Fiji GeorgeFiji GeorgeManager, EH&SManager, EH&S——Pipeline GroupPipeline Group

Greenhouse GasGreenhouse Gas——Policy and Policy and Technical considerationsTechnical considerations

February 9, 2007February 9, 2007Houston, TexasHouston, Texas

2

Cautionary Statement RegardingCautionary Statement RegardingForwardForward--looking Statementslooking Statements

This presentation includes forward-looking statements and projections, made in reliance on the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The company has made every reasonable effort to ensure that the information and assumptions on which these statements and projections are based are current, reasonable, and complete. However, a variety of factors could cause actual results to differ materially from the projections, anticipated results or other expectations expressed in this presentation, including, without limitation, changes in commodity prices for oil, natural gas, and power and relevant basis spreads; general economic and weather conditions in geographic regions or markets served by the company and its affiliates, or where operations of the company and its affiliates are located; the uncertainties associated with governmental regulation; competition; and other factors described in the company’s (and its affiliates’) Securities and Exchange Commission filings. While the company makes these statements and projections in good faith, neither the company nor its management can guarantee that anticipated future results will be achieved. Reference must be made to those filings for additional important factors that may affect actual results. The company assumes no obligation to publicly update or revise any forward-looking statements made herein or any other forward-looking statements made by the company, whether as a result of new information, future events, or otherwise.

3

Our PurposeOur Purpose

El Paso Corporation provides El Paso Corporation provides natural gas and related energy natural gas and related energy

products in a safe, efficient, and products in a safe, efficient, and dependable mannerdependable manner

4

Congress and Climate ChangeCongress and Climate Change

105thCongress

('97-98)

106thCongress

('99-00)

107thCongress

('01-02)

108thCongress('03-

04)

109thCongress

('05-06)

No. of Climate Related ProposalsNo. of Climate Related Proposals

77

2525

80809696

106106

5

CongressCongress

■■ Sen. ReidSen. Reid’’s S.6 s S.6 ““markermarker””■■ Speaker PelosiSpeaker Pelosi’’s inauguration address and intents inauguration address and intent■■ Barbara Boxer to Chair EPWBarbara Boxer to Chair EPW

•• Created two sub committees on Global Warming and another for airCreated two sub committees on Global Warming and another for air pollutionpollution•• HearingsHearings——Jan 30, 2007 Jan 30, 2007

■■ Sen. Bingaman chairs the Energy CommitteeSen. Bingaman chairs the Energy Committee•• Discussion Draft bill is outDiscussion Draft bill is out•• HearingsHearings——Jan 24, 2007Jan 24, 2007

■■ Sen. McCain on record to reSen. McCain on record to re--introduce his billintroduce his bill•• SensSens. Clinton & . Clinton & ObamaObama are coare co--sponsorssponsors

■■ Rep. John Dingell chairs Energy and Commerce committeeRep. John Dingell chairs Energy and Commerce committee■■ House Select Committee on Energy Independence and Global WarmingHouse Select Committee on Energy Independence and Global Warming

•• Rep. Ed Markey likely chairRep. Ed Markey likely chair

6

Federal OutlookFederal Outlook

■■ Congressional momentum buildingCongressional momentum building•• Several GHG billsSeveral GHG bills

■■ Bill designs varyBill designs vary•• Direct regulation of emissions (downstream)Direct regulation of emissions (downstream)

■■ McCainMcCain--Liebermann, Carper, Feinstein and JeffordsLiebermann, Carper, Feinstein and Jeffords•• Direct regulation of throughput (upstream)Direct regulation of throughput (upstream)

■■ Bingaman, UdallBingaman, Udall--PetriPetri

■■ 2007 debates and hearings2007 debates and hearings■■ EPW versus Energy CommitteeEPW versus Energy Committee■■ PresidentPresident’’s vetos veto■■ Focus seems to have shifted to design issuesFocus seems to have shifted to design issues

7

Regional Greenhouse Gas InitiativeRegional Greenhouse Gas Initiative

■■ RGGIRGGI——Final Model rule released onFinal Model rule released onAugust 15, 2006August 15, 2006

