RUNAWAY TRAIN: The impact of WA’s LNG industry on meeting our Paris targets and national efforts to tackle climate change CCWA & Clean State Report: October 2019 Contents Key Findings Executive Summary 1.0 Introduction Background, scope and methodology used in this report 2.0 Overview of WA’s LNG industry Summary of current and proposed projects 3.0 Current regulation and control of WA LNG greenhouse gas emissions 4.0 Impact of WA LNG on Western Australian emissions 5.0 Impact of WA LNG on Australian emissions 6.0 Comparison with other major emitters 7.0 Comparison with other countries’ emissions 8.0 Our commitments under the Paris Agreement Australia’s responsibility under the Paris Agreement Western Australia’s responsibility under the Paris Agreement 8.1 Impact of WA LNG emissions on WA’s 2005 Paris baseline 8.2 Cumulative impact of WA LNG emissions The Conservation Council of WA is proud to present this report as the state’s foremost non-profit, non- 8.3 Impact of WA LNG emissions on Australia’s 2005 Paris baseline government conservation organization, representing 9.0 Comparing WA LNG pollution with national emissions reduction efforts almost 150,000 supporters and 105 member groups. WA LNG pollution compared with abatement delivered by the CCWA has been an advocate for conservation and a Emissions Reduction Fund (ERF) sustainable Western Australia for more than 50 years, working directly with the government, media, industry, WA LNG pollution compared with abatement delivered by the community groups, and political parties to promote Renewable Energy Target a more sustainable WA and to protect our natural WA LNG pollution compared with abatement delivered by Australia’s Rooftop Solar PV environment. 10.0 The opportunity for offsets and job creation in WA We acknowledge that we meet and work on the land of the Nyoongar people. We pay respect to their 11.0 The Clean Gas Myth Elders – past, present, and future – and acknowledge Conclusion the important role all Aboriginal and Torres Strait References Islander people continue to play in advancing a more sustainable Western Australia. Appendix This report is printed on 100% recycled paper. Clean State LNG Report 2019 Clean State LNG Report 2019 Key Findings This is the first time a report has investigated the full impact of greenhouse gas emissions from WA Liquefied Natural Gas vs Renewable Energy Target (RET) These new jobs would include tree plantings, large Gas (LNG). It investigates the domestic pollution generated here in WA from mining and export of LNG (scope 1 scale renewable energy, and rangeland regeneration Annual carbon pollution from WA’s current LNG emissions), and found just two companies, Chevron and Woodside responsible for the overwhelming majority of and savannah burning activities, and would also have projects cancels out the entire pollution savings from runaway pollution that places our Paris commitments in jeopardy. significant benefits to WA’s natural environment. all of Australia’s renewable energy every year. The Renewable Energy Target (RET) of 20% by 2020 1. WA LNG pollution is breaching Pollution from WA’s five currently operating LNG covers every solar panel, large solar farm and all 6. There is no such facilities is so high that Chevron and Woodside are wind power installed in Australia since 2001. It’s been thing as clean gas the Paris Agreement in the Top 10 list of Australia’s highest emitters. described as Australia’s largest and most effective This report looked at the seven most carbon abatement policy and is helping us avoid LNG production in WA is the fastest growing pollution Pollution from WA’s current and proposed LNG common myths about gas and found: about 26 million tonnes of pollution each year. source in Australia and has been the primary facilities combined will be as high as the total • Gas is still a fossil fuel and breaks the carbon budget. driver of recent national emissions growth. annual emissions from countries including Yet the level of pollution from WA LNG is 1.2 • Elevated methane levels negate Ireland, Sweden, Hong Kong and New Zealand. times the amount we are saving every year Australia’s international commitment under the Paris any ‘advantage’ over coal. with renewable energy in Australia Agreement requires pollution to be reduced by 26-28% • A major international review of LNG infrastructure from the 2005 baseline year. But current and proposed 3. Chevron and Woodside found that the threat to the climate from LNG projects coming online since 2005 will add 41.6 Gas vs Rooftop Solar PV LNG is ‘as large or larger than coal’. are responsible for most of million tonnes of pollution a year, equivalent to a Annual carbon pollution from WA’s five LNG • There is no evidence for Australian gas ‘reducing 61% increase on WA’s 2005 emissions baseline, and this pollution and there are plants (32Mt) is almost five times greater than emissions overseas’ and the concept