Introduction to Greenhouse Gas Inventories

Renewable Choice Services

A Partner to Leading Brands

Contents:

Our climate challenges

Introduction to inventories

Greenhouse gas protocol

Corporate actions

Renewable Choice services

Greenhouse Gas Inventories

Renewable Energy Standard

Carbon Offsets

Cap & Trade

Verified Emission

ReductionsClimate Change

Energy Security

The American Clean Energy and

Security Act of 2009

Kyoto Protocol

The Problem

Climate-related impacts are occurring now and are expected to increase

Global warming is unequivocal and primarily human-induced

Future climate change and its impacts depend on choices made today

Source: United States Global Change Research Program (June 2009)

Addressing Climate Change: No Silver Bullet

Renewable Choice’s Mission:

• 20% wind by 2030

• CO2 at 1980 levels

“Geo-Greenism"—is not only what we need to save the planet from overheating; it is what we need to make America healthier, richer, more innovative, more productive, and more secure.

Thomas Freidman, Hot, Flat & Crowded

Harness commercial and consumer demand to help drive the growth of renewable energy and clean technologies

Greenhouse Gas Inventory

Greenhouse Gas Inventory - Defined

• A comprehensive and documented accounting of all greenhouse gas emissions attributed to an organization’s activities

Inventory Basics

Identify sources

Choose boundaries

Collect data

Calculate emissions

Document results

Greenhouse Emissions

• Purchased electricity & steam

• Corporate fleet

• Natural gas

• Air travel

• Propane

• Refrigerants

• Waste stream

• Employee commuting

Greenhouse Gas Protocol

The Corporate GHG Accounting Standard

• World Resources Institute

– Greenhouse Gas (GHG) Protocol

– The most widely used standard

– Comprehensive accounting guidelines

GHG Protocol

Guidance

• Business goals

• Accounting for reductions

• Identifying GHG sources

• Managing inventory quality

• Verifying GHG emissions

• Setting GHG targets

Standards

• Accounting principles

• Organizational boundaries

• Operational boundaries

• Tracking emissions over time

• Reporting GHG emissions

Corporate Voluntary Actions

State of Corporate Activity

Source: The Conference Board, 2006 & U.S. EPA Green Power Partnership, 2008

• 75% actively measure GHG emissions

• 60% of corporate boards have carbon on agenda

• 50% have programs to reduce or offset emissions

• 15% engage in voluntary emissions trading

• 40% considering voluntary purchase

• >1000 EPA Green Power Partners

• Green Power Partners purchase >16 billion kWh of RECs annually

Voluntary Climate Registries

• U.S. EPA Climate Leaders

• WWF Climate Savers

• Carbon Disclosure Project

• California Climate Action Registry

• US DOE 1605b Registry

• The Climate Registry

Momentum is Building

Voluntary Greenhouse Gas Reporting

Source: Groom Energy Solutions (2009)

Corporate Motivations

• Fulfill voluntary reduction targets

• Create internal incentives for reductions

• Prepare for regulations

• Enhance the brand

• Differentiate a product

• Provide information to stakeholders

• Participate in GHG reporting programs

• Identify opportunities to reduce energy and costs

Carbon Offsets & Renewable Energy Credits

What is a Carbon Offset?

A carbon offset (also referred to as a

verified emission reduction, or VER)

represents the reduction of carbon

dioxide, or its equivalent in other

greenhouse gases

What is a Renewable Energy Credit (REC)?

• A REC represents the environmental benefits associated with the generation of electricity from a renewable energy source

• A renewable energy source is credited with RECs as it produces electricity

• The owner of the REC receives the property rights to its environmental benefits

Offsetting Emissions

RECs & Carbon Offsets

SCOPEUse of Carbon Offsets Use of RECs

Climate NeutralA dynamic ongoing process ~ Clean Air-Cool Planet

1. Embrace a stretching boundary

2. Demonstrate a broad understanding of your carbon footprint before making a claim

3. Exhibit caution before making a corporate-wide claim of neutrality

4. Consider whether a blanket claim of neutrality will resonate with stakeholders

5. Use the carbon management hierarchy before making claims

6. Be completely transparent

7. Exhibit leadership on climate change

8. Treat neutrality as a long-term commitment

Energy Efficiency Advisor

The Energy Efficiency Advisor (EEA) Service

Available to all GHG Inventory customers

Library of information that helps a company reduce energy demand and identify cost savings strategies

Consists of three sections:

Commercial Energy Advisor

Operations & Maintenance Advisor

Purchasing Advisor

Commercial Energy Advisor

Provides sector-specific insights including: Typical usage breakdown

Common load shapes

Energy saving ideas:– No cost– Low cost– Cost-effective investments

Identifies the most cost-effective savings available for numerous industries: Find out where energy dollars are going

Get money-saving advice

Select the equipment that makes the most sense

Identify key purchasing criteria

Operations & Maintenance Advisor

Develop a regular maintenance plan

Improve equipment performance and

increase energy efficiency with:

• Controls and systems optimization

• Re-lamping techniques

• Cleaning schedules and filters

Identify what equipment needs maintenance

Judge what tasks can be done ‘in house’ and what is worth outsourcing

Purchasing Advisor

When purchasing new equipment:

Understand what the technology does and why

Discern the real options without vendor bias

Make purchases with a transparent decision-

making process

An up-to-date library of buyer’s guides and energy-management tips

for over 45 energy technologies, including:

Best lamps and ballasts

HVAC options and configurations

Energy management systems

Legislative Landscape

Proposed Mandatory Reporting Rule

• Report if emissions > 25,000

MtCO2e/yr (facility)

• 85%-90% of national GHG

emissions covered

• Affects ~13,000 facilities

Reporting Breakdown

Source: EPA Proposed Mandatory Reporting Rule – Draft (March 2009)

About Renewable Choice

Renewable Choice

4,000+

LEED projects

GHG inventories

Helps companies

do the right thing

RECsReduce and

understand your

environmental impact

VERs

Choice Inventories

Understand

• Establish an emissions baseline to understand and/or

report your greenhouse gas emissions

Track

• Conduct a yearly inventory to track your progress toward

a reduction goal

Reduce

• Identify high carbon intensive activities and target with

process, infrastructure changes or offsets

Renewable Choice Offset Portfolio

Renewable Energy Credits

• American Wind – Green-e Energy

• Clean Source – Green-e Energy

Verified Emission Reductions

• Choice Carbon – American Carbon Registry Standard

• Global Carbon – Voluntary Carbon Standard

Business Essentials

What you get:• Dedicated Client Services Manager

• CD of images and graphics

• RCE website exposure

• Business Essentials Starter Kit– Custom certificate of purchase

– Messaging guide

– Window clings and magnets

– Custom poster

– Image library

– Facts and figures

Customized Marketing Support:Choice Programs

1. Determine commitment level

2. Choose a Choice Program that fits with

your company’s or project’s

communication & outreach goals

3. Renewable Choice customizes the

program you choose and provides on-

going consultation and support

2500 55th Street, Suite 210 . Boulder, CO 80301 . 877.810.8670 . www.renewablechoice.com

Contact

Matt WoodGreenhouse Gas Channel Manager

mwood@renewablechoice.com

303-551-7571