1 Carbon Management in the Maritime Sector A LECTURE BY IAN WILLIAMS.

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Carbon Management in the Carbon Management in the Maritime SectorMaritime Sector

A LECTURE BY IAN WILLIAMSA LECTURE BY IAN WILLIAMS

Contents

Maritime Industry overview

Fuel

Emissions

Governance

Controls

Measuring carbon emissions

Overview2

The Maritime Industry

90% of world trade is carried by sea

Essential to global infrastructure

Over 100,000 vessels over 100GT currently registered with Lloyds Register

Liner Shipping industry contributed $183.3 billion to the global economy in 2007 (World Shipping Council, 2009)

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Maritime Activities

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Vessels

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December 2010: world fleet of propelled sea-going merchant ships (>=100 GT) comprises 104,304 ships

– 1,043,081,509 million GT– average age of 22 years

Fleet registered in >150 nations

Manned by 1.5 million seafarers

World‘s cargo carrying fleet (2011) is 55,138 ships– 991,173,697 GT– average age of 19 years

Flags by Country – Merchant fleets

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Figures in brackets are in gross tonnes of shipping registered in the countries and territories listed. (Data based on IHS Fairplay “World Fleet Statistics 2010” data as at 31 December 2010).

1. Panama (201,264,453)2. Liberia (106,708,344)3. Marshall Islands (62,011,182)4. Hong Kong, China (55,543,246)5. Bahamas (50,369,836)6. Singapore (44,869,918)7. Greece (40,795,358)8. Malta (38,737,657)9. China (34,705,141)10. Cyprus (20,732,488)11. Italy (17,044,319)12. Japan (16,857,860)13. United Kingdom (16,477,909)14. Germany (15,282,545)15. Norway NIS (13,828,168)16. Republic of Korea (12,512,549)17. United States (11,941,087)19. Isle of Man (11,620,778)18. Denmark DIS (11,530,364)20. Antigua and Barbuda (10,737,659)

Global Shipping Traffic

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Fuel

95% of current world fleet are diesel engines

50% of running costs attributable to fuel

Ships can run on low cost, low grade residual fuels, however these have a number of environmental implications

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9Source: Wartsila 2013

Scale

Emissions

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Source: Second IMO GHG Study, 2009

CO2 Emissions per tonne/km (freight) 1995-2009 EEA (2010)

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GHG Regulation

According to the Kyoto Protocol:

“The Parties included in Annex I shall pursue limitation or reduction of emissions of Greenhouse Gases not controlled by the Montreal Protocol from Aviation and Marine Bunker fuels, working through the International Civil Aviation Organisation (ICAO) and the International Maritime Organisation respectively”

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Governing body

The International Maritime Organisation (IMO)

The inter-governmental organisation responsible for safety, environmental concerns, legal matters, technical co-operation, maritime security and the efficiency of shipping.

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Governing body

IMO established in 1948 as a means of improving safety at sea via international regulations

The Marine Environment Protection Committee (MEPC): body working within IMO conducts 9-monthly meetings to discuss regulation of all environmental concerns within international shipping

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MARPOL

‘The United Nations Convention on the Prevention of Pollution from Ships’

Abbreviated to MARINE POLLUTION (MARPOL 76/78/97)

Annex VI “Prevention of Air Pollution from Ships”

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Legislation

Controls on NOx

– Engine requirements: Engine International Air Pollution Prevention (EIAPP) certificate

Controls on SOx

– Maximum sulphur content of bunker fuel at 3.5% (1% in emissions control area)

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Energy Efficiency Design Index (EEDI)Ensures new ships meet the minimum level of energy efficiency expressed in gCO2 per unit of transport work: Provides a normalised value of CO2 emissions per tonne/nautical mile.

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The Ship Energy Efficiency Management Plan (SEEMP)

Takes into account operational measures to reduce fuel consumption:

– Fuel efficient operations– Optimised ship handling– Hull and propulsion– Machinery and equipment– Cargo handling optimisation– Energy conservation and awareness

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GREENHOUSE GASES, RADIATIVE FORCING AND CLIMATE CHANGE

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Greenhouse Gas (GHG) Emissions

• Natural and Anthropogenic

• The six most important GHGs are the Kyoto Basket: CO2, CH4, N2O, SF6, HFCs, PFCs

• Large atmospheric CO2 increases since mid 19th Century

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Radiative Forcing + Climate Change

• GHGs are causing a radiative forcing of Earth’s atmosphere, increasing world temperatures

• Climate Change is predicted to quicken unless emissions can be reduced

21IPCC 4th Assessment Report, 2007

The Impacts of Climate Change

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Need for Carbon Management

Need for decrease in anthropogenic GHG emissions

GHG Emissions can only be successfully reduced if they can be measured

Carbon Footprinting is a technique for relating a human activity to a certain amount of GHG emissions

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Why quantify GHG emissions?

