Introduction
The U.S. Environmental Protection Agency's Coalbed Methane Outreach
Program (CMOP) is a voluntary program whose goal is to reduce
methane emissions from coal mining activities. Our mission is to promote
the profitable recovery and utilization of coal mine methane (CMM), a
potent greenhouse gas (GHG) that contributes to climate change if emit-
ted to the atmosphere. In mines, CMM poses an explosive hazard to
miners, but if it is collected and used for energy, methane is a valuable
fuel source.
CMOP works collaboratively with the coal mining industry through voluntary
partnerships to reduce CMM emissions. By helping to identify and implement
methods to use CMM instead of emitting it to the atmosphere, we have
helped to effectively reduce global GHG emissions. Our specific activities
include supporting project development, identifying and working to overcome
institutional, regulatory, and financial barriers to implementation, and commu-
nicating the benefits of CMM recovery.
CMOP works with organizations in many coal-producing countries to
promote CMM development and use. We engage in financial and techni-
cal outreach through partnerships to support information-sharing and
technology transfer. Our in-country activities include conducting work-
shops, preparing and disseminating analytical reports, and conducting
feasibility studies for CMM utilization projects.
This brochure highlights our key partnerships and activities overseas, as
well as multilateral resources for international CMM projects.
Benefits of International Outreach
There are multiple, synergistic benefits to promoting international efforts
to reduce CMM emissions:
Reduces GHG emissions
Improves mine safety
Creates jobs
Improves local and regional air quality
Provides energy independence
CMOP International Activities
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Methane to Markets Partnership
In July 2004, EPA announced the Methane to Markets Partnership, an
initiative to reduce global methane emissions. The partnership will pro-
mote the near-term recovery and use of methane as a clean energy
source through partnerships among developed and developing countries
in coordination with the private sector, multilateral development banks,
and other relevant nongovernmental organizations. The partnership is
expected to reduce greenhouse gas emissions, enhance economic
growth, promote energy security, and improve the global environment.
Initially targeting three major methane emission sources (landfills, under-
ground coal mines, and natural gas and oil systems), the partnership will
focus on deploying and implementing near-term methane recovery and
use technologies and will facilitate project development. CMOP's efforts
to advance CMM recovery and use are central to EPA's participation in
the Methane to Markets Partnership.
To date, Partners include Argentina, Australia, Brazil, China, Colombia,
India, Italy, Japan, Mexico, Nigeria, Russia, Ukraine, the United Kingdom,
and the United States. To learn more about the Methane to Markets
Partnership, visit .
Key CMM Projects and Efforts Overseas
China
China is the world's largest coal producer, coal consumer, and emitter of
CMM. China's emissions are nearly 200 million metric tons of carbon
dioxide equivalent per year and are projected to grow dramatically with a
rapidly growing economy and an increasing reliance on coal. China has
had numerous problems with deadly mine explosions, and recent legisla-
tion has required that all gassy mines practice methane drainage. As of
2002, 196 Chinese coal mines had methane drainage systems in place,
and total methane drainage has increased. Approximately half of all
drained gas is recovered and put to use.
In cooperation with the former State Administration of Coal Industry, EPA
helped to establish the China Coalbed Methane Clearinghouse and contin-
ues to provide funding and technical support. For more information on the
clearinghouse, visit .
CMM Project Development Resources
Russia
The global leader in natural gas production, Russia ranks fifth in coal produc-
tion. As the world's third-largest source of CMM, Russia has great potential
for methane utilization projects. Although Russia has a long history of mine
degasification and despite significant opportunities for development, there are
relatively few CMM utilization projects in Russia.
In partnership with the Russian Academy of Sciences-Siberian Branch,
EPA helped to establish the Russian Coalbed Methane Center-
Uglemetan, located in the Kuznetsk Coal Basin in western Siberia,
Russia's most important coal producing region. In 2002, the Center
became independent and changed its name to more accurately reflect its
rolethe International Coal and Methane Research Center (Uglemetan).
