Technology and Economic Assessment Panel Progress Report 2013

TEAP Medical Technical Options Committee Essential Use Nominations and Progress Report M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u l y , B a n g k o k

3 Essential Uses: Summary for Metered Dose Inhalers (MDIs) For Parties nominating in 2013: Authorised for 2013; Nominated (Recommended) 2014 and 2015 in metric tonnes Party 2013 Authorised 2014 Nominated (Recommended) 2015 Nominated (Recommended) China (235.05) (Unable to recommend) Russian Fed (106)- M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u l y , B a n g k o k

4 Essential Uses MDIs: China (1) China made nominations for 2014 and 2015, expected to be its last, for final campaign production. Total China CFC stockpile at end of 2012 was 855 tonnes, which appears adequate to supply its requirements for 2013 and China could possibly manage its CFC MDI phase-out completely from CFC stockpiles, although this is not yet clear. China will supply its 2013 authorised exemption from CFC stockpile. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u l y , B a n g k o k

5 Essential Uses MDIs: China (2) MTOC recommends tonnes for 2014, in expectation China would supply requirements first from stockpile, with CFC production only if needed. Unable to recommend 1.55 tonnes for a company not undertaking active R&D for isoprenaline (1.25 tonnes) and salbutamol (0.3 tonnes). Two salbutamol HFC MDIs approved, 5 others in regulatory pipeline. Unable to recommend nomination for 2015 due to uncertainty in pace of transition and CFCs potentially available from stockpile. With current salbutamol progress, Chinas CFC requirements could be less than current nomination for MTOC can consider any revised nomination for 2015 next year to make a more accurate assessment.

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u l y , B a n g k o k 6 Essential Uses MDIs: Russia (1) Nomination was submitted well after deadline of 31 January tonnes nominated for domestic use only; for salbutamol. Same quantity as authorised for No stockpile since local companies in GEF co-funded UNIDO conversion project Tendering process has experienced delays. UNIDO now predicts installation completion mid Health Authority approval for reformulated locally-made HFC MDIs delayed to MTOC anticipates possible CFC requirements until the end of Russias CFCs will be supplied from China CFC production. From 2014, CFCs could be supplied from global stockpiles e.g., USA

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u l y , B a n g k o k 7 Essential Uses MDIs: Russia (2) MTOC concerned about on-going delays and depletion of global CFC supplies before Russian conversion completed. Imported CFC-free alternatives are available. MTOC previously recommended that if conversion was not achieved within reasonable timeframe, Russia should broaden the importation and distribution of available affordable, imported salbutamol CFC-free inhalers. MTOC believes it could take until mid-2014 to increase and distribute adequate amounts of imported HFC MDIs. MTOC recommends a sufficient quantity for the first six months of 2014 (106 tonnes), preferably from existing global stockpiles.

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u l y , B a n g k o k 8 Progress Report Global use of MDI CFCs estimated to be only ~700 tonnes in Accounting frameworks from Argentina, Bangladesh, China, EC, Pakistan, Russian Federation reported 875 tonnes pharmaceutical- grade CFC stocks end of Accounting frameworks not received from Egypt, India, Syria, USA. Corrigendum: in June 2013, US clarified that 280 tonnes of CFC stockpile reported by BI & Honeywell represents the remaining total combined US stockpile available for transfer. Information on stockpiles is particularly important in the final stages of phase-out to avoid new production and destruction costs.

TEAP Chemical Technical Options Committee Progress Report M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k

Chemicals TOC - Feedstocks In 2011, there was a global feedstock use of 414,291 ODP MT; the emissions estimated were 2071 ODP MT. Use of CTC in production of VCM in the United States does not meet the criteria for feedstock use. No alternatives exist for most feedstock uses such as conversion of HCFC-22 to fluoro-polymers. New uses of CTC and other ODSs as feedstock could emerge. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 10

