CGE Greenhouse Gas Inventory Handson Training Workshop INDUSTRIAL

CGE Greenhouse Gas Inventory Hands-on Training Workshop INDUSTRIAL PROCESSES SECTOR 1 2. 1

SECTION A IPCC 1996 GL Approach and Steps n n n Definition of IP sector activities Differentiating non-energy and energy related emissions IPCC source and sub-source categories or disaggregation Estimation methods n Choice of activity data n Choice of default emission factors Tools facilitating choice of EF and reporting n IPCC emission factor database (EFDB) n Tools facilitating reporting 2 2. 2

SECTION B GPG 2000 Approach and Steps n n n Good practice principles Choice of methods – Tier structure and selection criteria GPG 2000 potential key sources and decision trees 3 2. 3

SECTION C Problems Using IPCC 1996 GL GPG 2000 Options/Suggested Approaches n n n Difficulty in disaggregation of Country relevant Sources Activity Data (AD) Collection and confidential business information (CBI) Emissions Estimation methods and Reporting Inappropriateness of Stoichiometric ratios as EFs Lack of Emission Factors (2) Lack of AD and EFs 4 2. 4

SECTION C Problems Using IPCC 1996 GL and Recommendations § Other specific issues and § Use of notation keys in reporting Tables 1& 2 § Activity data collection and reporting § Institutional arrangements § Recommended capacity building 5 2. 5

SECTION D IPCC 1996 GL Source Category Specific Problems of AD and EF GPG 2000 Options 6 2. 6

SECTION E Inventory Quality Improvement and Uncertainty Reduction GPG 2000 Approach – QA/QC 7 2. 7

SECTION A Revised 1996 IPCC Guidelines for National Greenhouse Gas Inventories (IPCC 1996 GL) INDUSTRIAL PROCESSES SECTOR Approach and Steps 8 2. 8

IPCC 1996 GL Approach and Steps Definition of IP Sector Activities n n Non-energy related physical and chemical processes in production activities leading to transformation of raw materials and emissions of GHG (e. g. decomposition reactions) Non-energy uses (NEU) of feedstock in process reactions or stage processes that do not only release heat but also act predominantly as reducing agent (e. g. metallurgical coke in the smelting of ores in metal production) 9 2. 9

IPCC 1996 GL Approach and Steps Definition of IP Sector Activities n n Feedstock delivered to petrochemical plants and used for manufacture of other products and not for energy purposes (e. g. use of natural gas or other fossils in the manufacture of ammonia) Production-related emissions NOT classified under IP but under energy sector are GHGs released from fuel combustion of feedstock in production activities as sources of energy / form of energy (i. e. heat, process steam or electricity generation). 10 2. 10

IPCC 1996 GL Approach and Steps Differentiating non-energy and energy related emissions in IPCC 1996 GL Vol. 3 § § § § § Cement production section 2. 3. 1 Lime production , 2. 4. 1 Soda ash production and use 2. 6. 1 Ammonia production 2. 8. 1 and 2. 8. 2 Silicon carbide 2. 11. 1 Calcium carbide 2. 11. 2 Iron and steel 2. 13. 3. 2 Ferro alloys 2. 13. 5. 1 Aluminium 2. 13. 5. 1 11 2. 11

Illustration of Non-Energy and Energy Related Emissions IPCC 1996 GL Vol. 3 (Reference Manual) Differentiation of Non-Energy and Energy Related Emissions in IP sector 12 2. 12

IPCC 1996 GL Approach and Steps IPCC Source and Sub-source Categories or Disaggregation n Tools for classification: n The IPCC inventory software (electronic version of IPCC worksheet) n Emission factor database (EFDB) 13 2. 13

Illustration with EFDB and Software IPCC 1996 GL Sources and Sub-source Categories/Disaggregation 14 2. 14

GHGs from IP sector (a) CO 2, CH 4, N 2 O (b) HFCs, PFCs, SF 6 (c) SO 2, CO, NOx, NMVOCs Relevant source categories (ref. software long summary) 15 2. 15

IPCC 1996 GL Approach and Steps General Estimation Methodology n General equation TOTALij = AD j x EF ij n where: n TOTAL ij = process emission (tonne) of gas i from industrial sector j n AD j = amount of activity or production of process material (activity data) in industrial sector j (tonne/yr) n EF ij = emission factor (EF) associated with gas i per unit of activity in industrial sector j (tonne/tonne) 16 2. 16

