The industry has created three categories to classify their emissions sources, with each featuring its own challenges and solutions. Those are:
Scope 1 — Direct GHG emissions from company operations
Scope 2 — Indirect emissions from energy consumed by the company
Scope 3 — Indirect emissions generated by the products i.e. emissions from suppliers, transport and distribution, and purchased goods
The GHGRP (EPA) requires reporting of greenhouse gas (GHG) data and other relevant information from large GHG emission sources, fuel and industrial gas suppliers, and CO2 injection sites in the United States. Approximately 8,000 facilities are required to report their emissions annually, and the reported data are made available to the public in October of each year.
Then in 2022, the Inflation Reduction Act was introduced. The Inflation Reduction Act represents a historic, $369 billion investment in the modernization of the American energy system. The legislation would get the U.S. a significant way towards the overall 2030 climate goals - 50-52% GHG emission reductions below 2005 levels in 2030.
There is also increasing pressure from the US Securities and Exchange Commission (SEC) to require companies that it regulates to disclose their emissions from their own operations and those from energy suppliers, as well as those from their other suppliers and customers.
In response, the oil and gas sector must prepare and position themselves to respond to a low carbon operating environment and identify innovative new ways to measure and track carbon emissions from direct and indirect sources, get a clear picture of their footprint and the best opportunities for making reductions.
To learn more, join us at the 2023 Carbon Tracking & Reporting Summit in Houston, TX on February 27-March 1.Start planning your visit by downloading the official event agenda here, or grab your pass by registering online here.