EIO-LCA Case Studies

Scott Matthews

Civil and Environmental Engineering

Carnegie Mellon University

EIO-LCA Software

• Internet version http://www.eiolca.net/• About 1 million users to date• About 1,500 registered users

– update notices– other benefits

• First LCA tool completely free on Internet in full version (not a ‘demo’)

Paper vs. Plastic Cups: Comparison of Two Studies

EIO-LCA

18-28

980

100,000 Paper cups

Hocking

19107-8Air emissions [kg]

5,1502,63020-30Electricity [kWh]

100,000 Paper cups

100,000 Plastic cups

100,000 Plastic cups

EIO-LCAHocking

Hocking, M. B. (1991), “Paper versus Polystyrene: A Complex Choice.” Science, Vol. 251, February 1, pp. 504-505.

Lave, L. B., E. Cobas, C. Hendrickson and F. C. McMichael, “Using Input-Output Analysis to Estimate Economy-Wide Discharges,” Environmental Science and Technology, 29(9), pp. 153-161, September 1995.

Example: CDs vs. Paper

• Conference proceedings: switch from paper to CDs

• New: $3 per CD ($1500 for 500 CDs)• Old: 200 pages per person (300 people)

– Double-sided– 60,000 pages @ $0.05/page = $3,000

• Production only

Economic Effects - 2 options

Sector $Pulp mills 3,120Logging 500Industrial chem's 400Wholesale trade 260Sawmills 230Forestry products 150Crude petroleum 140Trucking services 130Electric utilities 130

Sector $Mag. Media 1,500Misc. plastics 250Wholesale trade 170Plastics 110Industrial chem's 80Trucking services 70Elec. Components 60Paper mills 50Electric utilities 50

Paper CDs

Some Environmental Effects

Emission Paper CDs

SO2 35 2Particulates 10 0.1GWP 3000 600RCRA 175 60TRI chems 20 2

(lb)

Analysis• CDs: Win-win scenario• Indirect effects much larger than direct• Small direct effects within industry• Proves supply chain management is critical

for corporate pollution prevention efforts• Need to identify sources of effects• Detailed analysis can show “hot spots”

Using EIO-LCA to Improve Life Cycle Analysis

• You are a pharmaceutical manufacturer• Need to do an LCA of main drug product• You can’t include everything; what is in and what is

out?– Drawing boundaries is an appropriate simplifying step - but it

is an art not a shortcut

• Are you including/excluding the right parts?

Product Comparisons• Need to compare equivalent designs - benefits equal• Manufacturing, O&M, end-of-life costs• Service life/durability/longevity (obsolescence,

technological change)• Valuing environmental burdens (Full Cost

Accounting)• Planning period, discount rate• Discounted, annualized costs

Illustrative Example

• To make your life easier, you focus on your processes’ top 10 ‘direct inputs’– Could get this from product manager,

accounting, other departments

– Assume that your primary inputs are the primary sources of impacts for LCA

• This is a common boundary assumption

Top ‘Direct’ Inputs for Drugs

• Chemicals• Plastics• Electricity• Paperboard/

Boxes• Paper• Trucking

• Printing• Computer Services• Telephone Services• Refined Petroleum

(e.g. gas/diesel)

Actual “Top Ten” Economic Effects (incl. Supply Chain)Sector Econ. ($)

Drugs $150,000

Wholesale trade $90,200

Advertising $75,000

Industrial chemicals $45,000

Miscellaneous plastics $30,000

Real estate mgmt. $21,000

…

…

Accounting & auditing $20,000

Legal services $18,000

Electric utilities $16,000

Repair & maintenance $16,000

Paperboard containers $15,000

Paper mills $14,500

Trucking and courier $14,000

Your ‘direct’ top ten list would have ignored 6 of theactual top ten supply chain sectors (processes) for making drugs.

“per million dollars of output”

What’s Missing?

• Would have only considered local (direct) impacts of purchases– i.e., the items your firm bought

• Would have completely ignored the ‘supply chain effects’ in the industry– i.e. for electricity, would have only

considered local use, not systemwide use

Greenhouse Gas Sources(Total Supply Chain, MT CO2 Equiv.)

Total Local/DirectTotal all sectors 626 306 (49%)Electric services (utilities) 219 96 (44%)Drugs 196 176 (90%)Industrial chemicals 49 23 (47%)Trucking and courier serv. 24 7 (29%)Paper & paperboard mills 19 0.1 (0.5%)Petroleum refining 6 1 (15%)Paperboard boxes 2 1 (50%)Plastics Products 1 1 (100%)

Overall View of Drug Manufacturing Business GWP

There are significant emissionsFrom the support services withinthe firm and also across supply chain

Your initial boundarywould have missed 50+%of greenhouse gases

306219

Lessons Learned• Your perception of ‘what matters’ is biased by

local factors– Overestimates dependence on these items– Underestimates supply chain effects

• Our perceptions of ‘process inputs’ usually are goods not services– Services are not environmentally benign!

