For El Paso, careful monitoring and transparency concerning our impact on the environment across our operations are important components of our vision to be the Neighbor to Have. We track and report key environmental impact metrics, including incidents, criteria pollutant emissions, and GHG emissions.
We continue to monitor and report our Pipeline Group’s statistics on used oil recycled and hazardous waste generated. The volume of used oil recycled depends on hours of operations for the engines and compressors. Our intent is to recycle all used oil. The volume of hazardous waste generated depends on the number and magnitude of projects and pipeline integrity segments. Product substitution is implemented when practical to reduce the volume of hazardous waste generated.
Finally, to evaluate the effectiveness of our environmental initiatives, we also track the number of routine state and federal environmental inspections at our facilities. The Pipeline Group experienced 163 inspections in 2010, and the inspector had zero findings for 156 (or 96 percent) of the inspections. The E&P Company had 63 agency inspections in 2010 and only one resulted in a Notice of Violation. In addition, each division in the E&P Company developed a 2010 spill reduction plan. These plans resulted in line replacement, installation of tank cathodic protection, and proactive pre-freeze shut-ins.
Greenhouse Gas and Air Emission Inventory
Methane from fugitive and vented sources and CO2 from combustion of natural gas at our compressor stations are the two GHG focus areas for El Paso. Since natural gas is the primary commodity that we produce, transport, and sell, strategies for minimizing loss of natural gas (which is primarily comprised of methane) are integrated into our business practices. Despite the lack of mandatory measures or targets establishing GHG emission reductions, we employ a variety of strategies to minimize fugitive and vented emissions and improve the efficiency of our operations.
GHG emissions were calculated using General Reporting Protocol and were computed using a 100-year global warming potential of 25 for methane. We’re highly focused and engaged on all applicable GHG issues, including emissions reduction targets, and we are evaluating the impacts of changing regulation and legislation on our business. Although we have not set an emissions-reduction target, we are actively reducing emissions through the following actions:
- Producing, transporting, and selling natural gas in the economy. Our primary product is natural gas, which is the most environmentally friendly of all fossil fuels. Combustion of natural gas for power generation emits 45 percent less CO2 than coal and 30 percent less CO2 than oil; has virtually no sulfur dioxide, mercury, or particulate emissions; and has a significantly lower amount of nitrogen oxides emissions than coal or oil. Lifecycle GHG emissions for natural gas are one-third those of coal, allowing for immediate reductions in virtually all pollutants simply by increased use of natural gas. Finally, natural gas power generation is much more efficient in its use of scarce fresh water and land resources than competing forms of generation.
- U.S. Environmental Protection Agency (EPA) Natural Gas STAR program participation. El Paso has voluntarily reduced methane emissions by actively participating in the EPA Natural Gas STAR program since 1993. From 1993 to 2009, we have reported more than 63 billion cubic feet of methane reductions (approximately 30 million tonnes of CO2e) per Natural Gas STAR reporting guidelines from our current pipeline operations, which include Colorado Interstate Gas, El Paso Natural Gas, Southern Natural Gas, and Tennessee Gas Pipeline. An additional 32.5 billion cubic feet (approximately 15.5 million tonnes of CO2e) of methane reductions have been achieved by our E&P operations during the same period.
- Conventional coalbed methane capture. Our E&P Company operates conventional coalbed methane wells that capture methane, which otherwise would be released into the atmosphere. We dehydrate, compress, and sell this methane as pipeline quality natural gas, creating several million tonnes of CO2e reductions.
Emissions of Criteria Pollutants
Many of our facilities are subject to annual emissions reporting of criteria and hazardous air pollutants, which result from our operations. The criteria pollutant emissions consist primarily of combustion emissions from natural gas-fired engines associated with compressors that push the natural gas along our system for delivery to customers. El Paso strives to optimize the use of the engines to minimize emissions, while meeting all customer requests.
Lost and Unaccounted for Natural Gas
Our Pipeline Group has focused significant attention on the lost and unaccounted for (LAUF) natural gas in its pipeline system. Our corporate LAUF increased by 0.05 percent in 2010 to 0.118 percent, which was under the 0.15 percent goal by 0.03 percent and equates to 9 million dekatherms. We have dedicated resources and tools to LAUF analysis and reduction. These efforts include improving our measurement-related maintenance practices through minimized unintentional operational venting, improved gas loss estimating and reporting, and increased tube inspections and replacements. Efforts also include training on areas that can impact accuracy, as well as improved, tighter design specifications and related maintenance standards associated with all aspects of Measurement and Gas Composition determination.
