Canada Propane Association & IHS Markit Release Study Showing Propane Can Be Used Today to Reduce Canadian Carbon Emissions

OTTAWA (May 11, 2022) — A new study on the life-cycle analysis of the greenhouse gas (GHG) emissions intensity of Canadian propane shows that the carbon intensity for propane is 72 gCO₂e/MJ (volume-weighted average), which is lower than what is currently being used by the federal government under the Clean Fuel Regulations (74 gCO₂e/MJ).   

The study was conducted on behalf of the Canadian Propane Association (CPA) by IHS Markit, a division of S&P Global Commodity Insights, an independent firm that provides industry benchmarks, analytics and data to the capital and commodity markets worldwide. 

IHS Markit estimated the GHG intensity of three of the most likely value chains of Canadian propane. They worked with the CPA to identify a representative year and pathway for propane from initial production in Western Canada in the Montney region, through various stages of processing and transportation to Fort Saskatchewan, Alberta and Sarnia, Ontario. 

“This study shows how propane can be used today to reduce emissions,” said Shannon Watt, president and CEO of the Canadian Propane Association. “With further innovation on the horizon, such as renewable propane, low-carbon Canadian propane can serve the energy needs of future generations with even more sustainable solutions.”  

As a low-carbon energy source, propane is recognized by governments around the world for the contribution it can make toward improved indoor and outdoor air quality and reduced greenhouse gas emissions, as evidenced under Canada’s Alternative Fuels Act and the U.S. Clean Air Act.  

No single energy source can solve every environmental challenge. Propane can complement renewable systems to reduce emissions while providing reliable energy. With the advent of renewable propane, the propane industry expects to see a further reduction in emissions intensity, making propane an easy and available way to achieve a clean energy future. 

“Including propane now in policy and programming development in the transition to a lower-carbon economy will immediately reduce GHGs — a critical step in reaching net-zero emissions by 2050 — while maintaining and growing jobs in Canada,” said Watt.  

The IHS Markit study and the CPA summary are available on the CPA website.