presented at: saskatchewan agriculture and food agriculture and greenhouse gas/climate change...
TRANSCRIPT
Presented at:Saskatchewan Agriculture and Food
Agriculture and Greenhouse Gas/Climate Change Workshop
SaskatoonDecember 11, 2000
Llewellyn Matthews and Cynthia Edwards
SaskPower: Climate Change Initiatives
Outline
•Why is it an issue for SaskPower?
•SaskPower’s options
•SaskPower’s Climate Change Action Plan
•Offset projects
•A role for agriculture
Canada’s Emissions
17%
18%
15%
15%10%
25%
Electricity
Other
Industry
Oil & GasTransportation
Agriculture & Forestry
Saskatchewan’s Emissions
19%
20%
14%
7%
16%
24%Electricity
Industry
Transportation
Oil & Gas
Other
Agriculture & Forestry
SaskPower’s Emissions
71%
22%
7%
95%
0%5%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Coal Hydro Gas
% S
as
kP
ow
er
Ge
ne
rati
on
Fuel Source
GHG Emitted
SaskPower’s Perspective
•It is a real issue.
•We have a responsibility to do our part.
•Electricity will be a targeted sector.–A strategic business issue.
•Other sectors must do their part.
•We will need to show leadership.
Long Term Solutions
•Technology Change–Renewable energy sources
–Better carbon based technology
–Hydrogen based energy
•Energy efficiency–Infrastructure changes
•Adaptation–We are only affecting the rate of change
Kyoto Perspective
•Canada a signatory but not yet ratified.
•No implementation plan or rules yet.
•The electricity industry is a likely target.
•Kyoto is only a first step and not a long term solution.
SPC Emissions since 1990
4.0
5.5
7.0
8.5
10.0
11.5
13.0
14.5
16.0
17.5
1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012
year
Mill
ion
tonn
es
CO
2e
Emissions Kyoto Target
•1990 emissions = 10.6 M tonnes
•Kyoto target = 10 M tonnes
•Projected 2008 to 2012 emissions = 16 M tonnes per year
•Kyoto Gap = 6 M tonnes per year
SaskPower’s Challenge
•How to reduce net emissions while keeping the cost of electricity reasonable and competitive?
•Reducing service is not an option!
•Demand will continue to increase.
Options - Don’t burn coal
•Retire 65% existing coal-fired plants and replace with combined-cycle gas turbines OR
•Convert 100% of existing coal-fired generation to burn natural gas
•Cost is substantial
•Disrupts economy (Estevan & Coronach)
Options - Offsets
•Reduce emissions elsewhere•Enhance natural sinks•Sequestration•Emissions (carbon credit) trading
Options - Reduce Demand
•Demand side management or energy efficiency.•Cost to replace existing capital equipment.•Can slow down but not reduce demand.
SaskPower’s Climate Change Strategy
•Long Term–Replace coal plants at the end of their life cycle with new clean technology.
•Near Term–Internal initiatives
–Customer initiatives
–Offsets
Internal Initiatives
•Increase efficiency of current operations.•Co-generation
–Meridian (Husky Upgrader)
–Cory Potash
•Research new technology
–CO2 capture
–Clean coal
Customer Initiatives
•Energy Solutions–Large customers
•Green Power–9 MW of wind power
•Public Education–Self-audits
–Action By Canadians program
Water Heating
6%
Home Heating17%
Auto Use43%
Lights & Appliance
s26%
Garbage in Landfills
8%
Action By Canadians
•28% of GHG are attributable to personal actions.•Individuals can make a difference!•Public understanding & support is critical.
SaskPower Offset Strategy
•Uncertainty of Regulation–Focus on projects that are beneficial in absence of GHG limitations
•Sink enhancement
•Use of renewable fuels
•Importance of Investing in Saskatchewan–For every $1 spent on mitigation: beneficial to spend that $1 mitigating within customer base
–Promote sustainability while allowing low-emitting technology to evolve
SaskPower’s Existing Projects
•SERM: forest sinks and carbon reserves
•GEMCo: –Iowa Farm
–Norseman landfill
•Research:–Prairie Soil Carbon Balance Project
–Prairie Farm Rehabilitation Administration
–University of Saskatchewan
–Ducks Unlimited
Existing Projects: SERM
•Restocking of Not Sufficiently Restocked (NSR) lands in Northern Saskatchewan
•Protection of existing carbon reserves that otherwise would have been harvested
•Currently undergoing review by the Greenhouse Emissions Reduction Trading (GERT) Technical Committee
Existing Projects: GEMCo Iowa Farm
•GEMCo contract is with IGF Insurance
•Creditable Actions:–Shifting from intensive to low/no tillage practices
–Extending rotations
–Capturing methane from animal waste for energy production
–Producing ethanol from agricultural products
Existing Projects: Research in Agriculture
•Prairie Soil Carbon Balance Project
•PFRA
•University of Saskatchewan
•Ducks Unlimited
Sinks in the Marketplace
•Sink Potential–Maximum potential = 8 to 12% of Canada’s Kyoto gap
•The creation of a market that includes the trading of GHG emission reductions in no way obligates landowners to participate in such a market
GHG in Agriculture•Agriculture is a significant emissions generating sector
–10% of Canada’s total emissions
–20% of Saskatchewan’s total emissions
•Expansion of livestock industry in jeopardy
•Adaptation to changing climate
•Opportunities in Canadian Agriculture Sector
Opportunities to Mitigate GHG in Agriculture
•Enhancement of soil sinks
•Improved manure management
•Ethanol production
•Agroforestry
•Shelterbelts and wetland restoration
GHG in Agriculture: Risks
•Biological system: inherently risky
•Agriculture is an energy-price taker
•Agriculture not as mobile as other industries
•Baseline Protection is important for agriculture
•Agriculture must make use of available market instruments in order to avoid an energy TAX
Conclusions
•Climate change is a serious issue in Saskatchewan for both the agriculture and electricity sectors:
– Electricity: SaskPower has been actively involved in the issue through involvement in GEMCo and submissions to the Voluntary Challenge and Registry
– Agriculture: Actively researching ways to monitor and verify changes in soil carbon, and improved manure management techniques