Sustainability Report 2020

About us

Environment

We are committed to the highest standards of environmental management and to proactively addressing the challenges of climate change.

Our EMS supports us to meet energy efficiency and Green House Gas (GHG) emission reduction targets.

GHG emissions

We established our carbon footprint in 2019, aligned with global best practice. We selected 2010 as our baseline carbon year, a time before Corrib gas field commenced supplies of natural gas to Ireland. We utilised verified emission equivalency conversion factors from SEAI where possible, DEFRA and empirical data from staff activities such as commuting. We then had our carbon footprint independently verified to ISO 14064-3:2019.

Low carbon pledge

We are committed to embedding sustainability and decarbonisation principles into the core of our business decisions and strategy.

In 2018 we signed up to the Low Carbon Pledge, a Business in the Community Ireland (BITCI) initiative for Irish businesses to invest time and resources into creating a more sustainable operation, by being more energy efficient and reducing carbon usage.

To help ensure consistency and comparability of efforts across various companies the internationally recognised Greenhouse Gas Protocol Corporate Standard is used as the underlying framework for the Low Carbon Pledge. Signatory companies commit to the following:

  • Record all Scope 1 and Scope 2 Carbon Emissions
  • Reduce the amount of Scope 1 and Scope 2 Carbon Emissions Intensity
  • Report (1) Individually through an Annual Report or Website or other publicly available equivalent source and (2) Collectively through an Annual BITCI Low Carbon Report
  • Review year-on-year Scope 1 and Scope 2 Carbon Emissions with the aim of showing continuous improvement

While the pledge focuses on Scope 1 and Scope 2 emissions sources, we are actively focusing on emissions sources beyond this. We have implemented a travel policy aimed at reducing the carbon footprint associated with employee work-related travel, we are also working with our suppliers to implement carbon reduction initiatives.

Increasing the ambition of the Low Carbon Pledge and setting Science Based Targets

BITCI is furthering the ambition of the Low Carbon Pledge by supporting signatory companies to progress towards setting Science-Based Targets (SBT) by 2024, (i.e. what science says is necessary to limit global warming to 1.5°C).

Our Managing Director, Denis O’Sullivan, is co-chair of the low carbon working group and in 2021 committed to developing Science Based Targets.

The Science Based Targets Initiative (SBTI) are currently developing an SBT methodology for the oil and gas sector with a plan to publish the methodology in 2021.

Carbon disclosure via CDP

In 2020, we disclosed our carbon emissions and equivalents through the Carbon Disclosure Platform (CDP) for the first time. The CDP is a not-for-profit charity managing a carbon disclosure platform for investors, companies, cities, states and regions to manage their environmental impacts. The CDP represents the most comprehensive collection of self-reported environmental data globally. In addition to capturing carbon emissions, CDP assesses the performance of each company against sustainability and climate action best practices.

We scored a B- rating in 2020 which is in the ‘management band’ meaning and we are considered as taking coordinated action on climate issues. B- is also higher than the European and global average and the oil and gas storage and transportation sector average of a C.

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GHG emissions performance

Absolute GHG Emissions Reduction since 2010

-%

Emission Intensity Reduction since 2010

-%

We have established a Climate Action Working Group to help achieve our carbon reduction ambitions. The Working Group is currently assessing several carbon reduction initiatives to help drive the company’s decarbonisation efforts. Each business unit has contributed to the identification of initiatives. All are currently being assessed based on the potential achievable emissions reduction and the associated mitigation/abatement cost.

We also recognise that methane emissions have a worse effect on climate change than carbon dioxide. As part of the Climate Action Work Group, we have also established a methane emission working group to further align our quantification methodologies and identify methane emission reduction opportunities across the business.

Our GHG inventory was independently verified according to ISO 14064-3:2019 Specifications with Guidance for the Validation and Verification of Greenhouse Gas Statements. Conversion factors for carbon equivalents used are from verified sources.

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GHG Emissions
2010 Scope 1 (TCO2e) 0 50,000 100,000 150,000 200,000 250,000 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Scope 2 (TCO2e) Scope 3 (TCO2e)

Year

Scope 1 (TCO2e)

Scope 2 (TCO2e)

Scope 3 (TCO2e)

Total (TCO2e)

2010

215,603

5,370

1,986

222,959

2011

201,553

5,415

2,148

209,116

2012

189,467

5,493

2,065

197,026

2013

191,973

5,340

3,032

200,344

2014

192,109

5,416

3,108

200,633

2015

191,789

5,319

3,657

200,765

2016

162,331

4,922

3,658

170,910

2017

151,079

4,438

3,792

159,310

2018

164,498

3,515

3,460

171,473

2019

154,344

3,184

4,839

162,367

2020

167,120

2,914

3,869

173,903

Gases included are CO2, CH4 and NO2. Final figures are reported in tonnes of CO2 equivalent (tCO2e) utilising SEAI conversion factors where available.

