Commentary

The fight against climate change is a race against time, and methane emissions represent one of the most critical battlegrounds in this global effort. In recent years, the global community has increasingly recognized methane as one of the most potent greenhouse gases, with a global warming potential more than 25 times greater than that of carbon dioxide over a 100-year period. Despite its short atmospheric lifetime, methane's intense warming potential makes it a critical target for immediate climate action.

Encouragingly, the past two years have marked a period of significant progress in addressing methane emissions, highlighted by initiatives such as the Global Methane Pledge. The momentum generated by the pledge and other voluntary measures has laid a solid foundation for the next phase of methane mitigation efforts.

The next step: a binding framework

To effectively combat the climate crisis, we must now escalate our efforts from voluntary commitments to an international framework with mandatory and binding measures – beginning in the oil & gas sector. 

In designing a binding framework, I do not believe we should consider a ‘traditional’ multilateral environmental agreement. While these MEAs play an important role in setting international policy and law, they often come with significant drawbacks and considerable administrative efforts. Instead, the most practicable route would be a framework through a collaborative partnership of major energy importers.

Energy importers setting mandatory performance standards

Energy-importing countries, particularly those reliant on gas and oil, are in a pivotal position to influence global methane emissions due to their substantial demand and purchasing power in the international energy market. By setting stringent performance standards for methane emissions, these nations can exert significant pressure on exporters to adopt cleaner, more sustainable extraction and processing methods.

This approach not only aligns with the broader objectives of environmental stewardship and climate change mitigation, but also serves as a clear signal to the market that there is a strong demand for low-methane energy.

Such standards would create a level playing field, and catalyse innovation and investment in methane reduction technologies, leading to widespread adoption across the industry. Furthermore, by leading this charge, energy-importing countries can demonstrate global leadership in climate action, encouraging others to follow suit and contributing to a rapid decrease in methane emissions worldwide.

The establishment of high performance standards in major energy markets will thus play a critical role in accelerating the transition towards a more sustainable energy future, making it imperative for energy-importing countries to take the lead in this vital endeavour.