The data shows the biggest leaks are in the Permian basin of Texas and New Mexico. Photo via Getty Images

American oil and natural gas wells, pipelines and compressors are spewing three times the amount of the potent heat-trapping gas methane as the government thinks, causing $9.3 billion in yearly climate damage, a new comprehensive study calculates.

But because more than half of these methane emissions are coming from a tiny number of oil and gas sites, 1% or less, this means the problem is both worse than the government thought but also fairly fixable, said the lead author of a study in Wednesday's journal Nature.

The same issue is happening globally. Large methane emissions events around the world detected by satellites grew 50% in 2023 compared to 2022 with more than 5 million metric tons spotted in major fossil fuel leaks, the International Energy Agency reported Wednesday in their Global Methane Tracker 2024. World methane emissions rose slightly in 2023 to 120 million metric tons, the report said.

“This is really an opportunity to cut emissions quite rapidly with targeted efforts at these highest emitting sites,” said lead author Evan Sherwin, an energy and policy analyst at the U.S. Department of Energy's Lawrence Berkeley National Lab who wrote the study while at Stanford University. “If we can get this roughly 1% of sites under control, then we're halfway there because that's about half of the emissions in most cases.”

Sherwin said the fugitive emissions come throughout the oil and gas production and delivery system, starting with gas flaring. That's when firms release natural gas to the air or burn it instead of capturing the gas that comes out of energy extraction. There's also substantial leaks throughout the rest of the system, including tanks, compressors and pipelines, he said.

“It's actually straightforward to fix,” Sherwin said.

In general about 3% of the U.S. gas produced goes wasted into the air, compared to the Environmental Protection Agency figures of 1%, the study found. Sherwin said that's a substantial amount, about 6.2 million tons per hour in leaks measured over the daytime. It could be lower at night, but they don't have those measurements.

The study gets that figure using one million anonymized measurements from airplanes that flew over 52% of American oil wells and 29% of gas production and delivery system sites over a decade. Sherwin said the 3% leak figure is the average for the six regions they looked at and they did not calculate a national average.

Methane over a two-decade period traps about 80 times more heat than carbon dioxide, but only lasts in the atmosphere for about a decade instead of hundreds of years like carbon dioxide, according to the EPA.

About 30% of the world's warming since pre-industrial times comes from methane emissions, said IEA energy supply unit head Christophe McGlade. The United States is the No. 1 oil and gas production methane emitter, with China polluting even more methane from coal, he said.

Last December, the Biden administration issued a new rule forcing the U.S. oil and natural gas industry to cut its methane emissions. At the same time at the United Nations climate negotiations in Dubai, 50 oil companies around the world pledged to reach near zero methane emissions and end routine flaring in operations by 2030. That Dubai agreement would trim about one-tenth of a degree Celsius, nearly two-tenths of a degree Fahrenheit, from future warming, a prominent climate scientist told The Associated Press.

Monitoring methane from above, instead of at the sites or relying on company estimates, is a growing trend. Earlier this month the market-based Environmental Defense Fund and others launched MethaneSAT into orbit. For energy companies, the lost methane is valuable with Sherwin's study estimate it is worth about $1 billion a year.

About 40% of the global methane emissions from oil, gas and coal could have been avoided at no extra cost, which is “a massive missed opportunity,” IEA's McGlade said. The IEA report said if countries do what they promised in Dubai they could cut half of the global methane pollution by 2030, but actions put in place so far only would trim 20% instead, “a very large gap between emissions and actions,” McGlade said.

“It is critical to reduce methane emissions if the world is to meet climate targets,” said Cornell University methane researcher Robert Horwath, who wasn't part of Sherwin's study.

“Their analysis makes sense and is the most comprehensive study by far out there on the topic,” said Howarth, who is updating figures in a forthcoming study to incorporate the new data.

The overflight data shows the biggest leaks are in the Permian basin of Texas and New Mexico.

“It's a region of rapid growth, primarily driven by oil production,” Sherwin said. “So when the drilling happens, both oil and gas comes out, but the main thing that the companies want to sell in most cases was the oil. And there wasn't enough pipeline capacity to take the gas away” so it spewed into the air instead.

Contrast that with tiny leak rates found in drilling in the Denver region and the Pennsylvania area. Denver leaks are so low because of local strictly enforced regulations and Pennsylvania is more gas-oriented, Sherwin said.

This shows a real problem with what National Oceanic and Atmospheric Association methane-monitoring scientist Gabrielle Petron calls “super-emitters."