•• First regional mandatory First regional mandatory ““cap and tradecap and trade””GHG (CO2) program in 7 northeasternGHG (CO2) program in 7 northeastern

•• States crafting rulesStates crafting rules

■■NY and VT may take aggressive actionsNY and VT may take aggressive actionson allowanceson allowances

•• Offsets are permittedOffsets are permitted

■■Natural Gas Sector dropped in the final ruleNatural Gas Sector dropped in the final rule

8

CaliforniaCalifornia

■■ Global Warming Solutions Act of 2006 (AB 32)Global Warming Solutions Act of 2006 (AB 32)•• 25% reduction to bring emissions down to 1990 levels by 2020 25% reduction to bring emissions down to 1990 levels by 2020 •• Adopt mandatory reporting by Jan 1, 2008 for Adopt mandatory reporting by Jan 1, 2008 for ““sources that sources that

contribute the mostcontribute the most””•• Develop statewide limit by January 1, 2008Develop statewide limit by January 1, 2008•• Early action project list by June 30, 2007Early action project list by June 30, 2007•• Early action regulations by January 2010Early action regulations by January 2010•• Final rules to be adopted by January 1, 2011 and enforced by Final rules to be adopted by January 1, 2011 and enforced by

January 1, 2012January 1, 2012

■■ SB 1368SB 1368•• Establishes GHG standards equivalent to rates from a NGCC for Establishes GHG standards equivalent to rates from a NGCC for

baseloadbaseload generation or (1,000 lbs. CO2/MWh)generation or (1,000 lbs. CO2/MWh)

9

State Regulatory/Legislative UpdateState Regulatory/Legislative Update

■■ ArizonaArizona•• Executive order to reduce GHG to 2000 levels by 2020Executive order to reduce GHG to 2000 levels by 2020•• 50% reduction by 204050% reduction by 2040

■■ New Mexico New Mexico •• Executive order to reduce GHG by 10% of 2000 levels by 2020Executive order to reduce GHG by 10% of 2000 levels by 2020

■■ North Carolina/New Mexico/Oregon /Colorado/IllinoisNorth Carolina/New Mexico/Oregon /Colorado/Illinois•• Established commissions to review GHG issues and develop a reporEstablished commissions to review GHG issues and develop a report on t on

recommendations for an appropriate path forward.recommendations for an appropriate path forward.•• New Mexico and IL joined CCXNew Mexico and IL joined CCX

■■ MassachusettsMassachusetts•• First mandatory program in the US for CO2 reductions from power First mandatory program in the US for CO2 reductions from power plantsplants

10

Natural GasNatural Gas——Part of a Low Part of a Low Carb[onCarb[on] Diet!] Diet!

■■ AdvantagesAdvantages

•• Natural gas = lowest Carbon intensity emitting fossil fuelNatural gas = lowest Carbon intensity emitting fossil fuel

•• Natural gas = highest efficiencyNatural gas = highest efficiency

•• Natural gas = lowest capital infrastructure/riskNatural gas = lowest capital infrastructure/risk

■■ Advantages equate to a delivered Advantages equate to a delivered ““breakeven fuel price breakeven fuel price premiumpremium””

•• A delivered fuel premium is the additional natural gas A delivered fuel premium is the additional natural gas priceprice thethe consumer is willing to pay aboveconsumer is willing to pay above the delivered coal the delivered coal price and still have the same price and still have the same busbarbusbar cost for both coal and cost for both coal and NGCC optionsNGCC options. .