The nearby figure provides greater detail on our scope three emissions and has been verified externally by an independent verifier.

Year

Direct Emissions

(Scope 1)

Indirect Emissions Location-Based

(Scope 2)

Purchased Goods & Services

(Scope 3)

Business Travel

(Scope 3)

Upstream Transportation & Distribution

(Scope 3)

Waste Generated in Operations (Scope 3)

2010

215,603

5,370

1,451

352

201

0

2011

201,553

5,415

1,562

404

201

0

2012

189,467

5,493

1,678

274

130

0

2013

191,973

5,340

2,549

377

132

2

2014

192,109

5,416

2,642

358

132

6

2015

191,789

5,319

3,200

350

132

9

2016

162,331

4,922

3,190

351

132

6

2017

151,079

4,438

3,330

336

132

9

2018

164,498

3,515

3,028

307

132

6

2019

154,344

3,184

4,411

306

132

3

2020

167,130

2,914

3,567

167

132

1

Breakdown of emission sources by activity

Activity

Emissions Source

Scope 1

Unintentional Emissions of Natural Gas from Equipment

Leakages of natural gas from equipment/infrastructure on gas transportation network

Metered Process Gas

Stationary combustion of natural gas to run turbine at compressor stations and to preheat gas at above ground installations prior to pressure reduction

Compressor Vented Fuel Gas

Natural gas vented between cycles at compressor stations

Offices - Gas

Stationary combustion of natural gas in offices for heating

GNI fleet

Mobile combustion of petrol and diesel in our fleet

Scope 2

Offices – Electricity

Indirect emissions from purchased electricity used for offices

Process Sites Electricity Use

Indirect emissions from purchased electricity used for above ground installations and compressor stations

Scope 3

Main Period Contractor

Indirect emissions from main contractors (contractor scope 1 & 2 emissions; gas, electricity, diesel, petrol)

Grey Fleet

Indirect emissions from mobile combustion of private car use fuel for employee business travel

Helicopter

Indirect emissions from mobile combustion of fuel for 3rd party helicopter used for pipeline surveillance

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Our carbon intensity (TCO2/GWh) is based on the volume of natural gas transported through the gas network annually.

GNI emissions (TCO2e)

2010

222,959

2011

209,116

2012

197,026

2013

200,344

2014

200,633

2015

200,765

2016

170,910

2017

159,310

2018

171,473

2019

162,367

2020

173,903
Intensity (TCO2e/GWh)

2010

2.80

2011

2.88

2012

2.90

2013

3.00

2014

3.04

2015

3.00

2016

2.36

2017

2.16

2018

2.30

2019

2.12

2020

2.28

Most of our carbon footprint is under the financial and operational control of the business. Emissions relating to our compressor stations in Scotland are owned by the business and operated by a contracting partner, but under our financial control. The elements of our scope 1 emissions under financial control are compressor vented fuel gas a portion of metered process gas.

The location base for our scope 1 emissions is nationally in Ireland and in the South West of Scotland. We account for fugitive emissions in Scope 1, fugitive emissions are typically gas vented for safety purposes during essential maintenance, but also accounts for seepage from assets in the field.

Our scope 1 emissions have trended down from the baseline year of 2010, due to Corrib gas field becoming an indigenous supply point of natural gas. This reduced the volume of natural gas required through the compressor stations in Scotland, resulting in lower fuel gas required to compress natural gas before it reaches our pipeline in Ireland.

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Biogenic carbon

We have five dedicated Compressed Natural Gas (CNG) vans in our fleet, using 45.6 MWh of gas in 2020. We purchased 46 MWh of bio-methane to offset all CNG fleets usage for the year, essentially running them on 100% renewable fuel.

Our traditional fleet is made up of both diesel and petrol vehicles. The carbon emissions for these vehicles has been included in our scope 1 emissions. The biogenic carbon* associated with fuel consumed in each fuel type is outlined below:

Fuel

Associated biogenic carbon (TCO2e)

Diesel

27.973

Petrol

0.0186

*While biogenic carbon is outlined above, we have accounted for the full carbon equivalent of the consumed fuels in scope 1. Biogenic carbon is calculated using the latest DEFRA emission factors.

