Shell Global Solutions - CEM Brochure

Many carbon-intensive businesses need to make
key decisions today to address the challenges,
and opportunities, that they will face tomorrow.
“Meeting the world’s growing energy
needs in an environmentally responsible
manner is a tremendous challenge.
Technology is essential to answering
that challenge.”
Jeroen van der Veer, Chief Executive, Royal Dutch Shell plc

The CEM programme integrates technology
and expertise from across Shell to help the
organisation reduce its own and its clients’
carbon footprints.
The flexible and modular programme assesses
a client’s energy use and carbon dioxide
production and compares its current position
with the most desirable operating practices.
Strategies for mitigation are then proposed,
which may include energy-efficiency or carbon
optimisation programmes, and the trading of
emissions allowances.
Developing a road map
The first step in a CEM programme often
involves making an assessment of your energy
and carbon position with a view to saving
energy, reducing costs and lowering carbon
dioxide emissions. Working closely with your
key staff, we will first analyse your position
and capabilities, and then review the response
options. A gap analysis is performed, and the
financial value of closing this gap is quantified.
Creating a carbon and energy inventory
Steps can be taken to validate your opportunities
for carbon optimisation and energy-efficiency
improvements in more depth. Baselining,
benchmarking and equipment and systems
performance gap analysis methodologies are
important techniques here. The cost and ease of
their implementation are also recorded.
These assessments may include the following:
• country-wide or enterprise-wide – portfolio
analysis; fuel switching options; funding
or offsetting within the Clean Development
Mechanism (CDM) or with Joint
Implementation (JI) projects; and change
readiness indicators;
• site-wide – benchmarking; site energy and
loss assessments; utilities modelling; project
analysis; and risk analysis; and
• equipment performance – equipment
gap analysis and benchmarking (for fired
equipment, heat exchangers and turbines,
for example); data mining; and process
simulation for heat or energy flows.
Figure 1: A cost-of-carbon-abatement study brings CO 2 emissions into the business planning process.
The carbon and energy management offer framework
Evaluating strategic choices
Investment options undergo a full cost–benefit
analysis that takes account of the required
operational or capital expenditure, the impact
on carbon dioxide emissions, and energy
cost savings or carbon allowance prices. This
is a complex analysis, but a cost-of-carbonabatement
study can help by prioritising
possible energy saving and emissions
mitigation measures in terms of the amount
of carbon dioxide saved and the cost of the
project work needed to achieve the saving
(Figure 1).
Strategic choices to be made could include
carbon dioxide abatement through make-or-buy
decisions for power; fuel switching evaluations;
and heat/power technologies such as
cogeneration.
Delivering on the strategy
Depending on the findings of the analyses
carried out previously, we may recommend
activity across three key areas: energy
efficiency, carbon optimisation and
emissions trading.
Energy efficiency solutions may include best
available technology assessments, hydrocarbon
management reviews, integrated equipment
performance evaluations, catalyst optimisation,
as well as our proven energy-efficiency
programme. Energy cost savings are typically
achieved through the intelligent application of
technology and by modifying behaviours and
processes. Programmes can be structured around
minimal capital expenditure for rapid payback.
Shell’s technology solutions
Shell has been active in deploying
technology across three key areas in order
to reduce emissions:
a) improve energy efficiency – examples
include energy optimisation and
operational-excellence programmes;
Carbon optimisation solutions may stem
from an earlier cost-of-carbon abatement
study. A masterplan could be considered that
provides a structured approach to delivering
carbon mitigation implementation proposals
in the context of your business’ operating
environment. Implementation activities may
include optimising catalysts, sequestration
or biofuels opportunities, carbon dioxide
mineralisation, and carbon dioxide sales.
Through our links with Shell Trading, one of
Europe’s leading emissions trading desks, we
can also offer value-adding services around
the Kyoto Protocol’s flexible mechanisms.
For instance, we can help you to trade
allowances. We can also support you as you
b) generate energy cleanly – introduce
renewable energy sources or switch to
less carbon-intensive fuels; and
c) mitigate emissions – prevent the release of
carbon dioxide into the environment by
capturing it for sale to industrial users or for
underground storage.
Figure 2: Shell technology options that are available now – and those that are likely to be
commercialised in the future.
seek to identify qualifying opportunities for JI
and CDM projects, and to register them.
Ongoing support
To help capture value effectively and
provide sustainable results, we can also
offer implementation assistance and ongoing
support. For instance, we can assist with
detailed change-management programmes,
build in operator training programmes and
facilitate knowledge transfer.
We also offer a sophisticated energy
management system. This is a combination
of structured management processes and
monitoring tools – linked to real-time data
– that aims to operate a plant and its energyusing
systems at their most energy-efficient
operating points. Human intervention is an
integral part of the energy management
system and so the data is made available to
operations and production staff for them to
monitor and, where necessary, take action.