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Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation
Journal of Cleaner Production xxx (2015) 1e9
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Journal of Cleaner Production journal homepage: www.elsevier.com/locate/jclepro
Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation Marina Mihajlovi c a, Mi ca Jovanovic b, *, Radmilo Pesi c c, Jovan Jovanovi c a, Zorica Milanovi cd a
Innovation Center, Faculty of Technology and Metallurgy, University of Belgrade, Karnegijeva 4, 11000 Belgrade, Serbia Faculty of Technology and Metallurgy, University of Belgrade, Karnegijeva 4, 11000 Belgrade, Serbia Faculty of Agriculture, University of Belgrade, Nemanjina 6, 11080 Zemun-Belgrade, Serbia d Institute of Transportation CIP, Nemanjina 6/IV, 11000 Belgrade, Serbia b c
a r t i c l e i n f o
a b s t r a c t
Article history: Received 25 October 2013 Received in revised form 2 February 2015 Accepted 19 April 2015 Available online xxx
The aim of this paper was to emphasise the need for a volatile organic compounds VOC policy review in the field of river barge transportation of petrochemicals. Review of the VOC policy shows that barges neither fall under an integrated pollution prevention and control permit nor any other regulation or incentive related environmental policy. Current situation and trend in this area is presented through a case study of the Danube River, Serbia. The case study shows that evaporative losses have increased c ca 22 times in period 2006e2010 and, that vapour collection system can reduce VOC emissions by up to 3 times. A proposal for improved VOC policy has been developed in detail based on the following elements: a) The appropriate Best Available Techniques reference document (BREF) should include the transport sector; b) Mandatory reporting of VOC emitted during barge transport of crude oil and crude oil derivates should be introduced, and c) A pollution charge should be introduced on all barges without vapour collection system installed “onboard”. Three potential scenarios for the VOC charge are presented, which vary according to the charge introducing dynamics. The differences between scenarios are in initial levels of charge, but the final charge is same for all three and it is proposed to be 220 V per capacity ton. © 2015 Elsevier Ltd. All rights reserved.
Keywords: VOC emissions Barge transport Eco-charges
1. Introduction Waterway transport of crude oil derivates is increasing, it is considered to be safe and inexpensive. For example, one barge carries the same amount of cargo as 46 rail wagons or 144 semitractor/trailers (U.S. Department of Transportation Maritime Administration, 1994, the Texas Transportation Institute, 2007). The European waterways are 37,000 km long and they connect hundreds of cities and industrial regions. Some 20 out of 27 EU Member States have inland waterways (EC, 2013). The most important inland waterways in Europe are the Rhine and the Danube Rivers. Accompanying the development of EU environmental regulations, chemical industries (including oil refineries)
* Corresponding author. Tel.: þ381 3303699. E-mail addresses: [email protected] (M. Mihajlovi c), [email protected] (M. Jovanovi c), [email protected] (R. Pesi c), [email protected] (Z. Milanovi c).
have moved to Eastern Europe. Hence, there is a potential for significant increases in the transportation of crude oil derivates. Crude oil and its derivates are a significant source of NMVOC, i.e., volatile organic compounds without methane. Methane is excluded because its main sources are mostly agricultural and it has a different environmental impact (IMPEL, 2000). NMVOC can be released in any stage e from drilling to the final use. In the production chain of crude oil derivates, the main sources of NMVOC are diffuse emissions. Diffuse emissions are all emissions from large non e point sources, e.g., leakages from equipment (i.e., fugitive emissions), loading and unloading operations, evaporation losses from storage tanks and waste water treatment. For regional air pollution inventories of VOC, emissions from area sources are a very important component (Placet et al., 2000). Some of the VOC, particularly benzene, toluene, ethyl benzene and xylene (BTEX), are marked as highly toxic or are a carcinogen. Among these pollutants, benzene is the most hazardous (Ashford and Caldart, 2001). According to the World Health Organisation, benzene is classified as a carcinogenic and mutagenic substance (WHO, 2000). Due to its
http://dx.doi.org/10.1016/j.jclepro.2015.04.080 0959-6526/© 2015 Elsevier Ltd. All rights reserved.
Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080
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properties, the EU air quality standards set the limit value for benzene concentrations in ambient air at 5 mg/m3 by 1 January 2010 (EC, 2008). Several authors presented health risk assessments for benzene-exposed oil refinery workers (Jackson, 2006, Majumdar Som) et al., 2008; Tompa et al., 2005; Widner et al., 2011). In (nee addition, VOC have effects on the global environment because of the production of photochemical smog and ground level ozone (Rypdal et al., 2005). Atmospheric concentrations of hydrocarbons levels that surround the oil and petrochemical industry were investigated in a number of studies (Cetin et al., 2003; Na et al., 2001; Kalabokas et al., 2001; Rao et al., 2005; Ras-Mallorqui et al., 2007; Lin et al., 2004). In literature, the environmental impact of waterway transport has hitherto dealt mainly with emissions of exhaust gases from the diesel engines of barges and ships (Eyring et al., 2010; IIASA, 2007; Corbett and Fischbeck, 2000; Tzannatos, 2010). On the other hand, much less attention has been paid to the pollution that may occur as a result of diffuse emissions during the transportation of liquid commodities, such as loading, unloading and transit emissions. It is considered that gasoline and crude oil loading emissions represent 0.07% and 0.8%, respectively, of all annual emissions of VOC in the EU (Rudd and Hill, 2001). River transport is much more environmentally significant than marine transport because its pollution can have a direct effect on the neighbouring environment by affecting the coastal air quality. Very few inquiries have been realised on this topic (Bhatia and Dinwoodie, 2004; Harrison, 2011; US Office of Environmental Assessment, 2010). In 2009 the US EPA conducted an investigation of fugitive emissions from petrochemical transport barges. The study concluded that the total leak rate from a barge ranged from 1.13 g/s to 6.24 g/s (Thoma et al., 2009). A goal of this paper is to analyse the need for VOC policy innovation in river transport of oil derivates, keeping in mind that NMVOCs are a dominant component of related diffuse emissions. With this aim, a review of the VOC policy in Europe and the USA has been made. A case study of oil derivates transport emissions on the Danube River in Serbia is performed in order to describe the current situation and trend in this area. If the current environmental policy does not cover river transport of oil derivates, this paper will recommend relevant policy improvements. Because rivers often pass through densely populated areas e including established agricultural and food production regions e the VOC policy improvements could be of a great environmental and economic importance. 2. Review of the VOC policy In the EU, emissions from industrial sources are regulated by a number of directives. One of the most important is The Integrated Pollution Prevention and Control (IPPC) Directive. It aims at minimising pollution from various industrial activities and is based on an integrated approach and application of the best available techniques (BAT). Large industrial installations covered by the IPPC Directive require an environmental permit. The environmental permit must include emission limit values and requirements for the monitoring of emissions and reporting to authorities (Schoenberger, 2009; Samarakoon and Gudmestad, 2011). Several authors analysed the success of IPPC requirements in different industry areas (Bello Bugallo et al., 2013; Silvo et al., 2009; Styles et al., 2009). Reducing VOC emissions originating from petroleum products is regulated in two phases. In the first phase, according to the Directive on VOC emissions resulting from storage and distribution of petrol (EC, 1994), all terminals should apply emission reduction measures and Vapour Recovery Units (VRU) or Vapour Recovery Systems (VRS). However, this does not apply to top-loading tankers,
as long as such loading systems are permitted. The European Union Network for the Implementation and Enforcement of Environmental Law e IMPEL (2000) has announced the publication of the EU Directive on barge loading regulations; however, it has not materialized yet. In the second phase, all service stations should have built VRU systems. The Directive related to the quality of petrol and diesel fuel set the benzene content of motor fuels at up to 1.0% (v/v) (EC, 2003). It could be concluded that the IPPC Directive and VOC related Directives do not cover transportation emissions, only loading emissions. The aim of this paper is to show that there is a need to realise policy improvements in this area. The UN-ECE Convention on long-range transboundary air pollution (LRTAP) should also be mentioned. In order to shift policy focus from a pollutant-oriented approach to an effects-oriented approach, the Convention Protocol to Abate Acidification, Eutrophication and Ground-level ozone was adopted in 1999. It aims at reducing the emissions of sulphur, nitrogen oxides, volatile organic compounds and ammonia from industry, motor vehicles, agriculture and products. In the EU there is no conformity on the amount of VOC emissions that are considered relevant. The emission threshold limit for reporting the emissions is 1 tonne/a per product unit in the UK and 100 tonne/a per product unit in the Netherlands. In an IMPEL Network paper concerning diffuse VOC emissions, it was concluded that emission levels of 10e100 tonne/a could be considered as relevant (IMPEL, 2000). In the USA, abatement and regulation of diffuse emissions has been common practice for about 20e30 years (IMPEL, 2000). However, the USA legislation does not apply directly to ships, placing the requirements on technical regulations. The pressure on ship operators to fit the required vapour collection and transfer facilities is commercial. Without the required vapour collection systems (hereinafter VCS), ship operators would not be able to do business with US terminals. In the report “Measures to Reduce Emissions of VOC during Loading and Unloading of Ships in the EU” that was written for the European Commission, it concluded that: “While VOCs emitted during transport may form a significant proportion of total VOC emissions from ships this is an operational matter on which it would not be appropriate for the European Community to regulate” (Rudd and Hill, 2001). Similarly to the USA, it was concluded that ships not equipped with appropriate equipment would not be able to load cargo. In order to achieve certain environmental goals, economic measures are frequently envisaged and introduced. Among the most widespread economic measures are eco-taxes and charges. Environmental charges are viewed as the most expected tool for environmental and natural resource policy and are used as a reference point for the design of other measures (Sterner, 2003). Incentive taxes are, in general, environmentally effective when the tax is sufficiently high to stimulate abatement measures or if it is set equal to marginal social damage (Pigouvian tax) (Baumol and Oates, 1971; Crawford and Smith, 1995). According to the European Oil Company Organisation for Environment, Health, and Safety (CONCAWE), the main problem is that emission controls for non-methane volatile organic compounds (VOC) at European marine gasoline-loading terminals would not be cost-effective even for terminals with the very largest throughput (CONCAWE, 2002). The introduction of new and improved technology could significantly reduce VOC emissions (Jovanovic et al., 2010). According to the IPPC Directive, all large industrial facilities must meet the requirements for environmental permit. This includes application of VRU at loading facilities. Loading facilities represent the boundaries of the system, although, according to cleaner production principles, manufacturers are responsible for the entire life cycle of a product. Thus, barges neither fall under an IPPC permit
Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080
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nor any other regulation or incentive related policy. Existing legislation covers barge loading facilities, but the question is whether this area should expand to barges. Another important question relates to reporting emissions to authorities. At this moment, refineries and petrochemical plants have to submit reports about storage and loading emissions, but they do not have an obligation to submit reports related to transit emissions.
