The International Group of Liquefied Natural Gas Importers (GIIGLNL) has sought to identify and tackle greenhouse gas (GHG) emissions in the liquefied natural gas (LNG) production value chain with the launch of a new framework.
The ‘Monitoring, Reporting, and Verification (MRV) and GHG Neutral Framework’ sets out criteria for reporting and offsetting emissions that cannot be reduced.
As global industry begins to focus more on achieving net zero targets and reducing carbon emissions, LNG, and their declaration as ‘carbon neutral cargoes’ is playing a key part in achieving these goals. An independently verified Cargo Statement will help create a transparent practice to declare these cargoes.
The Framework aims to promote ‘verified and consistent’ quantification of GHG emissions from extraction of natural gas, liquefaction, shipping, regasification to final consumption.
Stating that the intention of the Framework assists in demonstrating greater transparency, Steve Hill Executive Vice President, Shell Energy and GIIGNL Regional Vice President for Americas also emphasised the reduction and offsetting of overall emissions.
“The Framework provides organisations across the industry with a best-practice approach specifically designed to enhance transparency and accuracy in quantifying, reporting, and offsetting emissions associated with LNG cargoes,” he added.
The Framework also adheres to internationally agreed standards and methodologies for the GHG emissions calculation, in addition to requiring methane emissions are reported in the Cargo Statement, along with all seven Kyoto Protocol GHGs.
Encouraging the industry to begin using the Framework immediately, Dan Brouilette, President, Sempra Infrastructure, Member of the GIIGNL Executive Committee, realised a transition period may be necessary, saying, “We understand that alignment will take time as industry participants build necessary resources and capabilities.”