data requirement for total carbon emission cap setting and allowance allocation

Training for local DRC representatives

Learning by doing towards the establishment of robust cap

setting and allocation for National ETS

全国碳交易能力建设培训会全国碳交易能力建设培训会全国碳交易能力建设培训会全国碳交易能力建设培训会

Supporting the Design and Implementation of Emissions Trading Systems in China

中欧碳交易能力建设项目中欧碳交易能力建设项目中欧碳交易能力建设项目中欧碳交易能力建设项目

Beijing, 25th – 26th April 2015

北京，2015年4月25-26日

This project/programme is funded by the European Union under the Service Contract No. : DCI-ASIE/2013/334-592.

Project implemented by: ICF International together with Sinocarbon, SQ Consult and Ecofys

2

Data Requirement for Total Carbon Emission Cap Setting and Allowance Allocation Tang JinSinoCarbon April 2015

Contents

How to get the data1

23 Data quality Assurance

Key points of data requirements

Which data is required

4

1 Which data is required？

Data requirement for different allowance allocation methods

Historical dataHistorical dataHistorical dataHistorical data

EmissionEmissionEmissionEmission

benchmarkingbenchmarkingbenchmarkingbenchmarking

Controlled Controlled Controlled Controlled

emission factoremission factoremission factoremission factor

Actual outputActual outputActual outputActual output

emission output

Grandfathering Grandfathering Grandfathering Grandfathering

approach based on approach based on approach based on approach based on

historical historical historical historical

emissionemissionemissionemission

● ○ ○

◑

○

Grandfathering Grandfathering Grandfathering Grandfathering


emission intensityemission intensityemission intensityemission intensity

● ● ○

◑

●

Benchmarking Benchmarking Benchmarking Benchmarking


historical outputhistorical outputhistorical outputhistorical output

◑

● ●

◑

○

Benchmarking Benchmarking Benchmarking Benchmarking


actual outputactual outputactual outputactual output

◑ ◑

●

◑

●

Note:●required ◑ probably required ○not required

Which data is required？List of enterprisesBasic information of the enterprisesCarbon emission data of the enterprisesProduction data of the enterprises

Historical Data

Current Data

Which data is required？List of enterprises

Legal representativestandard

Energy consumption in 2010 reached 5000tce or CO2 emission in 2010 reached 13000 ton• Electricity consumption• Emission from processes

adjustments• Bankruptcy, merge, shutdown or reorganization

• Significant change in production scale and GHG emission

• Identify adding reporting entity based on actual need

Which data is required？Basic information of enterprises

� Domestic economy� Accounting guidelines

� Facility information� Designed production capacity� close down, suspend operation, merge with

others or shift to different line of production

Emission facilitiesSectorLocation

Which data is required？Carbon emission data of enterprises

� Emission category� Emission source� Emission breakdown by

facility and by process

� Activity level� Emission factor

Total emission

Basic data

Which data is required？Production data of enterprises

Output

Value of output�Main products�byproducts�Intermediates products

2 How to get the data

How to get the data

NDRC Notice（NDRC Climate Division [2014] 63)

Guidelines on GHG Emission Accounting Method and Reporting for Enterprises（NDRC Climate Division [2013]Reference No. 2526）

Statistical accounting of the

emission dataReporting of the emission data

13

Guidelines on GHG Emission Accounting Method and Reporting for key

Industrial Sectors and Enterprises（trial）First batch of 10 industrial sectors

（2013.10.15）Second batch of 4 industrial sectors

（2014.12.03）CementCeramicMagnesium smelting

Electrolytic aluminium

Power generationChemical Industrysteel

Power grid

Plate glass

Civil aviation

Oil and natural gas productionCoal

productionPetrochemical

Indepenent coking

How to get the data

14

Guidelines on GHG Emission Accounting Method and Reporting for

key Industrial Sectors and Enterprises（trial）

Another 8 sectors to be added (under research)

• food, beverage and tobacco• electromechanical devices

• building• papermaking

• nonferrous metal （general）• mining• transportation• Other industries（general）

How to get the data

� working procedure for carbon emission accountingIdentify

accounting

boundary

Identify emission

source

Collect data on

activity level

Select and

acquire emission

factors

Calculate

emission by

emission source

Sum up carbon

emission of

enterprises

How to get the data

Accounting boundary---boundary of enterprisesThe reporting entity should account and report GHG emission from ALL PRODUCTION FACILITIES within the enterprise boundary of an independent legal enterprise or an independent accounting unit that could be deemed as one legal entity.

