Proposed regulatory framework for reducing oil and gas methane emissions to achieve 2030 target

November 2022

Summary

The Government of Canada is proposing to amend the existing federal regulations for methane emissions from the oil and gas sector in order to achieve at least a 75% reduction in oil and gas methane by 2030 relative to 2012. 

The proposed amendments would achieve this goal by expanding the scope of the existing regulations to apply to a wider set of sources, eliminating exclusions, and driving as many individual sources as possible toward zero emissions:

Proposed Source-by-Source Approach

Hydrocarbon Gas Conservation and Destruction Equipment

Flaring

General Facility Venting and Flaring

Pneumatic Devices

Fugitive Emissions

Compressor Engine Exhaust

Distribution Pipelines

Planned Blowdowns

Non-Producing Wells

Glycol Dehydrators

Liquids Unloading

Performance-based elements

The key to effective performance-based regulation is understanding actual emissions and incorporating standard emissions monitoring methods, with comprehensive recordkeeping and reporting requirements, such that sufficient information is available to verify compliance and demonstrate Canada's progress in meeting climate commitments.

The existing methane regulations include some performance-based requirements, including maximum emission limits for venting from facilities, and alternative leak detection and repair approaches. Extending these concepts could allow for near-continuous monitoring of all methane emissions at a facility-level. ECCC is investigating the feasibility of adding specific program parameters to allow an opt-in provision for this approach.

Equivalency

The requirements would be regulated under the Canadian Environmental Protection Act, 1999 (CEPA).  Equivalency agreements are possible under CEPA.

Next Steps

The Government of Canada invited interested stakeholders to provide their feedback on the Proposed Regulatory Framework. A summary of feedback received as well as the path forward for oil and gas sector methane mitigation is now available.

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