Why Is Methane Emissions Management Critical For Natural Gas Producers?

Canada is striving to meet its environmental commitments, rebuild the economy, and create a lower carbon economy. Reducing methane and other greenhouse gas (GHGs) emissions in the oil and gas sector is an important part of getting there.

On Jan. 21, 2021, the CERI Methane Emissions Management (MEM) course, presented by Allan Fogwill, will provide registrants with an in-depth understanding of the regulatory nuances, technical options and cost implications associated with emissions management. This course also details how methane emissions are linked to global warming and the various mitigation options available.

Canada intends, alongside provincial regulations, to fulfil the country’s commitment to reduce oil and gas methane emissions by 40% to 45% below 2012 levels by 2025. (Natural Resources Canada)

Through the new $750M Emissions Reduction Fund (ERF), the Government of Canada has committed to help onshore and offshore oil and gas companies by providing funds to invest in green solutions to reduce GHGs and retain jobs in the sector. (IEA)

Provincial governments have also made commitments to help achieve methane emissions reduction targets.

Alberta

The Government of Alberta (GOA) has committed to use a combination of policy tools to achieve a 45 percent methane reduction target by 2025, including regulatory requirements, market-based programs, and investments in technology and innovation.

With proceeds from the TIER fund, the GOA has committed to provide continued support for methane technology and innovation approaches across the oil and gas sector. (Government of Alberta)

The CERI Methane Emissions Management course will provide an overview of programs available to the sector in Alberta, including:

  • Methane Technology Implementation Program (MTIP): $25 Million program to support installation of readily-available methane reduction technologies at conventional oil and gas facilities.
  • Baseline Reduction Opportunity (BRO) Assessment Program: $10 Million program to support small and medium-sized oil and gas operators to conduct detailed assessments of methane reduction opportunities and fugitive emissions.
  • Fugitive Emissions Management Program (FEMP): Supports investigating and testing alternative approaches to detection and quantification of fugitive and vented emissions.
  • Emission Reduction Alberta and Alberta Innovates support various methane emission detection and reduction projects and initiatives.

British Columbia

Reducing methane emissions from oil and gas operations is recognized as one of the most effective ways to reduce greenhouse gases. While energy companies are doing their part to conserve emissions through gas capture, combustion and leak detection and repair program improvements, some natural gas is still lost during normal operations.

On Jan. 1, 2020, new methane regulations came into effect in British Columbia (BC), designed to reduce methane emissions by 10.9 megatonnes of carbon dioxide equivalent over a 10-year period. BC worked closely with the federal government on an equivalency agreement resulting in the standing down of the federal methane regulations in the province. (BC Oil & Gas COMMISSION)

The CERI Methane Emissions Management course will provide an overview of methane emission regulations in British Columbia designed to address the primary sources of methane from B.C.’s upstream oil and gas industry, including:

  • Pneumatic devices
  • Equipment leaks
  • Compressor seals
  • Glycol dehydrators
  • Storage tanks
  • Surface casing vents

Saskatchewan

On January 1, 2019, the Government of Saskatchewan introduced The Oil and Gas Emission Management Regulations (OGEMR), which will reduce upstream oil and gas industry emissions from venting and flaring by over 40 per cent between 2020-2025, and provincial methane emissions are then capped at that level irrespective of any potential overall growth of provincial oil and gas production. OGEMR's mandatory emissions reductions are equivalent to a decrease of 4.5 million tonnes of CO2e annually by 2025 from 2015 levels.

The CERI Methane Emissions Management course will provide an overview of Complementary Programs and Policies available in Saskatchewan including:

  • Technology Fund: The Ministry of Environment is establishing a Technology Fund. Penalty payments under OGEMR will be deposited in the Technology Fund, but held separately from other payments made to the fund. The OGEMR portion of the fund will prioritize all types of methane capture and commercialization projects and other emissions management projects in the sector.
  • Saskatchewan Petroleum Innovation Incentive (SPII): SPII is administered by the Ministry of Energy and Resources and offers transferable royalty/freehold production tax credits for qualified innovation commercialization projects at a rate of 25 per cent of eligible project costs. The program targets a broad range of innovations deployed across all segments of Saskatchewan's oil and gas sector, including emissions management projects.
  • Associated Gas Conservation Program (AGCP): AGCP will be administered by SaskEnergy and will create more opportunities in the upstream oil and gas industry for the sale and movement of methane between oil production facilities for the purpose of on-site use.

Click here for further course details.

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