3. Estimation of VOC emissions In order to prepare ground for a policy change in this area, a case study concerning river transportation of petrochemical products in Serbia has been analysed. The main waterway and the largest international river in Serbia is the Danube. The greatest production facility of the Serbian Oil Company is located in Pancevo, on the River Danube, and almost all waterway transportations of oil and derivates have been realised through the port of Pancevo.
3.1. Case study description Barge diffuse emissions during transportation of crude oil and its derivates are estimated based on the data provided by the Customs Administration of the Republic of Serbia. The obtained information concerning import and export data of crude oil and derivates include the barge name, port code, type of goods according to European nomenclature, cargo mass and date and time of entrance or exit. Data provided is for the period 2006e2010. The mass of transported cargo is presented in Figs. 1 and 2. The number of barge-travelling days during import was calculated using data about entry into Serbia and the unloading of cargo in ports. The numbers of days varied between one and 14. For export, the only available data is the date of barge loading. Based on an expert judgment, it was estimated that on average each barge travelled a week before exiting Serbia. It is important to note the increasing amount of imported naphtha, or feedstock for the petrochemical industry. A similar situation exists in the EU, with considerable quantities of naphtha being shipped (Rudd and Hill, 2001). In addition, it is important to note the import of 5285.7 tonnes of raw pyrolysis gasoline (RPG) in 2009. RPG is a by-product of ethylene production and contains up to 70% of BTEX (benzene, toluene, ethyl benzene and xylene). These highly volatile substances may have a serious impact on the environment. In 2009, 2010, significant quantities of gasoline blending components were exported.
Fig. 2. Amount of exported crude oil and its derivates by inland barge transport.
Reid vapour pressure for naphtha, raw pyrolysis gasoline e RPG, gasoline blending components and unleaded gasoline are, respectively: 79.3, 48.3, 79.3 and 55.2 kPa. The true vapour pressures are calculated using Equation (1) (CONCAWE, 2009):
TVP ¼ RVP$10½ð0:000007047$RVPþ0:01392Þ$Tþð0:0002311$RVP0:5236Þ (1) Diffuse emissions are very dependent on temperature. Since travel time is relatively long, it is assumed that fluid temperature is equal to the temperature of the river water. Mean average monthly temperatures of the Danube are presented in RHMZ (2013) and Samsalovic (2008).
3.2. Calculation methodology The most significant diffuse emissions occurring during barge transport are from transit and loading. Transit losses occur during travel time and are dependent on the barge construction and the fluid characteristics. Transit losses can be reduced by using modern or current-specification barges, but cannot be completely prevented. Loading losses occur during barge loading at ports. Diffuse emissions are difficult to measure, but they can be estimated (Placet et al., 2000; Thoma et al., 2009). The most widely used methodology for an estimation of diffuse emissions is the application of emission factors AP-42, recommended by US EPA. In this paper, besides US EPA AP-42 emission factors, CONCAWE emission factors proposed by the EU were used. Transit losses are estimated using the US EPA AP e 42 emission factors, according to Equation (2) (US EPA, 2008):
LT ¼ 0:1$TVP$rg
(2)
where: LT e transit loss, lb/week per 103 gal transported TVP e True Vapour Pressure, psi rg e density of the condensed vapours, lb/gal
Fig. 1. Amount of imported crude oil and its derivates by inland barge transport.
Barge loading emissions were calculated using US EPA AP e 42 and CONCAWE emission factors (US EPA, 2008; CONCAWE, 2009). The calculated loading emissions based on US EPA emissions factors for derivates other than gasoline were obtained using Equation (3):
Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080
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LL1 ¼ 12:46
S$TVP$Mg T
(3)
where: LL1 e loading loss, lb/103 gal S e a saturation factor TVP e True Vapour Pressure, psi Mg e molecular weight of vapours, pounds per pound-mole (lb/ lb-mole) For gasoline, loading emissions were calculated using an emission factor of 465 mg/l transferred (US EPA, 2008). Based on the CONCAWE emissions factors, loading losses are calculated according to the Equation (4):
LL2 ðkgÞ ¼ EFLOAD $VLOAD $TVP
(4)
Fig. 3. Barge transit losses.
where: EFLOAD ¼ Emission Factor 7.45∙103. VLOAD ¼ Volume of product loaded (in m3). TVP ¼ True Vapour Pressure of product at the loading temperature (in kPa). Equations (3) and (4) should be expanded with expression 5, if the barge has installed VCS and VRU is used.
1
Eeff 100
(5)
where: Eff is the overall reduction efficiency, calculated as 99% of the control efficiencies 70% of the collection efficiencies. Loading emissions were calculated for two extreme cases, i.e., case a) all the barges have VCS installed and VRU is used and case b) none of the barges have it. Emissions from pipelines are very small because pipes are closed systems and are considered essentially emissions free (EMEP/CORINAIR, 2006). In addition, there are no emissions from barges during unloading, as the liquid load is replaced by air (US EPA, 2008).
3.3. Results and discussion Barge transit losses are shown in Table 1. After 2008, the amount of transported volatile derivates increased significantly. Therefore, the amounts of VOC emitted into the environment increased. The amounts of evaporative losses that
occurred during barge petrochemical transport (including both, export and import) are shown in Fig. 3. Barge loading losses involve only loading of derivates for export. During import, barge unloading diffuse emissions were minor since air or an inert gas is drawn into the tank. Literature data indicates that the pressure inside a tank is always slightly below the atmospheric pressure, resulting in a net inflow of air into the tank. Emissions could occur if an inert gas was pumped into a tank at an excessive rate during unloading, which would be an example of bad practice (Rudd and Hill, 2001). Annual losses of crude oil derivates during loading into barges are given in Table 2. Volatile derivate losses in relation to the total transported amount of a given derivate are given in Table 3. The obtained data shows that transport losses of volatile crude oil derivates are 0.03e0.09 % of the cargo volume. The results are in accordance with the results of Bhatia and Dinwoodie (2004) who calculated that evaporative loss represents 0.13% of the cargo volume, which consists of loading (0.033%), loaded voyage (0.015%) and discharge (0.079%) with a further 83 metric tonnes emitted during the ballast voyage. It should be noted that discharge losses do not occur in the present case because river barges do not have ballast water in the storage compartments and therefore there are no ballast losses. Although, the total losses during barge loading and transport are only 0.03e0.09 % of transported amount of fluid, they should not be neglected. The data should be analysed in terms of the absolute number. For example, barge inland transportation of coke and refined petroleum products was 32,978,000 tonnes in 2009 in the EU. If only a quarter of this was made up of volatile derivates, the emissions would be 4122 tonnes. Some derivates, e.g., naphtha and RPG may contain very high amounts of harmful
Table 1 Crude oil derivates transit losses, kg.
