Methane Leaks and Gas Flaring Expose Persistent Gaps in Oil and Gas Emissions Control

Methane emissions and natural gas flaring remain major weaknesses in global efforts to reduce the climate impact of fossil fuel production, despite years of corporate commitments, government pledges and improvements in monitoring technology.

Methane is the main component of natural gas and a powerful greenhouse gas. It can escape from oil and gas infrastructure through leaking valves, tanks, compressors, pipelines and abandoned wells. It is also deliberately released through venting or sent to flare stacks, where operators burn gas that cannot easily be transported, processed or sold.

Although flaring converts much of the methane into carbon dioxide, it still generates greenhouse gas emissions and wastes a potentially valuable energy resource. Flares can also malfunction or burn inefficiently, allowing uncombusted methane to enter the atmosphere.

Global Gas Flaring Continues to Increase

The scale of this waste increased again in 2025. According to the World Bank’s 2026 Global Gas Flaring Tracker, global flaring rose for a third consecutive year to approximately 167 billion cubic metres of gas, the highest recorded level since 2019.

The volume was comparable to Africa’s total annual gas consumption and exceeded the amount of liquefied natural gas transported through the Persian Gulf during the year.

The World Bank estimated that the gas burned in flares was worth around $54 billion. Eliminating routine flaring worldwide would require an estimated $70 billion to $100 billion in initial investment, suggesting that the annual value of wasted gas is already equivalent to a substantial proportion of the capital needed to address the problem.

The continued increase highlights the difference between routine flaring and emergency flaring. Flaring may be necessary for limited periods to manage pressure and protect workers or equipment. Routine flaring, however, usually occurs because producers lack pipelines, processing facilities, reinjection equipment or commercial markets for associated gas produced alongside oil.

In many producing regions, the main obstacles are therefore not technological. They include inadequate infrastructure, weak regulations, limited access to finance and insufficient incentives for operators to recover gas rather than burn or release it.

Direct Measurements Reveal Underestimated Emissions

Methane leakage represents an additional problem because it is often intermittent, difficult to detect from the ground and poorly reflected in conventional inventories.

Company and government estimates have historically relied heavily on standard emissions factors, equipment counts and self-reported operational information. Direct measurements from aircraft, ground sensors and satellites increasingly show that actual releases can differ significantly from calculated inventories.

The International Energy Agency estimates that fossil fuel operations emitted more than 120 million tonnes of methane in 2025. Oil operations accounted for approximately 44 million tonnes, while natural gas activities released close to 34 million tonnes. Abandoned oil and gas wells contributed an additional estimated 3.5 million tonnes.

Around 70% of methane emissions from fossil fuel operations came from the ten largest emitting countries. China was the largest overall emitter because of its coal sector, followed by the United States and Russia.

For upstream oil and gas production, methane intensity varied by more than one hundredfold between the strongest and weakest-performing countries. Turkmenistan and Venezuela recorded particularly high intensities, while Norway maintained the lowest.

These differences demonstrate that high emissions are not an unavoidable consequence of producing oil and gas.

Existing Technology Could Prevent Most Emissions

The IEA estimates that roughly 70% of fossil fuel methane emissions could be avoided using technologies that already exist.

More than 35 million tonnes could be prevented at no net cost because the value of the captured gas would exceed the expense of the required equipment and operational changes.

Available measures include regular leak detection and repair programmes, replacing gas-powered pumps with electric equipment, installing vapour-recovery systems, improving compressor seals and using associated gas for on-site electricity generation.

The IEA estimates that nearly 30 million tonnes of upstream oil and gas methane emissions could be eliminated at no net cost under average 2025 energy prices.

Reducing waste could also support energy security. The agency calculates that nearly 100 billion cubic metres of natural gas could be made available annually by cutting methane emissions from oil and gas operations.

Eliminating non-emergency flaring could unlock approximately another 100 billion cubic metres, although new infrastructure and equipment would be required before all of this gas could reach consumers.

Satellites Are Improving Emissions Detection

Satellite systems are strengthening the ability of regulators, investors and civil society groups to identify major releases.