11

Total Cost of ElectricityTotal Cost of Electricity——20062006

$83.32

$55.02

$73.68

$-

$10.00

$20.00

$30.00

$40.00

$50.00

$60.00

$70.00

$80.00

$90.00

NGCC PC IGCC

$/$/MWhMWh

Dispatch Cost Fixed Cost Total Cost

12

$5.58$5.06

$4.38

$5.60

$4.44 $4.64

$-

$1.00

$2.00

$3.00

$4.00

$5.00

$6.00

$7.00

$8.00

PC IGCC PC IGCC PC IGCC PC IGCC PC IGCC PC IGCC

Base caseBase case——Carbon TaxCarbon TaxBreakeven Delivered Gas PremiumBreakeven Delivered Gas Premium

CriteriaCriteria NGCCNGCC SCPCSCPC IGCCIGCC

CAPEX ($/CAPEX ($/kwkw)) 800800 16001600 2,2002,2009,9009,900Heat Rate (Heat Rate (btu/kwhbtu/kwh)) 7,5007,500 9,2009,200

Capital Cost Efficiency & Env tax Fuel Price Differential

$/MMBtu (2006$)$/MMBtu (2006$)

20062006 20102010 20152015 20202020 20252025 20302030

$3.34

$7.23

$3.57

$6.57

$4.19

$6.08

$4.47

$5.53

$4.79

$5.53

$4.85 $5.33

Note: Assumes $6.00/ton CO2 Carbon Tax in 2013

13

$5.60

$4.38$4.44 $4.64

$5.06$5.58

$-

$1.00

$2.00

$3.00

$4.00

$5.00

$6.00

$7.00

$8.00

$9.00

$10.00

PC IGCC PC IGCC PC IGCC PC IGCC PC IGCC PC IGCC

Continued High Construction CostContinued High Construction CostBreakeven Delivered Gas PremiumBreakeven Delivered Gas Premium

CriteriaCriteria NGCCNGCC SCPCSCPC IGCCIGCC

CapexCapex ($/($/kwkw)) 900900 2,1002,100 3,0003,000Heat rate (Btu/Heat rate (Btu/kwhkwh)) 7,5007,500 9,2009,200 9,9009,900

Note: Assumes $6.00/ton CO2 Carbon Tax in 2013

20062006 20102010 20152015 20202020 20252025 20302030

$/MMBtu (2006$)$/MMBtu (2006$)

$4.21

$9.47

$4.43

$8.50

$5.17

$7.77

$5.58

$7.07

$5.97

$7.06

$6.05$6.79

Capital Cost Efficiency & Env tax Fuel Price Differential

14

Total Cost of ElectricityTotal Cost of Electricity

$77.45$64.62$68.05

$-

$20.00

$40.00

$60.00

$80.00

$100.00

NGCC PC IGCC

$/$/MWhMWh

Dispatch Cost Fixed Cost Total Cost

$96.37

$78.76$75.55

$-

$20.00

$40.00

$60.00

$80.00

$100.00

NGCC PC IGCC

High Construction Cost High Construction Cost Case 2015Case 2015

Base Case 2015Base Case 2015

15

The Natural Gas The Natural Gas ““BridgeBridge””

■■ Technology uncertaintyTechnology uncertainty

•• IGCC has promise in the future but limited experienceIGCC has promise in the future but limited experience

•• ““True CostsTrue Costs””——Cost run ups on existing Cost run ups on existing SCPCsSCPCs

■■ Regulatory uncertaintyRegulatory uncertainty

•• Structure of future carbon regulationStructure of future carbon regulation

■■ Natural gas infrastructure can be used with current or Natural gas infrastructure can be used with current or future technologies to mitigate carbonfuture technologies to mitigate carbon

■■ Therefore, natural gas provides the Therefore, natural gas provides the ““bridgebridge”” between between current and future carbon mitigation policiescurrent and future carbon mitigation policies

16

Carbon Constrained PolicyCarbon Constrained Policy

■■ Use Natural gas as a Use Natural gas as a ““bridgebridge””•• Recognize the Recognize the ““breakeven fuel pricebreakeven fuel price”” natural gas advantagesnatural gas advantages•• Natural gas is part of the solutionNatural gas is part of the solution

■■ Consider Consider MinemouthMinemouth coal gasification with coal gasification with methanationmethanation■■ Use of abundant coal reservesUse of abundant coal reserves■■ Gasification converts coal into cleanGasification converts coal into clean--burning synthetic gas (syngas)burning synthetic gas (syngas)■■ Methanation converts lowMethanation converts low--Btu syngas into pipeline quality gas ready to Btu syngas into pipeline quality gas ready to

be transported via existing natural gas pipeline infrastructure be transported via existing natural gas pipeline infrastructure to a to a multitude of endmultitude of end--usersusers