of burning an 8% increase above Australia’s 2005 baseline. no effective controls on their the savings made by every single solar panel more fossil fuels to reduce emissions is perverse across 2.1 million Australian rooftops every year. • New gas projects will only lock in another 40-60 operations years of carbon pollution and are highly risky projects 20% of Australian homes now have solar on their rooftops, 2. Gas is WA’s biggest Current controls on carbon pollution from WA LNG that will risk billions of dollars into stranded assets with over 2.1 million solar PV systems installed nationwide. polluter, dwarfing all other projects were found to be completely inadequate. • Large-scale, low cost renewables can now Australia’s fleet of solar rooftops are generating Where conditions have been imposed, they vary, displace both coal and gas, and pollution sources about 8.5GWh of electricity which in turn avoids and have either not been met or the license condition • Complying with the IPCC and Paris Agreement has been removed. about 6.6 million tonnes of pollution. These savings The rapid expansion in LNG production in Western goals means reducing gas, not increasing it. are dwarfed by the annual emissions from WA LNG. Australia in combination with inadequate carbon pollution controls has had a dramatic impact on the 4. WA LNG pollution cancels state’s total emissions: while all other states’ emissions 5. Offsetting LNG pollution are falling, WA’s have risen by 23% since 2005. out Australia’s national in WA would create 4000 jobs Emissions from current WA LNG facilities make up 36% efforts to reduce emissions of WA’s total annual emissions. If the proposed A study commissioned by CCWA investigated Woodside Burrup Hub expansion is approved, opening Gas vs Emissions Reduction Fund (ERF) the abatement potential and economic benefit up the Browse and Scarborough gas fields, emissions Over the next twelve years, the total cumulative to WA of offsetting direct emissions generated from WA’s current and proposed LNG facilities emissions from WA’s five current LNG facilities (384Mt) by the LNG industry within the state. will account for 47% of WA’s annual emissions. will cancel out the entire amount of abatement It found the potential for 80 million tonnes expected to be delivered under the ERF (375Mt). Carbon pollution from Chevron’s Wheatstone of emissions offsets per year here in WA. and Gorgon projects is almost three times At a total cost of $4.55 billion the ERF is effectively Offsetting 30 million tonnes per year – an more than WA’s Muja power station - WA’s an Australian taxpayer-funded offset program for amount just short of the total emissions from oldest and dirtiest coal fired power station. Chevron and Woodside’s operations to 2031. WA LNG - would create around 4,000 jobs. 2 3 Clean State LNG Report 2019 Clean State LNG Report 2019 Executive Summary A precedent study The impact on the Paris The impact on national efforts The opportunity to control This report presents the first thorough investigation Agreement targets to reduce emissions emissions from WA LNG of direct carbon emissions from Western Australia’s A focus of this research has been investigating the WA LNG emissions were also found to be Despite the alarming size and scale of Western Liquefied Natural Gas (LNG) industry, revealing alarming impact of emissions from WA LNG projects on our fundamentally undermining Australia’s national Australia’s LNG pollution problem, solutions have growth in pollution that is placing Australia’s Paris ability to reach the Paris Agreement targets. Under the efforts to tackle carbon pollution. Specifically: been proposed that would prevent this pollution Agreement targets in jeopardy and undermining Paris Treaty, Australia has committed to reducing total burden from being transferred to the Australian • Just 12 years’ of WA LNG emissions will cancel out the Australia’s national efforts on climate change. national greenhouse gas emissions by 26-28% below community and other businesses. For example, the WA entire abatement expected to be delivered by the its 2005 level by 2030. Immediate action to undertake Environmental Protection Authority has recommended $4.5 billion Emissions Reductions Fund (ERF) The scale of pollution rapid reductions is specified in the Paris Agreement that conditions be reinstated and strengthened to • Annual WA LNG pollution is 1.2 times greater than Chevron and Woodside are two of Australia’s largest and all signatory countries have been asked to outline require that WA LNG companies offset emissions the annual carbon savings delivered by all installed carbon polluters. Five currently operating WA LNG their plans to achieve net zero emissions in 2050. through investments in activities such as tree renewable energy capacity under the Renewable facilities are in the Top 10 list of WA’s highest polluters planting, carbon farming and renewable energy.