As production of gas at the Corrib gas field is now declining, we are increasingly reliant on our compressor stations in Scotland. These compressor stations increased our fuel gas requirements in 2020 and caused an increase in carbon emissions. As part of our sustainability working group several decarbonisation options are being appraised across our operations and will be submitted for approval to our regulator in 2021.

Scope 1 (TCO2e)

2010

215,603

2011

201,553

2012

189,467

2013

191,973

2014

192,109

2015

191,789

2016

162,331

2017

151,079

2018

164,498

2019

154,344

2020

167,120

Our 2020 scope 1 emission footprint has reduced by 22% from our 2010 baseline. The location base for our scope 1 emissions is nationally in Ireland and in the South West of Scotland.

Our scope 2 emissions have seen continued and sustained reduction in carbon emissions, from our 2010 baseline we have reduced our scope 2 emissions by 45.7%. Electricity used in our pressure reduction and compressor stations and electricity used by our Gas works Road (GWR) headquarters in Cork and Network Services Centre in Dublin is also included.

Electricity purchased to facilitate the operational requirements of Scope 2 are under our financial and operational control.

The reductions in electricity use in our office buildings is partly due to the relocation of our Dublin staff to Ireland’s first BREEAM rated building incorporating significant electrical upgrades, and to equipment and control capabilities in our headquarters.

As a public body, we report our energy performance under the Public Sector Monitoring and Reporting (PSMR) framework in Ireland. The scope of reporting includes the energy performance of our office and fleet energy. The PSMR target in 2020 was to improve our energy efficiency by 33% by 2020. We exceeded this ambition with 46% improvement in energy efficiency. More information is provided on our PSMR performance below.

Electricity consumption from our gas processing sites is detailed below, the remainder of our scope 2 is office electricity consumption.

Total process site electricity consumption (kWh)
2010 7,000,000 7,500,000 8,000,000 8,500,000 9,000,000 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Year

AGI electricity (kWh)

Compressor Station Electricity (kWh)

Total Process Site Electricity Consumption (kWh)

2010

2,717,441

4,642,546

7,359,987

2011

3,535,390

4,664,553

8,199,943

2012

3,505,316

4,686,560

8,191,876

2013

3,997,360

4,708,567

8,705,927

2014

3,628,579

4,714,921

8,343,500

2015

3,683,480

4,479,504

8,162,984

2016

3,233,495

4,432,750

7,666,245

2017

3,535,877

4,291,118

7,826,995

2018

3,076,682

4,292,881

7,369,563

2019

3,230,516

4,507,525

7,738,041

2020

3,490,114

4,114,287

7,604,401

Total (T CO2e)
2010 1,000 2,000 3,000 4,000 5,000 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Year

Process Sites (T CO2e)

Compressor Stations (T CO2e)

Total (T CO2e)

2010

1,440

2,253

3,693

2011

1,728

2,109

3,837

2012

1,857

2,156

4,013

2013

1,867

2,098

3,965

2014

1,651

2,330

3,981

2015

1,712

2,070

3,783

2016

1,561

1,827

3,388

2017

1,545

1,509

3,054

2018

1,155

1,215

2,370

2019

1,048

1,152

2,200

2020

1,133

959

2,092

We use UK electricity emission factors to assess the carbon emission totals for our compressor stations in Scotland and SEAI factors for Irish based assets.

Our scope 2 emission profile can be seen in the nearby figure.

We are committed to consistently increasing the scope of our carbon emissions reporting. Our scope 3 emissions have increased from our baseline year of 2010 due to increased scope and accuracy of GHG reporting by our main contractor. We are working to further improve supplier engagement and include scope 3 carbon emission reduction targets in supplier contracts where possible.

The location base for our scope 3 emissions is nationally in Ireland due to our contractor operating in all regions of Ireland on the national gas infrastructure. Our contractor’s main hub is in Dublin with satellite sites around the country. Our staff “grey fleet” also travels nationwide to provide day to day support for our team. We use helicopter services to perform aerial surveillance of our pipelines to help ensure that no construction work is commencing near our network.

All elements of Scope 3 are under the financial and operational control of our business.

Scope 2 (TCO2e)

2010

5,370

2011

5,415

2012

5,493

2013

5,340

2014

5,416

2015

5,319

2016

4,922

2017

4,438

2018

3,515

2019

3,184

2020

2,914
Scope 3 (TCO2e)

2010

1,986

2011

2,148

2012

2,065

2013

3,032

2014

3,108

2015

3,657

2016

3,658

2017

3,792

2018

3,460

2019

4,839

2020

3,869