1. Carbon Reporting under the RTFO
Dr Ausilio Bauen
E4tech
DG Env, Brussels, 29th May 2007

2. Contents Why Carbon Reporting? Methodology for carbon reporting
Methodological issues
Practical implementation
Example

3. Carbon reporting can help the RTFO achieve greater GHG savings and provide a better measure of its impact
RTFO’s main objective is to reduce GHG emissions
Carbon intensity varies by biofuel type (e.g. bioethanol, biodiesel,…) depending on:
Type of feedstock
Way in which feedstock was produced
Characteristics of conversion process
Concerns over GHG benefits of biofuels and RTFO impact
Reporting on carbon intensity of biofuels expressed in gCO2e / MJ fuel
Metric which compares GHGs emitted in producing and distributing different biofuels
Allows comparison with fossil fuel references and determination of GHG savings

4. 2 projects: Carbon Reporting and Sustainability Reporting
Carbon Reporting Project
Sustainability Reporting Project
Objectives
To develop a robust, practical & cost-effective methodology for:
The consistent quantification of GHG savings for biofuels from different fuel chains
Sustainability reporting of fuels from diverse origins
To develop & disseminate technical guidance to enable companies to apply the requirements effectively
Methodology development
Draft Technical Guidance development
Piloting
Finalising Technical Guidance
Roll out of Technical Guidance
Project inception
Structure
Formal consultation
By mid Jan
By mid Mar
By mid Mar - Aug
By end Sep
By end Mar 08

5. What data is required for monthly reports?
Fuel suppliers will be required to report, for each administrative batch:
Carbon intensity of batch of fuel
Impact of any land use change
Accuracy level of carbon intensity

6. Contents Why Carbon Reporting? Methodology for carbon reporting
Methodological issues
Example

7. carbon intensity calculation
Boundaries
LUC
(indirect)
Assessed ex post by
RTFO Administrator
LUC
direct
Boundary for monthly
Cultivation &
Cultivation &
carbon intensity calculation
harvest
harvest
Fossil fuel reference system
Assessed separately
Biofuel use
Feedstock
Biofuel
Biofuel
transport
production
transport
Waste
Waste
material
material
Alternative
waste
management
Excludes minor sources, from: •
Manufacture of machinery or
equipment, chemicals
PFCs ,
HFCs
, SF 6

8. Co-products A variety of co-products
food products, animal feed, chemicals, energy
Addressed within methodology as practically and accurately as possible
Approaches:
Substitution approach preferred
Various “allocation” methods are available - most appropriate is selected for each co-product, but consistency needed
Current co-product treatment in default chains:
Substitution
animal feeds: soy meal, rape meal, DDGS/WDGS
Allocation by energy content
co-products used for energy: electricity, heat, wheat straw, palm fibre and shells, DDGS/WDGS, rape meal, soy meal
Allocation by market value
chemicals, some palm co-products: e.g. glycerine, potassium sulphate, palm kernel oil and stearin, palm stearin

9. Contents Why Carbon Reporting? Methodology for carbon reporting
Practical implementation
Example

10. Default chains
Default fuel chains are defined using a set of common modules
Modules represent stages in the fuel chain
Modules contain data points and calculations to derive carbon intensity

11. Module example: Crop production

12. Module example: Conversion

13. Default data exist for all data required to calculate the carbon intensity of a fuel chain
Default data have been collected for the following chains:
Ethanol from: sugar cane, sugar beet, wheat and corn
Ethanol converted to ETBE
FAME biodiesel from: tallow & used cooking oil, palm oil, soy and rapeseed
Biomethane from anaerobic digestion of organic MSW, dry manure & wet manure
Biofuel default values based on limited fuel chain information:
Fuel
Fuel & feedstock
Fuel, feedstock & origin
Biofuel default values can be edited using qualitative information:
Selected defaults for: mode of transport; conversion plant energy configuration

14. Quantitative data can be used to more accurately reflect fuel chain emissions
Best focused around key data points which have a significant influence on final carbon intensity
Crop production
Yield
Nitrogen fertiliser use
(Diesel use)
Conversion plants (biofuel and crushing)
Plant yield [t biofuel / t feedstock]
Natural gas use
(Electricity)
Co-products
Feedstock transport
Distances (primarily for non-EU crops)

15. Contents Why Carbon Reporting? Methodology for carbon reporting
Methodological issues
Practical implementation
Example

16. Example – biodiesel producer

17. Questions