How New European Rules Advance the Global Methane Pledge

Blog by Robert Kleinberg, Tim Boersma & Anne-Sophie Corbeau

Center for Global Energy Policy at Columbia University

November 21, 2023

In December 2021, the European Commission published a legislative proposal aimed at reducing methane emissions in the energy sector.[1] On November 15, 2023, the Spanish presidency of the Council of the European Union brought this piece of legislation nearly to the finish line.[2] With the clock ticking—given the impending change of Commission and Parliament in 2024—and following trilogues (legislative meetings between the European Commission, Council of the EU, and European Parliament), an agreement was reached, notably on Chapter 5 of the legislative proposal, which deals with imports of fossil energy. The tentative agreement, which still needs to be formally adopted by both the Council and the Parliament, could occur coincident with the 2023 United Nations climate change conference (COP28). 

In this article, the authors discuss the significance of these new emission-reduction rules. They argue that by addressing greenhouse gas emissions embodied in imported oil and gas, the European Union (EU27) can influence climate policies of other nations around the world without risking major political or economic repercussions within member states.

Addressing Methane Emissions

Historically the global climate lexicon has centered around carbon dioxide emissions, but in recent years the scope has broadened to include methane, which is responsible for 30 percent of the rise in global temperatures since the onset of the industrial revolution.[3] Addressing methane emissions across all sectors can achieve near-term gains in the efforts to limit global warming. That was the line of reasoning two years ago, when US President Joe Biden and EU President Ursula von der Leyen announced the Global Methane Pledge at COP26 in Glasgow.[4]

Addressing methane emissions in the energy sector alone does not solve the entire methane challenge, but it is a good place to start: solutions are more evident in the energy sector than in the agricultural or landfill sectors, which are also major contributors. The energy sector accounts for about 30 percent of anthropogenic methane, almost all in production and transmission, not consumption. Due to both natural and self-imposed reductions in its domestic supplies of fossil fuels, the EU27 (which does not include the United Kingdom and Norway) would seem to be in a weak position to address the problem of methane emissions from the supply chains of its fuels.

So what can Europe do about climate, without annoying or inconveniencing its own citizens? It turns out that the EU27 can in fact effectively influence climate policies of other nations around the world at little cost to itself.[5]

Notes

[1] EUR-Lex, “Proposal for a Regulation of the European Parliament and of the Council on Methane Emissions Reduction in the Energy Sector and Amending Regulation (EU) 2019/942,” December 15, 2021, https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A52021PC0805&qid=1642698591892.

[2] Council of the EU, “Climate Action: Council and Parliament Reach Deal on New Rules to Cut Methane Emissions in the Energy Sector,” press release, November 15, 2023, https://www.consilium.europa.eu/en/press/press-releases/2023/11/15/climate-action-council-and-parliament-reach-deal-on-new-rules-to-cut-methane-emissions-in-the-energy-sector/.

[3] UNEP, “Urgent Action to Cut Methane Emissions from Fossil Fuel Operations Essential to Achieve Global Climate Targets,” October 11, 2023, https://www.unep.org/news-and-stories/press-release/urgent-action-cut-methane-emissions-fossil-fuel-operations-essential.

[4] Climate & Clean Air Coalition, “Global Methane Pledge,” accessed November 4, 2023,  https://www.globalmethanepledge.org/.

[5] Rystad Energy Consulting, “Impact of EU Methane Import Performance Standard,” November 13, 2023, https://www.catf.us/resource/impact-eu-methane-import-performance-standard/.