Gas Flaring and Methane Reduction

Flaring and venting, as well as fugitive methane emissions waste an energy resource that could be used to support energy access in developing countries and boost global energy security. The gas lost each year could be used for productive purposes, such as power generation, especially in countries lacking energy access and security.

Gas Flaring

More than half a billion people still lack reliable access to electricity, and the gas burned through flaring in 2024 alone is equivalent to Africa’s total gas consumption. Flaring gas contributes to climate change and negatively affects the environment by releasing carbon dioxide, unburned methane, black carbon, and other pollutants.

During oil production, associated natural gas is flared (burned) for a variety of reasons. However, in many cases, economic, regulatory, or technical barriers to the development of gas markets and gas infrastructure prevent it from being used.

Venting and Fugitive Methane emissions

The oil and gas industry is a significant source of global methane emissions. In fact, methane emissions from venting, leakage, and flaring in the oil and gas sector are currently estimated to be responsible for roughly a quarter of global anthropogenic methane emissions. Oil and gas operations release methane into the atmosphere through the wasteful practices of intentional flaring and venting, as well as through the unintentional release of fugitive methane emissions. About half of global emissions from oil and gas production occur in developing countries.

Through the Global Flaring and Methane Reduction Partnership (GFMR), the World Bank focuses on ending routine gas flaring and reducing methane emissions from oil and gas operations.

The World Bank announced GFMR at COP28 in the United Arab Emirates. The Partnership builds on the work of the Global Gas Flaring Reduction (GGFR) Partnership, widening its mandate to include addressing methane venting and leaks.

GFMR is active in over a dozen countries, which account for over a quarter of the oil and gas industry’s methane emissions, and nearly two-fifths of global gas flaring.

The benefits of reducing flaring and methane emissions from oil and gas operations are numerous and far-reaching. In addition to lowering greenhouse gas emissions, it can unlock new revenue streams for governments, and boost energy access and security—especially vital as developing countries struggle to meet rising energy demand.

To help developing countries rapidly reduce flaring and methane emissions, GFMR provides governments and state-owned entities with support, including catalytic grant funding, technical assistance, policy and regulatory reform advisory services, institutional strengthening, and mobilizing finance to jump-start and accelerate the deployment of flaring and methane reduction solutions.

By leveraging the World Bank’s broader work programs in countries, GFMR develops and implements comprehensive approaches to flaring and methane emissions reduction. GFMR partners with governments and state-owned operators to deploy the best industry standards and operational practices. This ensures a long-term approach is established and that operators continue to address flaring and methane emissions well beyond the projects supported by GFMR.

GFMR works to end routine gas flaring and reduce methane emissions from oil and gas operations through a multifaceted approach:

• Supporting governments and state-owned operators to identify, prepare, and implement projects, strengthen institutional capacity, and mobilize finance. This includes catalytic grant funding, financial due diligence, and the identification of de-risking solutions to crowd in both concessional and commercial finance.
• Strengthening data and transparency through the collection and reporting of flaring and methane emissions data; publication of the annual Global Gas Flaring Tracker; and advancing robust measurement, monitoring, reporting, and verification (MMRV) systems in line with industry standards.
• Capturing and sharing global knowledge by disseminating technical, policy, and regulatory best practices; and leveraging the World Bank’s convening power to bring governments, operators, and other stakeholders together to identify optimal solutions.
• Raising awareness and building commitment by supporting country-level engagement, advancing the Zero Routine Flaring by 2030 (ZRF) Initiative, and championing global action to cut methane emissions.

GFMR’s early progress shows governments and state-owned operators recognize the importance of acting and are establishing emissions baselines, designing leak detection and repair programs, and implementing flaring abatement projects that can attract further investment. Several countries are already planning to scale up and replicate successful projects.

• Norway
• the United Arab Emirates
• the United States
• bp
• Eni
• Equinor

• Occidental (Oxy)
• Shell
• TotalEnergies