Oil & Gas Methane Emissions: A Global Opportunity Sean Wright - - PowerPoint PPT Presentation

Oil & Gas Methane Emissions: A Global Opportunity

Sean Wright September 2017

Methane is causing 25%

• f today’s global warming.

THE METHANE PROBLEM

THE METHANE PROBLEM

Reducing CO2 and short term climate pollutants like methane can slow the current rate of global warming

Oil & Gas is one of the largest industrial sources of global methane pollution.

THE METHANE PROBLEM

The Problem:

• Small % of sites account

for significant % of emissions

• Unpredictable
• Not in inventories
• >90% of detected large

emissions in US from Tanks.

• Large emissions more

common in oil-producing regions, including tanks with ineffective controls

METHANE RESEARCH

Higher Emissions

As a whole, oil & gas methane emissions are higher than conventional estimates suggest

Global Emissions

• Operators lose $2b/yr in

natural gas

• Europe is the 7th largest

emitter on par w/Iran.

Cost Effective Reductions

• Possible to achieve ~45%

reductions using off-the-shelf technologies

• Many solutions cost-effective,

some with +NPV

System-wide emissions

• Studies have shown

significant emissions in each segment of supply chain from production to transportation and local distribution

Methane Detectors Challenge

• 1. Colorado First to Regulate

2014: US state Colorado becomes first state to regulation methane. 7 out of 10

• perators say benefits of policy
• utweigh costs
• 2. Action in Alberta
• Nov. 2015: Alberta reveals plan to cut

45% of oil & gas methane emissions by 2025

• 3. North America Joins

June 2016: Mexico, Canada and U,S. sign continental pledge to cut methane 45% by 2025. +75 investors w/$3.6T AUM come

• ut in support

Global Momentum on Methane Policy

• 4. U.S. Sets Precedent

May 2016: First national methane policies released covering public and private lands

• 5. Canada National Standards

May 2017: Draft national standards released, to be finalized in 2018. Alberta rules expected soon

• 6. Europe Next?

EU in early stages of considering broad methane strategy including O&G

EDF Work with O&G Investors

10

Key partnerships w/PRI, CERES, IIGCC and ICCR

Final Thoughts

• Global opportunity – low-hanging fruit
• Experience shows regulations can de developed and

successfully implemented.

• Measurements should include super-emitters.
• Transparency and reporting are key.
• Critical role for the Netherlands

Thank You

For further questions, please contact: Sean Wright – swright@edf.org