BY FUNCTION

As might be expected for a logistics company, about nine-tenths of SHV Energy’s footprint is caused by product transport emissions, with the other tenth split about equally between storage, filling and overheads.

Those product-transport emissions are split 55/45 between road vehicles and ocean-going ships. Emissions from barge and rail transport, by contrast, are almost negligible

Looked at more closely, it can be seen the single largest component, 40%, is production transport, i.e. shipment – primarily by ocean-going ship – operated by SHV Energy’s Supply & Risk Management (S&RM) business unit. S&RM’s is a different business to that of the other regions: production transport (moving LPG from production terminals to distribution terminals), as opposed to conventional LPG distribution to end-users.Transport of bulk LPG accounts for one-fifth of the footprint. Transport of cylinders adds up to nearly one-third. The footprint of storage – at terminals and depots – is about equal to that of filling cylinders.

In its finest granularity, the relative contributions of primary and secondary transport of bulk LPG and cylinders can be seen more clearly. Data reported in 2012 are not disentangled enough to give absolutely precise figures, but nonetheless it can be estimated that the average footprint per tonne of cylinder LPG is about three times that per tonne of bulk LPG. Delivering cylinders rather than bulk LPG is more carbon intensive because the quantity of LPG delivered per customer is substantially smaller. It was of course expected that the cylinder footprint would be higher than bulk one, but the ‘3 x’ ratio was not previously known, and should be explored more precisely in subsequent years.

That ‘3 x’ ratio, LPG delivered in cylinders is three times more carbon intensive than bulk LPG, is an approximation for all of SHV Energy. The general relationship does hold consistently across the business units. However, as specific figures for a random sampling of BUs shows, individual figures for a given BU can vary widely from this central tendency.