CO2 emissions associated with production of LPG and its transport by large gas container vessels, will be offset by certificates attesting to Shell’s participation in projects to absorb carbon dioxide. In March, Shell and Gazprom used certificates (Verified Carbon Standard and Climate, Community and Biodiversity) to compensate for their carbon footprint of a shipment of liquefied natural gas (LNG) sent from Russia to the Dragon terminal in Britain.
In a revised long-term strategy issued in February, Shell set itself the task of lowering carbon emissions by 6-8 % by 2023, by 45 % by 2035 and by 100 % by 2050 – all compared to 2016 levels.
To achieve this aim, the company has declared its intention to boost its capacity for carbon capture and storage to 25 million tonnes per year (compared to the current level of 4.5 million tonnes per year – taking account of planned projects in Canada, Norway and the Netherlands). It will also roll back proposed increases in oil extraction and reduce output of oil products by 55 % by 2030.
In this connection, the District Court in The Hague, ruling on a case brought environmentalists, ordered Shell to lower its emissions by 45 % by 2030, using 2019 levels as a baseline. The company will therefore have to speed up the process of achieving low-carbon status and that will include the use of green certificates.
Russian companies are gradually introducing the practice of green certificates.
In 2020, Novatek opened a carbon-neutral LNG filling station in Rostok, the largest port in eastern Germany. CO2 emissions from producing LPG will be offset by carbon units certified according to the international VCS (Verified Carbon Standard). The EN+ group last December announced it was starting to issue renewable energy certificates (I-REC or International Renewable Energy Certificates) equal to the total power generated by the Krasnoyarsk hydro station and the Abakan solar station.