“Reliably detecting and fixing super-emitters is a low hanging fruit to reduce real life greenhouse gas emissions,” Petron, who wasn't part of Sherwin's study, said. “This is very important because these super-emitter emissions are ignored by most ‘official’ accounting.”

Stanford University climate scientist Rob Jackson, who also wasn't part of the study, said, “a few facilities are poisoning the air for everyone.”

“For more than a decade, we’ve been showing that the industry emits far more methane than they or government agencies admit," Jackson said. “This study is capstone evidence. And yet nothing changes.”

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Houston companies scoop up $31 million in funds from DOE, EPA methane emissions program

fresh funds

The U.S. Department of Energy and the U.S. Environmental Protection Agency announced the selection of seven projects from Houston companies to receive funding through the Methane Emissions Reduction Program.

The projects are among 43 others nationwide, including 12 from Texas, that reduce, monitor, measure, and quantify methane emissions from the oil and gas sector. The DOE and EPA awarded $850 million in total through the program.

The Houston companies picked up $31.7 million in federal funding through the program in addition to more than $9.5 million in non-federal dollars.

“I’m excited about the opportunities these will create internally but even more so the creation of jobs and training opportunities for the communities in which we work,” Scott McCurdy, Encino Environmental Services CEO, said in a news release. His company received awards for two projects.

“These projects will allow us to further support and strengthen the U.S. Energy industry’s ability to deliver clean, reliable, and affordable energy globally,” he added.

The Houston-area awards included:

DaphneTech USA LLC

Total funding: $5.8 million (approximately $4.5 million in federal, $1.3 million in non-federal)

The award was granted for the company’s Daphne and Williams Methane Slip Abatement Plasma-Catalyst Scale-Up project. Daphne will study how its SlipPure technology, a novel exhaust gas cleaning system that abates methane and exhaust gas pollution from natural gas-fueled engines, can be economically viable across multiple engine types and operating conditions.

Baker Hughes Energy Transition LLC 

Total funding: $7.47 million (approximately $6 million in federal, $1.5 million in non-federal)

The award was granted for the company’s Advancing Low Cost CH4 Emissions Reduction from Flares through Large Scale Deployment of Retrofittable and Adaptive Technology project. The project aims to develop a scalable, integrated methane emissions reduction system for flares based on optical gas imaging and estimation algorithms.

Encino Environmental Services

Total funding: $15.17 million (approximately $11 million in federal, $4.17 million in non-federal)

The award was granted for two projects. The Advanced Methane Reduction System: Integrating Infrared and Visual Imaging to Assess Net Heating Value at the Combustion Zone and Determine Combustion Efficiency to Enhance Flaring Performance project aims to develop and deploy an advanced continuous emissions monitoring system. It’s Advancing Methane Emissions Reduction through Innovative Technology project will develop and deploy a technology using sensors and composite materials to address emissions originating in storage tanks.

Envana Software Solutions

Total funding: $5.26 million (approximately $4.2 million in federal, $1 million in non-federal)

The award was granted for the company’s Leak Detection and Reduction Software to Identify Methane Emissions and Trigger Mitigation at Oil and Gas Production Facilities Based on SCADA Data project. It aims to improve its Recon software for monitoring methane emissions and develop partnerships with local universities and organizations.

Capwell Services Inc.

Total funding: $4.19 million (approximately $3.3 million in federal, $837,000 in non-federal)

The award was granted for its Methane Emissions Abatement Technology for Low-Flow and Intermittent Emission Sources project. It aims to to deploy and field-test a methane abatement unit and improve air quality and health outcomes for communities near production facilities and establish field technician internships for local residents.

Blue Sky Measurements 

Total funding: $3.41 million (approximately $2.7 million in federal, $683,000 in non-federal)

The award was granted for its Field Validation of Novel Fixed Position Optical Sensor for Fugitive Methane Emission Detection Quantification and Location with Real-Time Notification for Rapid Mitigation project. It aims to field test an optical sensing technology at six well sites in the Permian Basin.

Southern Methodist University, The University of Texas at Austin, Texas A&M Engineering Experiment Station and Hyliion Inc. were other Texas-based organizations to earn awards. See the full list of projects here.

Texas university's 'WaterHub' will dramatically reduce water usage by 40%

Sustainable Move

A major advancement in sustainability is coming to one Texas university. A new UT WaterHub at the University of Texas at Austin will be the largest facility of its kind in the U.S. and will transform how the university manages its water resources.

