Energy Exchange

States Underscore U.S. Methane Momentum, Latest Reason for Canada to Press Ahead

U.S. states are accelerating steps to reduce oil and gas air pollution. Just last week Ohio – which has a Republican Governor, and Republican-controlled Senate and House – joined the list of states targeting oil and gas emissions with a new methane policy that requires operators to check for leaks at compressor stations four times a year. Showing that it’s not a matter of politics, but smart policy to require oil and gas companies to regularly inspect for and repair leaky equipment.

At the same time, Canada is developing its own requirements to cut oil and gas methane emissions by 45 percent, an effort that some in industry are resisting over concerns of possible U.S. federal policy changes. But Canada needs to keep its eyes on the states where action has taken hold for good reason.

Methane, a powerful pollutant, has emerged as a key energy and environmental challenge.

Natural gas is mostly methane. When it leaks and is vented from thousands of oil and gas facilities, methane loss to the atmosphere is wasted energy that hurts not only businesses but local economies. Read More »

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The Power of Three: Mexico Aligns with U.S. and Canada on Oil and Gas Methane Pollution

The_Three_Amigos_2016Mexican President Peña Nieto today formalized Mexico’s plan to join the U.S. and Canada in making oil and gas methane reductions a national priority, marking yet another country taking leadership to address this extremely potent greenhouse gas. The three leaders agreed that each of their countries would develop rules to cut up to 45 percent of methane escaping from across the continent’s oil and gas industries by 2025. It’s a pledge that once fully realized would have the same 20-year climate effect as taking 85 million cars off the road. Featured among a package of broader energy and climate commitments, the common methane reduction goal is a centerpiece.

This announcement is a milestone for North America energy integration and cooperation. But, it’s also an important moment for Mexico. The commitments Mexico is making both in-country and as part of the continental pact on methane, distinguishes Mexico as a clear world leader on energy and climate issues, along with the U.S. and Canada. By taking advantage of low-cost, oil and gas methane reductions, Mexico can make an immediate down payment on its climate goal – cuts can deliver about 10% of the greenhouse gas reductions Mexico pledged, and all at a cost savings. The key will be implementation and what steps Mexico takes next are critical.  Read More »

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Mexico Methane Reductions: An Opportunity For North American Leadership

Mapa_Mexico_Con_BanderaIn partnership with Mexico’s Mario Molina Center and Canada’s Pembina Institute, EDF released a policy brief in Mexico City this week that illustrates that national action in the United States, Canada and Mexico could cheaply and quickly eliminate 232 billion cubic feet of methane from the North American oil and gas industry.

Titled “North American Climate Leadership: A road map for global action,” the brief synthesizes analyses included in ICF’s North American report and its research conducted in the U.S. (2014), Canada (2015) and Mexico (2015). All of ICF’s analyses found that reducing methane from the oil and gas supply chain is cost-effective and environmentally beneficial. Even at today’s historically low gas prices, the cost of capturing methane would add just one penny to the current price of gas, based on the cost of solutions and the ability to sell the recovered gas. Read More »

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Five Nordic Countries Agree to “Drive Down” Oil and Gas Methane Pollution Alongside the U.S.

Nordiske-flagLast week’s White House announcement marked an important step in the march toward global climate action. The U.S.-Nordic Leader Summit Joint Statement, issued by the United States, Denmark, Finland, Iceland, Norway and Sweden, underscored the need for a broad climate strategy, one that prioritizes reductions in both long- and short-lived climate pollutants across key industry sectors.

In addition to addressing renewable energy, HCFs, international aviation emissions and deforestation, the statement included a commitment for each country to develop a national plan to reduce emissions of methane, a powerful short-lived greenhouse gas. This is critical, given a wave of scientific data that highlights the need to reduce methane emissions from the oil and gas supply chain. The agreement is another sign that methane is starting to get the international attention it deserves, as reducing oil and gas methane is one of the most impactful and cost-effective actions we can take to slow the current rate of warming. Read More »

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Real Action on Paris Commitments as the US and Canada Announce Methane Targets

canada CAC graphicIt was a big week in Canada-US relations. For the first time in 19 years, the White House hosted the Canadian Prime Minister for a state dinner. And for good measure, President Obama and Prime Minister Trudeau announced a renewed collaboration to combat climate change starting with methane, one of the most potent greenhouse gases.

Under the pact, the United States and Canada committed to reduce oil and gas methane gas emissions by 40-45 percent below 2012 levels by 2025. Both countries also said the goal would be met by developing regulations for existing sources as well as new ones – a crucial concern – and challenged other countries to adopt similarly aggressive oil and gas methane goals.

This new level of cooperation will deliver significant progress for both Canada and the United States toward achieving their emissions reduction commitments set at the Paris climate talks held this past December. Read More »

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Premier Clark’s Methane Commitment a Promising, Early Sign for BC’s Climate Leadership

Yesterday, British Columbia’s Premier Christy Clark announced that the province will align with Alberta’s groundbreaking new policies on reducing emissions of the potent greenhouse gas methane from the oil and gas industry.  Alberta had announced in November a goal of cutting oil and gas methane emissions 45 percent by 2025, and BC’s new commitment is just one more sign that there is growing momentum in Canada to tackle this powerful climate pollutant.

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