How To Use It
The GEMI Local Water Tool™ (LWT) for Oil and Gas is a free tool made by
a group of 40+ global companies to help them and other companies identify
the external impacts, business risks, and opportunities related to water use
and discharge at a specific site or operation. The information generated in
the Local Water Tool may be used by companies for developing management
plans and communicating outcomes at their discretion.
Final Tool Version
March 2012
1
Agenda
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About GEMI and Antitrust Guidelines
Goals of the GEMI Local Water Tool™ for Oil and Gas
Participants
Background
Module Framework
• Home
• Module 1: Site Data
• Module 2: Local External Conditions
• Module 3: External Impact Assessment
• Module 4: Risk Assessment
• Module 5: Management Plan
• Module 6: Reporting
• References
2
GEMI Values
Vision:
“GEMI is a global leader in developing
insights and creating environmental
sustainability solutions for business.”
Mission:
“Business helping business achieve
environmental sustainability excellence”
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Current GEMI Members
4
GEMI Signature Issues
 Water Sustainability
 Climate Change & Energy
 Supply Chain
 Sustainable Development & Emerging
Issues
 Communications Professionals
5
Goals of GEMI Local Water Tool™ for Oil and Gas
 Help oil and gas companies assess impacts,
risks, opportunities and manage water-related
issues at specific sites.
 Provide a common and consistent “visualization
platform” for internal and external
communication.
 Provide interconnectivity between global and
local water risk assessments and a uniform
approach between site assessments.
 Create a central repository of information to
create reports for multiple water questionnaires.
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How is the LWT for Oil and Gas different
from the LWT for General Industry?
Blue notes are
unique to LWT
for Oil and Gas
The GEMI Local Water Tool™ for Oil and Gas:
 Includes Influent Source category for “Owned Produced
Water”
 Includes Effluent Discharge Point for “Reinjection for
Production”
 Includes an External Stress Severity Issue on Growth of
Oil and Gas Industry in Area
 Extracts data from the IPIECA Global Water Tool for Oil
and Gas
 Includes IPIECA Reporting Metrics and Total Petroleum
Hydrocarbons (TPH) Quality Parameters
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GEMI Members & GEMI LWT™
Project Participants
GEMI Member Companies:
GEMI LWT™ Project Participants:
Tool Developer:
8
GEMI-NGO External Advisory Group
(EAG)
During the course of the project, members of a GEMI-NGO External Advisory Group (EAG) shared their
insights into aspects of the GEMI LWT™ during a workshop and live demo of the tool and had the
opportunity to pilot the draft tool and provide feedback and suggestions for GEMI’s consideration to
incorporate into the final tool. The following people participated in the EAG workshop and/or reviewed and
commented on the contents of the GEMI LWT™:
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Jason Morrison, Alliance for Water Stewardship (AWS) and CEO Water Mandate
Marcus Norton, Carbon Disclosure Project (CDP) Water
Marielle Canter Weikel, Conservation International
Sabine von Wirén-Lehr, European Water Partnership (EWP)
Ruth Romer, as International Petroleum Industry Environmental Conservation Association (IPIECA)
Julie van der Bliele, International Water Management Institute (IWMI)
Susan Fernandes, U.S. Business Council for Sustainable Development (USBCSD)
Kathy Baczko, WASH Advocacy Initiative
Anne-Leonore Boffi, World Business Council for Sustainable Development (WBCSD)
Volaine Berger, WBCSD
Tien Shiao, World Resources Institute, (WRI)
Rob Kimball, WRI
Alexis Morgan, World Wildlife Fund (WWF) / Alliance for Water Stewardship (AWS)
Nicole Tanner, WWF / AWS
Christopher Williams, WWF
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Business Water Risk and Modeling
Tools: 3 Levels of Assessment
1. Global Risk
Assessment of Portfolios
2. Local Risk Assessment
3. Detailed Water
of Specific Site
Modeling of Specific Site
Designed to answer questions at different levels:
•
How many sites are in
extremely water scarce areas?
•
Which sites are in greatest risk
areas?
•
How many employees live in
countries that lack access to
water supply or sanitation?
•
•
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What are the water risks at this
site:
•
Physical supply
•
Regulatory
•
Social
•
Competition
•
Climate variability
Which risks are greatest?
What is our management plan?
