A detailed description of each footprint is described under;

• AGL Greenhouse Footprint
• AGL Equity Greenhouse Footprint
• AGL Energy Supply Greenhouse Footprint

Summary

The summary table shows the total annual emissions for the continuing operations of AGL Energy Limited. Figures in brackets represent the emissions previously reported for The Australian Gas Light Company.

The demerger of the gas and electricity distribution networks to Alinta removed two major sources of emissions from the AGL greenhouse inventory.  The emissions for 2005/2006 have been recalculated for AGL Energy Limited to take into account these changes.  The resulting negative emissions total reflects the significant amount of abatement created by our landfill and biogas sites during that year.

AGL’s emissions for 2006/2007 represent an increase from the recalculated total greenhouse emission in 2005/2006.  This is attributable to increased periods of generation by our Somerton and Hallett gas-fired power stations to meet demand.  Emissions also increased due to the acquisition of Powerdirect cogeneration and biomass assets.

The Australian Equity Footprint has increased due to increased generation by Loy Yang Power, the acquisition of Powerdirect generation assets, equity in the Queensland Gas Company and the establishment of the Moranbah Joint Venture.

The Overseas Equity Footprint has increased due to activities undertaken for the PNG
Upstream project. 

The Energy Supply Footprint  emissions have increased from 2005/2006 due to an increase in customer accounts over the period. However, the emissions intensity of AGL’s electricity portfolio remains lower than the published state emission intensity factors.

^*6  Emissions represent those parts of The Australian Gas Light Company which are part of the continuing operations of AGL Energy Ltd.

^*7  A breakdown of the greenhouse emissions from those parts of The Australian Gas Light Company which are part of the continuing operations of AGL Energy Ltd is not considered meaningful for trending and therefore has not been included for 2004/05 and 2003/04.

^*8  Energy Supply Footprint for 2005/06 has been adjusted due to an update in the geographic breakdown of electricity sales for the period.

AGL Footprint

The AGL Footprint ^*9  outlines the emissions associated with fully or partly owned Australian assets and activities over which we have operational control.  It also includes the effect of greenhouse ‘abatement’ or ‘offsets’ – measures that reduce or avoid the emission of greenhouse gases.

The AGL Footprint broadly meets the WBSCD/WRI criteria for operational control for our Australian operations.  AGL utilises the most recent Australian Greenhouse Office (AGO) Factors and Methods Workbook and other factors published by the AGO where appropriate.

AGL Energy Limited began operating following the demerger of The Australian Gas Light Company with Alinta Limited on 26 October 2006.  The AGL Footprint includes emissions from those parts of The Australian Gas Light Company which are part of the continuing operations of AGL Energy Limited for the period 1 July 2006 to 25 October 2006. For the purposes of historical comparison, greenhouse emissions for 2005/06 have been re-estimated to include only those parts of The Australian Gas Light Company which are part of the continuing operations of AGL Energy Limited.

^*9 The footprint includes full year emissions from the continuing operations of AGL Energy Limited.  The basis for emission calculations for each part of the business is set out in each individual section and in the Environmental and Greenhouse Indicators – Calculation Methods and Assurance Outcomes section of the report.

Natural Gas Power Generation and Cogeneration

AGL’s portfolio of wholly owned gas fired generation and cogeneration capacity increased during 2006/07.  During the period AGL owned gas fired electricity generation facilities in Somerton, Victoria and Hallet, South Australia.  As of 1 July 2007, AGL sold the Hallet Power Station and acquired the Torrens Island Power Station.  AGL developed additional cogeneration facilities for customers such as Symex.

From 1 March 2007, AGL took ownership of a range of gas-fired, cogeneration and biomass generation facilities through the acquisition of PowerDirect.  Emissions from these facilities result from the combustion of gas and biomass for electricity generation.  Although AGL took ownership of these assets from 1 March 2007, the emissions reflect the full financial year and have been estimated from records provided by Powerdirect. Actual emissions since AGL ownership
are 29.2 ktCO₂e.

Renewable generation (hydro, wind and solar)

AGL operates hydroelectric power stations in NSW and Victoria, and the Wattle Point Wind Farm in South Australia.  AGL also operates a small diesel/solar generation plant at Wilpena Pound in South Australia.  The emissions result from the use of diesel and electricity imported directly from the national grid at these facilities.  Emissions decreased slightly from 2005/06 primarily due to a reduction in electricity imports to AGL Hydro facilities in particular Dartmouth.

H C Extractions

AGL owns the H C Extractions (HCE) facility at Kurnell, NSW.  HCE produces LPG and naptha from oil refinery waste gas.  The emissions result from the consumption of natural gas and electricity at the facility (32.4 ktCO₂e), as well as purchases of Freon 22 (HCIF2C) (4.5 ktCO₂e).  Freon 22 is a non-Kyoto greenhouse gas. 

Camden Gas Project

AGL has a 50 percent joint venture with Sydney Gas in the Camden Gas Project in NSW.  AGL operates the joint venture.  The emissions result from the use of gas at the Ray Beddoe Treatment Plant and Rosalind Park Gas Plant (12 ktCO₂e).  Fugitive emissions associated with drilling, fraccing and maintenance of coal seam methane wells have not been included in the verified figure of 12 ktCO₂e.  AGL estimate fugitive emissions to represent approximately 2 ktCO₂e.

Landfill and Biogas (renewable generation and flaring)

AGL generates electricity and conducts flaring of methane at landfills and sewage treatment plants in NSW, Victoria, Tasmania and Western Australia.  This figure is AGL’s share of the abatement from the flaring of methane and using methane for the generation of electricity.  The amount of abatement has increased from 2005/06 due mainly to an increase in generation and the commissioning of flaring facilities at Kincumber and Woy Woy.

Buildings, Vehicles and Waste

AGL calculated fuel use by company vehicles for the period October 2006 to June 2007 as
(0.8 ktCO₂e) and from this value we have extrapolated our company vehicle fuel use for the full financial year to be  (1.2 ktCO₂e).Also includes emissions from staff air travel ^*10  (0.84ktCO₂e), electricity used in our offices ^*11  (4.6ktCO₂e), other miscellaneous energy use (5.4ktCO₂e) and emissions from disposal of waste (0.9ktCO₂e).  AGL purchased AGL Green Energy and abatement from our landfills to neutralise all of the emissions from our office electricity use. We also offset
100 percent of estimated greenhouse gas emissions from our company vehicle fuel use.  To avoid double counting this has not been included here.

^*12  Full fuel cycle emission factors for electricity end use, published in the Australian Greenhouse Office Factors and Methods Workbook, December 2006. Factors are provided for context only, as the methodology used to calculate AGL’s emission intensity may differ.

^*13  Energy Supply Footprint for 2005/06 has been adjusted due to an update in the geographic breakdown of electricity sales for the period.

^*14  Energy Supply Footprint for 2005/06 has been adjusted due to an update in the geographic breakdown of electricity sales for the period.

• Verification and Assurance
• Global Reporting Initiative (GRI) Index
• Glossary