Models for Environmental and Business Management in the Oil and Gas Industry
American Journal of Chemical Engineering
Volume 5, Issue 3-1, May 2017, Pages: 42-48
Received: Mar. 20, 2017; Accepted: Mar. 20, 2017; Published: Apr. 27, 2017
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Authors
Olajide Festus, Institute of Engineering, Technology and Innovation Management (METI), University of Port Harcourt, Port Harcourt, Nigeria
Joel Ogbonna, Centre for Petroleum Research and Training Institute of Petroleum Studies, University of Port Harcourt, Port Harcourt, Nigeria
Amadi-Echendu Joe, Graduate School of Technology Management, University of Pretoria, Pretoria, South Africa
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Abstract
To meet the United Nations 2030 Agenda for Sustainable Development and the United Nations Frame Work conventions on climate change, there is need to develop new business and environmental management models to mitigate the impact of the emission of Carbon (IV) Oxide (CO2) into the environment by the Oil and Gas industry taking into consideration the advantage provided by the digitalization of technology. This research presents new models for environmental management and Carbon taxation within the frame work of environmental sustainability. This study focused on the sources of the Hydrocarbon rather than the sink for its analysis and modelling. Every Oil and Gas producing country is viewed as an Isolated Thermodynamic system in space whose emission of CO2 must be sustainable. An Isolated thermodynamic system is one in which no transfer of mass or energy occurs across its boundary. Hence, Oil and Gas producing countries that benefit from the revenues of Oil and gas production are held directly responsible for the unfavourable impact of CO2 emission rather than the sink (consumers) in accordance with the “Polluter Pays Principle”. Viewing every country as an Isolated Thermodynamic system ensures that each country strives to live sustainably. The model for computing the CO2 Ecological Footprint (EF) was developed with MATLAB 7.5.0 Software based on the total Oil and Gas production from the Oil and Gas producing country (Nigeria was used as a case study). Based on the Computed CO2 EF, model for the size of the forest required for sequestering all the emitted CO2 was developed for environmental sustainability. Two of the available technologies for CO2 sequestration (Ocean Fertilization and Ocean Injection of CO2) were used to develop environmental cost models as a basis for taxation. The result of the research shows that by viewing each Oil and Gas producing country as an Isolated Thermodynamic System that will be held accountable for CO2 emission, the attainment of the UN 2030 Agenda for sustainable development and the UN conventions on Climate change are easily achieved. Empirical analyses of data obtained with regard to CO2 released during Oil and Gas production in Nigeria suggests that the CO2 release by the Nigerian Oil and Gas Industry is unsustainable. Digitalization technologies will rely on the new models developed in this research to develop new business tools for national and inter-country trading of CO2 emissions and management of Forests for CO2 sequestration.
Keywords
Ecological Footprint, Sustainability, Thermodynamic System, Sequestration, Modelling
To cite this article
Olajide Festus, Joel Ogbonna, Amadi-Echendu Joe, Models for Environmental and Business Management in the Oil and Gas Industry, American Journal of Chemical Engineering. Special Issue: Oil Field Chemicals and Petrochemicals. Vol. 5, No. 3-1, 2017, pp. 42-48. doi: 10.11648/j.ajche.s.2017050301.15
Copyright
Copyright © 2017 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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