Inclusion of Methane Abatement Measures in Transition Finance

Rapid methane abatement to achieve the Paris Agreement goal of 1.5°C ought to be a top priority for transition finance not only for emissions reduction but also the additional positive environmental and social impacts including improving air quality and health, energy security, and resilience. To this end, taskforces of industry experts, financial institutions, and non-governmental organisations (NGOs) in the oil and gas, and agrifood sectors have collaborated to design credible sustainable investments for methane abatement. 

This report describes the strong social and environmental benefits of abating methane, illustrates how methane abatement measures are currently financed by both the public debt market and the private market and how they are integrated into the climate strategy of a representative sample of corporates in the oil and gas and agrifood sectors. The first section will conclude by referencing the need for safeguards when considering methane abatement financing as a sustainable strategy.