■■ Optimizes energy security, prices with environmental consideratiOptimizes energy security, prices with environmental considerationsons■■ R&D and Title XVII Loan Guarantee supportR&D and Title XVII Loan Guarantee support

■■ Need a balanced energy portfolioNeed a balanced energy portfolio

1717

GasifierGasifier Air Separation Air Separation Unit (ASU)Unit (ASU)

Gas CleanupGas Cleanup

MarketableByproducts GeneratorsGenerators

MethanationMethanation

PipelinePipeline

HomesHomes CommercCommercial Sitesial Sites

FeedstockFeedstock

Industrial Industrial PlantsPlants

GasGas--Fired Fired Power Power PlantsPlants

Vitrified Solids

OxygenOxygen

Gasification Process Generation Option

Methanation Option

18

2004 Emissions Profile2004 Emissions Profile

COCO2 2 from Coalfrom CoalCombustionCombustion

29%29%

Methane (Landfill, Ag.,Methane (Landfill, Ag.,Mining, Gas)Mining, Gas)

8%8%COCO2 2 from Process andfrom Process and

NonNon--energy useenergy use4%4%

HFC, PFC, SF6HFC, PFC, SF62%2%

NN22O (Soil Mgmt.,O (Soil Mgmt.,CombustionCombustion

5%5%

COCO2 2 from Gasfrom GasCombustionCombustion

17%17%

CO2 from OilCombustion

35%

U.S. GHG Emissions byU.S. GHG Emissions byFuel/SourceFuel/Source——20042004

■ Natural Gas combustion ~ 17% of U.S. CO2eq emissions■ Natural Gas Industry Share ~ 3%

ProductionProductionProcessingProcessingTransmission and StorageTransmission and StorageDistributionDistribution

Gas Industry TotalGas Industry Total

U.S. TotalU.S. Total

Gas Industry Share of U.SGas Industry Share of U.S..

45.945.920.020.034.834.8

––100.7100.7

5,988.05,988.0

1.71.7%%

39.339.314.014.038.438.427.127.1

118.8118.8

556.7556.7

21.321.3%%

––––––––––

529.8529.8

0.00.0%%

85.285.234.034.073.273.227.127.1

219.5219.5

7,074.57,074.5

3.13.1%%

COCO22 CH4CH4OtherOtherGasesGases

TotalTotalCOCO22

Equiv.Equiv.

Source: INGAA

(Million tonnes)

19Source: INGAA

U.S. GHG Emissions by Fuel and SectorU.S. GHG Emissions by Fuel and Sector——20042004

Emissions related to electricity generation are shown Emissions related to electricity generation are shown twicetwice in this chart: once in in this chart: once in the the ““PowerPower”” sector and once as reallocated to the sector insector and once as reallocated to the sector in

which the electricity is used.which the electricity is used.

0

500

1,000

1,500

2,000

2,500

Residential Commercial Agriculture Industrial Transportation Power

Sector

MM

T C

O2e

q

Reallocated ElectricityReallocated ElectricityHFC, PFC, SF6HFC, PFC, SF6MethaneMethaneN2ON2ONonNon--Energy CO2Energy CO2CO2 from CoalCO2 from CoalCO2 from OilCO2 from OilCO2 from GasCO2 from Gas

20

El Paso CorporateEl Paso Corporate——Greenhouse Gas and Greenhouse Gas and Air Quality CommitmentAir Quality Commitment

■■ Commitment statementCommitment statement

•• http://elpaso.com/profile/mainneighbor.shtmhttp://elpaso.com/profile/mainneighbor.shtm

■■ Executive Committee and Board oversightExecutive Committee and Board oversight

■■ CrossCross--functional GHG team functional GHG team

■■ Leadership positions at Trade AssociationsLeadership positions at Trade Associations

•• Directing policy development, emissions Directing policy development, emissions quantification, research and technical protocol quantification, research and technical protocol developmentdevelopment

