mike kennedy - leveraging alberta’s oil & gas advantage to support the green economy

COPYRIGHT © GREEN ANALYTICS CORP. 2012

measuring environmental values

Leveraging Alberta’s Oil &

Gas Advantage to Support the

Green Economy

Mike Kennedy, CEO

Green Analytics


About Green Analytics

measuring environmental values


• Alberta’s Oil & Gas Resource

• Examine the current and future footprint

• Strategies to leverage this footprint

• BRIMS as a key Big Data resource for the

province


Alberta’s Oil & Gas Advantage

• Oil & Gas is a key driver of the Alberta

economy.

• It’s reach of economic and environmental

impact extends across the province.

• Recent concerns of market access pose

considerable risk for the province.

• How do we transition to a broader economic

base?


Conventional Oil Resource

• $1.6 billion contribution

to government revenues

(2007)

• 450K to 500K barrels of

production per day.

• Represents 24% of AB’s

oil production/ 17% of

Canada’s

• Remaining reserves are

an increasingly important

source of low cost oil.


Natural Gas Resource

• $1.4 billion to government

revenues in Fiscal 10/11

• Convention and non-

conventional reserves are

estimated to be 30 trillion

ft3

• 20% of the marketable gas

consumption takes place in

AB.

• Increasingly important

resource for energy

production.


Oil Sands Resource

• Third largest proven oil reserves in the world.

• Production upwards of 1.9 M BBl/day.

• In 2010 companies spent $34 Billion in net cash expenditures.

• Globally significant resource.

• Production expected to reach 3M BBl/day by 2018.


Approx:393,870 ha’s


Approx: 221,379 ha’s


Social Licence to Operate

• Companies are experiencing public resistance to development.

• Communities want to see local benefits

– Clean forms of development

– Progressive minded companies.

– …but continued economic development.


• How do we build a green economy on an inherently brown economy?

– Purposeful planning

– Promote efficient resource use

– Reduce environmental risks

– Encourage clean forms of resource development

• Green Analytics is working in a number of these areas

Finding Green Win-Wins


• Biomass Strategy- capture waste and adding

value to forestry and agriculture systems

• Integrated Land Management- coordinating

development to minimize disturbance

• Conservation Offsets- balance linear

disturbance and ecosystem services

Three Strategies to Consider


Alberta’s Biomass Potential

• Alberta has vast quantities of

biomass in many forms:

– Agriculture based

– Forest based

– Municipal solid waste

• Biomass can provide multiple

product streams:

– Energy

– Bio-products

– Bio-chemicals


• Major Challenges to using biomass includes:

– Data and Information barrier about quantity and

quality of the resource

– Policy barriers to ownership

– Market incentives to drive feedstock substitution

– Cost barriers to transport biomass

• Data and information is critical to unlocking a

biomass strategy for Alberta

Alberta’s Biomass Potential


Integrated Land Management (ILM)

• Facilitated and

collaborative land

management planning

for multiple land uses

and values.

Source: www.waterbucket.ca

http://www.waterbucket.ca/


ILM- Benefits

Benefits

• Increasing the potential for land planning

collaboration

• Reducing land use conflict and unnecessary

disturbance

• Reduce overall cost of resource use

• Can enable the integration of a broader suite of

benefits


ILM - Challenges

Challenges

• Silo approach to industrial development

• Distributing the costs and benefits

appropriately

• Data and information to inform planning

• Pace and scale of development

• No regulatory requirement


ILM – Path Forward


Conservation Offsets

Definition:

To balance increased

linear disturbance and

the associated loss to

ecosystem services.

Source: Dyer et al. “Catching Up: Consevation and

Biodiversity Offsets in Alberta’s Boreal Forest” 2008


• Social license to operate

• Lower cost of environmental compliance

• Ease of cross-compliance

• Potential for better conservation outcomes

• Support to environment sector (good jobs)

Conservation Offsets- Benefits


• Public perceptions- a shell game

• Data and information systems to validate and

verify transactions

• Regulatory driver to make transactions a

requirement

Conservation Offsets- Challenges


• Leading the development of data and information systems

• Identify key strategies and opportunities for governments and business to play a role in the green economy

• Analyzing opportunities for socio-economic and environmental benefits

• Communicating opportunities, benefits and challenges to a broad audience

Green Analytics Role


Alberta’s Bio-Resource

Information Management System


Compilation of existing

data sources

Annual automated inventory

Publicly accessible

data


Visit Us!

www.greenanalyics.ca

http://www.greenanalyics.ca/

mike kennedy - leveraging alberta’s oil & gas advantage to support the green economy

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