Fundamentals

Emerging Economies NEED ENERGY TO GROW…CLEANER FUELS SAVE FORESTS AND IMPROVE LIVES

Without access to cleaner fuels, poorer nations turn to burning coal and wood, which exacerbate deforestation and soil erosion problems in addition to producing more CO2 and other harmful products. For example, burning propane emits 35% less CO2 than wood.

In many developing countries, governments are promoting cleaner fuels such as LPG (propane & butane) tanks instead of wood and coal.

Their stated goals are: Stopping deforestation and accidental deaths from smoke inhalation, cleaner air in urban centers, and ‘Liberating’ people from chore of collecting wood (essentially raising standards of living and increasing lifespans). Click here for air quality comparison.

•In India, the government has implemented the Ujjuwala program in 2016, which subsidizes LPG usage by poor families; 32 million households converted to LPG in 2016 and another 70 million are targeted by 2019.

•In Nigeria, 40 million houses were to be converted to LPG starting in 2017. The program is expected to take 24 months for implementation.

•In Indonesia where there is a significant deforestation problem, 90% LPG household coverage was achieved in 2017.

•In China, LPG demand is expected to increase by 50% between 2014 and 2018 and most of it is for domestic heating and cooking. The Chinese government ruled out the use of coal stoves for example in an effort to clean up air pollution in large cities.

But where is all this LPG coming from? It is predominantly produced in the U.S. and exported to the rest of the world.As a matter of fact, Enterprise Products is now the largest exporter of LPGs in the world. Enterprise,like many midstream companies, has made significant investments in the infrastructure needed to support such world scale exports. About half of the LPG consumed in Asia is imported and 40% of these imports came from the U.S.

BENEFITS OF NGLS IN THE PETROCHEMICAL INDUSTRY AND TO GLOBAL CONSUMERS.

WHERE DOES ENTERPRISE PRODUCTS FIT in?

Globally, about 35% of NGLs are consumed as a feedstock for producing plastics and chemicals; many of these are transformed into ubiquitous consumer products that are necessary for our everyday life (bottles, containers, paint, fibers, etc.).

Advanced plastics and coatings enables more efficient planes, cars, houses and appliances, thus reducing energy usage and corresponding CO2 emissions.

WHERE DOES ENTERPRISE PRODUCTS FIT IN? In addition to the logistics services mentioned previously, Enterprise also owns and operates a Propane Dehydrogenation (“PDH”) facility that produces 1.65 million pounds of propylene annually. Propylene is environmentally friendly in many ways and often replaces steel and steel products in a variety of applications such as packaging for consumer products and plastic parts for various industries, including the automotive industry, appliances and textiles.

MAKING PLASTICS IS NOT CARBON-INTENSIVE

Contrary to many believes, the process of making plastics is not a significant source of CO2 emissions; making plastics involves reforming or rearranging hydrocarbon molecules but not a combustion process whereby CO2 is emitted in the atmosphere.

WHERE DOES CO2 AND OTHER GREENHOUSE GASES COME FROM?

India and China have some of the worst air quality in their cities. Both countries have implemented some severe measures to improve their citizens’ health

Source: http://aqicn.org/

The Air Quality Index is based on measurement of particulate matter (PM2.5 and PM10), Ozone (O3), Nitrogen Dioxide (NO2), Sulfur Dioxide (SO2) and Carbon Monoxide (CO) emissions.