21

El Paso Pipeline GroupEl Paso Pipeline Group——GHG 2005 GHG 2005 Emissions ProfileEmissions Profile

Note: El Paso Pipeline Group Emission Estimates verified under CCAR Protocols

El PasoPipeline Group—2005

Estimated Emissions = 15.6 MM tonnes of CO2eq

40.040.0

40.7

14.514.5

1.11.1 3.63.6StationaryStationaryFugitiveFugitiveVentedVentedMobileMobileIndirectIndirect

22

El Paso Pipeline El Paso Pipeline -- GHG Quantification GHG Quantification Efforts (Background)Efforts (Background)

■■ Carbon footprint development efforts initiated in 2004Carbon footprint development efforts initiated in 2004

■■ Initial GHG emissions inventory of 2004 emissionsInitial GHG emissions inventory of 2004 emissions

■■ 2005 GHG emissions inventory undergoing audit by2005 GHG emissions inventory undergoing audit bythird partythird party

■■ Greenhouse gases of concernGreenhouse gases of concern

•• Carbon dioxide (COCarbon dioxide (CO22))——Primarily from combustion sourcesPrimarily from combustion sources

•• Methane (CHMethane (CH44))——Primarily from fugitive and vented sourcesPrimarily from fugitive and vented sources

•• Nitrous Oxide (NNitrous Oxide (N22O)O)——Primarily from combustion sources; Primarily from combustion sources; insignificant contributorinsignificant contributor

23

GHG Estimation GuidelinesGHG Estimation Guidelines

■■ Industry specificIndustry specific•• Interstate Natural Gas Association of America Interstate Natural Gas Association of America

(INGAA) Greenhouse Gas Emissions Estimation (INGAA) Greenhouse Gas Emissions Estimation Guidelines for natural gas transmission and Guidelines for natural gas transmission and storagestorage

■■ GeneralGeneral•• California Climate Action Registry (CCAR) general California Climate Action Registry (CCAR) general

reporting protocol reporting protocol •• 1605(b) General Guidelines for Voluntary 1605(b) General Guidelines for Voluntary

Reporting of greenhouse gasesReporting of greenhouse gases

24

GHG Emission Categories and SourcesGHG Emission Categories and Sources

Direct EmissionsDirect Emissions■■ Combustion Combustion

•• Reciprocating IC enginesReciprocating IC engines•• TurbinesTurbines•• Process heatersProcess heaters•• Process boilersProcess boilers

■■ Mobile combustionMobile combustion•• Vehicle fleetVehicle fleet•• Aviation fleetAviation fleet

■■ VentedVented•• NG blowdowns NG blowdowns •• Dehydrators Dehydrators •• Amine units Amine units •• Pneumatic devicesPneumatic devices•• PumpsPumps

Direct Emissions (cont.)Direct Emissions (cont.)■■ FugitiveFugitive

•• Transmission and Gathering PipelinesTransmission and Gathering Pipelines•• Compressor/Storage Station Piping Compressor/Storage Station Piping

ComponentsComponents•• Reciprocal and Centrifugal CompressorsReciprocal and Centrifugal Compressors•• M&R StationsM&R Stations•• Storage WellsStorage Wells

Indirect EmissionsIndirect Emissions■■ Generation of electricity used by:Generation of electricity used by:

•• Stations/office buildingsStations/office buildings•• Electric driven compressorsElectric driven compressors

25

GHG Estimates and UncertaintyGHG Estimates and Uncertainty

■■ Accuracy of emission estimates depends upon Accuracy of emission estimates depends upon on the following: on the following:

•• Calculation methodology/tierCalculation methodology/tier

■■ Availability of equipment detail informationAvailability of equipment detail information(engine combustion cycle, etc.)(engine combustion cycle, etc.)

