In 2012, it was reported that carbon emissions fell to their lowest point since 1994. This was largely due to America’s shift from coal to a much cleaner burning natural gas. The switch from coal to gas has produced important climate gains however environmentalists say that natural gas production comes with the hidden climate risk of methane leaks. Unfortunately, methane leaks are common in the U.S. natural gas production and distribution system. Methane, a greenhouse gas, is estimated to be 30 times more potent than carbon dioxide and many have argued that leaks within the energy industry have negated the climate benefits of switching from coal to gas.
In February of this year, University of Stanford published a study analyzing the climate benefits of using natural gas to produce electricity over burning coal. According to the study, previous estimates of methane emissions from natural gas production were grossly underestimated by the Environmental Protection Agency. After reviewing more than 200 studies examining emissions from natural gas production, it was estimated that methane emissions are approximately 50 percent higher than E.P.A. estimates.
As damaging as this may seem for the oil and gas industry, the study still concludes that switching from coal-fired power plants to natural gas-fired plants will lower climate change emissions overall. The burning of natural gas produces half the carbon emissions as coal and after factoring in current levels of methane releases, natural gas-fired plants lead to less negative emissions than coal over a projected 100-year span.
The Stanford study, “Methane Leaks from North American Natural Gas Systems,” can be found here.
It is the unvented release of natural gas that is more potent and more harmful to the environment. Overall, the Stanford study calls for better research to be conducted so that policy makers can gain a greater understanding of how producing and burning natural gas affects climate change. A general lack of investment in infrastructure, lack of investment in science, and lack of attention to the leakage problem all have been cited as concerns.
Many groups have already set out to produce greater scientific evidence of methane leaks. The Environmental Defense Fund and its partners have launched a research effort into the energy industry to find areas of methane leaks and measurements concerning its release. The project currently involves 85 academic researchers and natural gas companies. Those involved include the EDF, University of Texas, Colorado State University, Washington State University, West Virginia University, and several natural gas companies, utilities, and industry leaders. Roughly 16 studies are currently underway and results are expected by the end of 2014.
As of today, there are no federal regulations on methane emissions from oil and gas production. Stanford’s study of methane leaks concluded by saying leaks can be mitigated with greater investment into technology to prevent methane from escaping gas wells and production facilities. Others have urged for federal regulation to curb methane emissions. A number of Northeastern states including New York have petitioned the government and EPA to create federal regulation requiring oil and gas companies to install equipment at wellheads to capture leaked methane, use more protective valves in production facilities, and regular inspections.
Those that do not support federal regulation of methane emission in the oil and gas industry argue that such regulation will economically harm and prohibit industry growth. A recent New York Times article suggests that it is actually in the industries best interest to voluntarily prevent methane leaks. Methane is a component of natural gas and if captured can be sold as such. The release of methane is thus a loss of profit. Therefore, they argue, it is the industries interest to prevent leakage and capture methane that is released.
More recently, the federal government has taken steps to address the issues relating to the regulation of methane emissions. In late March of this year, the Obama Administration released a 15-page plan to curb methane emissions. The plan calls for the EPA to further investigate and study methane emissions from the oil and gas industry and by Fall 2014 determine if regulation is needed. If so, regulations would be issued in 2016.
The natural gas industry has quickly become one the largest and most significant industries in the U.S. Due to the rising concerns of climate change and the impacts methane can have on the future, it seems only natural that methane emissions become regulated similar to that of carbon emissions. Future research and upcoming data concerning methane leakage in the energy industry will certainly help determine how it should be regulated and to what degree. Often referred to as a “bridged fuel” between coal and renewables, natural gas provides a great benefit to the future of the U.S. energy sector and every step to lessen its impact on climate change will push the industry forward.