As part of the European Green Deal, the European Commission presented, on Wednesday 15 December, a proposal for an EU regulation to reduce methane (CH4) emissions from the energy sector.
This regulation would cover oil and fossil gas upstream exploration and production, fossil gas gathering and processing (including inactive oil and fossil gas wells), gas transmission, distribution, underground storage and liquid gas (LNG) terminals operating with fossil and/or renewable (bio-or synthetic) methane, underground and surface coalmines in operation, and closed and abandoned underground coal mines.
No binding reduction targets
As the draft text (see EUROPE 12840/13) suggested, the proposal does not include binding targets for reducing methane emissions from the energy sector.
The Commission justifies this choice on the grounds that “specific binding targets first require reliable data on the baseline level and origin of methane emissions, which is not the case today”.
Nevertheless, it aims to achieve a reduction in methane emissions from this sector by setting rules for monitoring, reporting and verification (MRV) of emissions and for the detection and repair of methane leaks, and by limiting venting (the release of unburned methane into the atmosphere) and flaring (the controlled burning of methane for disposal in a device designed for such burning).
The Commission also wants to require Member States to draw up mitigation plans for abandoned coal mines and inactive oil and gas wells.
MRV
As regards the measurement and reporting of emissions, the proposal does not change significantly compared to the preliminary draft. The suggested approach is based on the ‘Oil and Gas Methane Partnership 2.0’ (OGMP) developed with the United Nations.
This would require EU operators to provide direct measurements of their emissions at source within 24 months for operated assets and 36 months for non-operated assets.
Repairing leaks
Concerning the repair of leaks, some clarifications are to be noted in relation to the preliminary project.
According to the proposal, operators will have to submit to the competent authorities “a leakage detection and repair programme” within three months of the date of entry into force of the Regulation, and carry out a leakage detection and repair check of all relevant components under their responsibility within six months of the entry into force of the Regulation (and every three months thereafter).
Operators will also be required to repair or replace all components that emit a certain amount of methane, i.e. 500 parts per million (ppm) or more, no later than five days after the leak is detected.
For components with emissions below 500 ppm, they will have to verify that the magnitude of the leak has not increased by inspecting these components no later than three months after the emissions were detected.
The proposed regulation is very similar to the preliminary draft with regard to venting and flaring (see EUROPE 12840/13).
However, in the case of coal, it plans to ban these practices in drainage stations by 2025 and in ventilation shafts by 2027.
Emissions outside the EU
The Commission also wants to tackle CH4 emissions from EU fossil fuel imports.
In addition to the introduction of transparency tools (see EUROPE 12840/13), the institution proposes to review the methane regulation by 2025, with a view to introducing stricter measures on fossil fuel imports when all the data is available.
The Commission estimates that the EU would need to reduce its methane emissions from energy sources (beyond fossil fuels) by 58% by 2030, compared to 2020 levels, to meet its climate targets. With all the initiatives underway, it expects an 80% reduction in fossil-related CH4 emissions.
See the proposal for a regulation: https://bit.ly/3EYAN1p (Original version in French by Damien Genicot)