Export
Import
Derivate
2006
2007
2008
2009
2010
Gasoline blending components Distillate fuel oil No. 2 Naphtha Residual oil No. 6 Unleaded gasoline Distillate fuel oil No. 2 Naphtha Residual oil No. 6 Middle distillates RPG Crude oil
/ / / 0.618 / 100.36 / / 988.92 / 1301.19
/ / / 0.310 2044.03 163.31 / 0.715 / / 1660.90
/ / / / 15,196.63 88.56 / 0.184 / / /
2478.82 18.21 5245.17 1.20 18,655.28 56.47 10,980.3 / / 1308.64 /
13,624.07 10.54 363.98 2.38 / 49.42 38,737.7 / / / /
Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080
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Table 2 Crude oil derivates loading losses, kg. AP-42
CONCAWE
Uncontrolled 2006 Residual oil No. 6 2007 Unleaded gasoline Residual oil No. 6 2008 Unleaded gasoline 2009 Gasoline blending components Unleaded gasoline Naphtha Distillate fuel oil No. 2 Residual oil No. 6 2010 Gasoline blending components Naphthaa Distillate fuel oil No. 2 Residual oil No. 6 a
With VRU
2.54
Uncontrolled
0.764
With VRU
0.478
0.143
13,733.61 1.04
4120.08 0.31
4389.95 0.20
1316.98 0.06
44,601.84
13,380.55
16,588.09
4676.43
15,887.15 34,994.95 12,949.65 102.80 4.71
4766.14 10,498.48 3884.90 30.84 1.41
4957.38 16,551.73 9576.03 28.47 0.90
1487.21 5027.54 2856.81 8.54 0.270
57,114.76 979.38 36.65 7.37
17,134.43 293.82 10.99 2.21
25,553.84 479.53 9.90 1.38
7666.15 143.76 2.97 0.415
2010 Naphtha was transported only once.
aromatic compounds. If transportation of oil derivates increases in volume, then the amounts of emitted VOC could be very large. It is important to point out that when old barges are used (as on the river Danube in Serbia) the tank seals are often damaged, causing VOC emissions to be much higher than previously calculated. Case study results show that without appropriate controls, evaporative emissions are likely to become a large environmental problem in the near future. Barge loading and transport losses have increased c ca 22 times during the period between 2006 and 2010. 4. Should the VOC policy be improved? VOC emissions from barge transport do not fall under any regulation as shown in Section 2 of this paper. Therefore, there is an opportunity for policy improvements in this area. A reduction of VOC emissions could be achieved by installing VCSs and VRU as BAT technique; however the question of the motivation for investment in the area remains (US EPA, 1995). Installing VCS and VRU is considered as a medium to high cost option. VCSs are generally required for transporters and cost for ships that do not have inert gas systems installed are prohibitively high. In AEA Technology Environment report, it was estimated that the costs of ships' upgrading are approximately V2000 per tonne of
VOC abated. The report concluded that policy measures in other sectors of the European economy would be more effective in reducing VOC emissions than measures applied to the ship loading of gasoline, crude oil and other petrol and chemical products (Rudd and Hill, 2001). However, public pressure may be a significant factor in the decision making process. This example is given in the EMEP/EEA emission inventory guidebook (2009): “A study undertaken for the European Commission (AEAT, 2001) in 2001 on emission controls for sea-going vessels concluded that, at that time, the costs to retrofit marine tankers with VCS and install shore-side vapour recovery units was not cost-effective. However, issues with local air quality resulted in a ship-loading vapour-emission control system being installed, e.g., at Gothenburg oil harbour”. The current EU emission regulation policy can not be considered as absolutely adequate and effective. At the moment, oil companies do not have to pay for all the emissions of benzene and toluene, which are proven to be harmful and carcinogenic substances. On the contrary, pollution fees are introduced for methane and ammonia emissions resulting from livestock production because they contribute to the global warming. However, the harmful effects of aromatic hydrocarbons and their influence on photochemical smog formation and human health must not be overlooked. The damaging effects of VOC pollution have been well known for decades. In a number of studies, the amount of monetary
Table 3 Losses of crude oil derivates, %.
Unleaded gasoline
Gasoline blending components
Naphtha
Transit losses Loading losses
Transit losses Loading losses
Transit losses Loading losses
AP-42, without VRU AP-42, with VRU CONCAWE, without VRU CONCAWE, with VRU AP-42, without VRU AP-42, with VRU CONCAWE, without VRU CONCAWE, with VRU AP-42, without VRU AP-42, with VRU CONCAWE, without VRU CONCAWE, with VRU
2006
2007
2008
2009
2010
Average
/ / / / / / / / / / / / / / /
0.010 0.062 0.019 0.020 0.006 / / / / / / / / / /
0.021 0.062 0.019 0.023 0.007 / / / / / / / / / /
0.034 0.064 0.019 0.030 0.009 0.010 0.083 0.025 0.026 0.008 0.026 0.064 0.019 0.047 0.014
/ / / / / 0.015 0.064 0.019 0.029 0.009 0.024 0.064 0.019 0.031 0.009
0.022 0.063 0.019 0.024 0.007 0.013 0.074 0.022 0.028 0.0085 0.025 0.064 0.019 0.039 0.011
Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080
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M. Mihajlovic et al. / Journal of Cleaner Production xxx (2015) 1e9
damage caused by VOC emissions ranges from V 863 per tonne (TME, 2002) to V 1572 (EFTEC, 2000). In a paper by Spadaro and Rabl (1999), typical damage costs per kg of VOC pollutant, based on ExternE (1998) was calculated in an amount of 0.9 V, which is a range of the previous figures. Due to the fact that VOC emissions are considered as ozone precursors, most of the damage caused by them is related to human health and agriculture (Rypdal et al., 2005). Serbia proves to be an evident case because the inland waterways used for petrochemicals transport are surrounded by the most densely populated urban areas and the most productive agricultural regions. Therefore, a proposal for an improvement of the national environmental policy has been put forward. An introduction of a pollution charge on all of the barges that do not have/use VCS and VRU is a cornerstone of the policy improvement. A realistic situation assessment could be established based on the remark from the EMEP/CORINAIR Emission Inventory Guidebook (2006): “Vapour return/recovery systems are not very common. Sometimes, the controls are installed but not used, according to M. Wyser (pers. communication) inland tankers on the Rhine River are equipped with vapour balancing systems but the systems are not used”. In the new version of the Emission Inventory Guidebook (2009), this sentence is omitted. It could be assumed that the situation on the Rhine has changed for the better. However, the situation in Serbia with barges on the Sava and the Danube Rivers is not comparable. The Serbian barge fleet is very old, and it is reasonable to assume that the barges do not have vapour balancing systems. As results presented in Tables 2 and 3 show VCS can reduce VOC emissions by up to 3 times. On the other hand, large diffuse emissions can be related to the age and maintenance condition of the barges. Emissions from old barges, with poor seals, could be much larger, probably similar to the level of open tank emissions. Based on expert opinion, VOC emissions from old barges may be up to several times higher than emissions from new barges. Despite the fact that some of the neighbouring countries are EU members, it seems justified to assume that a similar situation prevails in all South East and East European countries (Kaldellis, 2007). It may be concluded that the current VOC regulation policy is inadequate. It seems reasonable to assume that the barge's real emissions, from both transit and loading, are higher than the calculated emissions. Higher emissions may occur from old barges, as is common in South and East Europe; most of them are obsolete with poor sealing. Barge modernization and investment in protective equipment is a very slow process even in West Europe (EMEP/CORINAIR, 2006). Therefore, environmental incentive measures are expected to improve the situation.
5. VOC policy improvement Three policy innovations may be considered as potential improvements: 1. The appropriate BAT reference document (BREF) should include the transport sector; 2. Mandatory reporting of VOC emitted during barge transport of crude oil and crude oil derivates; 3. A pollution charge should be introduced on all barges without VCS installed “onboard”. Nowadays, terminals under the IPPC regulation are obligated to use BAT techniques along with mandatory reporting of the emissions. However, the transport between two terminals is not covered by appropriate regulations, such as the “Polluter Pays” principle (Fig. 4). Introducing of a transport sector into the BREF aims at modernizing the fleet and imposing an obligation for the VRU use. Mandatory reporting of the VOC emitted during barge navigation would enable VOC emissions from a barge to be monitored. Simultaneously, mandatory reporting would be introduced for all the local refineries, in order to collect the exact data about potential VOC emissions. The VOC policy improvement may be realised by forcing barge owners to upgrade their barges with VCSs and by the introduction of mandatory reporting of emissions to the authorities (Fig. 5). A VOC charge has also been envisaged. The aim of the measure would be not only to promote the “Polluter Pays” principle, but also to exert pressure on ship-owners to introduce new vessels or to upgrade the existing ones. The weak points of the proposed measures are: A) Including a transport sector policy in the BREF could be a long, time consuming process, but without a real outcome at the end, B) Strengths of mandatory reporting are fast implementation and the use of easy, inexpensive calculation methods, however the weaknesses can be found in an inconsistency of the calculation methods. C) A VOC charge could be a burden to ship-owners. Based on listed characteristics, it could be concluded that no single measure alone would give good results. The best way may be a combination of all three measures with each measure implemented on a separate timeline. The introduction of mandatory reporting to the authorities could be introduced in the first year. On
Fig. 4. Expansion of the “Polluter Pays” principle e a way for improvement of the VOC policy.
Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080
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Fig. 5. Policy improvement scheme.
the other hand, an inclusion of transport sector policy into the BREF documents would be a slow process. Between the first and the final year of policy implementation a progressive VOC charge is to be introduced. All ships and barges without a vapour collection system should be obliged to pay an annual VOC charge on a capacity basis via registration procedures. The same economic measure would also be applied to the foreign vessels; however the amount would be calculated by the number of days spent in Serbian waters. For example, if the annual VOC emissions charge for domestic barges would be 120 V per capacity tonne, for a foreign barge that had spent 60 days in Serbian inland waters, it would be 20 V per capacity tonne. If the VOC charge was introduced on the European level, which would be the optimal policy scenario, there would be no need for the national VOC charge on foreign vessels. A penalty for non-use of an existing vapour collection installation on vessels would also have to be introduced as a component of the new policy, on the national, preferably on the international level. Although the proposed VOC charge is unrelated to the exact amount of emissions, it is easy to be implemented and monitored. It is also considered stimulating for an introduction of a new fleet. However, the amount of charge, or the VOC pollution price, must be carefully determined in order to keep barge transport favoured over road and rail transport, but less favoured over pipeline transport. A possibility of making the new instrument progressive remains in a way similar to the German policy for vehicles using leaded petrol (Schnutenhaus, 1995). During the first year, leaded petrol price was increased by several percent, but later it continued to grow. After a while, leaded petrol became too expensive and ceased to be sold. Similarly, in the first year, shipping companies should pay a moderate VOC emission charge on the barges without VCS, but the charge should increase over time. This would give bargeowners time to adjust. After several years, old vessels are expected to be completely decommissioned. Three potential scenarios for the VOC charge introduction are presented in Table 4. The calculations were made upon the average prices of crude oil derivates. The differences between scenarios are in initial levels of charge, but the final charge is same for all three. The “low” scenario allows barge owner longer adaptation time, while the “high” scenario forces them to act more quickly. Based on the proposed policy innovation, a scenario analysis is performed. Each of the proposed measures has different characteristics and purposes. Introduction of the BREF changes could be considered as a long term policy measure due to a formal adoption procedure and the need for a grace period prior to implementation. Alternatively mandatory VOC reporting could be introduced in the short term. Both of the measures could be considered passive. The third measure e introduction of charges for VOCs emissions e
would ensure implementation of all BREF changes and mandatory VOC reporting. It should be noted that the proposed improvements may have potentially wide spatial scale across Europe. The BREF documents are adopted at the EU level and are implemented within national jurisdictions. Mandatory reporting is introduced through the European Pollutant Release and Transfer Register (e-PRTR) and executed by the national environmental protection agencies (collected data are sent to e-PRTR). Pollution charges would be introduced on national levels, ideally in coordination with other countries, at a uniform level. Possible scenarios for the new policy implementation may differ only in the dynamics and in the level of pollution charges. The national policy-makers can control only the envisaged VOC charges, while BREF and mandatory reporting are determined and controlled by the EU. Considering the worst case of the new policy implementation only a few European countries would be willing to introduce the VOC charge. Under the scenario foreign vessels coming from the countries without VOC charges would be obliged to pay higher charges when navigating through the countries with the charges. In that case the petrochemicals transport might be relocated from barges to rail or trucks, and consequently coastal pollution would rise. In the best case scenario all the European countries would introduce the VOC charge simultaneously and uniformly. As a consequence barge-owners would have to renew fleets or upgrade existing barges, so the pollution would be reduced. In the most probable scenario fleet modernization would be a slow, uneven and expensive process. Therefore it is reasonable to assume that it would happen first in the developed countries along with the VOC charge introduction. Over the time, the same level of VOC charges would be introduced in the remaining countries, which would encourage barge-owners to invest in environmental protection, leaving enough time to implement all the remaining measures.
Table 4 VOC emission charge scenarios (V per capacity ton). Years
Low
Medium
High
1 2 3 4 5 6 7 8 9 10
40 60 80 100 120 140 160 180 200 220
80 80 100 100 120 140 160 180 200 220
120 120 120 160 160 180 180 180 200 220
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6. Conclusion Due to its location on one of the most important European inland waterways, the Republic of Serbia is expecting a rapid growth in transportation of crude oil and its derivates by ships and barges. However, most of the vessels in service in South Eastern Europe, as well as in other parts of the world, are obsolete and without built in VCSs. Due to the impact of river transport on coastal environments, and the fact that VOC emissions have been proved to be harmful, the necessity for better regulation seems a policy priority. A case study of petrochemicals transport on Danube in Republic of Serbia was done. Data showed increasing amounts of imported highly volatile substances such as naphtha and raw pyrolysis gasoline. As a result of increased gasoline derivates transportation barge loading and transport losses have increased c ca 22 times during the period between 2006 and 2010. Comparison of estimated emission calculation showed that VCS can reduce VOC emissions by up to 3 times. Based on the Serbian case study, a proposal for innovations in environmental policy has been put forward, alongside with mandatory reporting requirements. All ships and barges without VCS should be obliged to pay an annual VOC charge on a capacity basis as part of registration procedure. The aim of the policy is to promote the “Polluter Pays” principle, and also to impose pressure on ship-owners to introduce new vessels or to upgrade the existing ones. The same economic measure would also be applied to the foreign vessels; however the charge would be calculated by number of days spent in the country's inland waters. The level of charge is envisaged to be progressive: initially low but subsequently higher, in order to finally push vessels without VCS out of service. Three potential scenarios for the VOC charge are presented, which vary according to the charge introducing dynamics. The differences between scenarios are in initial levels of charge, but the final charge is same for all three and it is proposed to be 220 V per capacity ton. A penalty for non-use of the previously installed vapour collecting installations should also be introduced. The new policy is characterised by a broader approach towards VOC polluters and by a strict requirement for mandatory reporting. Acknowledgements The authors are grateful to the Ministry of Education, Science and Technological Development of the Republic of Serbia for the support (grant number TR 34009 and OI 43007). References Ashford, N.A., Caldart, C.C., 2001. Negotiated environmental and occupational health and safety agreements in the United States: lessons for policy. J. Clean. Prod. 9, 99e120. Baumol, W.J., Oates, W.E., 1971. The Use of standards and prices for Protection of the environment. Swed. J. Econ. 73, 42e54. Bhatia, R., Dinwoodie, J., 2004. Daily oil losses in shipping crude oil: measuring crude oil loss rates in daily North Sea shipping operations. Energ. Policy 32, 811e822. bal Andrade, L., Maga n Iglesias, A., Torres Lo pez, R., 2013. Bello Bugallo, P.M., Cristo Integrated environmental permit through best available techniques: evaluation of the fish and seafood canning industry. J. Clean. Prod. 47, 253e264. Cetin, E., Odabasi, M., Seyfioglu, R., 2003. Ambient volatile organic compound (VOC) concentrations around a petrochemical complex and a petroleum refinery. Sci. Total. Environ. 312, 103e112. CONCAWE, 2002. VOC Emissions from Loading Gasoline onto Sea-going Tankers in EU-15: Control Technology and Cost Effectiveness. Report 6/02, Brussels. CONCAWE, 2009. Air Pollutant Emission Estimation Methods for E-PRTR Reporting by Refineries. Report 1/09, Brussels. Corbett, J.J., Fischbeck, P.S., 2000. Emissions from waterborne commerce vessels in United States continental and inland waterways. Environ. Sci. Technol. 34, 3254e3260.
