Energy Efficiency/GHG Reduction

The U.S. runs on energy. Energy powers our economy, gets us where we need to go, heats and cools our homes, and cooks our meals. In spite of a growing population and higher standards of living that are pushing up our energy use, the U.S. is making strides in becoming more energy efficient and reducing its greenhouse gas emissions.

Energy use per Gross Domestic Product (GDP) is down over 50% since 1949 - an indication of a more efficient nation.

Source: U.S. Department of Energy "Energy Intensity Indicators in the U.S."

Greenhouse gas emissions, though up 14% from 1990 to 2008, declined 2.9 percent from 2007 to 2008 due to a number of economic and weather-related factors. But it does appear that the growth in greenhouse gas emissions is slowing. And greenhouse gas emissions per GDP are down substantially since 1990.

U.S. Greenhouse Gas Emissions by Gas (1990 – 2008)

Source: EPA 2012 U.S. Greenhouse Gas Inventory Report.  Note 1 teragram (Tg) is equal to 1 million metric tons.

Source: EPA 2012 U.S. Greenhouse Gas Inventory Report

The U.S. oil and natural gas industry has invested $58 billion since 2000 to reduce its greenhouse gas emissions. And these investments are paying off. According to EPA data, total greenhouse gas emissions are down 22% for the oil and natural gas sector since 1990. And oil and natural gas sector greenhouse gas emissions represent just 2.2 percent of total U.S. greenhouse gas emissions. 

More energy efficient refineries are responsible for much of the improvement in greenhouse gas emissions. In 2006 for example, improvements in energy efficiency at API member refineries -- compared to the technology used in 2002 -- produced energy savings equivalent to taking more than 528,000 cars off the road, or savings equivalent to the electricity used by more than 950,000 homes.

Source: EPA 2012 U.S. Greenhouse Gas Inventory Report (combined petroleum and natural gas systems). Note 1 teragram is equal to 1 million metric tons.

These trends have been achieved through a combination of energy efficiency and process innovations:

• Energy use at refineries has been reduced by using cogeneration – a technique that generates electricity for facility use and allows the waste heat to be captured for use in refinery processes.

• Reduced flaring of methane and other gases at oil and natural gas facilities. The gases are increasingly captured and used for fuel or used in other processes.

• Introduced more efficient processes and emission control technologies that have reduced C02 emissions at oil refineries by 36% since 1996 (source: 2008 EPA Oil and Gas Sector Performance Report). Other oil and natural gas facilities have shown similar trends.

• Using more low carbon fuels such as natural gas and alternative energy sources such as wind and solar energy at oil and natural gas facilities.

• Developing and deploying CO2 capture and storage technologies. In some cases the C02 is injected into aging oil fields, increasing the amount of oil that would otherwise have been recovered. This practice of enhanced oil recovery has been used for over 40 years. (Source: National Energy Technology Lab “Carbon Sequestration Through Enhanced Oil Recovery”)

• Worked with the auto industry to increase the fuel efficiency of new vehicles. 

• Refineries use sophisticated software to control refinery processes to optimize energy use and reduce energy costs.

• The oil and natural gas industry has implemented flexible commuting programs for its employees to reduce traffic, saving energy and reducing greenhouse gas emissions.

• Have worked with conservancy groups to restore and create new forest habitats, which sequester greenhouse gases.