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Measuring and Reporting Transport Emissions
Nikolas Hill, Knowledge Leader – Transport Technology and Fuels, AEA
Mandatory Carbon Reporting 2012 6 November, America Square Conference Centre, [email protected]+44 (0)870 190 6490
Introducing AEA
Global energy and climate change consultancy.
40+ years of experience working with Governments and businesses worldwide.
Specialists in a range of areas – transport, energy, environment, knowledge management.
Leading experts in emissions reporting.
Production of the Defra/DECC conversion factors since their inception.
Operation of the UK GHG emissions inventory for 30 years.
Carbon footprinting and reporting for a diverse range of customers.
Measuring and reporting GHG emissions from freight transport operations.
2
Setting the scene
The role of transport in mandatory reporting
Taking action – what are the challenges?
Identifying transport emissions
Determining emissions scope
Collecting data
Choosing emission factors
Scope 3 emissions
Benefits of reporting
3
Mandatory reporting and transport (1)
What is required?
Mandatory reporting of Scope 1 and 2 emissions:
Some, but not all, transport emissions will be included.
No geographical boundary:
Not only UK emissions, overseas travel and transport operations are also included.
4
Mandatory reporting and transport (2)
What are the implications?
Reporting on transport emissions may be new for many organisations.
Emissions reporting data will become publicly available and must be credible.
Companies will need to:
Understand which transport emissions they are responsible for globally.
Identify which of these emissions they must report.
Collect data.
Calculate emissions and include results within their reporting.
5
Taking action – what are the challenges?
Which emissions factors do I need?
What scope do my emissions fall under?
How do I collect data?
What about vehicles operating overseas?
How do I make sure I include all my emissions?
6
Sources of transport emissions
Most organisations have a number of different transport emission sources associated with their operations.
Transport emissions
Freight transport
Other supply chain
transport
Vehicle fleet
Business travel
Employee commute
Customer travel
7
Identifying all of your emissions sources
8
Determining scope
Your company
Scope 3 emissions
Scope 1 and 2 emissions
Owned vehicles Leased
vehicles -financial/operation control
Business travel
Staff commute
Customer travel
Leased vehicles – no financial/ operation control
Supply chain
Scope 1: Direct emissions from activities and sources you control – such as vehicles you own or operate.
Scope 2: Energy indirect emissions from purchased electricity, heat, steam or cooling.
Scope 3: Other indirect emissions which you influence but do not own or control.
9
Indirect emissions from fuel production
Treatment of leased vehicles
Leased vehicles can fall under either Scope 1 or Scope 3.
Operational control: The company is responsible for operating the vehicles.
Financial control: The leased vehicles are treated as wholly owned assets for the purposes of financial accounting.
Scope 1
Leased vehicles over which the company has
operational or financial control.
Included in mandatory reporting
Scope 3
Leased vehicles over which the company has neither operational nor financial
control.
Not included in mandatory reporting
10
Allocation of emissions at an airport
There are a large number of transport emissions associated with airport operations.
Only some of these will be required for inclusion under mandatory reporting.
Scope 1
Company-owned operational vehicles:
DieselGas oilLPG
Petrol
Scope 3
Air traffic movements
Business travel
Staff commute
Third party-owned operational vehicles
Passenger transport
11
Collecting data
Availability of information varies between organisations.
Selection of data should be prioritised based on the level of accuracy that it provides.
Where no data is available, using
data on some-thing similar in its place,
without modification.
e.g. March data missing, replace by repeating February data without modifying
Data calculated by estimating a trend
from existing data – either to fill a gap or
project forward.
e.g. March data missing, replaced by an average of February and April
Generic or average data from published
sources representative of a
company’s operations.
e.g. manufacturer’s mpg figures for vehicles, records of average fuel price
Primary data
Secondary data
Extrapolated data
Proxy data
Most accurate
Least accurate
Data collected by directly measuring
the operation.
e.g. fuel consumption, driver hours logged, telematics data, fuel price data from invoices
12
Choosing emissions factors
The Defra/DECC GHG Conversion Factors for Company Reporting provide a variety of emission factors that can be used in conjunction with different types of data.
