From data to action: monetising carbon intensity management in the energy sector
Adam Harris A *A
Adam is a seasoned professional with 26 years of experience in the energy sector. He is committed to automating process facilities to enhance safety, reliability and efficiency. Over the years, Adam has collaborated extensively with project teams to select cutting-edge technologies that streamline schedules, mitigate risks and drive higher returns on large-scale energy investments. His strategic approach and deep understanding of technology integration have consistently yielded significant improvements in operational and sustainability outcomes. Currently, Adam holds a leadership role at Honeywell, where he oversees the Sustainable Energy vertical markets across the Asia–Pacific region. In this capacity, he continues to influence the energy industry by championing innovative solutions and fostering advancements that contribute to the sector’s evolution. |
Abstract
In recognition of the urgent need to reduce carbon footprint, regulations have been established to confront this critical challenge, acknowledging the significant and global impacts of carbon emissions. Globally, stringent policies, such as the European Union Renewable Energy Directive II and the Carbon Border Adjustment Mechanism, aim to internalise the social costs of carbon emissions and ensure global competitiveness while transitioning to a low-carbon economy. Additionally, the Safeguard Mechanism in Australia, administered by the Clean Energy Regulator, requires many large industrial facilities to reduce their emissions from their baseline levels. This regulatory framework drives emission reductions and encourages the adoption of cleaner technologies. Under this mechanism, standard facility baselines must decline by 4.9% each financial year through to June 2030. These regulations and incentive schemes create monetising opportunities for industries. Recognising this need, the management of carbon intensity gains prominence in today’s industry challenges. This paper explores how recent technological advancements can enhance the measurement, monitoring, reporting and reduction of carbon intensity across the hydrocarbon value chain. These improvements can substantiate projects while generating new revenue streams and differentiated products for energy suppliers. Additionally, the technology can then allow operators to control and optimise plant operations to meet carbon intensity targets for products. This capability differentiates products based on their carbon footprint, allowing companies to capitalise on market demand for levels of carbon intensity. Carbon intensity management will be an effective way to increase the bankability of green projects by providing a credible and auditable framework, digitally unlocking the benefits of reduced carbon intensity and monetising carbon reduction to make businesses more resilient to the changing environment.
Keywords: carbon intensity, carbon reduction, CBAM, CORSIA, EU RED II, GREET, ISCC Plus, ISO 14000, Safeguard Mechanism.
Adam is a seasoned professional with 26 years of experience in the energy sector. He is committed to automating process facilities to enhance safety, reliability and efficiency. Over the years, Adam has collaborated extensively with project teams to select cutting-edge technologies that streamline schedules, mitigate risks and drive higher returns on large-scale energy investments. His strategic approach and deep understanding of technology integration have consistently yielded significant improvements in operational and sustainability outcomes. Currently, Adam holds a leadership role at Honeywell, where he oversees the Sustainable Energy vertical markets across the Asia–Pacific region. In this capacity, he continues to influence the energy industry by championing innovative solutions and fostering advancements that contribute to the sector’s evolution. |
