At roughly 20% of global greenhouse gas emissions, methane packs a disproportionate punch, being 80 times more potent than CO2 over 20 years. Reducing methane emissions, particularly from oil and gas production (Scope 1 emissions), offers a powerful and rapid way to slow climate change.
Methane emissions in oil and gas production permeate every step of the value chain, released intentionally through venting or flaring, or unintentionally as fugitive emissions. Venting, often caused by equipment malfunctions, scheduled maintenance, or inadequate infrastructure, results in the deliberate release of methane into the atmosphere. Flaring, primarily intentional due to infrastructure limitations or economic constraints on capturing the gas, can significantly vary in impact depending on the condition of the flares and the completeness of combustion. Fugitive emissions, originating mainly from gas production and transportation, stem from leaks and unintentional releases due to faulty equipment and subpar maintenance practices.
However, driving emissions reduction in oil and gas operations is not straightforward and will need significant investment in new equipment, technologies to recover methane, and infrastructure to handle recovered methane including storage and utilization options. Such investment will need policy, regulatory, economic, and institutional support along with means to share knowledge across oil and gas producers globally.
Progress and pledges
As a result, there has been significant progress in reducing methane emissions recent years, with more countries and companies joining pledges and implementing stricter regulations.
The Global Methane Pledge and Nationally Determined Contributions (NDCs) under the Paris Agreement were key drivers, alongside initiatives like the Oil and Gas Decarbonization Charter (OGDC). The European Union (EU) and the United States launched the Global Methane Pledge (GMP) at the COP26 where its more than 155 country participants agree to take voluntary actions to contribute to a collective effort to reduce global methane emissions at least 30% from 2020 levels by 2030.
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