• Use EIO-LCA to help you frame your LCA problems and set your boundaries (screening)– Potentially as a starting point for conventional LCA

Reinforced Concrete Product

Aggregates mining

Cement production

Iron ore mining

Reinforcing steel production

Reinforced concrete product

End-of-life

Landfilling

Recycling

RecyclingConcrete production

Electricity

Chemical additives

Coal mining

Lime

Transportation involved

Simplified Process Model Input Requirements for a $2 Reinforced Concrete Product ($1 concrete and $1 steel)

Inputs

Transpor-tation1

Aggregatesmining2

Iron andferroalloy

oresmining

Lime Electricity Coalmining

Chemicaladditives3

Cementproduction

Iron andsteel

production

Concreteproduction

Transportation1 0 0 0 0 0 0 0 0 0.03 0.10Aggregatesmining2

0 0 0 0 0 0 0 0 0 0.12

Iron andferroalloy oresmining

0 0 0 0 0 0 0 0 0.04 0

Lime 0 0 0 0 0 0 0 0 0.005 0Electricity 0 0 0 0 0 0 0 0 0.07 0.04Coal mining 0 0 0 0 0 0 0 0 0.05 0.02Chemicaladditives3

0 0 0 0 0 0 0 0 0.05 0.03

Cementproduction

0 0 0 0 0 0 0 0 0 0.20

Iron and steelproduction

0 0 0 0 0 0 0 0 0 0

Concreteproduction

0 0 0 0 0 0 0 0 0 0

1 Sector used: Motor freight transportation and warehousing2 Sector used: Sand and gravel3 Sector used: Industrial inorganic and organic chemicals

Rows represent inputs into the sectors named at column heads.

Total Requirements Table from EIO-LCA for Inputs of a Reinforced Concrete Product

Rows represent inputs into the sectors named at column heads.

Inputs

Transpor-tation1

Aggregatesmining2

Iron andferroalloy

oresmining

Lime Electricity Coalmining

Chemicaladditives3

Cementproduction

Iron andsteel

production

Concreteproduction

Transportation1 1.19700 0.02556 0.02408 0.05055 0.00984 0.01426 0.02865 0.05523 0.03322 0.10076Aggregatesmining2

0.00010 1.04037 0.00062 0.00124 0.00059 0.00178 0.00022 0.00168 0.00070 0.12402

Iron andferroalloy oresmining

0.00013 0.00046 1.00745 0.00035 0.00021 0.00052 0.00139 0.00215 0.04099 0.00063

Lime 0.00005 0.00008 0.00056 1.00332 0.00013 0.00032 0.00082 0.00017 0.00488 0.00009Electricity 0.01683 0.05801 0.20138 0.08399 1.00861 0.03367 0.05604 0.12515 0.07199 0.04477Coal mining 0.00212 0.00889 0.02507 0.07788 0.11145 1.12447 0.01201 0.10313 0.04676 0.02265Chemicaladditives3

0.00583 0.00892 0.02152 0.01837 0.00582 0.00830 1.25858 0.01621 0.04903 0.03182

Cementproduction

0.00026 0.01429 0.00052 0.00208 0.00074 0.00046 0.00059 1.03467 0.00049 0.19756

Iron and steelproduction

0.00323 0.00963 0.01261 0.00540 0.00491 0.01154 0.00936 0.00601 1.16573 0.00464

Concreteproduction

0.00029 0.00122 0.00071 0.00077 0.00160 0.00057 0.00047 0.00091 0.00092 1.01104

1 Sector used: Motor freight transportation and warehousing2 Sector used: Sand and gravel3 Sector used: Industrial inorganic and organic chemicals

Inputs for a $2 Reinforced Concrete Product

• steel $1.17• concrete $1.01• cement $0.20• electricity $0.15 • trucking services $0.13• sand and gravel $0.12• chemicals $0.08 • coal mining $0.07 • iron ore mining $0.04• lime $0.005

• wholesale trade $0.10• banking $0.02• advertising $0.02• maintenance $0.02• computer services $0.01• eating places $0.008• air transportation $0.008• hotels $0.007• construction machines $0.004• paper $0.004• aluminum $0.003• plastics $0.003• postal services $0.003• fertilizers $0.001• meat $0.0003

RCRA Hazardous Waste Generators for $150,000 of Reinforced Concrete Using the Simplified Process Model

Sector RCRA hazardouswaste generated [kg]

% of total

Blast furnaces and steel mills 1,953 71Industrial inorganic and organic chemicals 471 17Cement, hydraulic 291 11Motor freight transportation 25 1Electric services (utilities) 19 1Iron and ferroalloy ores mining 0.3 0.01Coal mining 0.1 0.004Sand and gravel 0.03 0.001Ready-mixed concrete 0.02 0.001Lime 0.005 0.0002Total 2,759 100

Numbers may not add up due to rounding.

Top 10 RCRA Hazardous Waste Generators for a $150,000 of Reinforced Concrete Using EIO-LCA

Sector RCRA hazardouswaste generated [kg]

% of total

*Chemicals and chemical preparations, n.e.c. 2,312 27Blast furnaces and steel mills 2,297 27*Petroleum refining 2,053 24Industrial inorganic and organic chemicals 524 6Cement, hydraulic 285 3*Primary nonferrous metals, n.e.c. 215 3*Sanitary services, steam supply and irrigation 147 2*Small arms ammunition 144 2*Plastics materials and resins 94 1*Semiconductors and related devices 50 1All other 509 sectors 307 4Total 8,428 100

*Not included in the simplified process model.Numbers may not add up due to rounding.