Chemicals TOC – Russian Federation EUN Recommended EUN of 85 MT of CFC-113 in Quantity continues to decrease, with phase-out by 2016 expected. Because of high ODP and GWP, the Russian Federation no longer considers RC-316c as a substitute for CFC-113. New products are becoming available; HCFC-141b is a transitional replacement for CFC-113. Russian Federation is aware of possibilities to import CFC-113. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 11

Chemicals TOC – Other Issues Process agent uses are declining. CTOC reviewed several more process agent uses but did not identify alternatives. Emissions of CTC from cyclodime plant in France (110 MT/year) being curtailed. CTOC reported no new information on n-Propyl Bromide (nPB). New information on solvents for N-bromosuccinimide laboratory reactions. No new information on atmospheric CTC gap. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 12

TEAP Foams Technical Options Committee Progress Report M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k

14 FTOC Progress Report (1) Article 5 Parties are focused on the implementation of the first stages of HPMPs. Hydrocarbons continue to be the dominant technology and the main choice to replace HCFC-141b when applicable (cost effectiveness and safety issues). New product development focused on unsaturated HFC/HCFCs Extended commercial trials showed significant incremental energy efficiency improvement

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 15 FTOC Progress Report (2) Other options: HC /unsaturated HFC /HCFC blends unsaturated HFC /HCFC systems co-blown with water improved water formulations Limited market penetration of methyl formate & methylal mainly for integral skin and flex moulded in Article 5 Parties. Continuing market and regulatory pressure on existing HFC use in developed countries (e. g. EC proposal to strengthen the F-gas regulation in Europe) are providing challenges for XPS and PU Spray.

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 16 FTOC Progress Report (3) Some other regulatory pressures are emerging which may have future impact on foam strategies. These include: Tightening of legislation on certain flame retardants Additional activity on VOC control may have impact on hydrocarbon use in some jurisdictions Waste classification of ODS-containing foams is intended to drive segregation and waste management in the absence of mandatory end-of-life regulation. Some emerging carbon markets (e.g. California) are also providing incentives for collection and destruction.

TEAP Halons Technical Options Committee Progress Report

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 18 HTOC Progress Report (1) Toxicological testing of the unsaturated HBFC-3,3,3-trifluoro- 2-bromo-prop-1-ene (2-BTP) for use as a halon 1211 replacement in aviation is at an advanced stage The manufacturer plans to apply for listing under the US EPA Significant New Alternatives Policy (SNAP) during 2013 Another alternative for halon 1211, FK , a C7 fluoro- ketone blend, was recently approved under US SNAP for use as a streaming agent in non-residential applications. A chemical producer reports significant progress on a new, but as yet undisclosed, chemical agent to replace halon 1301 in total flooding applications.

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 19 HTOC Progress Report (2) CF 3 Br (halon 1301) continues to be produced in China and France for use as a feedstock for the pesticide Fipronil. The production data are unavailable to the HTOC. Halon recycling and banking in the Middle East continues to be problematic. It has been reported that decommissioned halons are stored rather than recycled and their condition is unknown. In South Africa, recycling equipment provided in 2003 is reaching a life-cycle stage where maintenance costs are high and replacement parts are not readily available.

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 20 HTOC Progress Report (3) Despite predictions that the demand for recycled halon 2402 would increase in the Russian military sector, information for shows no increase in demand. This suggests that alternative agents are now being used. In the Indian civil sector, neither halon 2402 nor its blends have been used in fire protection systems or portable fire extinguishers for the past 5 years. The Indian military sector is gradually shifting to alternatives where technically feasible.

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 21 HTOC Progress Report (4) HTOC is concerned that some clean agent portable extinguishers sold in South America and Asia may not extinguish some fires. Parties may wish to consider requiring fire extinguishers to be listed by internationally recognized testing laboratories. For example, HFC-125 and HCFC-123 products have been reported to be in use in Colombia, and in the Philippines. Of major concern is that at least one manufacturer in the Philippines is offering to convert extinguishers by removing the functional dry chemical from the extinguisher and replacing it with HCFC-123. This may give a false sense of security (e.g. may not extinguish some fires) as well as leading to contaminated agents.

