Agenda Packet 5-22-19 Work Session

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Eugene CAP2.0 as related to Climate Recovery Ordinance Targets and Goals Page 2 Eugene Community’s Sector-based and Consumption-based GHG Inventories. Note: Good Company’s interpretation of the CRO GHG Goal should be considered preliminary and subject to change. For the purpose of the analysis conducted and presented in this memo the following was assumed: •CRO fossil fuel targets are based on the fossil fuels combusted within the City’s geographic boundary plus fossil fuels used to generate electricity that serves retail load within the City’s Urban Growth Boundary. •Fossil fuel use for electricity is calculated based on EWEB’s current and planned (2017 IERP update) supply contracts (market-based electricity accounting). EWEB’s utility-specific GHG emissions factor (GHGs / MWh) is provided by Oregon Department of Environmental Quality (ODEQ). ODEQ does not provide a corresponding fossil fuel use factor (MMBTU / MWh) for EWEB, so one was calculated using ODEQ’s GHG factor and using natural gas electricity generation as a proxy. •CRO GHG emissions reduction goals are calculated using 2016 as the baseline year with annual reductions of 7.6% applied to the prior year, not the baseline year; out to 2100. This rate of reduction is applied to sector-based and consumption-based emissions. Note: The fossil fuel use targets and GHG goals have different reduction rates therefore there are slight differences between fossil fuel use and Sector-based GHG graphics in this memo. Relationship Between GHG Inventories and CRO Fossil Fuel Target Figure 1 shows the relationship between the two types of GHG inventories conducted for the Eugene community (Sector-based and Consumption-based) and Eugene’s CRO Fossil Fuel Target. As can be seen, the CRO Fossil Fuel Target (CRO Target) is a subset of the Sector-based emissions inventory (SBEI), which is a subset of the Consumption-based emissions inventory (CBEI). The two types of inventories conducted for Eugene is consistent with the State of Oregon’s reporting approach. The two inventory types include: •Sector-based GHG Inventory (or local GHG emissions) include GHGs from local fossil fuel combustion (homes and cars) in addition to other local sources of community GHG emissions (e.g. refrigerant gas leaks, landfill methane, etc.). Sector-based emissions are a subset of the largest boundary, Consumption-based emissions. o Local fossil fuel use is the biggest contributor to the communities Sector-based GHGs (~90%). This boundary is accounted for separately to align with the CRO’s fossil fuel targets. •Consumption-based GHG Inventory (or local + imported GHG emissions) include local, Sector- based emissions in addition to “imported” GHG emissions. The imported fraction accounts for GHGs generated elsewhere to produce and transport the goods and food consumed locally in Eugene. Consumption-based GHG inventories are more comprehensive view of the Eugene community’s GHG emissions compared to a Sector-based GHG inventory but are also more difficult to accurately account for over time (to track progress towards goals) and the sources of emissions are outside of the Eugene community’s direct control which makes taking action to reduce these actions more challenging. May 22, 2019, Work Session – Item 1