Reducing Greenhouse
Gas Emissions in Hawai‘i
Denise Eby Konan, Ph.D.
Professor, Department of Economics
Director, Center for Sustainable Coastal Tourism
Fellow, UHERO and REIS
Renewable Energy andwww.uhero.hawaii.edu/eggs
October 8, 2009
Island Society October 8, 2009 1

Energy in the USA
Source: EIA Annual Energy Outlook (2009)
October 8, 2009 www.uhero.hawaii.edu/eggs 2

Renewable Energy in the
USA
Source: EIA Annual Energy Outlook (2009)
October 8, 2009 www.uhero.hawaii.edu/eggs 3

Energy Risks
Source: EIA Annual Energy Outlook (2009)
October 8, 2009 www.uhero.hawaii.edu/eggs 4

Vulnerable energy security:
Energy consumption by source
(2007)
Hawaii USA Average
Source: EIA State Energy Data System (2008)
October 8, 2009 www.uhero.hawaii.edu/eggs 5

Figure designed and created by UHERO EGGS
October 8, 2009 www.uhero.hawaii.edu/eggs 6

Hawaii and climate change…
October 8, 2009 www.uhero.hawaii.edu/eggs 7

Climate change threat for
Hawaii: Sea-Level Rise
Land within 1 ft of high tide
Image from Chip Fletcher, Hawaii Mapping Group, SOEST
October 8, 2009 www.uhero.hawaii.edu/eggs 8

Climate change threat to
Hawaii: Ocean acidification
CO2 going up above the ocean
and in the ocean
pH going down in the upper
ocean - becoming more acidic
Observational results from Station Aloha
(Dore et al., 2009)
October 8, 2009 www.uhero.hawaii.edu/eggs 9

Climate change threat to
Hawaii: Ecosystem collapse
 A Pteropod after 48 hours of living low pH ocean conditions (e is a
control)
 Pteropods contribute to the diet of diverse carnivorous zooplankton,
myctophid and nototheniid fishes, North Pacific salmon, mackerel,
herring, cod and baleen whales.
Source: Orr et al (Nature, 2005)
October 8, 2009 www.uhero.hawaii.edu/eggs 10

Hawaii addressing climate change:
ACT 234 - Hawaii’s Global Warming
Solutions Act
 Second state in the country to
enact GHG regulations – June
2007
 10 member task force
developing plan to meet 1990
GHG levels by 2020
 Report GHG work plan to
Legislature by end of 2010
 Department of Health is in
charge
 On January 1, 2012: Rules and
regulatory scheme go into effe
ct
October 8, 2009 www.uhero.hawaii.edu/eggs 11

Hawaii’s GHG Sources
Chevron Kapolei Refinery (Google Maps)
October 8, 2009 www.uhero.hawaii.edu/eggs 12

Energy & Greenhouse Gas
Solutions: Mission
 To analyze and tailor energy and climate
change policy by assessing technology
options and the associated environmental
and economic impacts.
October 8, 2009 www.uhero.hawaii.edu/eggs 13

EGGS: Core Goals
1. Engage in rigorous analysis and establish a global
research reputation.
2. Develop and maintain data and models on Hawai’i
energy, economy, and resulting greenhouse gas (GHG)
emissions.
3. Showcase Hawai’i solutions that demonstrate a
sustainable alternative for others.
4. Develop solution-based education and outreach
programs on energy and GHG solutions for a variety of
levels (legislators, business community, and K-12).
October 8, 2009 www.uhero.hawaii.edu/eggs 14

Hawaii GHG Profile: 1990 and 2005
(report available on our website)
Amount of GHG Emission (MMTCO2E) 1990 2005
Energy 23.232 24.161
Stationary Energy Sources 10.163 10.854
Electric Power Sector 6.804 8.362
Residential Energy Sector 0.350 0.330
Commercial Energy Sector 0.762 0.287
Industrial Energy Sector 2.246 1.874
Mobile Energy Sources 13.069 13.307
Air Transportation Sector 7.487 5.991
Ground Transportation Sector 3.666 5.601
Marine Transportation Sector 1.916 1.715
Non-Energy Sources 1.456 2.269
Industrial Processes Sector 0.197 0.844
Agriculture Sector 0.634 0.453
Waste 0.625 0.972
Grand Total 24.687 26.430
October 8, 2009 www.uhero.hawaii.edu/eggs 15

