Specific recognition in the Obama Administration’s Strategy to Reduce Methane Emissions. The Obama Administration recently announced a series of steps it will take to reduce methane emissions. Included in the announcement, was a specific recognition of the ONE Future coalition: “EPA will work with DOE, DOT, and leading companies, individually and through broader initiatives such as the One Future Initiative and the Downstream Initiative, to develop and verify robust commitments to reduce methane emissions. This new effort will encourage innovation, provide accountability and transparency, and track progress toward specific methane emission reduction activities and goals to reduce methane leakage across the natural gas value chain.”
Improved interagency cooperation. In addition to ensuring that ONE Future’s voluntary program is accommodated and acknowledged by the EPA, the Administration has also already commenced work to act on ONE Future’s recommendations to reduce methane emissions by improving coordination between Federal agencies. For instance, we expect that PHMSA and FERC safety mandates will increasingly accommodate EPA’s goals of reducing avoidable methane emissions in conducting pipeline blowdowns.
Industry and Government Collaborations.The National Energy Technology Laboratory (NETL) released its report, Industry Partnerships and Industry Partnerships and Their Role in Reducing Natural Gas Supply Chain Greenhouse Gas Emissions. The report analyzed the greenhouse gas (GHG) profile of the ONE Future facilities and also evaluated methane abatement options.
Key takeaways from the study are the following:
- The study indicated an average life-cycle methane emission rate using the ONE Future protocol to be .67% vs national average methane emission rate of 1.62. Additional cost- effective measures could account for an additional 1.1 Bcf in methane emission reductions.
- If these additional measures are fully realized the average life-cycle methane emission rate for ONE Future companies is 0.65% further enhancing the competitive advantage of US natural gas relative to other countries.
- NETL also computed the life cycle GHG emission results for natural gas through end use (power sector and liquefied natural gas (LNG) delivered). Comparing the results with prior NETL reports, ONE Future companies delivered gas is 7-10% lower on a CO2 equivalent intensity basis compared to the “average” US natural gas rate on a 100-year basis and about 15-18% lower on a 20 year basis.