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Rao, P., Ankam, S., Ansari, M., Gavane, A.G., Kumar, A., Pandit, V.I., Nema, P., 2005. Monitoring of hydrocarbon emissions in a petroleum refinery. Environ. Monit. Assess. 108, 123e132. Ras-Mallorqui, M.R., Marce-Recasens, R.M., Borrull-Ballarin, F., 2007. Determination of volatile organic compounds in urban and industrial air from Tarragona by thermal desorption and gas chromatography-mass spectrometry. Talanta 72, 941e950. RHMZ, 2013 http://www.hidmet.gov.rs/eng/hidrologija/karakteristicne_t.php (accessed February 2013). Rudd, H.J., Hill, N.A., 2001. Report Measures to Reduce Emissions of VOCs during Loading and Unloading of Ships in the EU, European Commission e Directorate General Environment. http://ec.europa.eu/environment/air/pdf/vocloading.pdf (accessed February 2013). Rypdal, K., Berntsen, T., Fuglestvedt, J.S., Torvanger, T., Aunan, K., Stordal, F., Nygaard, L.P., 2005. Tropospheric ozone and aerosols in climate agreements: scientific and political challenges. Environ. Sci. 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Contents lists available at ScienceDirect
Journal of Cleaner Production journal homepage: www.elsevier.com/locate/jclepro
Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation Marina Mihajlovi c a, Mi ca Jovanovic b, *, Radmilo Pesi c c, Jovan Jovanovi c a, Zorica Milanovi cd a
Innovation Center, Faculty of Technology and Metallurgy, University of Belgrade, Karnegijeva 4, 11000 Belgrade, Serbia Faculty of Technology and Metallurgy, University of Belgrade, Karnegijeva 4, 11000 Belgrade, Serbia Faculty of Agriculture, University of Belgrade, Nemanjina 6, 11080 Zemun-Belgrade, Serbia d Institute of Transportation CIP, Nemanjina 6/IV, 11000 Belgrade, Serbia b c
a r t i c l e i n f o
a b s t r a c t
Article history: Received 25 October 2013 Received in revised form 2 February 2015 Accepted 19 April 2015 Available online xxx
The aim of this paper was to emphasise the need for a volatile organic compounds VOC policy review in the field of river barge transportation of petrochemicals. Review of the VOC policy shows that barges neither fall under an integrated pollution prevention and control permit nor any other regulation or incentive related environmental policy. Current situation and trend in this area is presented through a case study of the Danube River, Serbia. The case study shows that evaporative losses have increased c ca 22 times in period 2006e2010 and, that vapour collection system can reduce VOC emissions by up to 3 times. A proposal for improved VOC policy has been developed in detail based on the following elements: a) The appropriate Best Available Techniques reference document (BREF) should include the transport sector; b) Mandatory reporting of VOC emitted during barge transport of crude oil and crude oil derivates should be introduced, and c) A pollution charge should be introduced on all barges without vapour collection system installed “onboard”. Three potential scenarios for the VOC charge are presented, which vary according to the charge introducing dynamics. The differences between scenarios are in initial levels of charge, but the final charge is same for all three and it is proposed to be 220 V per capacity ton. © 2015 Elsevier Ltd. All rights reserved.
Keywords: VOC emissions Barge transport Eco-charges
1. Introduction Waterway transport of crude oil derivates is increasing, it is considered to be safe and inexpensive. For example, one barge carries the same amount of cargo as 46 rail wagons or 144 semitractor/trailers (U.S. Department of Transportation Maritime Administration, 1994, the Texas Transportation Institute, 2007). The European waterways are 37,000 km long and they connect hundreds of cities and industrial regions. Some 20 out of 27 EU Member States have inland waterways (EC, 2013). The most important inland waterways in Europe are the Rhine and the Danube Rivers. Accompanying the development of EU environmental regulations, chemical industries (including oil refineries)
* Corresponding author. Tel.: þ381 3303699. E-mail addresses: [email protected] (M. Mihajlovi c), [email protected] (M. Jovanovi c), [email protected] (R. Pesi c), [email protected] (Z. Milanovi c).
have moved to Eastern Europe. Hence, there is a potential for significant increases in the transportation of crude oil derivates. Crude oil and its derivates are a significant source of NMVOC, i.e., volatile organic compounds without methane. Methane is excluded because its main sources are mostly agricultural and it has a different environmental impact (IMPEL, 2000). NMVOC can be released in any stage e from drilling to the final use. In the production chain of crude oil derivates, the main sources of NMVOC are diffuse emissions. Diffuse emissions are all emissions from large non e point sources, e.g., leakages from equipment (i.e., fugitive emissions), loading and unloading operations, evaporation losses from storage tanks and waste water treatment. For regional air pollution inventories of VOC, emissions from area sources are a very important component (Placet et al., 2000). Some of the VOC, particularly benzene, toluene, ethyl benzene and xylene (BTEX), are marked as highly toxic or are a carcinogen. Among these pollutants, benzene is the most hazardous (Ashford and Caldart, 2001). According to the World Health Organisation, benzene is classified as a carcinogenic and mutagenic substance (WHO, 2000). Due to its
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properties, the EU air quality standards set the limit value for benzene concentrations in ambient air at 5 mg/m3 by 1 January 2010 (EC, 2008). Several authors presented health risk assessments for benzene-exposed oil refinery workers (Jackson, 2006, Majumdar Som) et al., 2008; Tompa et al., 2005; Widner et al., 2011). In (nee addition, VOC have effects on the global environment because of the production of photochemical smog and ground level ozone (Rypdal et al., 2005). Atmospheric concentrations of hydrocarbons levels that surround the oil and petrochemical industry were investigated in a number of studies (Cetin et al., 2003; Na et al., 2001; Kalabokas et al., 2001; Rao et al., 2005; Ras-Mallorqui et al., 2007; Lin et al., 2004). In literature, the environmental impact of waterway transport has hitherto dealt mainly with emissions of exhaust gases from the diesel engines of barges and ships (Eyring et al., 2010; IIASA, 2007; Corbett and Fischbeck, 2000; Tzannatos, 2010). On the other hand, much less attention has been paid to the pollution that may occur as a result of diffuse emissions during the transportation of liquid commodities, such as loading, unloading and transit emissions. It is considered that gasoline and crude oil loading emissions represent 0.07% and 0.8%, respectively, of all annual emissions of VOC in the EU (Rudd and Hill, 2001). River transport is much more environmentally significant than marine transport because its pollution can have a direct effect on the neighbouring environment by affecting the coastal air quality. Very few inquiries have been realised on this topic (Bhatia and Dinwoodie, 2004; Harrison, 2011; US Office of Environmental Assessment, 2010). In 2009 the US EPA conducted an investigation of fugitive emissions from petrochemical transport barges. The study concluded that the total leak rate from a barge ranged from 1.13 g/s to 6.24 g/s (Thoma et al., 2009). A goal of this paper is to analyse the need for VOC policy innovation in river transport of oil derivates, keeping in mind that NMVOCs are a dominant component of related diffuse emissions. With this aim, a review of the VOC policy in Europe and the USA has been made. A case study of oil derivates transport emissions on the Danube River in Serbia is performed in order to describe the current situation and trend in this area. If the current environmental policy does not cover river transport of oil derivates, this paper will recommend relevant policy improvements. Because rivers often pass through densely populated areas e including established agricultural and food production regions e the VOC policy improvements could be of a great environmental and economic importance. 2. Review of the VOC policy In the EU, emissions from industrial sources are regulated by a number of directives. One of the most important is The Integrated Pollution Prevention and Control (IPPC) Directive. It aims at minimising pollution from various industrial activities and is based on an integrated approach and application of the best available techniques (BAT). Large industrial installations covered by the IPPC Directive require an environmental permit. The environmental permit must include emission limit values and requirements for the monitoring of emissions and reporting to authorities (Schoenberger, 2009; Samarakoon and Gudmestad, 2011). Several authors analysed the success of IPPC requirements in different industry areas (Bello Bugallo et al., 2013; Silvo et al., 2009; Styles et al., 2009). Reducing VOC emissions originating from petroleum products is regulated in two phases. In the first phase, according to the Directive on VOC emissions resulting from storage and distribution of petrol (EC, 1994), all terminals should apply emission reduction measures and Vapour Recovery Units (VRU) or Vapour Recovery Systems (VRS). However, this does not apply to top-loading tankers,
as long as such loading systems are permitted. The European Union Network for the Implementation and Enforcement of Environmental Law e IMPEL (2000) has announced the publication of the EU Directive on barge loading regulations; however, it has not materialized yet. In the second phase, all service stations should have built VRU systems. The Directive related to the quality of petrol and diesel fuel set the benzene content of motor fuels at up to 1.0% (v/v) (EC, 2003). It could be concluded that the IPPC Directive and VOC related Directives do not cover transportation emissions, only loading emissions. The aim of this paper is to show that there is a need to realise policy improvements in this area. The UN-ECE Convention on long-range transboundary air pollution (LRTAP) should also be mentioned. In order to shift policy focus from a pollutant-oriented approach to an effects-oriented approach, the Convention Protocol to Abate Acidification, Eutrophication and Ground-level ozone was adopted in 1999. It aims at reducing the emissions of sulphur, nitrogen oxides, volatile organic compounds and ammonia from industry, motor vehicles, agriculture and products. In the EU there is no conformity on the amount of VOC emissions that are considered relevant. The emission threshold limit for reporting the emissions is 1 tonne/a per product unit in the UK and 100 tonne/a per product unit in the Netherlands. In an IMPEL Network paper concerning diffuse VOC emissions, it was concluded that emission levels of 10e100 tonne/a could be considered as relevant (IMPEL, 2000). In the USA, abatement and regulation of diffuse emissions has been common practice for about 20e30 years (IMPEL, 2000). However, the USA legislation does not apply directly to ships, placing the requirements on technical regulations. The pressure on ship operators to fit the required vapour collection and transfer facilities is commercial. Without the required vapour collection systems (hereinafter VCS), ship operators would not be able to do business with US terminals. In the report “Measures to Reduce Emissions of VOC during Loading and Unloading of Ships in the EU” that was written for the European Commission, it concluded that: “While VOCs emitted during transport may form a significant proportion of total VOC emissions from ships this is an operational matter on which it would not be appropriate for the European Community to regulate” (Rudd and Hill, 2001). Similarly to the USA, it was concluded that ships not equipped with appropriate equipment would not be able to load cargo. In order to achieve certain environmental goals, economic measures are frequently envisaged and introduced. Among the most widespread economic measures are eco-taxes and charges. Environmental charges are viewed as the most expected tool for environmental and natural resource policy and are used as a reference point for the design of other measures (Sterner, 2003). Incentive taxes are, in general, environmentally effective when the tax is sufficiently high to stimulate abatement measures or if it is set equal to marginal social damage (Pigouvian tax) (Baumol and Oates, 1971; Crawford and Smith, 1995). According to the European Oil Company Organisation for Environment, Health, and Safety (CONCAWE), the main problem is that emission controls for non-methane volatile organic compounds (VOC) at European marine gasoline-loading terminals would not be cost-effective even for terminals with the very largest throughput (CONCAWE, 2002). The introduction of new and improved technology could significantly reduce VOC emissions (Jovanovic et al., 2010). According to the IPPC Directive, all large industrial facilities must meet the requirements for environmental permit. This includes application of VRU at loading facilities. Loading facilities represent the boundaries of the system, although, according to cleaner production principles, manufacturers are responsible for the entire life cycle of a product. Thus, barges neither fall under an IPPC permit
Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080
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nor any other regulation or incentive related policy. Existing legislation covers barge loading facilities, but the question is whether this area should expand to barges. Another important question relates to reporting emissions to authorities. At this moment, refineries and petrochemical plants have to submit reports about storage and loading emissions, but they do not have an obligation to submit reports related to transit emissions.