M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 22 HTOC Progress Report (5) The HTOC continues to work with the International Civil Aviation Organization (ICAO) on requiring the phase-out of the use of halons on new aircraft. The latest ICAO stakeholder meeting in late 2012 reported that the engine nacelle tests of two different halon alternatives failed. At this time, no commercial airframe manufacturer has an acceptable alternative to halons for engine nacelles. The HTOC continues to work with ICAO to place before their General Assembly in September 2013, a requirement to report back in 2016 on a timeframe (likely to be around 2020) for the replacement of halon in cargo compartments on new aircraft designs.

TEAP Methyl Bromide Technical Options Committee M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 23

Global trends in MB consumption Global consumption for MB controlled uses has fallen from 64,420 t in 1991 to 5,187 t in 2011 Less than 1% of the Non-A5 Parties aggregated baseline is now requested for Critical Uses 80% of MB use in A5 Parties has been phased out from the aggregate baseline in advance of the 2015 deadline

Reporting of Stocks (Dec IX/6 1,bii) MB stocks (t) reported at end of: Australia00 Canada Japan USA10, Total10, MBTOC CUE recommendations not adjusted to account for stocks -Stocks reported by USA are twice the annual CUN request -Table 9.3 of the TEAP report also shows the amount of stocks used and authorised by Parties in 2012 M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 25

Trends in Total MB amounts (t) approved for Critical Uses ( ) or nominated to 2015 Only 3 non Article 5 Parties continue to submit nominations The number of CUNs from non Article 5 Parties has diminished greatly from 116 in 2005 to 5 in 2013 No Article 5 CUN requests in 2013 tonnes M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 26

MBTOC Soils M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 27

Interim recommendations for soil use (t) Country and SectorNomination for 2105 Interim recomm. for 2015 Australia Strawberry runners [Not Rec] Canada Strawberry runners 5.261[5.050] USA Strawberry fruit [ ] TOTAL [ ] Consensus was achieved on all nominations M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 28

Australia: strawberry nurseries; interim recommendation Until further studies are provided by the Party, MBTOC considers soil-less production feasible for production of strawberry runners, it is widely used in Article 5 and non Article 5 countries Australia states that previous transition plans are no longer suitable MBTOC considers that, without a funded and active research program, the Party is not in compliance with Decision IX/6 Party: Nominated t for 2015 (no reduction since 2009) MBTOC: Not Recommended

Canada: strawberry runners; interim recommendation MBTOC considers that substrates are widely available to replace MB for the production of strawberry nursery plants and has reduced the nomination for uptake on 50% of the foundation stock MBTOC recommended no further reductions in view of the Party stating that 2016 will be the final year for use of MB for this sector Party: Nomination of t for 2015 (no reduction since 2011) MBTOC: Recommendation of t (96%)

USA: strawberry fruit; interim recommendation MBTOC considers alternatives are available and complete phase-out of MB is feasible Alternatives (1,3-D/Pic and Pic alone under new permitted rates of up to 392 kg/ha) with or without barrier films can replace MB for specific CUN uses. These rates and formulations should also allow for greater areas of use of 1.3-D/Pic where township caps are binding Party: Nominated t MBTOC: Recommended a reduced amount of t

Progress report highlights - MBTOC soils Increasing regulations on all fumigants are stimulating consideration of many non-chemical alternatives for the remaining uses of MB (e.g. soil-less culture, grafting, steaming, ASDS, bio-fumigation). In Article 5 Parties, the sectors where MB use is difficult to phase out are similar to those in non Article 5 Parties. MB use in Article 5 Parties continues to decrease in regions where MLF and other projects have enabled good adoption of chemical and non-chemical alternatives. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 32

MBTOC Structures and Commodities M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 33

Interim recommendations for postharvest CUNs for 2015 Country and SectorNominated in 2013 (tonnes) Recommended for 2015 (tonnes) United States – dry cure pork 3.240[3.240] United States – fresh dates 0.310[0] Total3.510[3.240] M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 34