Scope 1 OR Scope 3 Scope 3 All ScopesStandard Road Transport Fuel Conversion Factors
CO2 CH4 N2OTotal Direct
GHG Total Indirect
GHG Grand Total
GHGFuel used* Total units used Units x kg CO2
per unitkg CO2e per unit
kg CO2e per unit
kg CO2e per unit
kg CO2e per unit
kg CO2e per unit
Petrol (average biofuel blend)* litres 2.2332 0.0033 0.0058 2.2423 0.4750 2.7173
Petrol (100% mineral petrol) litres 2.3051 0.0033 0.0059 2.3144 0.4638 2.7782
Diesel (average biofuel blend)* litres 2.5636 0.0009 0.0190 2.5835 0.5837 3.1672
Diesel (100% mineral diesel) litres 2.6569 0.0009 0.0191 2.6769 0.5644 3.2413
Compressed Natural Gas (CNG) kg 2.7188 0.0040 0.0016 2.7244 0.4224 3.1468
Liquid Petroleum Gas (LPG) litres 1.5301 0.0007 0.0018 1.5326 0.1918 1.7244
Total
Scope 1 OR Scope 3 Scope 3 All ScopesPassenger Road Transport Conversion Factors: Diesel Cars
CO2 CH4 N2OTotal Direct
GHG Total Indirect
GHG Grand Total
GHGSize of car Total units travelled Units x kg CO2
per unitkg CO2e per unit
kg CO2e per unit
kg CO2e per unit
kg CO2e per unit
kg CO2e per unit
Small diesel car, up to 1.7 litre or under miles x 0.22716 0.00008 0.00285 0.23009 0.04571 0.27579 km x 0.14115 0.00005 0.00177 0.14297 0.02840 0.17137Medium diesel car, from 1.7 to 2.0 litre miles x 0.28281 0.00008 0.00285 0.28574 0.05691 0.34265 km x 0.17573 0.00005 0.00177 0.17755 0.03536 0.21291Large diesel car, over 2.0 litre miles x 0.37628 0.00008 0.00285 0.37921 0.07570 0.45491 km x 0.23381 0.00005 0.00177 0.23563 0.04704 0.28267Average diesel car miles x 0.29805 0.00008 0.00285 0.30098 0.05996 0.36094 km x 0.18520 0.00005 0.00177 0.18702 0.03726 0.22428Total for diesel cars
13
International operations
UK sources of emission factors are specific to UK vehicles and fuel mixes.
For operations overseas, it may be appropriate to source emissions factors specific to the country and/or vehicle type.
Sources include the GHG Protocol, and national equivalents to Defra/DECC: http://www.ghgprotocol.org/Third-Party-Databases/
Where no country-specific factor is available, UK factors may be used as a proxy.
14
Scope 3 emissions
Scope 3 emissions will not be required for mandatory reporting.
They can be responsible for a significant proportion of total emissions, with transport playing a significant role.
These emissions are not under the direct control of the reporting company, meaning that data collection can be challenging.
Understanding Scope 3 emissions provides significant additional opportunity to reduce impact and identify cost savings.
15
Collecting scope 3 transport data
DHL Express Nordic
Transportation and logistics company.
98% of emissions from outsourced transport of goods by partner firms.
Partner firms required to provide information on vehicles used, distance travelled and fuel efficiency as part of subcontract payment scheme.
Data used to calculate emissions for all outsourced transport.
European clothing retailer
Significant international freight transport requirements.
Use of logistics software data to obtain data on distances travelled.
Combined use of distance data and assumptions on vehicle type and freight tonnage to calculate emissions.
Freight found to be responsible for over 98% of total emissions within the footprint calculated.
16
Benefits of reporting
Emissions reporting will bring a number of benefits:
Ability to set a baseline and track emissions reduction opportunities to drive down transport fuel costs.
Ability to benchmark against other divisions, organisations etc.
Demonstrating environmental responsibility to stakeholders and showcasing positive achievements.
17
Summary
Mandatory reporting will require the inclusion of global Scope 1 transport emissions.
Companies should act now to identify which transport emissions they are responsible for, and which they will need to report.
Data availability must be assessed and suitable collection routes established.
Credible calculation methodologies will be required, including the use of appropriate emission factors.
Companies will be able to take advantage of a number of benefits related to calculating and monitoring their transport emissions.
18
Any questions?
19
AEANikolas HillKnowledge Leader in Transport Technology and Fuels
AEAThe Gemini BuildingFermi AvenueHarwell OxfordDidcot OX11 0QR
Tel: +44 (0)870 190 6490E: [email protected] [email protected] W: www.aeat.co.uk
Copyright AEA Technology plcThis presentation is submitted by AEA. It may not be used for any other purposes, reproduced in whole or in part, nor passed to any organisation or person without the specific permission in writing of the Commercial Manager, AEA Technology plc.