3. Estimation of VOC emissions In order to prepare ground for a policy change in this area, a case study concerning river transportation of petrochemical products in Serbia has been analysed. The main waterway and the largest international river in Serbia is the Danube. The greatest production facility of the Serbian Oil Company is located in Pancevo, on the River Danube, and almost all waterway transportations of oil and derivates have been realised through the port of Pancevo.
3.1. Case study description Barge diffuse emissions during transportation of crude oil and its derivates are estimated based on the data provided by the Customs Administration of the Republic of Serbia. The obtained information concerning import and export data of crude oil and derivates include the barge name, port code, type of goods according to European nomenclature, cargo mass and date and time of entrance or exit. Data provided is for the period 2006e2010. The mass of transported cargo is presented in Figs. 1 and 2. The number of barge-travelling days during import was calculated using data about entry into Serbia and the unloading of cargo in ports. The numbers of days varied between one and 14. For export, the only available data is the date of barge loading. Based on an expert judgment, it was estimated that on average each barge travelled a week before exiting Serbia. It is important to note the increasing amount of imported naphtha, or feedstock for the petrochemical industry. A similar situation exists in the EU, with considerable quantities of naphtha being shipped (Rudd and Hill, 2001). In addition, it is important to note the import of 5285.7 tonnes of raw pyrolysis gasoline (RPG) in 2009. RPG is a by-product of ethylene production and contains up to 70% of BTEX (benzene, toluene, ethyl benzene and xylene). These highly volatile substances may have a serious impact on the environment. In 2009, 2010, significant quantities of gasoline blending components were exported.
Fig. 2. Amount of exported crude oil and its derivates by inland barge transport.
Reid vapour pressure for naphtha, raw pyrolysis gasoline e RPG, gasoline blending components and unleaded gasoline are, respectively: 79.3, 48.3, 79.3 and 55.2 kPa. The true vapour pressures are calculated using Equation (1) (CONCAWE, 2009):
TVP ¼ RVP$10½ð0:000007047$RVPþ0:01392Þ$Tþð0:0002311$RVP0:5236Þ (1) Diffuse emissions are very dependent on temperature. Since travel time is relatively long, it is assumed that fluid temperature is equal to the temperature of the river water. Mean average monthly temperatures of the Danube are presented in RHMZ (2013) and Samsalovic (2008).
3.2. Calculation methodology The most significant diffuse emissions occurring during barge transport are from transit and loading. Transit losses occur during travel time and are dependent on the barge construction and the fluid characteristics. Transit losses can be reduced by using modern or current-specification barges, but cannot be completely prevented. Loading losses occur during barge loading at ports. Diffuse emissions are difficult to measure, but they can be estimated (Placet et al., 2000; Thoma et al., 2009). The most widely used methodology for an estimation of diffuse emissions is the application of emission factors AP-42, recommended by US EPA. In this paper, besides US EPA AP-42 emission factors, CONCAWE emission factors proposed by the EU were used. Transit losses are estimated using the US EPA AP e 42 emission factors, according to Equation (2) (US EPA, 2008):
LT ¼ 0:1$TVP$rg
(2)
where: LT e transit loss, lb/week per 103 gal transported TVP e True Vapour Pressure, psi rg e density of the condensed vapours, lb/gal
Fig. 1. Amount of imported crude oil and its derivates by inland barge transport.
Barge loading emissions were calculated using US EPA AP e 42 and CONCAWE emission factors (US EPA, 2008; CONCAWE, 2009). The calculated loading emissions based on US EPA emissions factors for derivates other than gasoline were obtained using Equation (3):
Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080
M. Mihajlovic et al. / Journal of Cleaner Production xxx (2015) 1e9
4
LL1 ¼ 12:46
S$TVP$Mg T
(3)
where: LL1 e loading loss, lb/103 gal S e a saturation factor TVP e True Vapour Pressure, psi Mg e molecular weight of vapours, pounds per pound-mole (lb/ lb-mole) For gasoline, loading emissions were calculated using an emission factor of 465 mg/l transferred (US EPA, 2008). Based on the CONCAWE emissions factors, loading losses are calculated according to the Equation (4):
LL2 ðkgÞ ¼ EFLOAD $VLOAD $TVP
(4)
Fig. 3. Barge transit losses.
where: EFLOAD ¼ Emission Factor 7.45∙103. VLOAD ¼ Volume of product loaded (in m3). TVP ¼ True Vapour Pressure of product at the loading temperature (in kPa). Equations (3) and (4) should be expanded with expression 5, if the barge has installed VCS and VRU is used.
1
Eeff 100
(5)
where: Eff is the overall reduction efficiency, calculated as 99% of the control efficiencies 70% of the collection efficiencies. Loading emissions were calculated for two extreme cases, i.e., case a) all the barges have VCS installed and VRU is used and case b) none of the barges have it. Emissions from pipelines are very small because pipes are closed systems and are considered essentially emissions free (EMEP/CORINAIR, 2006). In addition, there are no emissions from barges during unloading, as the liquid load is replaced by air (US EPA, 2008).
3.3. Results and discussion Barge transit losses are shown in Table 1. After 2008, the amount of transported volatile derivates increased significantly. Therefore, the amounts of VOC emitted into the environment increased. The amounts of evaporative losses that
occurred during barge petrochemical transport (including both, export and import) are shown in Fig. 3. Barge loading losses involve only loading of derivates for export. During import, barge unloading diffuse emissions were minor since air or an inert gas is drawn into the tank. Literature data indicates that the pressure inside a tank is always slightly below the atmospheric pressure, resulting in a net inflow of air into the tank. Emissions could occur if an inert gas was pumped into a tank at an excessive rate during unloading, which would be an example of bad practice (Rudd and Hill, 2001). Annual losses of crude oil derivates during loading into barges are given in Table 2. Volatile derivate losses in relation to the total transported amount of a given derivate are given in Table 3. The obtained data shows that transport losses of volatile crude oil derivates are 0.03e0.09 % of the cargo volume. The results are in accordance with the results of Bhatia and Dinwoodie (2004) who calculated that evaporative loss represents 0.13% of the cargo volume, which consists of loading (0.033%), loaded voyage (0.015%) and discharge (0.079%) with a further 83 metric tonnes emitted during the ballast voyage. It should be noted that discharge losses do not occur in the present case because river barges do not have ballast water in the storage compartments and therefore there are no ballast losses. Although, the total losses during barge loading and transport are only 0.03e0.09 % of transported amount of fluid, they should not be neglected. The data should be analysed in terms of the absolute number. For example, barge inland transportation of coke and refined petroleum products was 32,978,000 tonnes in 2009 in the EU. If only a quarter of this was made up of volatile derivates, the emissions would be 4122 tonnes. Some derivates, e.g., naphtha and RPG may contain very high amounts of harmful
Table 1 Crude oil derivates transit losses, kg.