Legislative case

– International & national commitments

– Initiatives aimed at organisations

Business case

– Corporate social responsibility (CSR)

– GHG management strategy

– Energy-efficiency & financial savings

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HISTORY OF CARBON FOOTPRINTING

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Origin

• Mid 1990s: new interest in measuring human environmental impact

• Ecological Footprint: “A methodology for estimating the area of the Earth’s surface needed to provide all necessary resources to, and process waste and pollution from, a given population, organization or activity”

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Footprint indicators

Water footprint– The Water Footprint of a country is the

total volume of freshwater consumed and polluted for the production of goods and services consumed by citizens from a defined area (Hoekstra et al 2009).

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Footprint indicators

Carbon Footprint– The Carbon Footprint indicator allows for a

comprehensive assessment of human contribution to climate change which is consistent with standards of economic and environmental accounting. It offers an alternative angle for international policy on climate change as it complements the territorial-based approach used by the UNFCCC

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Different Definitions

Multitude of different definitions

Wiedman and Minx (2008) include only CO2 “The carbon footprint is a measure of the exclusive total amount of carbon dioxide emissions that is directly and indirectly caused by an activity or is accumulated over the life stages of a product”

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Different Definitions

• Moss, Lambert and Rennie (2008) disagree; stated that a carbon footprint should be:

• “The total mass of greenhouse gases directly and indirectly emitted by an individual, a company or throughout the full lifecycle of a product.”

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Carbon Footprint

“A measure of the total amount of CO2 and CH4 emissions of a defined population, system or activity, considering all relevant sources, sinks and storage within the spatial and temporal boundary of the population, system or activity of interest. Calculated as CO2 equivalents using the relevant 100-year global warming potential”

Wright et al (2011)

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Climate Footprint + GHG Inventory

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Wright et al (2012)

Measuring Emissions

Largely voluntary:– External, Verified (Carbon Disclosure

Project)– Internal, Verified (Lloyds Register, Carbon

Trust…)– Internal, Unverified (self-reporting)

Using official guidelines (i.e. GHG Protocol) Using own method

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2. Emissions source identification

3. Categorisation of sources by scope

4. Select calculation method

5. Collect data

6. Emissions quantification & documentation

1. Boundary setting

Boundary setting

Temporal boundaries – Select base year

System boundaries

Consumption (Shipper) vs. production (Ship owner)

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Who is responsible?

GHG mitigation traditional focus on sources

Little attention on drivers

Focus on drivers – more holistic approach to mitigation?

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2. Emissions source identification2. Emissions source identification

3. Categorisation of sources by scope

4. Select calculation method

5. Collect data

6. Emissions quantification & documentation

1. Boundary setting

Direct vs. indirect emissions

Direct emissions– Associated with the combustion of fuels

(e.g. boilers, engines, etc.)– Process & fugitive emissions

Indirect emissions– Upstream & downstream emissions (e.g.

energy generation, waste disposal/end-of-life, embodied emissions, etc.)

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2. Emissions source identification

3. Categorisation of sources by scope3. Categorisation of sources by scope

4. Select calculation method

5. Collect data

6. Emissions quantification & documentation

1. Boundary setting

40(Wright et al., 2011)

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2. Emissions source identification

3. Categorisation of sources by scope

4. Select calculation method

5. Collect data

6. Emissions quantification & documentation

1. Boundary setting

3: Emission Calculation Methods

Range of different methods for calculating emissions

Unit of Activity x Emission Factor = Emission Levels

Emission Factors for fuel, energy products, distance travelled, water consumption and waste generation

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3: Emission Calculation Methods

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Wright et al (2012)

3: Emission Calculation Methods

44Wright et al (2012)

3: CO2e & GWP

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Single unit of CO2e used.

CO2e= Carbon dioxide equivalent

GWP= Global Warming Potential

GWP100= for 100 years (most common)

The GWP of CH4 is 25 CO2e.

Process analysis (PA)

Bottom-up approach

Use of primary data (/direct measurements)

High level of accuracy and specificity

BUT labour- and time-intensive

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Environment input-output analysis (EIOA)

Top-down approach

Use of secondary, sectoral-level data

Data from national statistics compilations

Less labour- and time intensive than PA

BUT also less accurate and subject-specific

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Hybrid PA and EIOA approach

1. Preliminary assessment of emissions sources using EIOA.

– Provides an overview of key emissions sources & identifies major contributors.