IPCC 1996 GL Approach and Steps Choice of Methods n For certain industrial processes, more than one estimation methodology is presented. These are: n Simplified approach referred to as Tier 1 n More detailed methodology referred to as Tier 2 17 2. 17

IPCC 1996 GL Approach and Steps Choice of Methods n n n Several options are also provided for certain industrial processes under Tier 1, such as Tier 1 a, 1 b, 1 c; based on data availability and suitability of methods Order of preference for Tier 1 methods 1 a > 1 b >1 c Encourages country-specific methods, documented and adequately referenced 18 2. 18

IPCC 1996 GL Approach and Steps Sample tiers by Sub-source Categories n n 2 B 1 – Ammonia production (CO 2) 3 n Tier 1 a – AD as natural gas consumption (m ) and EF (kg. C/m 3) n Tier 1 b – AD as ammonia production (tonnes) and EF (tonne CO 2/tonne NH 3) 2 C 5 – Calcium Carbide Production (CO 2) n T 1 a – Consumption of petroleum coke (tonnes) and EF (tonne C/tonne Coke type) n T 1 b – Production of carbide 19 2. 19

IPCC 1996 GL Approach and Steps Tiers by Sub-source Categories n 2 C – Metal production (Iron and Steel, Al, Ferro-alloys) n Tier 1 a – Consumption of reducing agent (tonnes) and EF (tonne C/tonne reducing agent) n Tier 1 b – Production of the metal (tonnes) and EF (tonne CO 2/tonne metal) 20 2. 20

IPCC 1996 GL Approach and Steps Tiers by Sub-source Categories n PFCs from aluminum production n Tier 1 a – Direct plant emissions data n Tier 1 b – Estimation based on plant measurements and empirical estimation n Tire 1 c – Based on aluminium production (tonnes) and default emission factor (kg/tonne Al) 21 2. 21

IPCC 1996 GL Approach and Steps Tiers by Sub-source Categories n n 2 F – HCFC manufacture (HFC-23 release) n Tier 1 – AD (total production in tonnes) and Default EF (% of total production) n Tier 2 – Direct emissions from plant specific measurements using standard methods 2 E – Consumption of ODS substitutes (HFCs, PFCs and SF 6) n Tire 1 a and Tier b – Potential emissions n Tier 2 – Actual emissions 22 2. 22

IPCC 1996 GL Approach and Steps Choice of Activity Data n n Plant level measurements or direct emissions reports with documented methodologies Where direct measurements are not available, estimations are based on calculation with plant-specific data 23 2. 23

IPCC 1996 GL Approach and Steps Choice of Activity Data n n n International data sets (United Nations data sets and Industry associations) National databases where available from appropriate government ministries (e. g. statistics services, environment ministry, etc. ) Standard production statistics from national statistical publications 24 2. 24

IPCC 1996 GL Approach and Steps Choice of Default Emission Factors n Process-reaction-based EFs (stoichiometric ratios) n Production-based emission factors n Technology-specific emission factors n n Reported country-/region-specific plant-level measurements IPCC emission factors database, a summary for process-reaction-based and technology-based EFs 25 2. 25

Illustrate Use of Emission Factor Database (EFDB) for IP Sector IPCC 1996 GL Approach and Steps 26 2. 26

Comparability of IPCC Technology-based Default EF and GPG 2000 Plant-level EF The Case of Aluminium Production Inventory in Ghana 27 2. 27

Good Practice Activity Data (Plant-level EF based on Tier 1 a method) 28 2. 28

Consumption of Reducing Agent (Anode carbon) 29 2. 29

Net Carbon Consumption 30 2. 30

Comparability of Good Practice (Plant level and IPCC default) Process parameter Country-specific IPCC default (plant level Tier 2) including baking 7 -year average emissions (5%) Net carbon consumption assuming 98% purity of anode carbon (tonne C/tonne) Emission factor (tonne CO 2/tonne Al) % difference 0. 445 1. 63 1. 58 +3. 5% 31 2. 31

Emissions Estimating and Reporting Use of IPCC GHG Inventory Software IPCC 1996 GL Approach and Steps 32 2. 32

Reporting Tables Long Summary and Short Summary (Reference: IPCC GHG Inventory Software) 33 2. 33

SECTION B Good Practice Guidance and Uncertainty Management in National Greenhouse Gas Inventories (GPG 2000) INDUSTRIAL PROCESSES SECTOR Approach and Steps 34 2. 34

