API’s Multi-Pronged Approach to Lower Carbon Operations

Standards driving low-carbon operations

Central to this multi-pronged approach is developing and continuously updating industry standards that support lower carbon technologies that are both safe and efficient. For more than a century, API’s collection of 800-plus voluntary consensus standards have been the foundation of industry operations around the world, a legacy whose focus evolves to meet the changing needs and expectations of industry and the public.

This includes a significant focus on improving environmental performance and reducing greenhouse-gas (GHG) emissions, for which API has published nearly 100 standards. In the past three years, API has published nearly 60 standards directly contributing to reductions in GHG emissions during resource extraction and energy transportation, which help to combat climate change.

As we work toward a lower carbon future, these standards are continuously reviewed and updated—not just by API, but by a diverse pool of stakeholders—to address the specific challenges presented by emerging technologies.

Key initiatives to drive the responsible adoption of lower carbon technologies include:

• CO₂ Transportation Pipelines: This recommended practice is under development and will establish guidelines for the design, construction, operation and maintenance of CO₂ pipelines used for carbon capture and storage (CCS) projects. This will enhance safety and reliability as CO₂ is transported to storage sites.
• Offshore Wind Safety and Environmental Management Systems (RP 75W): Leveraging API’s expertise in offshore oil and natural gas operations, this standard will provide a framework for establishing safety and environmental management systems for offshore wind farms, promoting responsible renewable energy development.
• Hydrogen Infrastructure Standards (API 5L & Spec 6D): Recognizing the potential of hydrogen as a clean energy carrier, API is revising standards for pipelines and piping valves (API 5L & Spec 6D) to address the specific requirements of hydrogen service.

Collaborative innovation for a sustainable future

Collaboration is essential for achieving meaningful progress on the energy transition without compromising energy security. API engages stakeholders across the industry (producers, refiners, pipeline operators and service companies) and the government to develop standards that reflect the latest knowledge and recommended practices.

Recent standards also seek input from a broader range of stakeholders, including the general public and tribal communities. For instance, RP 1185, “Pipeline Public Engagement,” fosters meaningful, two-way dialogue and cooperation with the public. This inclusive approach helps identify knowledge gaps while promoting the effective allocation of resources, without duplicating efforts.

Research to promote new technologies

As industries across every sector of the economy look to reduce emissions, there is a growing recognition that new technologies are urgently needed to meet these commitments. Fortunately, the list of promising emerging technologies gets longer by the day, and many of them involve capabilities and skill sets that directly overlap with the core competencies of the oil and gas industry. For that reason, API supports innovation that promotes technologies with significant emissions reduction potential, including:

CCS

CCS technology is widely recognized as a necessary component of deep decarbonization, especially as it pertains to decarbonizing hard-to-abate sectors and industrial processes. Often, these vital sectors—steel, cement and other industrial operations—generate significant emissions but require high heat that cannot be generated by traditional renewable energy sources. CCS technology provides a pathway for emissions reductions by capturing carbon emissions from industrial processes, transporting them to secure geological formations and storing them permanently underground.

The oil and gas industry is the longstanding leader in the development and deployment of CCS technologies, largely via its use in EOR. The industry is thus well positioned to lead in the deployment of CCS across multiple other applications and use. API supports policies that incentivize CCS projects, such as the 45Q tax credit, and works with government agencies to develop regulations that facilitate its deployment. Additionally, API’s work on CO₂ transportation standards fosters the safe and efficient implementation of CCS projects.

Hydrogen

Hydrogen is an incredibly versatile molecule and fuel source, with a myriad of potential applications across multiple sectors. There are also multiple pathways for producing hydrogen, further expanding interest in its future role as a major component of the energy system.

Expanding the hydrogen economy is key to accelerating reductions in carbon emissions, particularly in industrial sectors that are difficult to decarbonize. As with CCS, the oil and gas industry has deep expertise and experience in producing and transporting hydrogen due to its longstanding use in refining operations. The industry is thus poised to be a leader in expanding hydrogen markets, both in the U.S. and around the world.

API advocates for technology-neutral policies that support clean hydrogen development from all available sources (including low-methane intensity natural gas) and is revising standards (API 5L & Spec 6D) to facilitate the safe and reliable transmission of hydrogen. It also engages with the government to support any hydrogen production-related tax credits that support market growth and decarbonize hard-to-abate sectors without driving up emissions in the production of hydrogen itself.

Offshore Wind

Offshore wind is a rapidly growing renewable energy source that can complement oil and gas production in a lower carbon energy mix. State and national decarbonization strategies lean heavily on the widespread deployment of offshore wind. However, the projects are of a massive scale and involve significant technical and engineering complexity.

The oil and gas industry has immense experience in offshore operations, which can be applied to offshore wind. API is developing the RP 75W standard for offshore wind safety and environmental management systems, another way it supports the development of sustainable energy.

Methane Emissions Reduction and Flaring Efficiency

Methane is another GHG that is the focus of emissions reductions. While the oil and gas industry is far from the only source of methane emissions, the last decade has seen a concerted effort by operators across the energy value chain to reduce their methane footprint. Beyond individual company commitments, a new suite of significant regulations is poised to further accelerate emissions reductions in the U.S. and other major supply regions.

API develops targeted standards and best practices to minimize methane emissions from oil and natural gas operations, including reducing routine flaring. A flare-management program developed by The Environmental Partnership has helped reduce flare volumes and flare intensity—both important in shrinking the industry’s carbon footprint.

Carbon Footprinting

API supports the development of standardized methodologies to enhance environmental performance and sustainability within the lubricants industry. It recently published Technical Report (TR) 1533, “Lubricants Life Cycle Assessment and Carbon Footprint,” which defines an approach for life-cycle assessment (LCA) and carbon footprint (CFP) of lubricants and specialty products, providing customers with reliable sustainability metrics.

Toward a more sustainable future

As the world addresses the dual challenges of securing reliable energy and promoting environmental stewardship, API is demonstrating the effectiveness of standards development, collaboration and research in forging a path toward lower carbon operations.

API remains committed to working with industry stakeholders, government entities and the American public to drive innovation and advocate for policies that strengthen our energy supply and help build a lower carbon future.