Carbon Footprint / Life Cycle Analysis

September 29, 2009

Presentation Overview

Inventory Versus Footprint Renewable Energy Water Conservation Absolute Versus Intensity Based Emissions A Sustainability Life Cycle Model Concept

Inventory versus Footprint

Inventory Versus Footprint

Inventory: Assess the emissions being generated within the organizational boundary.

Footprint: Total Life-cycle GHG impacts of water supply, transport, treatment, and use.

Example: Inventory Versus Footprint Boundaries

Inventory

Stationary combustion, indirect electrical emissions, etc. from facilities owned or

controlled by the utility

Water conveyance to utility systems

Off-site GAC regeneration

Footprint Other emissions indirectly

resulting from utility operations

Outsourced solids handling

and transport

Emissions from production of

purchased LOX

Life Cycle Framework

Life Cycle Framework Can be Applied To:

• Operational carbon impacts associated with raw materials, water treatment, and water use

• Infrastructure development – tradeoffs between construction materials (embedded carbon), construction equipment, and facility operational emissions

Life Cycle Analysis – Operational Emissions

Life Cycle (Cradle-to-Grave) Impacts• raw material extraction and transport

• product manufacture

• product distribution and use

• disposal/reuse/recycling

Analysis to determine benefits and tradeoffs between:• Water Supply Sources

• Treatment Process Selection

• Treatment and Distribution System Design

Renewable Energy Discussions

Scope 1, 2, 3 Emissions

Inventory:• Scope 1 Direct Emissions for all owned or controlled assets

– Depending on organizational boundary approach

• Scope 2 Indirect: Most registries require these– May not be required in future cap-and-trade programs

• Scope 3 Indirect: Left to the discretion of the entity– Include activities directly related to the core business activities

Footprint: Add Scope 3 emissions to the extent that accurate data and accepted methodologies are available.

Water Utility Specific: Renewable Energy

Case 1: Water Utility Generates Green Power & Consumes it Internally • Relevant to facilities to generate hydropower/renewable energy supply

• Satisfy internal electrical demands

• Zero Scope 1 GHG emissions

• Additional power purchased contributes to Scope 2 values.

Water Utility Specific: Renewable Energy

Case 2: Water utility generates green power & consumes it internally, sells Renewable Energy Credits • RECs: renewable energy credits, similar to offsets, can be sold

• No additionality tests applied.

• Therefore, most existing protocols allow RECs to be applied to Scope 2 emissions only.

• Hydropower projects prior to 1997 do not qualify

• If an REC is sold to a purchaser, the seller cannot claim the same benefit

• Therefore if all the green power is “sold” as RECs, a water utility likely must claim Scope 2 emissions for the amount of power used

Water Utility Specific: Renewable Energy

Case 3: Water utility generates green power, sells it to an electric utility, utilizes grid power for other facilities• RECs not sold to a third party.

• Green power sold to an electric utility

• Zero Scope 1 emissions to water utility

• If no claim to green power made by another party, might be able to claim as an offset to Scope 2 emissions from other grid power purchase

• Cannot be used to offset other Scope 1 emissions

Water Utility Specific: Renewable Energy

Case 4: Water utility generates green power, Sells it to an electric utility, Sells RECs, Utilizes grid power for other facilities• Green power sold to an electric utility

• Zero Scope 1 emissions to water utility

• Another agency (electric utility or other) claims REC.

• Cannot claim as an offset to Scope 2 emissions from other grid power purchase

• Cannot be used to offset other Scope 1 emissions

Water Conservation

Water Utility Specific: Water Conservation Projects

• Potentially Four Entities with Affected Scope 1 and 2 Emissions:

• Water Utility – Reduced water transport and treatment needs

• Upstream Water Supplier Entity – Reduced pumping to utility requirements decreases electrical use

• Consumer – Reduced heating and/or pumping

• Electric Utility – Decrease in demand

• Who gets “credit” for decreases in emissions?

Water Utility Specific: Water Conservation Projects

• If contractual arrangements in place, utility may claim offsets against Scope 1,2 emissions

• Claim would require independent offset registration

• Likely, reductions attributable to Scope 3 emissions only (footprint, not inventory)

• Less likely, reduction of Scope 1 from electric utility could be applied to water utility’s Scope 1 emissions with prior agreement

• Conclusion: water conservation does not necessarily directly decrease a utility’s GHG inventory.

Absolute Versus Intensity Based Emissions

Absolute Vs. Intensity Based can mask or emphasize conservation projects

Example 1: Water Conservation leads to reductions in water pumping and treatment• Decrease in Scope 1 and Scope 2 emissions

• Per gallon basis benefits are masked

• Report absolute emissions

Example 2: Consumer Demand Increases but Energy Efficiency programs and other emission reduction efforts• Increase in absolute GHG emissions

• Per gallon benefits are emphasized

• Report Intensity-Based emissions

Sustainability Modeling: A concept

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Sustainability Intelligence Portal (SI Port)

• Web-based technology to manage sustainability indicators during planning, construction and operations– GHG emissions: Scope 1, 2 and 3– WTP and WWTP GHG Footprint– Waste management– Sustainable products and materials – Carbon Offsets– Social Sustainability Code of Conduct

SI Port Dashboard

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Carbon Footprint, not only Inventory

Scope 1 Emissions• Mobile emissions• Stationary combustion• Fleet vehicles• Process emissions

Scope 2 Emissions• Electricity purchased

Scope 3 Emissions• Public and private

transportation• Air travel• Material use• Waste• Chemical use

GHG Emissions for Water Treatment Facilities

Scenario Planning :• Construction

• Chemicals

• Energy Use

Plant Operations:• Process Emissions

• Stationary Combustions

• Mobile Combustion

• Chemical Use

Questions?