2. Use of PA to more accurately measure emissions from key sources

For more information see:

Suh, S., Lenzen, M., Treloar, G. J., et al. (2004). System boundary selection in life-cycle inventories using hybrid approaches. Environmental Science & Technology, 38(3): 657-664.

Hondo, H. & Sakai, S. (2001). Consistent method for system boundary definition in LCA: an application of sensitivity analysis. Journal of Advanced Science, 13(3): 491-494.

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Emissions factors

Applied in all situations where GHG emissions are not directly measured

Emission per unit of activity

E.g. tonnes CO2 per km travelled by vessel

Emissions = activity data x emission factor

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Example: electricity

Scope 2

Electricity consumed: 2,500 kWh

Emissions factors:– CO2 = 0.49927 kgCO2e/kWh

– CH4 = 0.00025 kgCO2e/kWh

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Example: electricity

Scope 2

Electricity consumed: 2,500 kWh

Emissions factors:– CO2 = 0.49927 kgCO2e/kWh

– CH4 = 0.00025 kgCO2e/kWh

Emissions factor = 0.49952 kgCO2e/kWh

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Example: electricity

Scope 2

(Remember…)– Emissions = activity data x emission factor

Electricity consumed: 2,500 kWh

Emissions factor = 0.49952 kgCO2e/kWh

Emissions (kgCO2e) = 2,500 x 0.49952

Emissions = 1248.8 kgCO2e52

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2. Emissions source identification

3. Categorisation of sources by scope

4. Select calculation method

5. Collect data5. Collect data

6. Emissions quantification & documentation

1. Boundary setting

Primary vs. secondary data

Data sources:– Directly measured emissions– Measured activity data– Generalised/secondary data

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Secondary data sources

IPCC

National Atmospheric Emissions Inventory

Environmental Agency (UK)

DEFRA (UK)

Digest UK Energy Statistics (DUKES)

Primary vs. secondary data

Data sources:– Directly measured emissions– Measured activity data– Generalised/secondary data

Case specific– Depends on availability of labour and time

resources

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2. Emissions source identification

3. Categorisation of sources by scope

4. Select calculation method

5. Collect data

6. Emissions quantification & documentation

6. Emissions quantification & documentation

1. Boundary setting

Top-down approach: Example

• Uses global fuel use data to calculate overall bunker fuel consumption, then uses statistics on fuel types and engine types to attribute emissions.

• This is an unreliable method (underestimation), however in early stages of research this drew attention to the significant contribution of shipping to global emissions.

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Bottom-up approach: Example

• Uses real fleet statistics, engine characterisation and fuel use to estimate emissions taking into account assumed activity data (Improved accuracy of overall emissions estimate).

• Using actual vessel movement data rather than assumed movement the estimations are improved (Improved accuracy of geographical distribution).

• Takes into account inaccuracies in bunker fuel records and reports.

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Responsibility

Consumption vs. Production

Is the producer responsible for creating the emissions?

Is the consumer responsible for creating demand?

Concept of shared responsibility

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Subject

Applicable at all scales:– Geographic

Global, National, Regional, sub-regional

– Organisational Institutions, governments, Businesses

– Products– Processes– Individuals

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Carbon Footprinting in the Maritime Sector

Multi National Projects for cities (World Ports Climate Initiative)

Multi national Projects for businesses (Carbon Disclosure Project)

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Key points

CO2 is the largest contributor to GHGs from the maritime sector

There are little direct controls on reducing CO2

from maritime activities

Voluntary Carbon footprinting can take a number of forms

On-going research into most effective methods of carbon footprinting with the best available data

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Questions?

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References Buhaug, O ; Corbett, J ; Endresen, O ; Eyring, V, Hanayama, S et al. Second IMO

GHG Study 2009. Update to the 2000 GHG study ; Final report covering phase 1 and phase 2. London ; 2009

International Council for Clean Transportation (ICCT) 2011, The EEDI for New ships, Policy Update 15

Lin & Lin (2005) Compliance with international emission regulations: Reducing the air pollution from merchant vessels, Marine Policy, 30, 220-225

Lloyds Register: Ship Energy Efficiency Management Plan (SEEMP): SEEMP template for owners and operators, Document 2.2, Available at : www.lr.org/seemp

Williams, I.D; Kemp, S, Coello, J; Turner, D.A & Wright L.A (2012) A beginners guide to carbon footprinting, Carbon Management 3 (1) 55-67

Wright L, Coello J, Kemp S, Williams I D, (2011) Carbon Footprinting for Climate Change management in Cities, Carbon Management, 2 (1) 49-60

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