Environment Report 2015

ENVIRONMENT REPORT 2015

Oil &Gas UK continues tomonitor closely the development of the Large Combustion Plant Best Available Techniques Reference Document (LCP BREF) produced under the IED. The LCP BREF puts forward monitoring requirements and Best Available Techniques Associated Emissions Levels (BAT AELs) for CO and NO x , which may be particularly challenging for some installations due to the unique operating conditions of turbines offshore. The release of ozone depleting substances is controlled by European Commission (EC) Regulation No 744/2010 amending EC Regulation No 1005/2009 with regard to the critical use of halons. Operators of refrigeration and air-conditioning systems, heat pumps and fire-protection equipment must prevent leaks of controlled substances (i.e. halons, chlorofluorocarbons (CFCs), hydrochlorofluorocarbons (HCFCs) and fluorinated gases (F-Gases)) and repair detectable leakages as soon as possible. It is evident that there is a complex mixture of schemes in the UK that aim to improve energy efficiency and reduce GHGs. The offshore oil and gas industry would welcome a clearer and more efficient approach to offshore emissions legislation in the UK. Oil & Gas UK is actively working with the regulators to that end. Trend Data Figure 11 opposite shows that there has been a sustained decrease in CO 2 emissions offshore since the early 2000s. Factors such as the decline in production and volumes of produced water over the same period have been influential in reducing emissions. The introduction of key legislative instruments, such as the PPC Regulations and the EU ETS, has also led to energy efficiency management measures being implemented that may have aided emissions reductions. Market trading conditions, such as the EUA price and changes to the allocation of free allowances, may have had a role to play. In the future, policy changes such as the introduction of the Market Stability Reserve (MSR) will have an increasing influence 26 as it is expected to increase the EUA price. A higher EUA price may influence decision making processes when evaluating the economics of emissions reductionsmeasures, which are part of thewider petroleum economics context. VOC emissions are controlled through the requirements for consent to vent applications under the Energy Act 1976. Applications require medium- and long-term plans for reducing venting.

26 For more information see Appendix A of Oil & Gas UK’s Economic Report 2015 available to download at www.oilandgasuk.co.uk/economicreport

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