Hawaii GHG Profile:
Biggest changes since 1990
% GHG emissions change contribu3on by sector
October 8, 2009 www.uhero.hawaii.edu/eggs 16

Ground Transportation GHG Emissions:
Total, and Per Capita
October 8, 2009 www.uhero.hawaii.edu/eggs 17

Greenhouse Gas Emissions (MT CO2E Per Capita)
MTCO2E per Capita
24
1.3
20 1.7 1.8
1.4
3.3
16 Non-Energy Sources
4.4
Marine Transportation Sector
Ground Transportation Sector
6.7
12 Air Transportation Sector
4.7 Industrial Energy Sector
Commercial Energy Sector
8 2.0 1.5 Residential Energy Sector
0.2
0.7 0.3 Electric Power Sector
0.3
4
6.6
6.1
0
1990 2005
October 8, 2009 www.uhero.hawaii.edu/eggs 18

GHG Emissions Accounting:
An example equation
 CO2 emissions = Af,h * Fc,h * Fox* (44/12)
 Af,h : heat content of fuel consumed (GJ converted from
therms or million BTU)
 Fc,h : Carbon content of fuel on a heating value basis (15.3
kg C/GJ)
 Fox : Oxidation factor to account for fraction of carbon in
fuel that remains as soot or ash
 (44/12) : Ratio of the molecular weight of CO2 to that of
carbon
Source: WRI GHG Protocol
October 8, 2009 www.uhero.hawaii.edu/eggs 19

Hawaii GHG Profile
Conclusions
 Act 234 emissions have increased by about 23
% from 1990 to 2005
 Per dollar output, Hawai‘i is more GHG intensive
in 2005 than in 1990 although per capita is down
 Power and transport account for about 70% of
all GHG emissions
 Ground transportation contributes about 20
percent and is growing rapidly
October 8, 2009 www.uhero.hawaii.edu/eggs 20

EGGS Modeling:
New publication
October 8, 2009 www.uhero.hawaii.edu/eggs 21

Rationale:
Tourism’s Role in Hawaii’s Economy
 $11.4 billion, in 2008
 $1,700 per person, per
trip spending
 18% of Gross State
Product, current dollars
 10% of all civilian jobs
Statewide in 2003
 6.8 million visitor arrivals
 64 million visitor days
 High stakes for Hawaii
economy
DBEDT 2008 Hawaii Data Book
October 8, 2009 www.uhero.hawaii.edu/eggs 22

Data and methods:
Data sources
October 8, 2009 www.uhero.hawaii.edu/eggs 23

Data and Methods:
Economic data - 131 economic
sectors
October 8, 2009 www.uhero.hawaii.edu/eggs 24

