Life Cycle Assessment to Inform Potential for Internationally Transferred Mitigation Outcomes in Canada’s LNG Industry

The Paris Agreement, which was signed in December 2015 and went into effect in November 2016, outlines a framework for a new market mechanism that could to incentivize countries to reduce their greenhouse gas (GHG) emissions: internationally transferred mitigation outcomes (ITMOs). ITMOs enable countries to transfer emissions reduction credits between countries to efficiently find those areas where emissions could be reduced most efficiently and cost-effectively, thus resulting in greater net reductions globally. However, it remains unclear whether ITMOs can be created and implemented by Canadian energy producers, and what this could mean for energy producers. In this project, one intern will research the feasibility of ITMOs for Canada’s LNG industry, using the export of BC LNG to China as an example. The intern will conduct life cycle analyses (LCAs) of different fuel sources to determine whether the export of BC LNG to China could result in a net emissions reduction under different scenarios. The partner organization (FortisBC) will benefit from a deeper understanding of whether and how it could implement ITMOs to gain a return on investment for upstream emissions reductions and create competitive advantages.

Don Rukmal Dhanushka Liyanage
Faculty Supervisor: 
Kasun Hewage;Harish Krishnan
British Columbia
Partner University: