• About this site|
• Site index|
• Contact us|
• Jobs

Ways of limiting emissions of synthetic greenhouse gases used to replace ozone depleting substances in New Zealand: Discussion paper

Introduction

Options to control synthetic greenhouse gases

Appendix I

Appendix II: Background

Appendix III: Environmental Data for Historical, Current, and Candidate Refrigerants

Introduction

Greenhouse gas emissions - trends

The New Zealand Greenhouse Gas Inventory released in 2004, shows New Zealand's total greenhouse gas emissions in 1990 were equivalent to 61,639.97Gg of CO₂. In 2002, total greenhouse gas emissions increased by 21.6 % to 74,976.34Gg CO₂ equivalent (Gg CO₂-e) (Figure 1). Over the period 1990 to 2002, the average annual growth in overall emissions was 1.65% per year.

Carbon dioxide (CO₂) and methane (CH₄) dominate New Zealand's greenhouse gas emissions (Figure 2). In 2002, these gases comprised 81.8% of total CO₂ equivalent emissions. Whereas CH₄ made the largest contribution to New Zealand's emissions in 1990, CO₂ is now the major greenhouse gas in New Zealand's emissions profile. The other major gas in New Zealand's emissions profile is nitrous oxide (N₂O).

The largest increases over the 1990 baseline include CO₂ and N₂O, with a smaller increase in CH₄.

What are synthetic greenhouse gases?

These 'other gases' are known collectively as synthetic greenhouse gases (SGGs) as they have little or no natural sources. SGGs include:

• Sulphur hexafluoride (SF₆)
  • used primarily as an insulator for high voltage electrical equipment
• Perfluorocarbons (PFCs)
  • mainly emitted from aluminium smelters, but also found is some refrigerant gases and can be used for specialised industrial processes including as a solvent
• Hydrofluorocarbons (HFCs)
  • used to replace ozone-depleting substances (ODS) in many applications in the refrigeration and air-conditioning sector and other related industrial processes such as the manufacture of plastic foams. HFC-134a is the most common HFC.

SGGs are also referred to by other names. In Europe in particular they are often referred to as F-gases as they all contain fluorine.

Again, according to the New Zealand's Greenhouse Gas Inventory 2004, SF₆ emissions have increased 4.7% from 12.33 Gg CO₂-e per annum to 12.91 Gg CO₂-e per annum due to increased use in electric switchgear. Emissions of PFCs have decreased 83.8% from 515.6 Gg CO₂-e to 83.5 Gg CO₂-e due to improvements in the aluminium smelting process; and HFC emissions have increased from 0 to 387.59 Gg because of the use of HFCs as a substitute for the chlorofluorocarbons (CFCs) and hydrochlorofluorocarbons (HCFCs) that are being phased out under the Montreal Protocol. Together the SGGs contributed 484 Gg CO₂-e, or 0.65% of total emissions.

Although SGGs currently account for less than one percent of New Zealand's greenhouse gas emissions, they are of particular concern because of their extremely high global warming potentials (GWPs) [Global warming potentials (GWPs) are used to convert emissions of each gas to an equivalent amount of CO₂i.e. this allows different gases to be compared. GWPs represent the relative warming effect or cumulative radiative forcing, of a unit mass of the gas when compared with the same mass of CO₂over a specific period. The UNFCCC reporting requirements (FCCC/CP/2002/8) specify that the 100-year GWPs contained in the IPCC Second Assessment Report (IPCC, 1995) are used in national inventories (Table 1).] relative to CO₂. Even relatively small absolute increases in their emissions would lead to a relatively large increase in CO₂-e greenhouse gas emissions.

Table 1 Common GWP values from the IPCC Second Assessment Report (1995)

Existing policies on synthetic greenhouse gases

Current government policy is that the greenhouse-gas emission charge will not apply to the synthetic greenhouse gases and there is no intention at this time that any charge would apply to SGGs.

The use and emissions of SF₆ in New Zealand is very small and is being addressed through a voluntary agreement with the major users. The emissions of PFCs from the aluminium smelter have already been addressed and emissions have dropped significantly in recent years. This leaves the use and emissions of hydrofluorocarbons and perfluorocarbons used as replacements for ODS being uncontrolled.