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What is optimum water
balance between process
streams?
•
Which month has the
greatest stress?
•
What % of river water flow
is used?
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Synergy and Compatibility of Tools
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The GEMI LWT™ was developed in cooperation with the WBCSD and its
Global Water Tool.
The GEMI LWT™ for Oil and Gas was developed in cooperation with the
IPIECA and its Global Water Tool for Oil and Gas.
The tools are mutually compatible and a provider of best practices for
sustainable water management at the global, regional, national and local
levels.
Supporting nomenclature, data continuity and software system were
developed to be compatible between the GEMI, WBCSD and IPIECA tools to
ensure the User’s ability to transfer data between the tools.
References and web links to the respective tools are posted on the three
organization’s web sites.
The GEMI, WBCSD and IPIECA water tools are intended for free use by the
public and are posted in the public domain.
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When a Company has a global portfolio risk
assessment – what happens next?
Specific site internal & external
data is transferred to the new
GEMI Local Water Tool™ MS
Excel files for detailed
assessment
Site A
Site B
Site C
Site D
WBCSD Global Water Tool:
One MS Excel File for Portfolio
GEMI Local Water Tool™:
One MS Excel File per Site
IPIECA Global Water Tool for Oil and Gas:
One MS Excel File for Portfolio
GEMI Local Water Tool™
for Oil and Gas:
One MS Excel File per Site
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Outcomes of Global Water
Tool (GWT)
Global portfolio water metrics and
high level risk assessment
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Tool Outcomes - Overall
Identify and rank:
Specific Impacts
Specific Risks
Calculate:
Site-Level Metrics
Document:
Management Plans
Opportunities
For each Water
Source or
Discharge Point
Specific Impact
or Risk Issue
Impacts and
Risks with
Levels 0-9
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Tool Outcomes – Management Plans
Links Risks and Impacts to Management Plans:
Business Risks
External Impacts
Management Plan and
Opportunity Information
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GEMI LWT™ Site Candidates
 The GEMI LWT™ is valuable for an
operation or planned project that has one
or more of the following traits:
– Relies on water input(s) for operation
– Requires effluent discharge for operation
– Has a significant number of staff in one location
 Top priority can be given to sites in water
stressed or environmentally sensitive
areas (may be identified through the GWT
or other data source)
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Refinery Case Example
While this refinery has closed loop
cooling and has reduced water
usage, it still faces external risks.
After using the LWT, the refinery took
action to address each risk:
• Increased external communication on
water efficiency
• Investigated the use of recycled
municipal effluent or hybrid dry cooling
Tool showed specific
high risks:
 Local ecosystems under
stress from other larger
users in the area
 Cumulative demand in
area would soon exceed
local supply
 Increasing community
public concern on the
refinery’s water use
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Key Definitions
Impact
Extent to which the
volume and/or quality
of water used or
discharged by an
organization in a
specific watershed
affects the availability
of that water for other
uses or harms
human health or
ecosystems in any
other way.
Risk
Local Watershed
Site
Operations
Potential business
liabilities faced by
site as a result of
impacts and external
water-related drivers
and constraints.
Opportunity
Local Communities
Organizations with few water impacts
may face many water-related risks.
Potential top line
business
enhancements
created by voluntary
sustainable water
management actions.
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Module Framework
Introduction and Home
1. Site Data
(User enters internal company data and defines the Internal Importance Level of Influent Sources and
Receiving Waterbodies/Entities)
2. Local External Conditions
(User reviews external data to define External Stress Severity Levels for 20 Water Issues)
3. External Impacts Assessment
(A site’s external impacts on Influent Sources and Receiving Waterbodies/Entities are identified and
ranked)
4. Risk Assessment
(The external risks to the site are identified and ranked)
5. Management Plan
(User identifies Current Management Methods, Opportunities, Assesses Sufficiency and Plans for Future)
6. Reporting and Summary Dashboard
(Metrics are generated for GRI, Dow Jones, CDP Water, Bloomberg, IPIECA)
References, FAQ, Definitions
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Home: Become Familiar with
Modules and Worksheets
HOME
MODULE 1:
SITE DATA
MODULE 2:
LOCAL
EXTERNAL
CONDITIONS
MODULE 3:
EXTERNAL
IMPACT
ASSESSMENT
MODULE 4:
RISK
ASSESSMENT
MODULE 5:
MANAGEMENT
PLAN
MODULE 6:
REPORTING
REFERENCES
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Home: It is critical to read the
Instructions
Instructions
may be easily
downloaded or
printed from the
embedded
document
21
Step 1: Enter location on SITE MAP
Choose
Operation Type
Optional:
Add your
own site
map
Map is
automatically
generated
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Optional step: GWT Users may
import data from IPIECA GWT
Data may be imported from the User’s IPIECA Global Water Tool file to this
worksheet. Data is not transferred to Module 1 because the stream categories
are slightly different. The User must populate the Module 1 Influent and Effluent
worksheets.