It's designed to work with natural processes instead of against them for water savings of an estimated 40 percent. It's slated for completion in late 2027.

The university has had an active water recovery program since the 1980s. Still, water is becoming an increasing concern in Austin. According to Texas Living Waters, a coalition of conservation groups, Texas loses enough water annually to fill Lady Bird Lake roughly 89 times over.

As Austin continues to expand and face water shortages, the region's water supply faces increased pressure. The UT WaterHub plans to address this challenge by recycling water for campus energy operations, helping preserve water resources for both the university and local communities.

The 9,600-square-foot water treatment facility will use an innovative filtration approach. To reduce reliance on expensive machinery and chemicals, the system uses plants to naturally filter water and gravity to pull it in the direction it needs to go. Used water will be gathered from a new collection point near the Darrell K Royal Texas Memorial Stadium and transported to the WaterHub, located in the heart of the engineering district. The facility's design includes a greenhouse viewable to the public, serving as an interactive learning space.

Beyond water conservation, the facility is designed to protect the university against extreme weather events like winter storms. This new initiative will create a reliable backup water supply while decreasing university water usage, and will even reduce wastewater sent to the city by up to 70 percent.

H2O Innovation, UT’s collaborator in this project, specializes in water solutions, helping organizations manage their water efficiently.

"By combining cutting-edge technology with our innovative financing approach, we’re making it easier for organizations to adopt sustainable water practices that benefit both their bottom line and the environment, paving a step forward in water positivity,” said H2O Innovation president and CEO Frédéric Dugré in a press release.

The university expects significant cost savings with this project, since it won't have to spend as much on buying water from the city or paying fees to dispose of used water. Over the next several years, this could add up to millions of dollars.

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A version of this story originally appeared on our sister site, CultureMap Austin.

Report: Texas solar power, battery storage helped stabilize grid in summer 2024, but challenges remain

by the numbers

Research from the Federal Reserve Bank of Dallas shows that solar power and battery storage capacity helped stabilize Texas’ electric grid last summer.

Between June 1 and Aug. 31, solar power met nearly 25 percent of midday electricity demand within the Electric Reliability Council of Texas (ERCOT) power grid. Rising solar and battery output in ERCOT assisted Texans during a summer of triple-digit heat and record load demands, but the report fears that the state’s power load will be “pushed to its limits” soon.

The report examined how the grid performed during more demanding hours. At peak times, between 11 a.m. and 2 p.m. in the summer of 2024, solar output averaged nearly 17,000 megawatts compared with 12,000 megawatts during those hours in the previous year. Between 6 p.m. and 9 p.m., discharge from battery facilities averaged 714 megawatts in 2024 after averaging 238 megawatts for those hours in 2023. Solar and battery output have continued to grow since then, according to the report.

“Batteries made a meaningful contribution to what those shoulder periods look like and how much scarcity we get into during these peak events,” ERCOT CEO Pablo Vegas said at a board of directors conference call.

Increases in capacity from solar and battery-storage power in 2024 also eclipsed those of 2023. In 2023 ECOT added 4,570 megawatts of solar, compared to adding nearly 9,700 megawatts in 2024. Growth in battery storage capacity also increased from about 1,500 megawatts added in 2023 to more than 4,000 megawatts added in 2024. Natural gas capacity also saw increases while wind capacity dropped by about 50 percent.

Texas’ installation of utility-scale solar surpassed California’s in the spring of last year, and jumped from 1,900 megawatts in 2019 to over 20,000 megawatts in 2024 with solar meeting about 50 percent of Texas' peak power demand during some days.

While the numbers are encouraging, the report states that there could be future challenges, as more generating capacity will be required due to data center construction and broader electrification trends. The development of generating more capacity will rely on multiple factors like price signals and market conditions that invite more baseload and dispatchable generating capacity, which includes longer-duration batteries, and investment in power purchase agreements and other power arrangements by large-scale consumers, according to the report.

Additionally, peak demand during winter freezes presents challenges not seen in the summer. For example, in colder months, peak electricity demand often occurs in the early morning before solar energy is available, and it predicts that current battery storage may be insufficient to meet the demand. The analysis indicated a 50% chance of rolling outages during a cold snap similar to December 2022 and an 80% chance if conditions mirror the February 2021 deep freeze at the grid’s current state.

The report also claimed that ERCOT’s energy-only market design and new incentive structures, such as the Texas Energy Fund, do not appear to be enough to meet the predicted future magnitude and speed of load growth.

Read the full report here.