US – Dry Cure Pork Party: Nominated tonnes - a reduction of 13.1% from the amount granted by the Parties for this use in Reduction achieved by improving fumigation efficacy. MBTOC: Recommended tonnes. Extensive research has demonstrated a continued lack of success with possible alternatives particularly in killing mites. MBTOC suggested new research and pest management approaches. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 35

US – Fresh Dates Party: Nominated tonnes, a 4.6% decrease of the amount granted by the Parties last year for this application. MB was requested for dates for quick shipment. MBTOC: Not recommended. Technically effective, commercially available alternatives are available and the need for a three-day market window for the approximate 25% of the total harvest volume nominated was not substantiated by the Party. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 36

Progress report highlights for MBTOC SC Focus: Regulatory and Alternatives for Dates and Dry Cure Pork. Regulatory: No changes to SF (sulfuryl fluoride) registration in US (likely helped flour millers to complete their adoption). In Germany, the SF label no longer gives dosage to kill pest eggs; this might cause pest control problems in mills. Dates: Alternatives adopted for high moisture dates in North Africa and Middle East. Dry Cure Pork: Mites very difficult to control; no successful methods thus far. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 37

MBTOC QPS Progress Report and Response to Decision XXIII/5 M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 38

Global consumption of MB for QPS uses (3-year rolling averages) Reported consumption in A5 Parties shows an upward trend since 2000, and has been higher than that of non A5 Parties since 2007 Overall, QPS consumption remains relatively stable but has decreased in some regions and increased in others Asia - 54% USA, AUS and NZ - 32% Latin America and Caribbean – 10%

Progress report highlights for MBTOC QPS Update on IPPC MOU between IPPC and the Ozone Secretariat Dielectric heating approved as additional treatment for ISPM-15 Update on MB recapture systems New fumigants for QPS treatments are ethanedinitrile (EDN), ethyl formate + CO2 (Vapormate) and carbonyl sulphide (COS). Deregistration of sulfuryl fluoride (SF) and methyl isothiocyanate (MITC, Ecotwin) for log fumigation in Japan. Methyl iodide (MI) withdrawn from the USA and its registration suspended in some other countries. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 40

Response to Decision XXIII/5 Invited parties to voluntarily submit information to the OS on: The amount of MB used to comply with phytosanitary requirements of destination countries; Phytosanitary requirements for imported commodities that must be met through the use of MB. Requested TEAP to provide a report based on the information received. Currently eight responses received Depth and scope of information variable M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 41

Response to Decision XXIII/5 (2) Some Parties indicated difficulties in sourcing specific information (e.g., distinguishing between pre-shipment and quarantine export treatments, confusion between controlled and exempted uses and confusion between imports and use of MB for QPS). Information on the breakdown of import and export quarantine uses was generally not provided. In the past, MBTOC has had access to more complete information on QPS uses of methyl bromide. Parties may wish to accept guidance on how to collect and record information as recently provided by MBTOC in response to Decision XXIV/15. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 42

Handbook of CUNs MBTOC prepared version 7 of the Handbook in response to decision XXIII/14 and presented it to the Parties at MOP-24. MBTOC has now submitted version 7.1, incorporating comments and resolving concerns expressed by Parties in relation to the decision-making process used by MBTOC and the economic guidelines used when assessing CUNs. Parties may wish to approve this version in time for use by both non Article 5 and Article 5 Parties in the 2014 CUN round. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k 43

TEAP Refrigeration, AC and Heat Pumps Technical Options Committee Progress Report M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k

45 Refrigerants and domestic refrigeration Refrigerants: 14 new ones commercialised since Focus is on non halogenated and unsaturated HFC candidates, with emphasis on low or very low GWP ones. More attention paid to (mildly) flammable refrigerants, one of them being HFC-32. Domestic refrigeration: HC-600a and HFC-134a continue to be preferred refrigerants; transition from HFC-134a to HC- 600a is slow; some efforts to study HFC-1234yf are underway. New product development focuses on improved energy efficiency with e.g. variable speed compressors. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k

