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2015 CRC LCA Workshop October 27, 2015 Co-product methods for alternative jet fuel LCA in an international context Mark Staples, PhD candidate Co-authors: Dr. Robert Malina (MIT), Dr. James I. Hileman (FAA)

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2015 CRC LCA Workshop October 27, 2015

Co-product methods for alternative jet fuel LCA in an international context

Mark Staples, PhD candidate Co-authors: Dr. Robert Malina (MIT), Dr. James I. Hileman (FAA)

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Context: environmental goals of ICAO

•  Goal: carbon neutral growth of international aviation from 2020

•  To be achieved through a basket of measures: technology, operations, alternative fuels, and a market-based measure (MBM)

International Civil Aviation Organization

[ATAG 2013]

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Proposed market-based measure (MBM)

Considering an offsetting approach

•  Seeking carbon neutral growth of aviation from 2020

•  Applicable to international flights & combustion CO2

Could involve purchase of emissions units that certify emission reductions in other locations or sectors

•  Emissions reduction credits from existing carbon markets

Airlines could potentially reduce their emissions through the use of alternative jet fuels

ICAO CAEP are examining the use of life cycle analysis to account for emissions reductions from alternative jet fuels

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System boundary definition

Criteria for data suitability

LCA approach

Choice of allocation

rule(s)

MBM methodology for aviation biofuels

Building blocks of MBM LCA methodology

Entities responsible for

calculation

Review mechanism

Conventional jet fuel baseline

value

Inclusion of variability & uncertainty

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Attributional co-product allocation options

1.  Mass/volume

2.  Displacement (system expansion)

3.  Revenue-based (market-based)

4.  Energy

Selection criteria •  Scientifically justifiable •  Robust to “gaming” •  Implementable

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Attributional co-product allocation options

1.  Mass/volume

2.  Displacement (system expansion)

3.  Revenue-based (market-based)

4.  Energy

Selection criteria •  Scientifically justifiable •  Robust to “gaming” •  Implementable

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Attributional co-product allocation options

1.  Mass/volume

2.  Displacement (system expansion)

3.  Revenue-based (market-based)

4.  Energy

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Attributional co-product allocation options

2.  Displacement (system expansion)

Recommended by ISO 14044

Already in use in regulatory systems •  US EPA RFS2 However: Requires considerable knowledge of product & co-product economics Issues of spatial & temporal heterogeneity/variability Displacement of marginal vs. average unit of production Can lead to unintuitive results

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Attributional co-product allocation options

2.  Displacement (system expansion)

[Stratton et al. 2010]

Example Disp. of non-jet fuel co-products

-  FTjet receives emissions credits

for fuel co-product emissions relative to conventional products (in this case, diesel)

-  FT middle distillate fuel production, with decreasing share of jet fuel

-  As: diesel-to-jet fuel ratio!∞,

LCA emissions attributable to jet ! - ∞

Jet fuel makes up small share of all products and/or

Co-prod has significant env. benefit over conventional prod Could occur any time:

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Attributional co-product allocation options

2.  Displacement (system expansion)

[Stratton et al. 2010]

Example Disp. of non-jet fuel co-products

-  FTjet receives emissions credits

for fuel co-product emissions relative to conventional products (in this case, diesel)

-  FT middle distillate fuel production, with decreasing share of jet fuel

-  As: diesel-to-jet fuel ratio!∞,

LCA emissions attributable to jet ! - ∞

Fuel producers could potentially receive double credit for emissions reductions: Once for jet fuel under MBM…and again for diesel, under a separate reg scheme.

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Attributional co-product allocation options

1.  Mass/volume

2.  Displacement (system expansion)

3.  Revenue-based (market-based)

4.  Energy

Selection criteria •  Scientifically justifiable •  Robust to “gaming” •  Implementable

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Attributional co-product allocation options

1.  Mass/volume

2.  Displacement (system expansion)

3.  Revenue-based (market-based)

4.  Energy

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Attributional co-product allocation options

3 & 4. Revenue-based vs. energy

28

30

32

34

36

38

40

42

44

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

LCA GHG [gCO2e/MJ]

Year

Revenue allocation: 10 yr average

Revenue allocation: 5 yr average

Revenue allocation: 1 yr average

Energy allocation

Example 1 Soybean HEFA jet fuel

(Hydroprocessed Esters & Fatty Acids)

-  Co-product split between fuel and animal feed

-  Time variation in LCA GHG emissions attributable to HEFAjet

-  Historical commodity prices -  Soy HEFA jet pathway in

GREET

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Attributional co-product allocation options

3 & 4. Revenue-based vs. energy

28

30

32

34

36

38

40

42

44

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

LCA GHG [gCO2e/MJ]

Year

Revenue allocation: 10 yr average

Revenue allocation: 5 yr average

Revenue allocation: 1 yr average

Energy allocation

Example 1 Soybean HEFA jet fuel

(Hydroprocessed Esters & Fatty Acids)

-  1-yr average prices result in

variable results of 29.5-37.5 gCO2e/MJ (±13%)

-  10-yr averaging can reduce

variability to 32.8-35.2 gCO2e/MJ (±4%)

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Attributional co-product allocation options

3 & 4. Revenue-based vs. energy

28

30

32

34

36

38

40

42

44

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

LCA GHG [gCO2e/MJ]

Year

Revenue allocation: 10 yr average

Revenue allocation: 5 yr average

Revenue allocation: 1 yr average

Energy allocation

0

10

20

30

40

50

60

70

80

90

100

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

LCA GHG [gCO2e/MJ]

Year

Example 1 Soybean HEFA jet fuel

(Hydroprocessed Esters & Fatty Acids)

-  Variability is relatively small

compared to conv. jet

-  However: -  Could put a fuel over a

threshold (and back again)

-  More pronounced if system (rather than process-based) allocation were considered

60% reduction from conv. jet

Conventional jet fuel baseline

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Attributional co-product allocation options

3 & 4. Revenue-based vs. energy

Example 2 Stylized soy biodiesel example

-  Co-prod split btw BD and glycerol -  Example of fuel production w/

chemical byproduct

-  Time variation in LCA GHG emissions attributable to HEFAjet

-  Historical commodity prices -  Soy BD pathway in GREET

0

5

10

15

20

25

30

2004 2005 2006 2007 2008 2009 2010 2011 2012

LCA GHG [gCO2e/MJ]

Year

Energy alloc.