…. And Energy Data
Data and Methods:
Detailed Energy Data
Other Oil Aviation Residual
Coal Products Gasoline Gasoline Diesel Jet Fuel LPG Fuel Oil
Industry (MBTU) (MBTU) (MBTU) (MBTU) (MBTU) (MBTU) (MBTU) (MBTU)
Sugarcane 0 0 0 12,389 43,038 0 28 0
Vegetables 0 0 0 3,644 12,661 0 8 0
Macadamia nuts 0 0 0 17,723 61,569 0 39 0
Pineapples 0 0 0 26,375 91,625 0 59 0
Other fruits 0 0 0 7,768 26,987 0 17 0
Coffee 0 0 0 20,128 69,924 0 45 0
Greenhouse and nursery products 0 0 0 6,443 22,383 0 14 0
Dairy cattle and milk production 0 0 0 2,930 10,180 0 7 0
Poultry and eggs 0 0 0 1,798 6,245 0 4 0
Cattle Ranching 0 0 0 1,140 3,959 0 3 0
Hog and pig farming 0 0 0 431 1,498 0 1 0
Misc. livestock 0 0 0 508 1,764 0 1 0
Aquaculture 0 0 0 2,447 8,500 0 5 0
Other agricultural products 0 0 0 4,834 16,792 0 11 0
Commercial fishing 0 0 0 5,296 1,246,826 0 0 0
Support activities for agriculture 0 0 0 0 0 0 426 0
Landscape services 0 0 0 6,575 2,565 0 0 0
Mining 0 0 0 9,943 54,415 0 0 0
Single family housing construction 0 916,811 0 44,620 227,727 0 9,649 4,207
Multiple family housing construction 0 513,771 0 27,071 138,162 0 0 2,553
Commercial building construction 0 2,592,832 0 129,681 661,851 0 18,154 12,228
Hotel construction 0 260,656 0 12,732 64,980 0 2,623 1,201
Road construction 0 2,129,614 0 110,110 561,968 0 5,497 10,383
Other construction 0 468,631 0 24,693 126,023 0 0 2,328
Maintenance & repair construction 0 1,179,340 0 62,140 317,144 0 0 5,859
Fruit and vegetable product mfg 0 118,336 0 11,799 4,603 0 9,385 0
Sugar mfg 0 2,705,837 0 4,252 95,478 0 0 984,860
October 8, 2009 www.uhero.hawaii.edu/eggs 25

Methods:
Input-Output Tables
October 8, 2009 www.uhero.hawaii.edu/eggs 26

Economic output and
expenditures ($ million)
Household Visitor's
Industry Output expenditures expenditures
Accommodations 12,496.2 5,424.1 3,892.2
Restaurants 2,274.7 1,036.5 1,126.2
Trade 6,311.9 2,979.9 1,464.8
Entertainment 844.2 234.7 569.4
Golf 229.8 108.4 141.3
Air Transportation 2,044.1 337.5 1,555.6
Transportation 1,464.8 408.9 545.2
Agriculture 823.5 131.5 18.4
Construction 3,524.3 - -
Manufacturing 3,416.4 685.8 101.4
Services 15,181.0 8,018.4 573.4
Utilities 1,691.0 595.3 -
Government 8,565.8 264.9 45.6
Total 58,867.6 20,225.9 10,033.5
October 8, 2009 www.uhero.hawaii.edu/eggs 27

Industry output in Hawaii
Output Compensation of
Industry ($ million) Output employees
Accommodations 12,496.2 21.2% 7.8%
Restaurants 2,274.7 3.9% 3.7%
Trade 6,311.9 10.7% 11.1%
Entertainment 844.2 1.4% 1.4%
Golf 229.8 0.4% 0.4%
Air Transportation 2,044.1 3.5% 2.4%
Transportation 1,464.8 2.5% 1.7%
Agriculture 823.5 1.4% 1.3%
Construction 3,524.3 6.0% 5.8%
Manufacturing 3,416.4 5.8% 2.4%
Services 15,181.0 25.8% 27.2%
Utilities 1,691.0 2.9% 1.6%
Government 8,565.8 14.6% 33.2%
Total 58,867.6 100.0% 100.0%
October 8, 2009 www.uhero.hawaii.edu/eggs 28

Methods:
Calculating GHGs from direct
and indirect demand
 Total demand vector (X) is function of intermediate and final
demand (Y), A is matrix of technical coefficients
X = ( I - A)-1 Y
 Fuel requirements matrix (F X) defined as gallons by fuel type
associated with final demand Y
F X = F ( I - A)-1 Y
 Energy intensity matrix total fuel required to produce one
dollars worth of final demand in each sector (Yi = 1)
 Emissions intensity matrix total GHG emissions associated
with one dollars worth of final demand
October 8, 2009 www.uhero.hawaii.edu/eggs 29

