PR93019

PARIS, Nov. 17, 2021 /PRNewswire=KYODO JBN/--

- Framework sets out criteria for reporting and offsetting emissions that cannot

  be reduced

- Aimed at improving greenhouse gas emissions reporting

- Includes a consistent definition of GHG neutrality

- Full reporting of methane emissions will be included

Today, the International Group of Liquefied Natural Gas Importers (GIIGNL)

announced the launch of a comprehensive framework for a consistent industry

approach to declaring greenhouse gas neutral LNG cargoes, at a time when the

practice of declaring LNG cargoes ‘carbon neutral’ is increasing.

The Monitoring, Reporting, and Verification (MRV) and GHG (Greenhouse Gas)

Neutral Framework is part of a collective industry movement to account for and

reduce GHG emissions associated with LNG, an increasingly important source of

energy worldwide. Entities at every stage of the LNG life cycle can use it to

assess the GHG footprints of their LNG cargoes.

The Framework promotes verified and consistent quantification of GHG emissions

across the entire value chain, from extraction of natural gas, liquefaction,

shipping, regasification to final consumption. Significantly, it creates a

transparent practice to declare GHG neutral cargoes through an independently

verified Cargo Statement which sets out both emissions and offsets.

GIIGNL promotes that emissions are avoided and reduced where possible, and if

offsetting is used, it can compensate for residual emissions that cannot

otherwise be reduced or avoided.

"To fulfil the LNG industry’s critical and unique role in supporting the global

economy to transition to net-zero emissions, it is imperative that our sector

consistently and collaboratively accounts for emissions across the entire value

chain," said President of GIIGNL, Jean Abiteboul.

"Alongside reducing and offsetting overall emissions, it is our intention that

the Framework assists the industry in demonstrating greater transparency.”

Steve Hill, Executive Vice President, Shell Energy and GIIGNL Regional Vice

President for Americas added: “The Framework provides organisations across the

industry with a best-practice approach specifically designed to enhance

transparency and accuracy in quantifying, reporting, and offsetting emissions

associated with LNG cargoes.  We are keen to start the groundwork on applying

this framework to deliver a test “GHG neutral” LNG cargo as defined by the

Framework."

Michiaki Hirose, Chairperson of Tokyo Gas and GIIGNL Regional Vice President

for Asia pointed out that “while corporate strategies to reach GHG neutrality

may differ from one company to another, the industry expects to achieve GHG

reductions throughout the LNG value chain."

Dan Brouillette, President of Sempra Infrastructure and member of the GIIGNL

Executive Committee explained: "The tools and pathways provided within the

Framework will help LNG organisations create clear and reliable GHG emissions

reporting that can be independently verified, supporting them to make good on

their climate commitments."

"We encourage the industry to begin using the Framework from now on but we

understand that alignment will take time as industry participants build

necessary resources and capabilities. We look forward to working with all

stakeholders so that the global community has the best chance of reaching

net-zero climate goals," President Abiteboul concluded.

GIIGNL recognises the importance of reducing methane emissions and the

Framework requires that they are reported separately in the Cargo Statement,

alongside all seven Kyoto Protocol GHGs.

Use of the term ‘GHG Neutral’ represents a full life cycle footprint across the

entire cargo value chain, based as much as possible on primary data, supported

by a long-term decarbonisation commitment, a delivered emission reduction plan

and fully netted with high quality offsets.

The Framework does not seek to replace any established standards and

methodologies for GHG emissions calculation, footprint determination and

offsetting. It integrates established internationally agreed standards and

methodologies and provides additional criteria for assessing and reporting GHG

emissions associated with the specific case of an LNG cargo.

About GIIGNL:

GIIGNL is the ‘International Group of LNG Importers’. With 86 member companies

headquartered in 27 countries, GIIGNL members handle more than 90% of LNG

imports worldwide. Over the last 50 years, the association has been playing a

unique role in the development of the LNG industry, constituting a forum for

exchange of information and experience among its members.

Source: International Group of Liquefied Natural Gas Importers