Energy Exchange

Satellites become valuable new tool for governments, industry to cut emissions

For years, people used satellites to observe the Earth’s climate. Now, orbital sensing offers a crucial new way to protect it, by giving us new abilities to identify, measure, and ultimately verify cuts in emissions of methane – a highly potent greenhouse gas.

Two new pieces of research led by EDF scientists demonstrate the growing potential of space-based monitoring tools, and offer a preview of things to come when EDF launches its own dedicated methane satellite in 2021.

Offshore Flaring in Mexico

First is a paper published this week in Geophysical Research Letters, explaining how researchers used space-based readings to calculate the enormous volume of natural gas being burned off (or “flared”) by oil and gas platforms in the Southern Gulf of Mexico. From 2005 and 2017, data from NASA’s Aura satellite show that operators flared as much as 710 billion cubic feet of gas per year.

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Energy efficiency goldmine hiding in plain sight in half a million NYC apartments

By Rory Christian and Ferit Ucar

Replacing regular light bulbs with compact fluorescent or LED lamps and upgrading to energy efficient appliances are approaches anyone can take to use less electricity and lower greenhouse gas emissions. And significant new opportunities to save energy are becoming available to New Yorkers thanks to Reforming the Energy Vision (REV), the state’s initiative to transform the way electricity is generated, moved, and used. But, for 20 percent of New Yorkers who don’t receive an electric bill from their utility, these benefits are not an option. Without properly metering these apartments, New York will miss out on opportunities to make significant energy reductions and risk falling behind in achieving its ambitious environmental goals.

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The oilfield digitalization opportunity executives can’t afford to miss

At the Baker Hughes GE Annual Meeting this week in Florence, Italy, a CEO began his presentation with this bold adage: “Digital strategy equals business strategy.” Executives on nearly every panel pointed to the digital opportunity.

As the oil and gas industry invests in the digital transformation to improve competitiveness, companies should seize the opportunity to integrate methane emissions management into their broader digital agendas, as a key way to maximize value and stay competitive in the low carbon energy transition.

Leveraging the transformation to tackle methane

The oil and gas industry is embarking on a holistic digital transformation, one that is disrupting virtually every facet of the business. Digitalization of the oilfield , which includes innovations such as automated asset management, predictive maintenance, and industrial internet of things (IIoT), has the potential to unlock tremendous value – up to $1.6 trillion.

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Satellite data confirms Permian gas flaring is double what companies report

A new analysis of satellite data reveals natural gas waste and pollution in the Texas Permian Basin is two times higher than what industry reports to the Texas Railroad Commission (RRC). In 2017 alone, Permian oil and gas operators burned enough gas to serve all the heating and cooking needs of the state’s seven largest cities. That’s roughly $322 million dollars of natural gas that went up in smoke.

Using National Oceanic and Atmospheric (NOAA) Earth Observation Group satellite data, Environmental Defense Fund (EDF) analyzed flaring rates and volumes in the Permian for 2017. The results are eye-opening. The satellite data indicates Permian operators burned 104 billion cubic feet of natural gas—4.4 percent of all gas produced. However, industry only reported 55 billion cubic feet of gas burned to the RRC in that same year.

It gets worse. In the Delaware Basin portion of the Permian, which accounts for about half of all gas produced in the basin, satellite data shows operators burning almost eight percent of their gas. That means some individual operators are wasting even more.

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New report highlights potential for energy storage in North Carolina

North Carolina recently took another key step in its push for a clean energy future with the publication of a long-awaited study on the opportunities, challenges and value of energy storage for the state. The report, which was mandated under the 2017 Competitive Energy Solutions Act (House Bill 589), is the culmination of a year-long research effort led by a multidisciplinary team of researchers from North Carolina State University in partnership with the North Carolina Policy Collaboratory.

The report finds that North Carolina is at a critical juncture in its clean energy future, with energy storage poised to play a key role. However, in order to develop market opportunities for storage and ensure its full benefits are realized, policymakers must take key steps to wisely accelerate the adoption of energy storage in North Carolina.

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Without the right policies, energy storage could increase emissions

In December, the six major Independent Systems Operators (ISO’s) across the country filed their plans for creating new market rules and opportunities for energy storage. While the rules will take at least a year to go into effect and the plans are just an initial step, a recent study suggests that this effort may add up to 50,000 megawatts (MW) of storage nationwide in the next decade.

At the same time, many states – like California, Massachusetts, New Jersey and New York – are recognizing the potential value of energy storage and are starting to integrate it as a key component of their plans to meet climate and renewable energy goals.

Combined with falling capital costs, these trends suggest a lot of new energy storage in the pipeline. This presents both opportunities and challenges for states looking to reduce their greenhouse gas emissions.

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