Note that only
the IPIECA GWT
for Oil and Gas
can be linked
with the LWT for
Oil and Gas
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Step 2: Setup: User selects data
entry option
The Site Name must
be exactly the same
in both files for the
data extraction to
occur
Click OK when
you are certain
of your data
entry method
Please choose the data entry option carefully. Note that once you select a data
entry option, enter your water source and discharge point names and click on
“Run Module Setup”, then all of the fields in Modules 2 through 6 are created. If
you decide to change your data entry option or add or remove water sources or
discharge point names, then you must click again on “Run Module Setup” and
your previously entered data in Modules 2 – 6 will be erased.
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Module 1: Site Data
In Module 1, the User enters influent and effluent information about the
specific site within the fenceline of their operations. Internal metrics such
as consumption and intensities are calculated.
Site
Operations
An Internal Importance Level is a key output from Module 1. The Internal
Importance Level describes the business criticality of each Influent Source
and Receiving Waterbody or Entity.
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Module 1: Enter Influent and
Effluent Data
Produced Water
is included
Required Data: User enters
name and volume quantity data
for influent and effluent streams
Optional Data: User enters
quality data for influent and
effluent streams
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Module 1: Enter Influent and
Effluent Data
Non-Freshwater
columns are to the right
Note that Influent and Effluent
streams are separated into
two categories: Freshwater
and Non-Freshwater.
Two different water sources
can be used in each category
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After data is entered, User clicks
“Run Module Setup”
After “Run Module Setup” is clicked, Module 1 Output and Modules 2-6 are created.
Run Module
Setup
Please enter the water source and discharge point names carefully. Note
that once you select a data entry option, enter your water source and discharge
point names and click on “Run Module Setup”, then all of the fields in Modules 2
through 6 are created. If you decide to change your data entry option or add or
remove water sources or discharge points, then you must click again on “Run
Module Setup” and your previously entered data in Modules 2 – 6 will be erased.
Water data (flow, TDS, etc.) may be changed, but source or discharge names
may not.
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Module 1: Site Output – User selects Internal Importance
Level for each Influent Source and Receiving
Waterbody/Entity
Link to Droplist
Definitions List
Note that 0 is an
option may be
selected for
produced water
or seawater in
some situations
User selects Internal
Importance Level
Preset Droplist
Definitions
Space for
comments
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Module 1: Droplist Definitions for
Internal Importance Level
Button to go back to Module 1
Full Definitions in support of
the Droplist Definitions
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Module 2: Local External
Conditions
In Module 2, the User looks outside the fenceline of their operations and determines the
condition of each Influent Source and Receiving Waterbody or Entity by assessing water issues.
Influent Source
Receiving Waterbody
or Entity
Local Watershed
Note that
Oil/Gas Industry
Growth is also
included
Local Communities
External Stress Severity Levels are key outputs from Module 2. This describes the current
conditions of a specific Influent Source or Receiving Waterbody or Entity. The External Stress
Severity Level is selected by the User for specific issues on each water source or discharge point
through review of external data sources and by best professional judgment. The External Stress
Severity Level is a result of natural physical conditions and cumulative anthropogenic (human,
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Module 2: Local External Conditions: Influent – User selects
External Stress Severity Level for 19 Water Issues
Note that 0 is an
option may be
selected for
produced water or
seawater in some
situations
Space for
comments
19 Influent Water
Issues are
grouped in 6
Categories
User Documents
Data and Source
used for Level
Selection
User Selects
External Stress
Severity Level
Preset
Definitions
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Module 2: Local External Conditions: Effluent –
User selects External Stress Severity Levels for 18
Water Issues
Note that 0 is an
option may be
selected for
produced water
or seawater in
some situations
18 Effluent Water
Issues are
grouped in 5
Categories
User Documents
Data and Source
used for Level
Selection
User Selects
External Stress
Severity Level
Preset Definitions
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Module 2: Droplist Definitions for
21 External Stress Severity Issues
Buttons to go back to Module 2
Definition of
each issue and
reference
Note that 0 is an option may
be selected for produced
water or seawater in some
situations
Full Definitions in
support of the
Droplist Definitions
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Module 3: External Impact
Assessment
In Module 3, the User determines the impacts that their operations have on the external
condition of each Influent Source and Receiving Waterbody or Entity.
