uses – approaches and costs are highly dependent on end-use 11 Trends – HFCs, PFCs and SF6 Emissions 350 300 Tg CO2-eq 250 Historical Projected 200 ODS Substitutes (mainly HFCs) 150 100 Magnesium Prod. (SF6) Electric Transmission (SF6) 50 Semiconductor Prod. (mainly PFCs) Aluminum Prod. (PFCs) HCFC-22 Production (HFC-23) 0 1990 1995 2000 2005 • • 2010 2015 2020 Emissions from ODS substitutes have risen from nearly 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% since 1990, primarily due to EPA-industry partnership programs. 12 Current Policies and Measures to Reduce Emissions of Non-CO2 Gases in the US Public-private partnership programs target major sources • • • • • Landfill Methane Outreach Program Coal Mine Methane Outreach Program Natural Gas STAR AgSTAR Voluntary Aluminum Industry Partnership (VAIP) • • • • • • Semiconductor Partnership Utility SF6 Partnership Magnesium Partnership HFC-23 Reduction Partnership HFCs in Mobile Air Conditioning ODS partnerships (GreenChill, RAD) Avoid High GWP Gas emissions by stratospheric ozone regulation • • Refrigerants (no venting, mandatory recovery and recycling, leak-repair if exceed emission limits) ODS Substitutes “SNAP” Program (Ban or limit use where more environmentally friendly substitutes exist) Reduce methane emissions as a co-benefit of air quality regulation • CAA New Source Performance Standards - Landfills and Oil and Gas Sector – HAPs, VOCs 13 Offsets – Performance Standard Approach • EPA has applied a performance standard approach (Climate Leaders) – The performance standard approach reduces complexity, cost and subjectivity • Proposed projects are required to demonstrate that they are additional by achieving a level of performance that, with respect to emission reductions or removals, or technologies or practices, is significantly better than businessas usual • Project developers are aware of the accounting “rules” in advance – Methodologies prepared for specific set of project types – Equations needed for estimating and calculating emissions and reductions/removals are provided • Reduces the complexity, cost and subjectivity of constructing individual project-specific arguments and subsequent review • In general, consistent with WRI/WBCSD GHG Project Protocol, CCAR, RGGI • Can be used for a variety of project types (sectors and geographic areas) • Minimizes risk of accepting a project that is not additional or rejecting a project that is additional 14 Methane Offsets Measurable Additional Permanent Verifiable Ag - ruminants L M/H M/H L Ag – manure mgmt H M H H H H M H M H H H H H H H Landfill H M H H Oil & Gas M L/M L/M M Coal mines -VAM -Drained gas -Abandoned (H=high; M=medium; L=low) 15 F-GHG Offsets Measurable Additional Permanent Verifiable Al H M M H Elect M M M M Mg H H H H HCFC-22 H M H/M H EPS M M M L (H=high; M=medium; L=low) 16 Non-CO2 gas projects can be attractive offsets • Many discrete types of non-CO2 reduction projects are wellsuited as offset project types and have critical co-benefits. • Mitigation technologies and mitigation practices exist form many source categories • Certain project types can be demonstrated to be clearly “additional” – above and beyond business as usual. For example, – Ventilation air methane emitted from coal mine shafts – Landfill gas to energy projects below a certain size – Agriculture – biogas recovery • Real emissions reductions can be achieved at low cost • Some sources are easily verifiable – Established measuring and monitoring procedures 17 Thank you! For more information, please contact Paul Gunning Gunning.paul@epa.gov Pamela Franklin Franklin.pamela@epa.gov 18