Energy and Emissions

The world currently relies on hydrocarbons to reliably meet energy needs, but we recognize and expect that future energy demand will continue to be met in part by a growing proportion of renewable energy sources. While continuing to deliver natural gas solutions, the Company pursues and will continue to pursue opportunities that benefit the global effort to address climate change, including:

• Identifying economic energy and emissions reduction opportunities in our operations;
• Identifying energy efficient procurement opportunities; and
• Exploring new low-carbon energy product and service solutions.

In early 2020, Management established an Environmental Assessment Committee responsible for:

• Identifying opportunities to enhance environmental performance across Enerflex’s facilities and fleet.
• Helping achieve the Company's 2020 goal of quantifying its global Scope 1 and Scope 2 GHG emissions inventory.
• Expanding collaboration across our organization and operations to identify and evaluate key environmental risks and opportunities for our business.
• Helping develop ESG disclosures to be responsive to stakeholder expectations.

Throughout 2020, climate-related risks and opportunities were further integrated into Enerflex’s strategic planning and investment decisions. In early 2021, the Board appointed a Chief Energy Transition Officer, responsible for progressing the Company’s energy transition strategy, and identifying, evaluating, and driving low-carbon energy product and service solutions.

Global Scope 1 and 2 Emissions1		SASB CODE
Gross global Scope 1 emissions (TCO2e)	2,390,000	EM-MD-110a.1
Global Scope 1 emissions (by business segment) (TCO2e)		n/a
•    Engineered Systems	180	n/a
•    Service	40,300	n/a
•    Rentals	2,350,000	n/a
Percentage methane (CH4)	15.8%	EM-MD-110a.1
Gross global Scope 2 emissions (TCO2e)	11,100	n/a
Combined gross global Scope 1 and 2 emissions (TCO2e)	2,400,000	n/a
Scope 1 and 2 emissions intensity per revenue (TCO2e/$M revenue)	1,881	n/a
Discussion of emissions management	See the "Description of the Business – Environmental Protection and Emissions" section of AIF2	EM-MD-110a.2 EM-SV-110a.2

 

Energy Consumption3		SASB CODE
Total fuel consumed (GJ)	35,620,000	EM-SV-110a.1
•    Percentage renewable	0%	EM-SV-110a.1
•    Percentage used in on-road equipment and vehicles	0.5%	EM-SV-110a.1
•    Percentage used in off-road equipment	99.5%	EM-SV-110a.1
Percentage of engines in service that meet Tier 4 compliance for non-road diesel engine emissions	54.5%4	EM-SV-110a.3
Total electricity consumed (MWh)	16,500	n/a
•    Percentage renewable5	39.8%	n/a
Combined energy (fuel and electricity) consumed (MWh)	9,910,000	n/a

 

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¹ Enerflex has defined Scope 1 and 2 emissions according to the methodology contained in the GHG Protocol (March 2004). Scope 1 emissions include all emissions from sources owned or controlled by Enerflex. Thus, Enerflex has included the emissions from its contract compression fleet in its Scope 1 emissions, even though such units are operated and controlled by the customer. Scope 2 emissions include all indirect emissions resulting from the generation of purchased electricity consumed by Enerflex. Enerflex has calculated Scope 1 and 2 emissions using the industry-specific calculation methodology set forth in the API Compendium (August 2009), including only CO₂, CH₄ and N₂O (emissions of the other Kyoto Protocol gases have been deemed inconsequential).

² Enerflex Annual Information Form for the year ended December 31, 2020, dated February 24, 2021.

³ Enerflex has calculated fuel and electricity consumed using the methodology set forth in the API Compendium (August 2009).

⁴ In 2020, Enerflex had a total of 11 non-road diesel engines in service globally, representing 0.23% of Enerflex’s global Scope 1 emissions.

⁵ Enerflex has calculated renewable electricity consumed using the 2019 electricity mix per country data published by BP Statistical Review of World Energy & Ember.