The case for UK methane action: A fast, cost-effective climate win
Methane is the second largest contributor to climate change and traps more than 80 times more heat than carbon dioxide over a 20-year period. It has already driven half a degree Celsius of the warming the world is experiencing today. Because it is a short-lived climate pollutant, reducing methane emissions is one of the fastest and most effective ways to slow the rate of global warming in the near term, while also improving air quality and protecting public health.
The energy sector offers the clearest path to immediate reductions. Methane released during oil and gas production can be captured and sold, generating revenue while improving the UK’s energy security. Although the UK’s oil and gas production is projected to decline, this alone will only reduce sectoral methane emissions by around ten percent by 2030, just one percent of overall UK methane emissions. Greater reductions are both achievable and necessary, and they can be implemented faster than in other sectors. These measures are not only cost-effective but also contribute to reducing waste and stabilising energy prices by keeping valuable gas in the system.
The UK has demonstrated global leadership on methane. At COP26, it played a key role in launching the Global Methane Pledge. It has since become co-chair of the Climate and Clean Air Coalition and continues to support initiatives like the Fossil Fuel Regulatory Programme, which helps countries design and implement policies to cut methane emissions from fossil fuels. But leadership abroad must be matched by progress at home. As momentum builds internationally, the UK now risks falling behind unless it adopts strong domestic rules.
Why the UK needs a methane regulation
The UK is the second largest oil and gas producer and the third largest methane emitter from oil and gas operations in Europe, following Ukraine and Romania. It also plays a significant role in global methane emissions through its fossil fuel imports. In 2023, the UK imported tens of millions of tonnes of crude oil and natural gas liquids, along with large volumes of natural gas. While most emissions from these imports occur outside UK borders, they are tied to UK consumption—and therefore represent a critical opportunity for influence.
By incentivising its trading partners to adopt best practices and methane-reducing technologies, the UK can help reduce emissions beyond its borders. In fact, the EU’s new methane regulation will soon require it. As the EU’s fifth most important trading partner for oil and petroleum products, the UK will need to meet EU rules that require importers to report on methane control measures starting this year. By 2027, these imports must be subject to equivalent measurement and verification requirements, and by 2030, the methane intensity of imported fuels must fall below a maximum threshold. These requirements cannot be met without a robust domestic regulation in place.
Despite recent progress—UK upstream methane emissions fell by 29 percent between 2020 and 2022—there are still significant emissions that come from venting and flaring. These activities accounted for 71 percent of sectoral methane emissions in 2022, and current voluntary efforts are not sufficient to address them. Independent studies also show that official reporting may significantly underestimate actual emissions, particularly offshore, where observed emissions can be up to five times higher than reported figures.
To meet both its domestic and international goals, and to adhere to the new EU regulations, the UK needs a comprehensive methane regulation that applies to all oil and gas operations.
What a UK methane regulation should include
An effective methane regulation must be built on four core approaches: prescriptive rules, performance standards, economic incentives, and information-based policies. Each plays a distinct role in achieving emissions reductions.
Prescriptive regulations are a critical starting point. They ensure that operators implement well-established best practices, such as quarterly leak detection and repair (LDAR) surveys, prompt repairs, and the use of zero-emitting equipment where available. These rules should cover all major sources of emissions: fugitive emissions and equipment leaks, venting and flaring, and equipment venting. Companies should also be required to report on their compliance, including equipment upgrades, leak inspections, and repair timelines. This type of reporting can be integrated into a broader monitoring and verification system over time.
Alongside prescriptive measures, the UK should establish a methane emissions intensity standard that applies to both domestic and imported fossil fuels. This performance-based standard would set a maximum threshold for methane emissions per unit of oil or gas produced. Operators exceeding the threshold would face consequences—such as financial penalties—while those performing better would benefit from market access or other incentives. A domestic standard is also a prerequisite for applying similar standards to imports, helping to align UK policy with emerging global norms and maintain compliance with World Trade Organization rules.
Ultimately, a strong UK methane regulation must be supported by robust measurement, monitoring, reporting, and verification systems that ensure transparency and data integrity. These systems will form the backbone of future performance standards and import requirements, helping to differentiate between low- and high-emitting fossil fuels and incentivise cleaner production across supply chains.
A policy roadmap
Clean Air Task Force has developed a detailed policy roadmap outlining how the UK can reduce methane emissions in the energy sector while strengthening energy security, driving innovation, and maintaining international credibility. The roadmap sets out a clear framework for action, informed by global best practices and tailored to the UK’s unique role as both a major producer and importer of oil and gas.
Read the full roadmap for practical recommendations on building a comprehensive methane regulation that meets the moment.