The United Nations Environment Programme’s Methane Alert and Response System uses information from more than 30 satellite instruments to locate large emissions, alert governments and companies, and track whether corrective action follows.

By April 2026, the system had documented more than 40 verified mitigation cases across four continents. UNEP nevertheless warned that government and company responses have not grown as quickly as the number of alerts and available observations.

The expansion of satellite monitoring means large emissions events are becoming harder to conceal. However, identifying a methane plume does not automatically result in repairs, penalties or permanent operational changes.

Monitoring systems are therefore most effective when they are supported by clear regulatory obligations, rapid response procedures and transparent reporting on corrective measures.

Policy Implementation Remains Insufficient

The gap between commitments and implementation is also visible in public policy.

High-level methane commitments now cover around 80% of global fossil fuel production, but the IEA estimates that existing policies would reduce energy-sector methane emissions by only about 25% by 2035.

Current oil and gas regulations would deliver a reduction of approximately 20% by 2030, below the Global Methane Pledge’s collective target of cutting human-caused methane emissions by at least 30% from 2020 levels.

Many countries have announced methane targets without introducing detailed rules on measurement, inspections, repairs, equipment standards or penalties. In other cases, regulations exist, but enforcement capacity remains limited.

Voluntary initiatives can encourage companies to improve monitoring and share emissions data, but they do not provide consistent coverage across the industry. Smaller operators and companies working in jurisdictions with weak oversight may face little pressure to invest in methane controls.

Growing Risks for Oil and Gas Companies

For companies, the expanding availability of independently measured emissions data creates new financial and reputational risks.

Producers may face stricter import requirements, higher compliance costs and greater scrutiny from customers seeking fuels with low methane intensity. Large emissions events could also affect access to capital, insurance conditions and relationships with investors.

The European Union’s methane rules, for example, are expected to increase scrutiny of emissions associated with imported oil, gas and coal. Suppliers may increasingly be required to provide reliable data and demonstrate that they are taking steps to detect and reduce leaks.

Companies that rely primarily on estimated emissions rather than direct measurements could find that their reported performance conflicts with satellite or aerial observations.

This creates a growing need for asset-level measurement, independent verification and rapid repair systems.

What Governments and Industry Can Do

For policymakers, the findings point to the importance of mandatory measurement, reporting and verification.

Effective methane regulation can include frequent leak inspections, enforceable repair deadlines, restrictions on routine venting and flaring, equipment performance standards and financial penalties for non-compliance.

Governments can also require operators to develop plans for managing associated gas before new oil projects receive approval. This can reduce the risk that production begins without adequate pipelines, processing facilities or reinjection capacity.

Infrastructure investment is particularly important in regions where operators currently have no practical way to process or market associated gas.

Public financing institutions and development banks may also have a role in supporting projects that capture gas, improve electricity access or replace more polluting fuels, provided that investments are consistent with wider climate and energy transition objectives.

Oil and gas companies can reduce emissions by combining continuous monitoring with regular on-site inspections. Satellites are useful for detecting large releases, while drones, aircraft and ground-based sensors can identify smaller or more localised leaks.

Clear internal responsibility is also important. Methane management should be integrated into operational procedures, maintenance budgets and executive performance assessments rather than treated solely as a sustainability reporting issue.

Rapid Methane Reductions Could Deliver Near-Term Benefits

Methane reductions cannot replace the wider transition away from unabated fossil fuels. Continued investment in fossil fuel production may still create long-term emissions, financial and energy transition risks.

However, controlling avoidable leaks and ending routine flaring could produce relatively rapid climate benefits while conserving energy that is currently being lost.

Methane remains in the atmosphere for a shorter period than carbon dioxide, so reductions can help slow warming over the near term. Capturing gas that would otherwise be leaked, vented or flared can also improve operational efficiency and, in some markets, increase energy supply.

The technology required to address a large share of emissions is already available. The central challenge is converting improved visibility, regulatory commitments and corporate targets into consistent operational action.

Source: www.nytimes.com