46 Commercial refrigeration Commercial refrigeration: Refrigerants as diverse as hydrocarbons (HC-600a and HC-290), carbon dioxide (R-744), intermediate blends (for drop-in or nearly drop-in replacements for HCFC-22), HFC-134a and R-404A, HFC-1234yf and its blends are in competition. Strengthened regulations such as in the EU will end the use of high GWP refrigerants, such as R-404A). Except for HC-290 (limited use in large systems due to safety concerns) there is a lack of low GWP refrigerants with large enough refrigeration capacity to replace R-404A or HCFC-22. Where regulations prohibit ammonia (R-717) or limit its charge, cascade R-744 systems or secondary fluids used. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k

47 Air conditioners Air conditioners using R-410A (with R-407C decreasing) are widely available in non-Article 5 Parties. Equipment using R-410A is also manufactured in some Article 5 Parties. Number of (lower GWP) HFC blends currently evaluated. HCs are being used in smaller equipment; voluntary and mandatory standards limit the quantity of the charge. HFC-32 considered for various types of AC units. Use of mixtures of three and four refrigerants with GWPs in the range are being investigated; technical data are not in the public domain, and development may take another 2-3 years. M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k

48 Heat pumps and chillers Heat pumps: HFCs, R-744 and HC-290 are currently used for new water and space heating heat pumps, new refrigerant options include low GWP HFCs and their blends. Chillers: Continuing trend in chiller development is to improve full load and seasonal energy efficiency to address global warming impact, building energy regulations etc. Chillers that employ R-717, water (R-718), R-744 and HCs continue to be available in certain capacities; absorption can be a good alternative in case of availability of waste heat or cogeneration. Testing for low GWP HFCs, HFC-32 and their blends (sometimes with HFC-134a) is underway (e.g., via AHRI in the USA). M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k

49 Large size, transport refrigeration and MAC Large size systems: R-717 is getting more widely accepted, cascade systems with R-744 and secondary loops are options. Transport refrigeration: Field testing by global manufacturers of R-744 in marine, rail and highway units continues. Development of low GWP HFC equipment (e.g., HFC-1234yf) could be a solution; requires further redesign of R-404A units. MACs: in 2012, HFC-1234yf was the universally preferred refrigerant to replace HFC-134a. Daimler carried out in-house tests and claimed that HFC-1234yf is too flammable when leaking in engine compartments; the significance of test results is disputed within industry and other organisations involved. Four German car manufacturers have pledged to use CO2 M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k

TEAP and TOC Organisational Issues M o n t r e a l P r o t o c o l O E W G m e e t i n g, J u n e , B a n g k o k

TEAP Membership As of MOP-24, 13 of 21 TEAP members were from non-Article 5 Parties, 7 from Article 5 Parties, and 1 from a former Country with Economy In Transition (CEIT). There are about 150 members of TEAP and its six TOCs, with about a third from Article 5 Parties. In 2012 Parties approved the re-nominations for TEAP members Stephen O. Andersen (Senior Expert, USA), Paul Ashford (FTOC co-chair, UK), Dave Catchpole (HTOC co- chair, UK), Lambert Kuijpers (TEAP, RTOC co-chair, NL), Dan Verdonik (HTOC co-chair, USA) and Ashley Woodcock (MTOC co-chair, UK). They also approved Bella Maranion (USA) as TEAP co-chair.

2013 TEAP Members Stephen O. Andersen, USA Paul Ashford, UK Mohamed Besri, Morocco Biao Jiang, PRC David V. Catchpole, UK Sergey Kopylov, Russia Lambert Kuijpers, Netherlands Bella Maranion, USA Michelle Marcotte, Canada Keiichi Ohnishi, Japan Roberto de A. Peixoto, Brazil Marta Pizano, Colombia Jose Pons-Pons, Venezuela Ian Porter, Australia Miguel Quintero, Colombia Ian D. Rae, Australia Helen Tope, Australia Daniel P. Verdonik, USA Ashley Woodcock, UK Masaaki Yamabe, Japan Shiqiu Zhang, PRC