Growth in emissions of synthetic greenhouse gases

According to a report prepared by CRL Energy Ltd [Inventory of HFC, PFC & SF₆Emissions for New Zealand 2002-2003, CRL Energy ltd, 2004] for the New Zealand Climate Change Office (NZCCO) as part of the New Zealand Greenhouse Gas Inventory, the import of SGGs in bulk form (i.e. in pressure vessels, not in manufactured items) for the refrigeration and air-conditioning sector rose from 171 metric tonnes in 2000 to 345 tonnes in 2003. The estimated emissions (based on IPCC methodologies) also rose from 92 metric tonnes of SGG in 2000 to 178 tonnes of SGG in 2003.

Using published data on the number of vehicles registered in New Zealand and using industry estimates of the average amount of HFC in each imported vehicle, it is possible to estimate the maximum amount of HFC-134a contained in the air-conditioning systems (known as mobile air-conditioners (MACs)) of the imported vehicles. The data presented by CRL shows that there were 214,764 vehicles registered for the first time in 2003 and virtually all of these were fitted with MACs. Given that the average MAC system has a charge of 0.76 kg, this implies that up to 164 tonnes of HFC-134a may have been imported in the air-conditioning systems of these vehicles. It should be noted that many of the second-hand vehicles may not have had a full charge of gas at the time of arrival. Accordingly, an estimate of two thirds of the amount, or closer to 110 tonnes may be more realistic although there is no hard data to make an accurate calculation of this.

The amount of gas imported in vehicles is not likely to change significantly in coming years as all vehicles are now imported and virtually all are fitted with air-conditioning. However, the amount of HFCs needed to service this increasing number of MACs can be expected to continue to increase until the whole vehicle fleet has a MAC fitted.

In addition to the HFCs in vehicles, CRL estimated that an additional 17 tonnes of SGGs was imported in other refrigeration and air-conditioning equipment. The amount of SGGs imported in these other products is also expected to increase significantly in the next few years. This is because the SGGs will be used to replace ODS in equipment, but also because appliances such as heat pumps and dehumidifiers, which can use SGGs as the refrigerant gas, are increasing in popularity.

When data for imports from bulk sources and that found in finished equipment are included, along with emissions from both the stationary and mobile refrigeration and air-conditioning sectors, the results show significant increases in imports and emissions. See Figure 3.

Although there is reasonable data for total usage of SGGs in the refrigeration and air-conditioning industry, there is no data to identify which sector or sectors are using the SGGs. There is also no data on which sectors account for the increasing demand. It is reasonable to assume, based on the data for the types of gases being imported, that the growth in imports of HFC-134a is because of its increasing use in MACs. Imports of non-ozone depleting gases being used in the commercial refrigeration sector to replace HCFCs are also increasing. Of these replacement gases, the refrigerant R404A (a mixture of three SGGs) is by far the most important at present. Others, such as R410A (a mixture of two SGGs) which is being used to replace HCFC-22 in new air-conditioning units, are likely to become more important in time.

These growth patterns suggest that policy responses to reduce or limit emissions will need to work with both the stationary and the mobile refrigeration and air-conditioning industries. To date most of the discussions and work on voluntary approaches have concentrated solely on the stationary refrigeration and air-conditioning sector.

Possible controls on synthetic greenhouse gases

It is clear that although SGGs currently make up less than one percent of emissions of all New Zealand's greenhouse gases, the amount is going to increase in the next ten years. If New Zealand is to reduce or limit its emissions of SGGs, responses to date show that the existing voluntary programmes will not be sufficient on their own. The NZCCO has therefore developed this paper which outlines possible policy options to limit emissions of SGGs. Some of these options would require regulations to implement them. The proposals are informed by experiences with phasing out ozone depleting substances. It is possible that some of the proposals, if implemented, could also apply to ozone depleting substances.

In considering possible policy responses, the NZCCO has recognised that the SGGs are likely to be in use for many years. Unlike the ODS, which had definite phase-out dates, the SGGs are not being phased out. It is likely that imports of the bulk substances and equipment containing SGGs will continue to increase for some years. It is the intention of the policies put forward in the discussion document that they should reduce the emissions of these gases, rather than restrict imports or use.

When considering policy responses it is also important to consider that the direct emissions from the release of the SGGs can be dwarfed by the indirect emissions from the energy consumption of the appliance or machinery they are used in. For example, a domestic refrigerator contains around 120g of HFC-134a which, if released, would be equivalent to approximately 150 kg of CO₂. Whereas, the energy used to power the refrigerator over a 20-year lifetime could have released 5,000 kg of CO₂. There would be little or no advantage from limiting the use of SGGs if the use of an alternative substance resulted in higher indirect emissions through increased energy consumption.