GPG 2000 Approach and Steps Good Practice Principles n To produce GHG inventories that neither overestimate nor underestimate emissions so far as can be judged based on the principle of TCCCA, namely: Transparency; Consistency over time; Completeness, Comparability, Accuracy 35 2. 35

GPG 2000 Approach and Steps Good Practice Principles n n To use limited resources more efficiently for key sources To reduce levels of uncertainty To improve reporting and documentation To apply quality assurance and quality control (QA/QC) and improve transparency 36 2. 36

GPG 2000 Approach and Steps Choice of Methods n n n Identifies potential IP sector key source categories Provides decision-tree analysis for the selected sources Describes source-category-specific good practice methods in adapting IPCC 1996 GL to countryspecific circumstances 37 2. 37

GPG 2000 Approach and Steps Choice of Methods n n Defines tier numbers for alternative names of (unnumbered) methods described in IPCC 1996 GL Provides Good Practice Guidance for various tier levels of assessment (Tier 1, 2, 3) for selected source categories 38 2. 38

GPG 2000 Approach and Steps GPG 2000 Potential Key Sources Identified n n n n 2 A 1 – CO 2 Emissions from Cement Production 2 A 2 – CO 2 Emissions from Lime Production 2 C 1 – CO 2 Emissions from the Iron and Steel Industry 2 B 3 & 2 B 4 – N 2 O Emissions from Adipic Acid and Nitric Acid Production 2 C 3 – PFCs Emissions from Aluminum Production 2 C 4 – Sulfur hexafluoride (SF 6) emissions from Magnesium Production 2 E 1 – HFC-23 Emissions from HCFC-22 Manufacture 39 2. 39

GPG 2000 Approach and Steps GPG 2000 Potential Key Sources Identified n 2 F(1 -5) – Emissions from Substitutes for Ozone Depleting Substances (ODS substitutes for HFCs and PFCs used in refrigeration, air-conditioning, foam blowing, fire extinguishers, aerosols, solvents ) n 2 F 7 – SF 6 Emissions from Electrical Equipment n 2 F 8 – SF 6 Emissions from Other Sources of SF 6 n 2 E 3 – SF 6 Emissions from Production of SF 6 n 2 F 6 – PFC, HFC, and SF 6 Emissions from Semiconductor Manufacturing 40 2. 40

GPG 2000 Approach and Steps Decision Trees, and Selection Criteria for Methods and Structured Tier Levels 41 2. 41

GPG 2000 Approach and Steps Decision Trees, and Selection Criteria for Methods and Tier Levels 2 A 1 – Cement production CO 2 Figure 3. 1 pg 3. 11 2 C 1 – Iron and Steel Production (CO 2) Figure 3. 2 pg 3. 21 2 B 1 & 2 B 2 – Nitric Acid and Adipic Acid (NO 2) Figure 3. 4 pg 3. 32 Figure 3. 5 pg 3. 40 2 C 1 – Aluminum production (PFC) 2 C – Use of SF 6 in magnesium production Figure 3. 6 pg 3. 49 (SF 6) 2 E & 2 F – ODS Substitutes Figure 3. 11 pg 3. 80 42 2. 42

GPG 2000 Approach and Steps Sample Illustrations of Tier Level Methods in Adapting IPCC 1996 GL Based on National Circumstances Reference Annex 3, Table 3 of the IP Handbook 43 2. 43

SECTION C Review of Problems Encountered in Using IPCC 1996 GL and GPG 2000 Options 44 2. 44

Potential Problems in Preparing IP Sector Inventory n Difficulty in disaggregation of country relevant sources into IPCC categories, particularly sub-source categories not listed in IPCC 1996 GL 45 2. 45

Mapping National Industry Classification with IPCC Source Categories 46 2. 46

Potential problems in preparing IP Sector inventory Activity Data Collection and CBI n Direct reporting of emissions without AD and/or EF to national institutions responsible for data collection because of confidential business information (CBI) 47 2. 47

Potential problems in preparing IP Sector inventory Emissions Estimation Methods and Reporting n n The reporting of industrial process emissions from non-energy use (NEU) of feedstock produced in combination with fuel combustion under Energy Sector due to the difficulty in differentiation and possible double counting of CO 2 Direct plant-level measurement and reporting of industrial process emissions of CO 2 from chemical processes or stage processes in combination with fuel combustion emissions from energy uses of feedstock (e. g. CO 2 emissions from Ca. CO 3 decomposition and metallurgical coke oxidation in Solvay process) 48 2. 48