Impact
Extent to which the volume
and/or quality of water used
or discharged by an
organization in a specific
watershed affects the
availability of that water for
other uses or harms human
health or ecosystems in
any other way.
Local Watershed
Site
Operations
Impact Categories:
• Water Availability
•Overall
• Human needs
• Food supply
• Water Quality
• Local Ecosystems
Local Communities
A company’s individual impact level on a particular Influent Source or Receiving Waterbody or
Entity is defined by applying a Magnitude of Company Contribution factor to the External Stress
Severity Level. In this manner, the Company’s relative contribution to the current condition of the
Influent Source or Receiving Waterbody or Entity can be accurately defined. This approach enables
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identification and comparison of relative levels of impacts at the site level.
Module 3: External Impacts on Influent Sources –
User selects Magnitude of Company Contribution
for 5 Water Impacts
Link to Droplist
Definitions List
External
Impact Level
is Calculated
Space for
comments
5 External
Impacts are
grouped in 3
Categories
External Stress
Severity Level is
Automatically filled
from Module 2
User selects
Magnitude of
Company
Contribution
Preset
Definitions
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Module 3: External Impacts on Effluent Sources –
User selects Magnitude of Company Contribution
for 5 Water Impact Categories
External
Impact Level
is Calculated
Space for
comments
5 External
Impacts are
grouped in 3
Categories
External Stress
Severity Level is
Automatically filled
from Module 2
User selects the
Magnitude of
Company
Contribution
Preset
Definitions
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Module 3: Droplist Definitions for
Magnitude of Company Contribution
Buttons to go back to Module 3
Full Definitions in
support of the
Droplist Definitions
Definition of
each type of
impact
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Module 3: Key Output: Company’s External Impact
Level for Each Issue – Influent Examples
Company’s External Impact on Influent Source (0 - 9) =
External Stress Severity Level (0 - 3) X
Magnitude of Company’s Contribution to the External Stress (0 – 3)
For example:
• Sites are determined to have a high
external impact when they are a
relatively high user of water from an
influent source that has a high external
stress level on water availability.
• Sites are determined to have a low
external impact when they are a
relatively high user of water from an
influent source that has a low external
stress level on water availability.
Water Source High Water
in High Stress User in Area
High
- Availability
(3)
External
(3)
Impact on
Availability
(9)
Water Source High Water
in Low Stress User in Area
Low
- Availability
(3)
External
(1)
Impact on
Availability
(3)
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Module 3: Key Output: Company’s External Impact
Level for Each Issue – Oil and Gas Influent
Example
Company’s External Impact on Influent Source (0 - 9) =
External Stress Severity Level (0 - 3) X
Magnitude of Company’s Contribution to the External Stress (0 – 3)
For example:
• An oil production site generates
“produced water” along with oil from a
and underground reservoir and reinjects if for pressure maintenance for
production. There is no ecosystem in an
underground reservoir so the Impact to
Ecosystems is zero.
Note that 0 is an
option and may
be selected for
produced water
or seawater in
some situations
Water Source
in Zero Stress
– Local
Ecosystem
(0)
High Water
User in Area
(3)
No
External
Impact on
Ecosystem
from
Produced
Water
Source
(0)
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Module 3: Key Output: Company’s External Impact
Level for Each Issue – Effluent Examples
Company’s External Impact on Receiving Waterbody/Entity (0 - 9) =
External Stress Severity Level (0 - 3) X
Magnitude of Company’s Contribution to the External Stress (0 – 3)
For example:
• Sites are determined to have a low
external impact when they have minimal
discharges to a Receiving
waterbody/Entity that has a high
external stress level on water quality.