Because the SGGs are likely to be used for much longer than ODS, it may be appropriate to consider policies (and in some cases reconsider policies) that may have been ruled out for ODS because of their costs or lack of short-term benefit. This document has not attempted to quantify the direct costs of the policies presented. It invites feedback on what the likely costs might be and whether these are appropriate.

In accordance with the relevant Cabinet decision on SGGs (October 2002 Cab Min (02) 26/16) the paper does not include policies on the use of SGGs in aerosols sprays. Because SGGs are expensive, their use has so far been restricted to applications where there are no safe alternatives. In general, this means for medial applications, such as 'puffer' sprays and those which require non-flammable sprays, such as for use on aircraft or live electronic equipment. No controls are proposed on these applications at this time.

New Australian controls

The Australian government has recently completed a lengthy process to decide how to control the use of synthetic greenhouse gases in Australia. After widespread consultation, the Australian government has decided to incorporate the SGG controls into their Ozone Act through an amendment. The industry in Australia appears to have been supportive of this decision as they see that it will ensure consistency of controls between SGGs and ODS. Equally importantly for the Australians, their new amendment act will ensure consistency of controls between their States. This has been a serious concern for their industry since controls on ODS were first introduced in the late 1980s.

A large number of companies in the refrigeration and air-conditioning sector operate in both the New Zealand and Australian markets. This is especially true at the importer and wholesaler level, with virtually all companies operating in both markets. At least in part because of the recent changes in Australia, the New Zealand refrigeration and air-conditioning industry and New Zealand government officials are looking at controls on ODS and SGGs in New Zealand. The New Zealand industry, through groups such as IRHACE has indicated that it would prefer to see a limited degree of controls introduced on SGGs now to ensure that emissions were minimised, rather than face significant changes at some future date, as happened with ODS controls in the late 1980s. They have also indicated that they would like to see consistent controls on ODS and SGGs.

During a series of meetings in 2003 and early 2004 between the NZCCO, the AGO and the refrigeration and air-conditioning industry in both New Zealand and Australia, a number of issues have been raised where further work was required. In particular, the consultation to date has raised the following issues for consideration in New Zealand:

• Refrigerant handling and in particular whether disposable cylinders should be banned.
  • Disposable cylinders are banned in Australia, but are not controlled in New Zealand.
• Training and licensing/accreditation for those handling SGGs
  • In Australia, accreditation for handling SGGs will be compulsory. In New Zealand, accreditation is currently voluntary.
  • Development of a joint code of practice is under way at present which will form the basis of the Australian accreditation programme.
• Emissions methodologies and reporting
  • Both countries have struggled to accurately estimate emissions under the IPCC framework. The Australians have proposed a joint study to identify better assumptions for emissions calculations.
• Options for disposal of SGGs if they are not able to be recycled
  • Both countries have an industry trust which pays for destruction of ODS. The costs of collection and destruction are paid for by a voluntary levy on ODS refrigerant sales. The New Zealand programme does not officially take back SGGs. The Australian scheme has been widened so that it will. There is an interest in expanding the New Zealand scheme to cover SGGs.
• Product Stewardship/Recovery
  • Regulations under the new Australian Act will include conditions on licensees importing products containing SGGs to ensure they contribute to the fund for destruction of SGGs. New Zealand does not have any comparable legislation.

The desirability of harmonising controls on businesses between New Zealand and Australia is generally accepted by the New Zealand refrigeration and air-conditioning industry and by both governments. The discussions in 2003 and early 2004 have fed into the ongoing work of the NZCCO to develop policies to limit emissions of SGGs. They have also been recognised by the NZCCO and the AGO in an agreement to work together on these issues known as the Australia - New Zealand Climate Action Partnership (ANZCAP).

The NZCCO is now considering various options for ensuring New Zealand's policies are compatible with the Australian controls, recognising the inherent differences between the two economies.

The following options are discussed in this paper:

• Accreditation of those handling SGGs
• Development of a Code of Practice
• Prohibition on the sale of disposable cylinders of refrigerant
• Ban on emissions of SGGs during handling
• Levy to pay for destruction of SGGs
• "Product stewardship" scheme to pay for destruction of SGGs in finished products
• Licences to import SGGs in bulk
• Licences to import products containing SGGs
• Manufacture and import prohibitions of products made with or containing SGGs
• No controls on SGGs in plastic foam manufacture at this time
• Possible legislative options to reduce SGG emissions