Katerina Shaton

• Morgunova, Maria & Shaton, Katerina (2022). The role of incumbents in energy transitions : investigating the perceptions and strategies of the oil and gas industry. Energy Research & Social Science. ISSN 2214-6296. 89(July), p. 1–12. doi: 10.1016/j.erss.2022.102573. Full text in Research Archive Show summary

  The study focuses on sustainability transitions in the oil and gas industry, particularly its strategies and perceptions towards mitigating climate change. The paper offers a quantitative analysis of survey data collected from 116 questionnaire responses involving representatives of oil and gas companies, academia and young professionals, supplemented by a qualitative analysis of selected companies' reports and outlooks. The empirical results show that the oil and gas industry is attentive towards climate change and has the capacity to transit towards sustainability. There are significant differences in how the industry perceives climate change mitigation policies and treats public debate on climate change, which can be explained by geography and the related socio-political context. We point to the importance of stability of macroeconomic factors, such as oil prices, for oil and gas companies to diversify and transit, as well as underline the need to gain a deeper understanding of the effect of external pressures. We argue for clearer and more inclusive regulation, coordination and dissemination for climate policies, and wider engagement of oil and gas companies in sustainable energy transition. This paper contributes with a meso-level assessment of sustainability transitions, and suggests a more diverse picture of incumbents by highlighting the need to revise their role in sustainability transition processes. We offer additional perspectives on transition pathways for policymakers. Keywords: Oil, natural gas, climate change, sustainable energy transition, industry perspective

• Shaton, Katerina; Hervik, Arild & Hjelle, Harald M. (2020). The environmental footprint of natural gas transportation: LNG vs. Pipeline. Economics of Energy & Environmental Policy. ISSN 2160-5882. 9(1), p. 1–19. doi: 10.5547/2160-5890.8.2.ksha. Show summary

  Emissions to air from the production and transportation of natural gas is an important aspect of the decision making regarding the new infrastructure development in the offshore natural gas sector. In this study, we estimate the emissions of CO2, NOx, nmVOC and CH4 from extraction, processing and transportation of a unit of dry natural gas from the continental shelf of Norway to consumer markets; and compare the resulting emission intensities of the pipeline value chains, where natural gas is transported in gaseous form, with the LNG (liquefied natural gas) chains, where natural gas is liquefied and shipped by LNG carriers. The analysis substantiates the environmental superiority of pipeline chains over LNG-based chains. However, the comparative analysis of ten pipeline chains highlights the variability of the environmental performance of different chain configurations. The isolated analysis of the transportation segment of the value chains also confirms the superiority of the pipeline transportation over LNG. Keywords: natural gas, emissions to air, pipeline transportation, LNG

• Shaton, Katerina & Hervik, Arild (2018). Economic appraisal in the upstream gas transport sector. Impact Assessment and Project Appraisal. ISSN 1461-5517. 36(5), p. 401–412. doi: 10.1080/14615517.2018.1480916. Show summary

  This paper investigates how the methodology of cost–benefit analysis (CBA) can be applied to infrastructure development decisions in the upstream gas transport sector. The proposed method enables the possibility of a systematic appraisal of the values of flexibility in the infrastructure investments and environmental externalities of gas transportation. In order to investigate what CBA can contribute to existing appraisal practices, we present a case study of the appraisal of a recent infrastructure project (Polarled Transport) on the Norwegian continental shelf. A special consideration is given to the environmental externalities of gas transportation. The estimated transport-related emissions to air from the fields associated with the Polarled pipeline during the 40 years of the analysis period are 12,985,563 tonnes of CO2 and 10,060 tonnes of NOx. Using the 2012 calculation prices of CO2 and NOx, adjusted for the corresponding taxes, and using the discount rate of 4%, we obtained the cost of the environmental externality of 3.14 billion 2012 NOK (2.98 billion for CO2 and 0.16 billion for NOx), which were missing in the appraisal of the project. Keywords: upstream gas transport infrastructure, economic appraisal, cost-benefit analysis, gas pipelines, LNG