•• Accuracy of activity data (e.g., fuel usage, Accuracy of activity data (e.g., fuel usage, blowdown volumes, component count,blowdown volumes, component count,electric usage)electric usage)

•• Accuracy of emission factorsAccuracy of emission factors

26

Uncertainty IssuesUncertainty Issues——CombustionCombustion

■■ Most accurate Most accurate ■■ Activity data: fuel consumption and composition Activity data: fuel consumption and composition

•• Good activity data for large unitsGood activity data for large units(compression engines and turbines)(compression engines and turbines)

•• Good activity data may not be available forGood activity data may not be available forsmaller combustion units (boilers, heaters,smaller combustion units (boilers, heaters,auxiliary engines)auxiliary engines)■■ Simplify methodologySimplify methodology

■■ Emission calculation principle: conversion of fuel Emission calculation principle: conversion of fuel carbon to COcarbon to CO22 based on stoichiometrybased on stoichiometry

27

Uncertainty IssuesUncertainty Issues——VentedVented

■■ Activity data: Activity data: •• Blowdown volumes Blowdown volumes •• Count of pneumatic devices and gas driven pumpsCount of pneumatic devices and gas driven pumps•• Vented gas compositionVented gas composition

■■ Emission factorsEmission factors•• Calculations based on mass balance (blowdowns)Calculations based on mass balance (blowdowns)•• Industry factors for pneumatic devices/pumpsIndustry factors for pneumatic devices/pumps

■■ Uncertainty issues:Uncertainty issues:•• Good information on vented gas qualityGood information on vented gas quality•• May not capture all small blowdownsMay not capture all small blowdowns•• Unknown actual count of pneumatic devices and/or pumpsUnknown actual count of pneumatic devices and/or pumps•• Industry factors developed more than a decade ago, may not repreIndustry factors developed more than a decade ago, may not represent current sent current

industry standardsindustry standards

28

Uncertainty IssuesUncertainty Issues——FugitivesFugitives

■■ Activity dataActivity data•• Component count Component count •• Gas compositionGas composition

■■ Emission factorsEmission factors•• Industry emission factorsIndustry emission factors

■■ Uncertainty issuesUncertainty issues•• Good data on gas compositionGood data on gas composition•• Unknown actual component count/typeUnknown actual component count/type•• Industry emission factors may be outdated Industry emission factors may be outdated

29

Uncertainty IssuesUncertainty Issues——Mobile CombustionMobile Combustion

■■ Vehicle fleetVehicle fleet•• Activity data: vehicle count, type, year, fuel type, fuel consumActivity data: vehicle count, type, year, fuel type, fuel consumption ption •• Emission factors in general reporting protocolsEmission factors in general reporting protocols

■■ Uncertainty issuesUncertainty issues•• Incomplete activity data, including most needed fuel consumptionIncomplete activity data, including most needed fuel consumption•• No mandatory requirements to track the activity dataNo mandatory requirements to track the activity data•• Assumptions for missing information: Vehicle type, year, fuel tyAssumptions for missing information: Vehicle type, year, fuel type, pe,

mileagemileage•• Emission factors for COEmission factors for CO22 per gallon of fuelper gallon of fuel

■■ Conversion of mileage to gallons based on assumed efficienciesConversion of mileage to gallons based on assumed efficiencies

30

Uncertainty IssuesUncertainty Issues——IndirectsIndirects

■■ Activity data: kWh usage, facility location (state/egrid)Activity data: kWh usage, facility location (state/egrid)

■■ Emission factors: General reporting protocolsEmission factors: General reporting protocols

■■ IssuesIssues

•• Electricity usage typically tracked on $$ basis and not Electricity usage typically tracked on $$ basis and not kWhrs; will have to covert dollars to kWhr introducing kWhrs; will have to covert dollars to kWhr introducing additional uncertaintyadditional uncertainty

•• Electricity cost not separated from other utilitiesElectricity cost not separated from other utilities

•• Large number of sources; some along a pipelineLarge number of sources; some along a pipeline(may not be able to determine location in the egrid)(may not be able to determine location in the egrid)

31

Efforts to Reduce UncertaintyEfforts to Reduce Uncertainty

■■ Activity data:Activity data:•• Level of effort is underestimatedLevel of effort is underestimated•• Focus on improvement of data quality and collection Focus on improvement of data quality and collection

processprocess•• Recommend development of a process manual or Recommend development of a process manual or