Export
Import
Derivate
2006
2007
2008
2009
2010
Gasoline blending components Distillate fuel oil No. 2 Naphtha Residual oil No. 6 Unleaded gasoline Distillate fuel oil No. 2 Naphtha Residual oil No. 6 Middle distillates RPG Crude oil
/ / / 0.618 / 100.36 / / 988.92 / 1301.19
/ / / 0.310 2044.03 163.31 / 0.715 / / 1660.90
/ / / / 15,196.63 88.56 / 0.184 / / /
2478.82 18.21 5245.17 1.20 18,655.28 56.47 10,980.3 / / 1308.64 /
13,624.07 10.54 363.98 2.38 / 49.42 38,737.7 / / / /
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M. Mihajlovic et al. / Journal of Cleaner Production xxx (2015) 1e9
5
Table 2 Crude oil derivates loading losses, kg. AP-42
CONCAWE
Uncontrolled 2006 Residual oil No. 6 2007 Unleaded gasoline Residual oil No. 6 2008 Unleaded gasoline 2009 Gasoline blending components Unleaded gasoline Naphtha Distillate fuel oil No. 2 Residual oil No. 6 2010 Gasoline blending components Naphthaa Distillate fuel oil No. 2 Residual oil No. 6 a
With VRU
2.54
Uncontrolled
0.764
With VRU
0.478
0.143
13,733.61 1.04
4120.08 0.31
4389.95 0.20
1316.98 0.06
44,601.84
13,380.55
16,588.09
4676.43
15,887.15 34,994.95 12,949.65 102.80 4.71
4766.14 10,498.48 3884.90 30.84 1.41
4957.38 16,551.73 9576.03 28.47 0.90
1487.21 5027.54 2856.81 8.54 0.270
57,114.76 979.38 36.65 7.37
17,134.43 293.82 10.99 2.21
25,553.84 479.53 9.90 1.38
7666.15 143.76 2.97 0.415
2010 Naphtha was transported only once.
aromatic compounds. If transportation of oil derivates increases in volume, then the amounts of emitted VOC could be very large. It is important to point out that when old barges are used (as on the river Danube in Serbia) the tank seals are often damaged, causing VOC emissions to be much higher than previously calculated. Case study results show that without appropriate controls, evaporative emissions are likely to become a large environmental problem in the near future. Barge loading and transport losses have increased c ca 22 times during the period between 2006 and 2010. 4. Should the VOC policy be improved? VOC emissions from barge transport do not fall under any regulation as shown in Section 2 of this paper. Therefore, there is an opportunity for policy improvements in this area. A reduction of VOC emissions could be achieved by installing VCSs and VRU as BAT technique; however the question of the motivation for investment in the area remains (US EPA, 1995). Installing VCS and VRU is considered as a medium to high cost option. VCSs are generally required for transporters and cost for ships that do not have inert gas systems installed are prohibitively high. In AEA Technology Environment report, it was estimated that the costs of ships' upgrading are approximately V2000 per tonne of
VOC abated. The report concluded that policy measures in other sectors of the European economy would be more effective in reducing VOC emissions than measures applied to the ship loading of gasoline, crude oil and other petrol and chemical products (Rudd and Hill, 2001). However, public pressure may be a significant factor in the decision making process. This example is given in the EMEP/EEA emission inventory guidebook (2009): “A study undertaken for the European Commission (AEAT, 2001) in 2001 on emission controls for sea-going vessels concluded that, at that time, the costs to retrofit marine tankers with VCS and install shore-side vapour recovery units was not cost-effective. However, issues with local air quality resulted in a ship-loading vapour-emission control system being installed, e.g., at Gothenburg oil harbour”. The current EU emission regulation policy can not be considered as absolutely adequate and effective. At the moment, oil companies do not have to pay for all the emissions of benzene and toluene, which are proven to be harmful and carcinogenic substances. On the contrary, pollution fees are introduced for methane and ammonia emissions resulting from livestock production because they contribute to the global warming. However, the harmful effects of aromatic hydrocarbons and their influence on photochemical smog formation and human health must not be overlooked. The damaging effects of VOC pollution have been well known for decades. In a number of studies, the amount of monetary
Table 3 Losses of crude oil derivates, %.
Unleaded gasoline
Gasoline blending components
Naphtha
Transit losses Loading losses
Transit losses Loading losses
Transit losses Loading losses
AP-42, without VRU AP-42, with VRU CONCAWE, without VRU CONCAWE, with VRU AP-42, without VRU AP-42, with VRU CONCAWE, without VRU CONCAWE, with VRU AP-42, without VRU AP-42, with VRU CONCAWE, without VRU CONCAWE, with VRU
2006
2007
2008
2009
2010
Average
/ / / / / / / / / / / / / / /
0.010 0.062 0.019 0.020 0.006 / / / / / / / / / /
0.021 0.062 0.019 0.023 0.007 / / / / / / / / / /
0.034 0.064 0.019 0.030 0.009 0.010 0.083 0.025 0.026 0.008 0.026 0.064 0.019 0.047 0.014
/ / / / / 0.015 0.064 0.019 0.029 0.009 0.024 0.064 0.019 0.031 0.009
0.022 0.063 0.019 0.024 0.007 0.013 0.074 0.022 0.028 0.0085 0.025 0.064 0.019 0.039 0.011
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M. Mihajlovic et al. / Journal of Cleaner Production xxx (2015) 1e9
damage caused by VOC emissions ranges from V 863 per tonne (TME, 2002) to V 1572 (EFTEC, 2000). In a paper by Spadaro and Rabl (1999), typical damage costs per kg of VOC pollutant, based on ExternE (1998) was calculated in an amount of 0.9 V, which is a range of the previous figures. Due to the fact that VOC emissions are considered as ozone precursors, most of the damage caused by them is related to human health and agriculture (Rypdal et al., 2005). Serbia proves to be an evident case because the inland waterways used for petrochemicals transport are surrounded by the most densely populated urban areas and the most productive agricultural regions. Therefore, a proposal for an improvement of the national environmental policy has been put forward. An introduction of a pollution charge on all of the barges that do not have/use VCS and VRU is a cornerstone of the policy improvement. A realistic situation assessment could be established based on the remark from the EMEP/CORINAIR Emission Inventory Guidebook (2006): “Vapour return/recovery systems are not very common. Sometimes, the controls are installed but not used, according to M. Wyser (pers. communication) inland tankers on the Rhine River are equipped with vapour balancing systems but the systems are not used”. In the new version of the Emission Inventory Guidebook (2009), this sentence is omitted. It could be assumed that the situation on the Rhine has changed for the better. However, the situation in Serbia with barges on the Sava and the Danube Rivers is not comparable. The Serbian barge fleet is very old, and it is reasonable to assume that the barges do not have vapour balancing systems. As results presented in Tables 2 and 3 show VCS can reduce VOC emissions by up to 3 times. On the other hand, large diffuse emissions can be related to the age and maintenance condition of the barges. Emissions from old barges, with poor seals, could be much larger, probably similar to the level of open tank emissions. Based on expert opinion, VOC emissions from old barges may be up to several times higher than emissions from new barges. Despite the fact that some of the neighbouring countries are EU members, it seems justified to assume that a similar situation prevails in all South East and East European countries (Kaldellis, 2007). It may be concluded that the current VOC regulation policy is inadequate. It seems reasonable to assume that the barge's real emissions, from both transit and loading, are higher than the calculated emissions. Higher emissions may occur from old barges, as is common in South and East Europe; most of them are obsolete with poor sealing. Barge modernization and investment in protective equipment is a very slow process even in West Europe (EMEP/CORINAIR, 2006). Therefore, environmental incentive measures are expected to improve the situation.
