1. Primary Energy Reporting

2. Contents What is primary energy? Why report primary energy usage? Primary energy reporting in LIEN Examples Benefits

3. What is Primary Energy? Energy embodied in natural resources (e.g. coal, crude oil, sunlight, uranium) that has not undergone any anthropogenic conversion or transformation. Intergovernmental Panel on Climate Change (IPCC)

5. Total Primary Energy in Ireland

7. LIEN reporting LIEN treatment of primary energy and emissions calcualtion is based upon information currently available As and when more detailed information is made available, LIEN reporting will be refined accordingly LIEN methods in no way supercede what may be decided in future for dealing with a carbon tax regime and/or National Allocation Plan for emissions trading

8. Primary fuel v Converted fuel Primary FuelConverted fuel CoalElectricity Oil Natural Gas Wood Sunlight

9. Efficiency of Electrical Supply Year Efficiency of Supply

10. National Generating Efficiency Average power station with generating efficiency of 40% 100 MW primary fuel in 40 MW electricity out Currently available figures indicate that the national generating efficiency is approximately 40% taking into account varying primary fuel mix and generators

11. Example of LIEN treatment of primary energy 10 GWh 25 GWh Company A Company B electricity natural gas Company A & B have equal primary energy requirements

12. How LIEN treats Primary Energy Metered Usage kWh Primary Energy Usage kWh Electricity kWh 20,000,00050,000,000 Natural Gas kWh 20,000,000 LFO kWh 5,000,000 Totals kWh 45,000,00075,000,000

14. CHP If a facility installs a CHP unit, metered usage in kWh will likely increase due to the increased usage of CHP fuel However their primary usage will likely decrease to to the improved efficiency of the CHP unit compared to alternative methods of generating electricity and heat

15. Primary reporting highlights benefit of CHP Facility with demand of 30GWh electrical and 75GWh thermal* Metered GWhPrimary GWh Before Electricity Imports3075 Gas (for boilers)100 Totals130175 After Electricity Imports00 Gas (for CHP)140 Totals140 *Approximate efficiencies assumed: Gas boiler  75%, Gas CHP  80% Figures shown are for demonstration only and do not represent actual CHP figures

16. Imports and Exports from CHP Exports from CHP treated with the same factor of 2.5 e.g. if a CHP exports 10 GWh to the grid this saved a further 25 GWh of primary energy being used to generate this 10 GWh A negative primary usage figure for electricity indicates that a site is a net exporter

17. Importing Steam If steam is imported to a site e.g. from an adjacent CHP, the primary fuel used to generate that steam must be considered Must take account of boiler efficiency e.g. if a boiler has an efficiency of 75% and exports 75GWh of steam to an adjacent site, that site has consumed 100GWh of primary energy

18. Emission Figures for Primary Fuels FuelT CO 2 per TOE*g CO 2 /kWh Peat4.14355.8 Coal3.96340.4 Oil3.18273.3 AutoFuel2.9-3.05249.2 – 262.1 LPG2.66228.6 Nat Gas2.3197.7 *1 TOE = 11,635 kWh These figures quoted in DoF consultation paper

19. CO 2 Emission Factors in LIEN FuelEmission Factor, g CO 2 /kWh Natural Gas198 LPG229 Gas Oil264 Fuel Oil274 Biomass0 Other e.g. LVI gas274 Electricity (2001 figure)776

20. Summary Primary allows CHP and non-CHP facilities to report in an equitable manner Reflects the enviromental benefit of using more efficient fuels Is a more accurate measure of a site’s total energy use Is a more indicative reflection of total emissions from a site

21. Primary Energy Reporting Fiona Murray LIEN Project Manager