BENCHMARKING INDICATORS
There are a number of different types of indicators that can be used when benchmarking environmental performance, such as: emissions and discharges; environmental impact; environmental risk; resource usage; efficiency; management input; financial input; customer satisfaction; and improvement over time.
The information that is available for comparing environmental performance is, however, very limited; therefore only several of the environmental benchmarking types listed above are possible. Most benchmark indicators in the environmental benchmark tool (EBT) have been derived from emission and discharge indicators by means of normalization (see below). Some use could be made of resource usage data, and as data exists for a 7-year consecutive period, improvement-over-time benchmarking has been possible throughout.
Normalization
Due to the large differences in the size of individual installations and in the portfolio of different operators normalization is required in most instances. The difference in the size of operations affects impacts and requires normalizing if performance is to be meaningfully compared. It is common practice to normalize emissions and discharges tonne of oil equivalent (TOE) produced. This method reflects the belief that hydrocarbons have an economic and societal value, which justifies a level of environmental impact; i.e.: production justifies pollution.
It is true that oil companies generate emissions in order to produce hydrocarbons. Their environmental impact, however, is not only a function of production, but also of local circumstances such as water production volumes, reservoir characteristics, configuration of platform equipment and distance from shore. Meaningful environmental performance ranking somehow compensates for such factors as these are largely out of control of the operator. Towards the end of their lives, oil and gas fields tend to require more energy, to produce more water and fewer hydrocarbons. Some fields may be marginal and be located at remote locations, which will make performance to certain environmental standards more difficult.
The methods of normalization applied in the EBT (see Table) have been selected to take account of local circumstances wherever possible and the use of these is recommended (R). Benchmark indicators based on production volumes are offered as alternatives (A) where indicated.
| Emission and discharge type |
Environmental impact indicator |
Normalization |
Benchmark indicator |
R/A |
| Oil in produced water |
Total weight of oil in produced water |
Total weight of produced water |
mg of oil per kg of produced water |
R |
| Tonnes of oil per million BOE |
A |
| Oil on cuttings |
Oil discharged on cuttings |
Drilling distance |
Tonnes of oil per 100 metes drilled |
R |
| Accidental release of oil |
Total weight of oil spilled |
Oil and gas production expressed in Tonnes of Oil Equivalents (TOE) |
Grams of oil spilled per TOE produced |
R |
| Liters per million barrels of oil |
A |
| Production chemicals |
Use of production chemicals (weighted by OCNS Group tonnage triggers) |
Total gross oil and gas production |
Grams of OCNS group A equivalents per tonne of gross production |
R |
| Drilling chemicals |
Discharge of drilling chemicals (weighted by OCNS Group tonnage triggers) |
Drilling distance |
kg of OCNS group A equivalents per meter drilled |
R |
| Flaring |
Atmospheric emissions from flaring and venting |
Net oil production |
Tonnes of CO2 equivalents per tonne of oil produced |
R |
| Tonnes of CO2 equivalents per million barrels of oil produced |
A |
| Fuel consumption |
Atmospheric emissions from fuel consumption |
Total gross oil and gas production |
Tonnes of CO2 per tonne of gross production |
R |
| Total oil production and distance to shore |
Tonnes of CO2 per tonne of oil production per km from shore |
R |
| Total gas production and distance to shore |
Tonnes of CO2 per tonne of gas production per km from shore |
R |
| Flaring, venting and fuel consumption |
Greenhouse gas emissions |
Greenhouse gas emissions |
Percentage reduction |
A |
| Energy efficiency |
Oil and gas production (in TOE) |
Exported TOE as a percentage of produced TOE |
R |
| Production Carbon Intensity |
Oil and gas production (in mmboe) |
Tonnes of CO2 per mmboe |
A |
| Production Energy Intensity |
Oil and gas production (in mmboe) |
GJ per mmboe |
A |
| Waste generation |
Total weight of waste produced |
Total net hydrocarbon production |
kg of waste per man day |
R |
| kg of waste per TOE produced |
A |
Follow the link provided below for an insight in the typical performance of the UK offshore oil and gas industry on these environmental performance indicators.
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