• Shaton, Katerina (2015). Economic appraisal in Norwegian gas transport sector : cost-benefit analysis. In Jæger, Bjørn (Eds.), NOFOMA 2015 : Post Conference Proceedings, Molde, 3-5 June 2015, Nordic Logistics Research Network. Nordic Logistics Research Network. ISSN 978-82-7962-207-9. p. 314–329. Show summary

  The review of the investment planning and appraisal in the Norwegian gas transport sector shows that the currently used approach does not internalise all socio-economic impacts of a project on the concept selection phase. In this paper, a framework for economic appraisal of gas transport infrastructure projects, based on the methodology of Cost-benefit analysis (CBA), is suggested. Keywords: Gas Transportation, Infrastructure, Investment planning, Impact Assessment, Cost-Benefit Analysis.

• Shaton, Katerina (2014). Incentive problem in gas transport infrastructure development on the Norwegian continental shelf. Procedia Computer Science. ISSN 1877-0509. 31, p. 413–422. doi: 10.1016/j.procs.2014.05.285. Show summary

  The objective of this paper is to propose an analytical structure to investigate the interaction between the tariff regulation and investment behavior in the Norwegian gas transport sector. A game theoretic approach is used to analyze the current tariff system, and consider its implications on the development of the transport network in the long run. A special position of the independent system operator as a common agent is discussed.

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• Shaton, Katerina; Hervik, Arild & Hjelle, Harald M. (2016). Environmental Footprint of Gas Transportation: LNG vs. Pipeline.
• Shaton, Katerina (2015). Value of flexibility in gas pipeline investments. In Kersten, Wolfgang; Blecker, Thorsten & Ringle, Christian M. (Ed.), Innovations and strategies for logistics and supply chains : technologies, business models and risk management. Epubli. ISSN 978-3-7375-4059-9. p. 333–357. Show summary

  Investments in upstream gas transport pipelines are characterized by significant economy of scale: there is a low additional cost to establish capacity in excess of the committed volumes. The excess capacity provides flexibility for cost-efficient expansions of the transportation system if there are new discoveries in the future. Therefore, investments in excess pipeline capacity may have a significant value for the gas sector in general, which is disregarded by the private decision-makers. The flexibility to expand the transportation network can be regarded as an option, which can be exercised if there are new discoveries and market conditions are favorable. The objective of this paper is to consider how Real Options thinking can be applied to estimate the monetary value of the flexibility provided by excess capacity in gas transport pipeline investments. The proposed method is based on the binomial lattices and allows including both market and project-specific risks. An example demonstrates how this value can be used by a public decision-maker in the evaluation of infrastructure projects in the Norwegian gas transport sector. Keywords: gas pipeline investments, excess capacity, value of flexibility, real option

• Shaton, Katerina (2014). Incentive problem in gas transport infrastructure development on the Norwegian continental shelf.
• Shaton, Katerina (2014). Appraisal practice in gas transport infrastructure development on the Norwegian continental shelf.
• Shaton, Katerina (2014). The value of strategic flexibility in gas transport infrastructure investments. Show summary

  Exploration interests of petroleum companies move further to the North of the Norwegian Sea and the Barents Sea. It raises a need for a gas transport solution in the area. In the paper, the choice between an LNG and a pipeline solution is discussed. A Real Options framework is used to analyse the trade-off between the destination flexibility of the LNG solution and strategic flexibility provided by the pre-investment in excess pipeline capacity. An approach to identify the value of strategic flexibility is proposed and the value is estimated for the case of a potential Barents Sea pipeline.

• Shaton, Katerina (2017). Essays on upstream gas transport infrastructure planning and appraisal. Molde University College - Specialized University in Logistics. ISSN 978-82-7962-217-8.

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