• Sites are determined to have a high
external impact when they have
relatively high discharges to a
Receiving Body/Entity that has a high
external stress level on water quality.
Receiving
Waterbody/Entity
in High Stress Quality (3)
Receiving
Waterbody/Entity
in High Stress Quality (3)
Minimal
Discharger in
Area (1)
Low
External
Impact on
Quality
(3)
High
Discharger in
Area (3)
High
External
Impact on
Quality
(9)
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Module 4: Risk Assessment
In Module 4, the User determines the risks to their business operation from the external
conditions of each Influent Source and Receiving Waterbody or Entity.
Risk Categories:
• All 21 Water Issues
from Module 2
Local Watershed
Site
Operations
Risk
Potential business
liabilities faced by
site as a result of
impacts and external
water-related drivers
and constraints.
Local Communities
Company’s Risk on Specific Water Issues for Each Influent Source or Receiving
Waterbody/Entity (0-9) =
Internal Importance Level (0-3 from Module 1) X
External Stress Severity Level (0-3 Module 2)
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Module 4: Influent Risks are automatically
calculate from Module 1 and Module 2
Space for
comments
Internal Importance
Level (0 – 3)
imported from
Module 1
External Stress
Severity Level (0 – 3)
imported from
Module 2
Automatic Calculation:
Company’s Risk Level =
Internal Importance Level
X External Stress Severity
Level
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Module 4: Effluent Risks are automatically
calculate from Module 1 and Module 2
Space for
comments
Internal Importance
Level (0 – 3)
imported from
Module 1
External Stress
Severity Level (0 – 3)
imported from
Module 2
Automatic Calculation:
Company’s Risk Level =
Internal Importance Level
X External Stress Severity
Level
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Module 4: Key Output: Company’s Risk for Each
Issue – Influent Examples
Company’s Risk from issues on Influent Source (0 - 9) =
External Stress Severity Level (0 - 3) X
Internal Importance Level of the Influent Source (0 – 3)
Water Source High Internal
in High Stress Importance
• Sites are determined to have a high
- Availability
Level (3) High Risk
risk from water availability when that
on
(3)
source has high internal importance and
Availability
has a high external stress level on
(9)
water availability.
For example:
• Sites are determined to have a low
risk from water availability when that
source has high internal importance and
has a low external stress level on water
availability.
Water Source High Internal
in Low Stress Importance
Low Risk
- Availability
Level (3)
on
(1)
Availability
(3)
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Module 4: Key Output: Company’s Risk for Each
Issue – Oil and Gas Influent Example
Company’s Risk from issues on Influent Source (0 - 9) =
External Stress Severity Level (0 - 3) X
Internal Importance Level of the Influent Source (0 – 3)
Water Source Zero Internal
in Low Stress Importance
• An oil production site generates
- Availability
Level (0) No Risk on
produced water along with oil from a
Water
(1)
field but the company does not use it for
Availability
a beneficial purpose in its operations.
on the
This site has no risk related to
Produced
availability because the water source is
Water
not needed.
Source
because
(0)
Note that 0 is an
For example:
option and may
be selected for
produced water
or seawater in
some situations
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Module 4: Key Output: Company’s Risk for Each
Issue – Effluent Examples
Company’s Risk from issues on Receiving Waterbody/Entity(0 - 9) =
External Stress Severity Level (0 - 3) X
Internal Importance Level of the Receiving Waterbody/Entity (0 – 3)
For example:
• Sites are determined to have a high
risk from local ecosystems when that
Receiving Waterbody/Entity has high
internal importance and has a high
external stress level on local ecosystem
health.
• Sites are determined to have a low
risk from local ecosystems when that
Receiving Waterbody/Entity has high
internal importance and has low
external stress level on local ecosystem
health.
Receiving
Waterbody/Entity
in High Stress –
Local Ecosystem
(3)
Receiving
Waterbody/Entity
in Low Stress –
Local Ecosystem
(1)
High Internal High Risk
Importance
on
Level (3) Ecosystem
Health
Limiting
Discharges
(9)
High Internal
Importance
Low Risk
Level (3)
Ecosystem
Health
Limiting
Discharges
(3)
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Module 4: Key Output: Company’s Risk for Each
Issue – Oil and Gas Effluent Example
Company’s Risk from issues on Influent Source (0 - 9) =
External Stress Severity Level (0 - 3) X
Internal Importance Level of the Receiving Waterbody/Entity (0 – 3)
For example:
• An oil production site generates
produced water along with oil from a
field but the company does not use it for
a beneficial purpose. The site injects
the produced water into a saline aquifer
for disposal.