5. VOC policy improvement Three policy innovations may be considered as potential improvements: 1. The appropriate BAT reference document (BREF) should include the transport sector; 2. Mandatory reporting of VOC emitted during barge transport of crude oil and crude oil derivates; 3. A pollution charge should be introduced on all barges without VCS installed “onboard”. Nowadays, terminals under the IPPC regulation are obligated to use BAT techniques along with mandatory reporting of the emissions. However, the transport between two terminals is not covered by appropriate regulations, such as the “Polluter Pays” principle (Fig. 4). Introducing of a transport sector into the BREF aims at modernizing the fleet and imposing an obligation for the VRU use. Mandatory reporting of the VOC emitted during barge navigation would enable VOC emissions from a barge to be monitored. Simultaneously, mandatory reporting would be introduced for all the local refineries, in order to collect the exact data about potential VOC emissions. The VOC policy improvement may be realised by forcing barge owners to upgrade their barges with VCSs and by the introduction of mandatory reporting of emissions to the authorities (Fig. 5). A VOC charge has also been envisaged. The aim of the measure would be not only to promote the “Polluter Pays” principle, but also to exert pressure on ship-owners to introduce new vessels or to upgrade the existing ones. The weak points of the proposed measures are: A) Including a transport sector policy in the BREF could be a long, time consuming process, but without a real outcome at the end, B) Strengths of mandatory reporting are fast implementation and the use of easy, inexpensive calculation methods, however the weaknesses can be found in an inconsistency of the calculation methods. C) A VOC charge could be a burden to ship-owners. Based on listed characteristics, it could be concluded that no single measure alone would give good results. The best way may be a combination of all three measures with each measure implemented on a separate timeline. The introduction of mandatory reporting to the authorities could be introduced in the first year. On
Fig. 4. Expansion of the “Polluter Pays” principle e a way for improvement of the VOC policy.
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Fig. 5. Policy improvement scheme.
the other hand, an inclusion of transport sector policy into the BREF documents would be a slow process. Between the first and the final year of policy implementation a progressive VOC charge is to be introduced. All ships and barges without a vapour collection system should be obliged to pay an annual VOC charge on a capacity basis via registration procedures. The same economic measure would also be applied to the foreign vessels; however the amount would be calculated by the number of days spent in Serbian waters. For example, if the annual VOC emissions charge for domestic barges would be 120 V per capacity tonne, for a foreign barge that had spent 60 days in Serbian inland waters, it would be 20 V per capacity tonne. If the VOC charge was introduced on the European level, which would be the optimal policy scenario, there would be no need for the national VOC charge on foreign vessels. A penalty for non-use of an existing vapour collection installation on vessels would also have to be introduced as a component of the new policy, on the national, preferably on the international level. Although the proposed VOC charge is unrelated to the exact amount of emissions, it is easy to be implemented and monitored. It is also considered stimulating for an introduction of a new fleet. However, the amount of charge, or the VOC pollution price, must be carefully determined in order to keep barge transport favoured over road and rail transport, but less favoured over pipeline transport. A possibility of making the new instrument progressive remains in a way similar to the German policy for vehicles using leaded petrol (Schnutenhaus, 1995). During the first year, leaded petrol price was increased by several percent, but later it continued to grow. After a while, leaded petrol became too expensive and ceased to be sold. Similarly, in the first year, shipping companies should pay a moderate VOC emission charge on the barges without VCS, but the charge should increase over time. This would give bargeowners time to adjust. After several years, old vessels are expected to be completely decommissioned. Three potential scenarios for the VOC charge introduction are presented in Table 4. The calculations were made upon the average prices of crude oil derivates. The differences between scenarios are in initial levels of charge, but the final charge is same for all three. The “low” scenario allows barge owner longer adaptation time, while the “high” scenario forces them to act more quickly. Based on the proposed policy innovation, a scenario analysis is performed. Each of the proposed measures has different characteristics and purposes. Introduction of the BREF changes could be considered as a long term policy measure due to a formal adoption procedure and the need for a grace period prior to implementation. Alternatively mandatory VOC reporting could be introduced in the short term. Both of the measures could be considered passive. The third measure e introduction of charges for VOCs emissions e
would ensure implementation of all BREF changes and mandatory VOC reporting. It should be noted that the proposed improvements may have potentially wide spatial scale across Europe. The BREF documents are adopted at the EU level and are implemented within national jurisdictions. Mandatory reporting is introduced through the European Pollutant Release and Transfer Register (e-PRTR) and executed by the national environmental protection agencies (collected data are sent to e-PRTR). Pollution charges would be introduced on national levels, ideally in coordination with other countries, at a uniform level. Possible scenarios for the new policy implementation may differ only in the dynamics and in the level of pollution charges. The national policy-makers can control only the envisaged VOC charges, while BREF and mandatory reporting are determined and controlled by the EU. Considering the worst case of the new policy implementation only a few European countries would be willing to introduce the VOC charge. Under the scenario foreign vessels coming from the countries without VOC charges would be obliged to pay higher charges when navigating through the countries with the charges. In that case the petrochemicals transport might be relocated from barges to rail or trucks, and consequently coastal pollution would rise. In the best case scenario all the European countries would introduce the VOC charge simultaneously and uniformly. As a consequence barge-owners would have to renew fleets or upgrade existing barges, so the pollution would be reduced. In the most probable scenario fleet modernization would be a slow, uneven and expensive process. Therefore it is reasonable to assume that it would happen first in the developed countries along with the VOC charge introduction. Over the time, the same level of VOC charges would be introduced in the remaining countries, which would encourage barge-owners to invest in environmental protection, leaving enough time to implement all the remaining measures.
Table 4 VOC emission charge scenarios (V per capacity ton). Years
Low
Medium
High
1 2 3 4 5 6 7 8 9 10
40 60 80 100 120 140 160 180 200 220
80 80 100 100 120 140 160 180 200 220
120 120 120 160 160 180 180 180 200 220
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6. Conclusion Due to its location on one of the most important European inland waterways, the Republic of Serbia is expecting a rapid growth in transportation of crude oil and its derivates by ships and barges. However, most of the vessels in service in South Eastern Europe, as well as in other parts of the world, are obsolete and without built in VCSs. Due to the impact of river transport on coastal environments, and the fact that VOC emissions have been proved to be harmful, the necessity for better regulation seems a policy priority. A case study of petrochemicals transport on Danube in Republic of Serbia was done. Data showed increasing amounts of imported highly volatile substances such as naphtha and raw pyrolysis gasoline. As a result of increased gasoline derivates transportation barge loading and transport losses have increased c ca 22 times during the period between 2006 and 2010. Comparison of estimated emission calculation showed that VCS can reduce VOC emissions by up to 3 times. Based on the Serbian case study, a proposal for innovations in environmental policy has been put forward, alongside with mandatory reporting requirements. All ships and barges without VCS should be obliged to pay an annual VOC charge on a capacity basis as part of registration procedure. The aim of the policy is to promote the “Polluter Pays” principle, and also to impose pressure on ship-owners to introduce new vessels or to upgrade the existing ones. The same economic measure would also be applied to the foreign vessels; however the charge would be calculated by number of days spent in the country's inland waters. The level of charge is envisaged to be progressive: initially low but subsequently higher, in order to finally push vessels without VCS out of service. Three potential scenarios for the VOC charge are presented, which vary according to the charge introducing dynamics. The differences between scenarios are in initial levels of charge, but the final charge is same for all three and it is proposed to be 220 V per capacity ton. A penalty for non-use of the previously installed vapour collecting installations should also be introduced. The new policy is characterised by a broader approach towards VOC polluters and by a strict requirement for mandatory reporting. Acknowledgements The authors are grateful to the Ministry of Education, Science and Technological Development of the Republic of Serbia for the support (grant number TR 34009 and OI 43007). References Ashford, N.A., Caldart, C.C., 2001. Negotiated environmental and occupational health and safety agreements in the United States: lessons for policy. J. Clean. Prod. 9, 99e120. Baumol, W.J., Oates, W.E., 1971. The Use of standards and prices for Protection of the environment. Swed. J. Econ. 73, 42e54. Bhatia, R., Dinwoodie, J., 2004. Daily oil losses in shipping crude oil: measuring crude oil loss rates in daily North Sea shipping operations. Energ. Policy 32, 811e822. bal Andrade, L., Maga n Iglesias, A., Torres Lo pez, R., 2013. Bello Bugallo, P.M., Cristo Integrated environmental permit through best available techniques: evaluation of the fish and seafood canning industry. J. Clean. Prod. 47, 253e264. Cetin, E., Odabasi, M., Seyfioglu, R., 2003. Ambient volatile organic compound (VOC) concentrations around a petrochemical complex and a petroleum refinery. Sci. Total. Environ. 312, 103e112. CONCAWE, 2002. VOC Emissions from Loading Gasoline onto Sea-going Tankers in EU-15: Control Technology and Cost Effectiveness. Report 6/02, Brussels. CONCAWE, 2009. Air Pollutant Emission Estimation Methods for E-PRTR Reporting by Refineries. Report 1/09, Brussels. Corbett, J.J., Fischbeck, P.S., 2000. Emissions from waterborne commerce vessels in United States continental and inland waterways. Environ. Sci. Technol. 34, 3254e3260.
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Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080
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Please cite this article in press as: Mihajlovic, M., et al., Volatile organic compounds (VOC) policy innovation in petrochemicals river barge transportation, Journal of Cleaner Production (2015), http://dx.doi.org/10.1016/j.jclepro.2015.04.080