The provisions on enterprise boundary by each guidelines are basically the same, which are in accordance with the boundary for energy statistics for the enterprises, covering the MAIN PRODUCTION SYSTEM, THE AUXILIARY PRODUCTION SYSTEM AND THE SUBSIDIARY PRODUCTION SYSTEM.

How to get the data

Identification of emission sources

How to get the data

Combustion of

fossil fuels

Industrial

Production

processes

Net purchased

electricity and heat

Emission source

Construction

material

sector

Cement

industries

• Combustion of fossil fuels

• Combustion of non-biomass carbon in alternative fuels and co-

processed wastes

• Decomposition of raw carbonate

• Incineration of non-fuel carbon in the raw materials

• Emission from consumption of net purchased electricity and heat

Plate glass

industries

• Emission from fuel combustion

• Emission from industrial production processes


Ceramic

industries


• Emission from industrial processes

• Emission from recycled use of CO2


How to get the data

Emission source

有色金属冶炼行业

Electrolytic

aluminium

industries


• Emission from energy used as raw materials


• Emission from consumption of net purchased electricity

and heat

Magnesium

smelting

industries


• Emission from energy used as raw materials


• Emission from consumption of net purchased electricity

and heat

How to get the data

Emission source

power sector

Power grid

companies

• Emission from repairing and dismantling of SF6-

comsuming facilities

• Emission from power transmission &distribution losses

Power

generation

companies

• Emission from fossil fuel combustion

• Emission from desulfuration processes

• Emission from consumption of purchased electricity

chemical sectorChemical

companies


• Emission from industrial processes

• Recycled use of CO2

• Emission from consumption of the net purchased


How to get the data

Emission source

ferrous metal sm

elting and

related

industries

Steel industries



• Embodied CO2 emission from the net purchased


• Embodied CO2 emission from carbon sequestration

products

civil aviation

sector

Civil aviation

industry


• Emission from consumption of the net purchased


How to get the data

How to get the data

Collection of basic data

Activity levelconsumption

（log book, measured value, devices）

Heat value（self-measured, third party-measured, default value）

Emission factorCarbon content

（measured value,default value）

Oxidation rate（measured value,default value）

How to get the data

• General method——activity level * emission factor

• Caron balance method——carbon input– carbon output

Emission calculation

• By emission source• By emission facilityData sum-up

3 Data quality assurance

Data quality assurance

Monitoring plan E-reporting Third-party

verification

Data quality assuranceMonitoring plan

� Measured on-site:Measuring method, measuring frequency and accuracy of devices

Data quality assuranceE-filing

Standardized e-template

Emission reporting

system

� Low error ratio� Database: statistical analysis� Easy to add auxiliary modules,

such as third party verification

Data quality assuranceThird-party verification

On-site Liberate government human resources

firewallTransmission of capacity building（to the third party and to the enterprise）

4 Key points of data requirement

• Determine emissions from production-related energy use and industrial processes by strictly following the guidelines requirements;

• Identify emission facilities;• Report for the record in case of facility shutdown, suspension, merger, division or in case of significant change of production capacity;

• Pay attention to the boundaries consistency.

a. Identify the boundaryKey points of data requirement

31

• Correct choice of accounting method;• Differentiate direct emission and indirect emission;• Develop detailed procedures for data monitoring, recording, maintaining and reporting;

• Treatment of missing data;• Maintaining of related evidence;• Internal verification of the monitoring data.

b. monitoring data and reportKey points of data requirement

32

• Monitoring devices, methods and frequencies should be all in accordance with the guidelines and related national standards;

• In case of significant change of monitoring plan, the government department in charge should be notified for the record.

c. Monitoring planKey points of data requirement

唐进唐进唐进唐进

邮箱邮箱邮箱邮箱：：：：[email protected]

Please follow us via WeChat

项目微信公众号项目微信公众号项目微信公众号项目微信公众号

Supporting the Design and Implementation of Emissions Trading Systems in China

中欧碳交易能力建设项目中欧碳交易能力建设项目中欧碳交易能力建设项目中欧碳交易能力建设项目

This project/programme is funded by the European Union under the Service Contract No. : DCI-ASIE/2013/334-592.

Project implemented by: ICF International together with Sinocarbon, SQ Consult and Ecofys

Please follow us via LinkedIn

项目项目项目项目LinkedIn页面页面页面页面

https://www.linkedin.com/grp/ho

me?gid=6971708

data requirement for total carbon emission cap setting and allowance allocation

Environment