““Inventory Management PlanInventory Management Plan”” to document processesto document processes•• Development of databases to handle emissions estimationDevelopment of databases to handle emissions estimation

■■ Emission factors:Emission factors:•• Develop emission factors mainly in the fugitive and vented Develop emission factors mainly in the fugitive and vented

category to replace outdated industry factorscategory to replace outdated industry factors

32

Emission Factor Improvements:Emission Factor Improvements:Industry EffortsIndustry Efforts

■■ Joint APIJoint API--AGA and INGAA projectAGA and INGAA project■■ Review readily available GHG EF publicationsReview readily available GHG EF publications

•• ~1700 EFs from 23 documents~1700 EFs from 23 documents■■ Study conclusions:Study conclusions:

•• For transmission sector, the EPA/GRI Study remains the For transmission sector, the EPA/GRI Study remains the primary referenceprimary reference

•• Intent of the EPA/GRI focused on development of national Intent of the EPA/GRI focused on development of national level inventorieslevel inventories

•• Some Emission factor and uncertainties may not be Some Emission factor and uncertainties may not be applicable due to change in equipment and/or operationsapplicable due to change in equipment and/or operations

•• In some cases, alternative or additional EFIn some cases, alternative or additional EF——Activity data Activity data pairings may better reflect current operationspairings may better reflect current operations

33

Results: 15 Largest Contributors to CH4 Emissions Results: 15 Largest Contributors to CH4 Emissions Uncertainty for Transmission & Storage EFsUncertainty for Transmission & Storage EFs

DRAFTNG Ind

RankIndustry Segment Emissions Source

Source Type

EF Uncert (90% CI)

1992 Emissions

(MMscf)

Emissions Uncertainty

(MMscf) Notes

3 T&S Comp Station Venting Vent 262% 11,526 30,199 GHGCalc 2001 (A)4 T&S Pipleline Venting/ Blowdowns Vent 236% 11,664 27,528 GHGCalc 2001 (A)5 Trans Recip Comp Fug 65% 37,733 24,527 GRI/EPA 1996

17 T&S Pneumatic Devices Vent 44% 14,145 6,224 GRI/EPA 1996 (B)(B1)18 Trans Comp Station non-comp equip Fug 102% 5,447 5,556 GRI/EPA 199620 Storage Recip Comp Fug 48% 10,759 5,165 GRI/EPA 199622 Storage Comp Station non-comp equip Fug 100% 3,729 3,729 GRI/EPA 1996

24 Trans M&R Station: Trans Co. Interconnects Fug 80% 3,683 2,947 GRI/EPA 1996

26 Trans Cent Comp Fug 34% 7,533 2,561 GRI/EPA 1996

40 Trans M&R Station: Farm Taps & Direct Sales Fug 80% 827 662 GRI/EPA 1996

44 Storage Wells Fug 76% 752 572 GRI/EPA 199645 Storage Cent Comp Fug 34% 1,518 516 GRI/EPA 199646 Trans Recip Comp Exhaust Comb 5% 9,691 485 GRI/EPA 199649 Storage Dehydrators - no pump Vent 160% 234 375 GRI/EPA 1996 (B)(B2)57 Trans Dehydrators - no pump Vent 208% 102 212 GRI/EPA 1996 (B)(B2)

Emission ranked by uncertainty (SCF) based on Emission ranked by uncertainty (SCF) based on ’’92 inventory from GRI study92 inventory from GRI study

A. Assumed GRI/EPA 1996 EF uncertainty.B. EF based on assumed equipment population. More specific EFs are listed for:

B1. Cont & intermittent bleed; turbine, piston displacement, & rotary vane displacement operators, low bleed,P dependent.

B2. Dehys with flash tanks, combustion controls, and stripping gas.

Fiji GeorgeFiji GeorgeManager, EH&SManager, EH&S——Pipeline GroupPipeline Group

Greenhouse GasGreenhouse Gas——Policy and Policy and Technical considerationsTechnical considerations

February 9, 2007February 9, 2007Houston, TexasHouston, Texas