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Slide 1 - ABCs of Carbon Emissions Accounting Climate Change Information Center November 6, 2003
Slide 2 - What is carbon emissions accounting? Carbon accounting records, summarizes and reports the quantity of carbon emissions by sources and removals by sinks as a direct result of human activities or natural processes that have been affected by human activities
Slide 3 - Why conduct an accounting of carbon emissions? provide information on which to build an effective strategy to manage GHG emissions prerequisite for participation in GHG trading markets demonstrate compliance with government regulations, if any are already in place
Slide 4 - UNFCCC Article 4 (a) Develop, periodically update, publish and make available to the Conference of Parties national inventories of anthropogenic emissions by sources and removals by sinks of all greenhouse gases not controlled by the Montreal Protocol, using comparable methodologies to be agreed upon by the Conference of Parties
Slide 5 - Why is there a need to use a standard methodology? allows comparability across all countries ensures consistency, transparency and verifiability of the inventory
Slide 6 - OECD Report on Estimation of GHG Emissions and Sinks (1991) IPCC Guidelines for National GHG Inventories (1995) Revised IPCC Guidelines for National GHG Inventories (1996) *Good Practice Guidance and Uncertainty Management (2000) Development of the methodology guidelines for national GHG inventories:
Slide 7 - Good GHG accounting/inventory and reporting must be... relevant complete consistent transparent accurate comparable verifiable
Slide 8 - GHG emissions Carbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O) Equivalent CO2 units Global Warming Potential CO2 = 1 CO2 equivalent CH4 = 21 CO2 equivalents N2O = 310 CO2 equivalents Other gases: HFCs, PFCs, and SF6 = 600 to 23,900 CO2 equivalents
Slide 9 - Steps in carbon accounting: Identify boundary/ies Identify emission sources to be covered Select an emissions calculation approach Collect activity data and choose emission factors Apply calculation tool to estimate emissions
Slide 10 - Levels/boundaries of accounting organizational operational (companies) geographical project - based
Slide 11 - Emission Categories Direct emissions emissions within project control, as a direct result of project intervention, e.g. waste heat utilization Indirect emissions outside project control, from changes in secondary energy carriers and materials as a result of project intervention, e.g. reduced import of heat supplied by an outside heating plant On-site and Off-site emissions In and out of project boundary
Slide 12 - Upstream emissions material impacts of activities that relate to the project activity but occur before it Downstream emissions material impacts of activities that relate to the project but occur after the project activity Full cycle accounting a comprehensive accounting of all the significant emissions related to a project Emission Categories
Slide 13 - Direct emissions
Slide 14 - Indirect emissions
Slide 15 - acquainted with the basics of climate change proficient in basic mathematical operations computer literate (i.e. Excel) familiar with activity or project process that results in carbon emissions Who can do the accounting?
Slide 16 - Accounting Equation GHG = A x EF where, GHG = emissions (amount of CO2 or CH4, etc) A = activity data (liters of fuel, bag of cement) EF = emission factor (kg CO2/liter of fuel, kg CO2/bag cement)
Slide 17 - GHG = A x EF A (activity data) - data on the magnitude of human activity resulting in emissions or removals taking place during a given period of time (e.g. liters of fuel consumed, etc) EF (emission factor) - a coefficient that relates the activity data to the amount of chemical compound which is the source of eventual emissions. Emission factors are often based on a sample of measurement data, averaged to develop a representative rate of emission for a given activity level under a given set of operating conditions (e.g. amount of carbon/unit activity)
Slide 18 - Sample Emissions Calculation: Emissions from Cement Production
Slide 19 - GHG = A x EF To reduce GHG emissions: lower A = decreasing frequency or magnitude of activity lower EF = shifting to more efficient, less carbon intensive technology lower both at the same time Emissions Reduction
Slide 20 - Emissions Reduction CO2 emission year Reduced emissions (CER) Project implemented Business as usual: baseline End of project Start of project
Slide 21 - Other terms used for Scenarios: Baseline = Business as Usual (BAU scenario) = Reference Scenario = Without Project Scenario Project = Alternative Project scenario = With Project Scenario
Slide 22 - Emissions Reduction Calculations - objective is to define reference and project scenarios and determine the net difference in GHG emissions between these two scenarios GHGredn = GHGbase – GHGproj = emissions reduction due to existence of the project GHGbase = an estimation of emissions assuming that no alternative project was implemented GHGproj = measures the GHG emissions following project implementation
Slide 23 - GHGredn = GHGbase– GHGproj = (A*EF)base – (A*EF)proj *In renewable energy projects where EFs of the project are considered zero: GHGredn = (A*EF)base – (A*0)proj = (A*EF)base GHGredn = GHGbase * hydro, solar, wind - excludes leakage and other direct and indirect emissions zero
Slide 24 - CDM Eligible Projects Renewable energy Fuel switching End-use energy efficiency improvements Supply-side energy efficiency improvement Agriculture (reduction of CH4 & NO2 emissions) Industrial processes (CO2 from cement, HFCs, etc) Sink projects (only afforestation & reforestation) Energy Industries
Slide 25 - Sample CDM Projects and Emissions Reduction 1. Renewable Energy Projects (Hydro, Wind, Biomass) - lower emission factor --> CO2 savings 3. Energy Efficiency Projects - lower electricity consumption due to more efficient equipment or appliance --> CO2 savings 2. Landfill Gas to Energy Projects - capture and utilize methane from landfill; and displace fossil fuel used to generate electricity --> CO2 and CH4 savings
Slide 26 - Sample CDM Projects and Emissions Reduction Calculation Renewable Energy Projects Hydro: Aquarius Hydrothermal Project Wind: Burgos Wind Energy Project Hands-on Exercises: Wind: Wigton Wind Farm Project
Slide 27 - Some References for estimating CO2 emissions and emissions reduction: Revised IPCC Guidelines for National GHG Inventories (1996) GHG Assessment Handbook, 1998 – World Bank GHG Protocol – www.ghgprotocol.org IPCC Database on Greenhouse Gas Emission Factors (EFDB) - http://www.ipcc-nggip.iges.or.jp/EFDB/main.php USEPA Emission Inventory Improvement Program http://www.epa.gov/ttn/chief/eiip/techreport/volume08/index.html PROBASE (forestry) http://e-serem.epu.ntua.gr/
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