1-yr. mkt. alloc.

3-yr. mkt. alloc.

5-yr. mkt. alloc.

Global glycerol price [2012 $/lb]

US biodiesel price [2012 $/lb]

Relative glycerol price

2005 1.05 0.70 1.5

2006 0.79 0.54 1.48

2007 0.53 0.51 1.04

2008 0.59 0.65 0.9

2009 0.54 0.48 1.12

2010 0.37 0.54 0.69

2011 0.38 0.60 0.64

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Attributional co-product allocation options

3 & 4. Revenue-based vs. energy

Example 2 Stylized soy biodiesel example

-  US glycerol production more than

doubled from 2001-2011

-  Glycerol prices dropped while BD prices remained about the same

-  Relative share of emissions to BD

went up

0

5

10

15

20

25

30

2004 2005 2006 2007 2008 2009 2010 2011 2012

LCA GHG [gCO2e/MJ]

Year

Energy alloc.

1-yr. mkt. alloc.

3-yr. mkt. alloc.

5-yr. mkt. alloc.

Global glycerol price [2012 $/lb]

US biodiesel price [2012 $/lb]

Relative glycerol price

2005 1.05 0.70 1.5

2006 0.79 0.54 1.48

2007 0.53 0.51 1.04

2008 0.59 0.65 0.9

2009 0.54 0.48 1.12

2010 0.37 0.54 0.69

2011 0.38 0.60 0.64

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Attributional co-product allocation options

3 & 4. Revenue-based vs. energy

Example 2 Stylized soy biodiesel example

-  In this case, biofuel production

changed market conditions and, ultimately, LCA GHGs

0

5

10

15

20

25

30

2004 2005 2006 2007 2008 2009 2010 2011 2012

LCA GHG [gCO2e/MJ]

Year

Energy alloc.

1-yr. mkt. alloc.

3-yr. mkt. alloc.

5-yr. mkt. alloc.

Global glycerol price [2012 $/lb]

US biodiesel price [2012 $/lb]

Relative glycerol price

2005 1.05 0.70 1.5

2006 0.79 0.54 1.48

2007 0.53 0.51 1.04

2008 0.59 0.65 0.9

2009 0.54 0.48 1.12

2010 0.37 0.54 0.69

2011 0.38 0.60 0.64

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Attributional co-product allocation options

3 & 4. Revenue-based vs. energy

Revenue-based allocation -  Reflective of relative social utility placed on co-products -  Subject to temporal & spatial variability -  Small markets (eg. chemicals) could be flooded by co-prod of biofuels Energy allocation -  (Relatively) reflective of utility of co-products

- especially since we are interested in fuels -  Time/location invariant (except if process changes) -  Tied to physical, measurable characteristics of co-products -  Already implemented in existing regulatory systems

Selection criteria •  Scientifically justifiable •  Robust to “gaming” •  Implementable

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MBM methodology for aviation biofuels

System boundary definition

Criteria for data suitability

LCA approach

Choice of allocation

rule(s)

Overall goal is to develop a mechanism for that is scientifically rigorous and implementable.

Entities responsible for

calculation

Review mechanism

Conventional jet fuel baseline

value

Inclusion of variability & uncertainty

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Acknowledgements

This work was sponsored by the FAA through ASCENT CoE Project 1

Special thanks to all members of ICAO-CAEP AFTF for their insights throughout this process and the dialogue that has developed

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Mark Staples [email protected] LAE.MIT.EDU

Laboratory for Aviation and the Environment Massachusetts Institute of Technology

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References

Air Transport Action Group (ATAG) 2013. Reducing emissions from aviation through carbo-neutral growth from 2020. Available online: https://www.iata.org/policy/environment/Documents/atag-paper-on-cng2020-july2013.pdf [Accessed 10/16/2015]

Stratton, R.W., Wong, H.M., and Hileman, J.I., 2010: Life Cycle Greenhouse Gas Emissions from Alternative Jet Fuels, Partnership for AiR Transportation Noise and Emissions Reduction (Report No. PARTNER-COE-2010-001), Cambridge, MA.

[1] – Photo sources:

http://www.lardoil.com/c-i-fuels.aspx

http://www.sahultrading.com/soya-bean/

http://www.foodproductiondaily.com/Innovations/Bio-on-Moore-Capital-to-build-Brazil-PHAs-bioplastic-plant

http://thehopyard.com/hops-hydrocarbons/

http://synbiobeta.com/3-potential-new-molecules-amyris-portfolio-2014-maxx-chatsko/

https://en.wikipedia.org/wiki/Sugarcane

[2] – Photo sources:

http://bioweb.uwlax.edu/bio203/s2009/scurek_oliv/Adaptations.htm

http://www.universityherald.com/articles/21370/20150722/soybean-oil-linked-to-more-obesity-than-fructose.htm

http://www.thetimesinplainenglish.com/wp/government-moves-against-using-antibiotics-in-animal-feed/

http://www.anadariya.com/business_animalfeed.html