Potential problems in preparing IP Sector inventory Inappropriateness of Stoichiometric Ratios as EFs n Where technology-specific or plantlevel data are not available, EF(D) are based on stoichiometric ratios of process reactions. 49 2. 49

Potential problems in preparing IP Sector inventory Lack of Emission Factors (2) n Lack of development of plant-level EFs, which leads to the estimation of EFs based on top-down ratios calculated as EF = Emissions/Aggregate AD. 50 2. 50

IPCC 1996 GL source-category-specific problems GPG 2000 Tier 1 Good Practice Options Sample Source Category Estimations n 2. A. 1 Cement Production n 2. A. 2 Lime Production n 2. A. 1 Limestone and Dolomite Use n 2. C. 1 Iron and Steel Reference Table 2 IP Handbook 51 2. 51

Other Specific Problems Encountered in the Use of IPCC 1996 GL Suggested Approaches/Options 52 2. 52

Potential problems in preparing IP Sector inventory Notation Keys in Reporting Tables 1& 2 n Inappropriate use and/or limited use of notation keys (NO, NE, NA, IE, NE) in UNFCCC reporting Table 1 and Table 2. 53 2. 53

Completeness and Transparency in Reporting – Use of Notation Keys NO (not occurring) for activities or processes that do not occur for a particular gas or source/sink category within a country, NE (not estimated) for existing emissions and removals which have not been estimated, NA (not applicable) for activities in a given source/sink category which do not result in emissions or removals of a specific gas, IE (included elsewhere) for emissions and removals estimated but included elsewhere in the inventory (Parties should indicate where the emissions or removals have been included), C (confidential) for emissions and removals which could lead to the disclosure of confidential information. 54 2. 54

Potential problems in preparing IP Sector inventory Activity Data Collection and Reporting n n Production data on large point sources may be available in various national institutions in data sets that are not easily converted to greenhouse gas inventory data Where available, mandatory or voluntary plant-level data are reported as total emissions without relevant AD and EF 55 2. 55

Potential problems in preparing IP Sector Inventory Lack of Emission Factors (1) n n Mandatory industry reports (e. g. annual environmental reports) provide only emissions estimates without AD and/or EF Lack of IPCC default EFs due to differences in IPCC source and sub-source categories and disaggregation of country-relevant sources 56 2. 56

Potential problems in preparing IP Sector Inventory Institutional Arrangements n n National institutions and industry associations collect and present data in formats not appropriate for GHG estimation (because they are normally aggregated in data sets relevant for the purposes for which they were collected) Limited awareness among industry/industry associations about opportunities under the Convention and therefore lack of motivation to develop capacity for reporting GHG inventories 57 2. 57

Potential problems in preparing IP Sector Inventory Institutional Arrangement n n Lack of institutional arrangement and clarity over roles and responsibilities of experts carrying out the technical studies Lack of legal and institutional authority to demand data from industry to carry out the inventories (reporting is basically voluntary) 58 2. 58

Potential problems in preparing IP Sector Inventory Institutional Arrangement n n n Non-involvement of universities and/or research centres in climate change efforts that could develop into a more sustainable inventory system Lack of mainstreaming of climate change data collection by national statistical services and industry associations Lack of QA/QC and uncertainty analysis by data collection institutions 59 2. 59

Intuitional arrangement problems Recommended Capacity-building n n Establish a national working group of relevant stakeholders for plant-level verification and peer review of the inventory report Organize a capacity-building seminar for all institutions and relevant GHG-contributing industries to disseminate the IP inventory data sets, to inform about the need for QA/QC and plantspecific good practice in developing and reporting AD and EFs in greenhouse gas inventory data sets 60 2. 60

Intuitional Arrangement Problems Recommended Capacity-building n n Adapt IPCC 1996 GL and GPG 2000 and develop country- specific workbooks documenting methods, AD, EFs to increase transparency and preserve institutional memory In a capacity-building workshop, disseminate information about the opportunities for emission reduction under the Convention and the Financing Mechanisms under the Protocol to encourage industry participation 61 2. 61

Review and Assessment of Activity Data and Emission Factors Data Status and Options 62 2. 62

GPG 2000 Approach and Steps Inventory Quality Improvement and Uncertainty Reduction QA/QC APPROACH 63 2. 63