The International Energy Agency estimates that more than 196 billion cubic meters of gas could have been supplied to global markets, but instead was lost through flaring, venting, and leaking worldwide in 2023 —enough to cover two thirds of the European Union annual gas consumption. Here is some information about the first-ever European Union regulation on reducing methane emissions within the fossil fuel sector.

About the initiative:

  • EU/2024/1787 was entered into force on 5 August 2024.
  • The new rules focus on several challenges around detecting and quantifying emissions: Measurement, reporting, and verification. They also present stringent rules around finding and repairing leaks within the European Union.

Key Regulation Notes

In oil and gas:

  • Within the European Union, companies are required to monitor equipment for leaks.
  • If a leak is found, it must be repaired immediately, within 5–15 working days. It should then be monitored to ensure the repairs were successful.
  • The regulation also bans venting, except in exceptional or unavoidable circumstances for safety reasons.
  • It allows flaring only if re-injection, utilization onsite, or transport of the methane to a market are not technically feasible.
  • The rules around when and how each of these actions can be carried out are also more restrictive.
  • It also obligates countries in the European Union to map and reduce emissions from closed and abandoned oil and gas wells.

In coal mining:

  • Within the European Union, the regulation envisions a phase-out of methane venting and flaring within coal mining and processing.
  • The new regulation also requires countries in the European Union to map and establish mitigation plans in the case of abandoned coal mines and inactive oil and fossil gas wells.

The Global Methane Pledge:

  • The Global Methane Pledge was launched by the European Union Commission and the United States at COP26 in Glasgow in 2021.
  • 159 countries have joined the pledge.

Other milestones:

  • The Methane Finance Sprint at COP28 held in the United Arab Emirates in 2023 mobilized €175 million for E.U. methane initiatives and more than $1 billion in total.
  • The Methane Abatement Partnership Roadmap was launched at COP29 held in Baku in 2024.
  • Data availability has also significantly improved with the full launch of the satellite-based Methane Alert and Response System (MARS) and new satellite launches planned by 2026. This system helps track super-emitter events and notify governments of their occurrence.

Why it matters:

  • Methane emissions reductions can be cost-effective, or even cost-negative.
  • Captured methane can be sold as natural gas.