The top ten economic sectors’
direct GHG emission - metric
tons CO2E
Industry Carbon Dioxide Methane Nitrous Oxide
Electricity 6,806,708.60 4,351.14 3,519.44
Air transportation 3,636,808.12 2,561.97 287.12
Utility gas 242,704.95 101.66 52,356.48
Construction 229,037.92 261.28 1,142.56
Hotels 184,796.88 175.03 11,647.60
Other services 152,312.61 105.57 204.24
Petroleum manuf. 147,339.04 256.68 2.96
Restaurants 135,693.90 124.66 9,620.00
Health services 134,887.81 145.59 2,148.96
Finance business 123,613.35 138.69 139.12
October 8, 2009 www.uhero.hawaii.edu/eggs 30

Ranking Carbon Intensity:
metric tons CO2E / $ million
Electricity 7,179.7 Chemical manufacturing 232.9
Utility gas 2,680.2 Parking lots 226.7
Air transportation 1,771.8 Automobile rental 225.8
Commercial fishing 1,484.3 Waste management 225.3
Petroleum manufacturing 765.2 Construction and mining 224.6
Sightseeing transport 443.2 Crops 214.3
Transit 405.3 Other manufacturing 209.4
Ground transportation 400.6 Animal 202.0
Recreation 378.3 Clothing manufacturing 182.9
Food processing 378.1 Health services 178.6
Golf courses 363.0 Travel reservations 165.4
Laundry 345.0 Education private 122.5
Hotels 337.0 Retail trade 106.6
Other services 326.4 Wholesale trade 93.5
Trucking 291.4 Information 85.3
Water sewer 286.9 Real estate rental 81.9
Water transportation 285.8 Landscaping services 75.0
Restaurants 273.8 Finance business 73.8
Amusement 271.5 Performing arts 68.1
Museums historical 254.4 Other government 29.9
October 8, 2009 www.uhero.hawaii.edu/eggs 31

Summary table: Resident and visitor
energy and GHG emissions
Energy, GHG emissions
trillion BTU MMTCO2e
Total 323.3 23.4
Resident 126.4 9.3
Visitor 72.9 5.2
Visitor less air 33.5 2.4
Per annum MBTU GHG metric tons
Resident 104 7.7
Visitor 464 32.9
Visitor less air 213 15.4
Per capita 267 19.3
Visitor factor 4.4 4.3
Visitor factor less air 2.0 2.0
October 8, 2009 www.uhero.hawaii.edu/eggs 32

Summary GHG Emissions
of Tourism
 22% of Hawaii’s total
emissions
 5.2 million metric tons of
CO2 equiv
 Per Capita
 Tourist: 33 metric tons
 Resident: 7.7 metric tons
October 8, 2009 www.uhero.hawaii.edu/eggs 33

Future research
 Endogenous emissions built into a dynamic
computable general equilibrium model of
Hawaii’s economy
 Waikiki district benchmarking and analysis
 Model carbon tax, cap and trade, command
and control policy options for the State
 Assess economic and environmental impacts
of alternative scenarios
October 8, 2009 www.uhero.hawaii.edu/eggs 34

Carbon savings per 1% gasoline conservation
October 8, 2009 www.uhero.hawaii.edu/eggs 35

Gives outrageous insight to economic and environment solu9on
Carbon savings per 1% electricity conservation
October 8, 2009 www.uhero.hawaii.edu/eggs 36

Get into the
Solution
October 8, 2009 www.uhero.hawaii.edu/eggs 37

Hawaii Clean Energy
Initiative
h>p://www.hawaiicleanenergyini3a3ve.org/
October 8, 2009 www.uhero.hawaii.edu/eggs 38

Hawaii Energy Options:
Just a few!
Oceanlinx Oceanlinx
Hawaii Clean Energy Initiative
Wind Wave Energy
HECO
Honolulu Sea Water Air Conditioning
Solar Sea Water Air Conditioning (SWAC)
October 8, 2009 www.uhero.hawaii.edu/eggs 39

Thank you to our sponsors
and partners!
 Michael Saalfeld
 Pierre and Pamela Omidyar Fund at the Hawaii Community
Foundation
 Hawaii State Department of Health
 Hawaii Natural Energy Institute
 Renewable Energy and Island Sustainability
 International Center for Climate and Society
 UHM Outreach College
October 8, 2009 www.uhero.hawaii.edu/eggs 40