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Latest Achievements in Carbon Management Strategic Program Presented

Latest Achievements in Carbon Management Strategic Program Presented
(Monday, February 5, 2024) 16:43

TEHRAN (NIPNA) -- A specialized session showcasing the achievements of the Carbon Management Strategic Program in the petrochemical industry was convened, providing insights into the industry's response to climate change challenges.

One of the most significant global threats in recent decades is climate change. International organizations have categorized climate change as one of the top ten phenomena posing a threat to global peace and security.

Iran, based on indices outlined in climate conventions, is considered one of the countries vulnerable to all vulnerability indices and is among the most susceptible nations. Apart from facing direct impacts of climate change, such as reduced rainfall, increased droughts, floods, and hurricanes, Iran is also vulnerable due to its economic dependence on oil and gas revenues, affected by international climate change policies.

The general impacts include:

  1. Reduction in Oil Revenues: As global markets shift towards renewable energy, improved energy efficiency, and the development of low-carbon resources like hydrogen, the demand for oil diminishes, leading to reduced oil revenues.
  2. Decreased Competitiveness of Petrochemical Exports: The competitiveness and profit margins of exported petrochemical products decline due to carbon taxation.

Given the current status of the country's natural and biological resources and the leading economic threats resulting from climate change mitigation actions, formulating comprehensive strategies and suitable solutions for their management is of paramount importance. In this context, the "Carbon Management Strategic Program" project was initiated in 2021 by the Health, Safety, and Environment Management of the National Petrochemical Company (NPC).

The primary objectives of the project include calculating the current emissions of greenhouse gases in the petrochemical industry, ensuring their accuracy and precision, predicting emission trends in the future based on the industry's development plans, identifying achievable emission reduction targets, determining the marginal cost of emission reduction actions, forecasting the climate status of petrochemical regions in the coming years, and devising plans to mitigate climate change impacts and capitalize on international opportunities for emission reduction and climate adaptation initiatives.

The study evaluated the emission status of operational petrochemical complexes and upcoming projects (plans for 2021 and 2022, seventh and eighth development plans) for a total of 106 facilities.

Results indicated that the total emissions of greenhouse gases in the petrochemical industry had exceeded approximately 37 million tons of carbon dioxide equivalent in 2020. With a rising trend, it is projected to reach around 100 million tons of carbon dioxide equivalent by 2035 (1414) based on current development plans.

The study also suggested that by implementing energy consumption optimization measures (186 measures examined across facilities) and recovering gases sent to flares, an annual reduction of 6 million tons of greenhouse gas emissions could be achieved, preventing the cumulative release of 59 million tons over the next ten years until 2030. This would result in a 5% reduction in petrochemical industry emissions compared to the baseline scenario in 2030, alleviating concerns about meeting emission reduction commitments under the Paris Agreement for this industry.

The session was attended by representatives from various management entities, including the National Petrochemical Industries Company, National Iranian Oil Company, National Iranian Gas Company, National Iranian Oil Refining and Distribution Company, Fuel Consumption Optimization Company, Petrochemical Research and Technology Company, Petroleum Industry Research Institute, Environmental Protection Organization, and Sharif University.

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