National Grid Targets Scope 3 Emissions For First Time
01 October 2020 - 10:30AM
Dow Jones News
By Dieter Holger
Britain's National Grid PLC set new greenhouse-gas-emission
targets on the oil and gas its customers burn for the first time,
as the U.K. pressures companies to meet its 2050 net zero goal.
The London-based power provider, which also operates in the
Northeast U.S., said Thursday that by 2030 it would cut 20% of
emissions from the fuels and electricity it sells, known as scope 3
emissions. It also will target an 80% cut in emissions from direct
operations and power purchases, known as scope 1 and 2 emissions,
by 2030 and 90% by 2040 as it aims for net zero emissions by 2050
compared with 1990 levels.
Part of the plan involves switching its fleet of light-duty
vehicles to all electric and its medium and heavy vehicles to
zero-emission fuels, which is often achieved through biofuels.
"We must make significant changes to curb harmful emissions,"
John Pettigrew, chief executive of National Grid, said in prepared
remarks.
The scope 3 emissions are more elusive since they are contained
in supply chains and the lifecycle of products. These indirect
emissions make up most of the greenhouse gas pollution from
companies, according to the World Resources Institute. The WRI said
that most large corporations have already pledged to slash
emissions from their direct operations and energy purchases.
National Grid said its combined scope 1 and 2 emissions stood at
about 6.4 million metric tons of carbon-dioxide equivalent in the
2020 fiscal year, compared with 29.8 million tons for scope 3.
"The vast majority of our scope 3 emissions are from customer
emissions in the U.S., so we're focusing there to start with," a
spokeswoman said, adding that would be achieved through converting
oil to gas, electric heating and efficiency upgrades.
Analysts say another way to lower emissions in pipelines is to
mix natural gas with hydrogen, which has drawn heightened interest
from investors this year.
In August, National Grid said it would join a 10 million pound
($12.9 million) project to test whether hydrogen can heat and power
factories and homes.
Write to Dieter Holger at dieter.holger@wsj.com;
@dieterholger
(END) Dow Jones Newswires
September 30, 2020 20:15 ET (00:15 GMT)
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