Receiving
Waterbody/Entity
in Has No Stress
– Local
Ecosystem (0)
High Internal
Importance
Level (3)
No
Ecosystem
Risk on
Water
Discharge
to Saline
Aquifer
(0)
Note that 0 is an
option may be
selected for
produced water
or seawater in
some situations
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Module 5: Management Plan
In Module 5, the Impacts and Risks are summarized. The User identifies Management Plans to
address the Impacts and Risks. Opportunities are identified.
Risk
Impact
Local Watershed
Extent to which the volume
and/or quality of water used
or discharged by a
organizations in a specific
watershed affects the
availability of that water for
other uses or harms human
health or ecosystems in
any other way.
Site
Operations
Potential business
liabilities faced by
site as a result of
impacts and external
water-related drivers
and constraints.
Opportunity
Local Communities
Organizations with few water impacts
may face many water-related risks.
Potential top line
business
enhancements
created by voluntary
sustainable water
management actions.
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Module 5: Management Plan
Business Risks (0-9)
imported from
Module 4
External Impacts
(0 – 9) imported
from Module 3
User enters Management
Plan Information
(see close up next page)
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Module 5: Management Plan
The sufficiency of existing
Management Plans and the need for
new plans or actions may be
documented. Links to existing
documents may be included.
User can enter
Opportunity Information
in text boxes
51
Module 6: Internal Metrics
Water
Withdrawal
Metrics
Water
Discharge
Metrics
Water
Consumption
Metrics
Water
Recycled/
Reused
Metrics
If you update numerical data or process names in the Module 1
Influent or Effluent Input Data sheets, then you must click “Run
Internal Metrics” to extract the revised information.
Water
Intensity
Metrics by
Production
and
Revenue
52
Module 6: Reporting
GRI
IPIECA
DJSI
CDP Water
Bloomberg
If you update numerical data or process names in the Module 1 Influent or
Effluent Input Data sheets, then you must click “Run Reporting” to extract
the revised information.
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After Modules 2-5 are completed,
click RUN DASHBOARD
RUN
DASHBOARD
creates the
summary
54
Module 6: Dashboard – Summary of
High (6-9) Level Impacts and Risks
For each Water
Source or
Discharge Point
Specific Impact
or Risk Issue
Impacts and
Risks with
Levels 6-9
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References – Links to Data Sources
The most credible and meaningful output from the GEMI LWT™ will be obtained
through use of the most credible and recent local data. Identification and selection of
local data are the User’s responsibility. Local data may sourced from public sources
(e.g. via the Internet) or from the site’s records. The Data Sources worksheet
provides links to global datasets that may be employed in the GEMI LWT™ if local
data sources cannot be identified. However, the User is encouraged to identify and
use local data sources rather than global sources.
56
References – Definitions and
Calculations
Definitions for
Oil and Gas
Industry are
Included
57
Frequently Asked Questions (FAQ)
FAQ Document is
on GEMI Website
and is accessed
from here
58
How to Contact GEMI
2012 Board of Directors
Chair: Bill Gill, Smithfield Foods
Vice Chair: Neville Dias, Carnival Corporation & plc
Finance Chair: Bill Lechner, The Scotts Miracle-Gro Company
Membership Chair: Lori Williams, FedEx
Benchmarking/Next Initiatives Chair: Lindell Sneed, Abbott
Solution Tools Chair: Steve Shedroff, Procter & Gamble
Communications and Marketing Chair: Heather Tansey, 3M
Senior Advisory Council (SAC) Chair: Steve Schwalb, Perdue Incorporated
Chair Emeritus: Keith Miller, 3M
GEMI Management
Executive Director: Steven Hellem
Director: Amy Goldman
Phone: 202-296-7449
Email: [email protected]
Web site: www.gemi.org
1155 15th Street, NW, Suite 500, Washington, DC 20005 USA
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GEMI welcomes feedback on the use and
value of the GEMI LWTTM for Oil and Gas
to your company.
Please send feedback to: [email protected]
www.gemi.org/localwatertool
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