CMOP continues to provide support to Uglemetan, which provides tech-
nical and analytical services for Russia's coal mining industry.
For more information on CMM projects in Russia, visit
.
EPA is also participating in two United Nations projects in Russia:
United Nations Development Programme (UNDP) Global Environment
Facility (GEF) grant, with project financing totaling more than $8 million, to
reduce barriers to CMM recovery projects in Russia.
With the United Nations Economic Commission for Europe (UNECE),
EPA is promoting investment in CMM recovery and utilization projects
at coal mines in Central and Eastern Europe and the Newly
Independent States. With EPA funding and support, the UNECE is
working with government, industry, and other stakeholders to build their
capacity to meet the expectations of international financing institutions.
Ukraine
Globally, Ukraine ranks ninth in coal production, but it is the fourth-largest
emitter of CMM. There are many gassy mines in Ukraine, and mine explo-
sions remain a critical safety issue. Nationally, Ukrainian coal mines recov-
er about 12 percent of all CMM liberated and utilize about 30 percent of
what is captured.
EPA has provided long-term financial and technical support for
Partnership for Energy and Environmental Reform (PEER) based in
Donetsk, the hub of the Donbass coal region. In addition, CMOP contin-
ues to sponsor workshops, training, and capacity-building efforts through
grants and support for U.S. Department of Labor-funded mine safety pro-
grams.
India
India ranks eighth globally in CMM emissions, which are expected to
increase as the economy expands. Several gassy mines are located in
the Damodar Valley coalfields. EPA is working with the U.S. Trade and
Development Agency (IDA) to establish a Clearinghouse in India to pro-
mote investment and project development of CMM recovery and utiliza-
tion projects.
Mexico
Mexico's fugitive methane emissions from coal mining activities rank 18th
globally. Degasification through in-mine drilling and vertical gob wells have
been successfully used to recover CMM at several mines. CMOP has
provided support for recovery and utilization efforts including use of CMM
to fire mine boilers. EPA participates in bilateral climate change activities
with the government of Mexico.
CMM Project Development Resources
EPA works directly and indirectly with a number of domestic and interna-
tional agencies to promote CMM development overseas. These institu-
tions might provide funding or other assistance for CMM projects.
United States Agencies
For international CMM recovery and utilization projects, a number of U.S.
government agencies provide assistance.
U.S. Department of Commerce BISNIS Finance Link provides export
assistance service for U.S. companies seeking financing, particularly in
the Newly Independent States of the former Soviet Union.
U.S. Trade and Development Agency (US TDA) provides funding for
feasibility studies and technical assistance that will promote the export
of U.S. goods overseas, including drilling equipment and power pro-
duction equipment for CMM recovery,
U.S. Export-Import Bank (Ex-lm Bank) helps finance overseas sales of
U.S. goods and services, and provides credit insurance, as well as loan
guarantees and project finance,
The Overseas Private Investment Corporation (OPIC) is an independent
development agency of the U.S. government that helps U.S. business-
es invest overseas, fosters economic development in new and emerg-
ing markets, complements the private sector in managing the risks
associated with foreign direct investment, and supports U.S. foreign
policy,
7?7e World Bank
The World Bank provides loans, policy advice, and technical assistance
and knowledge sharing services to low- and middle-income countries.
The World Bank's International Finance Corporation (IFC) aims to further
economic development through the private sector. Working with busi-
ness partners, it invests in sustainable private enterprises in developing
countries and provides long-term loans, guarantees, and risk manage-
ment and advisory services,
The World Bank's Prototype Carbon Fund (PCF) works to combat cli-
mate change while promoting sustainable development and demon-
strating the possibilities of public/private partnerships. The PCF invests
in projects designed to produce GHG emissions reductions, including
CMM projects,
Asian /Development Bank
The Asian Development Bank is an independent multilateral financial insti-
tution dedicated to reducing poverty in Asia and the Pacific. It provides
financial support for regional or country-specific development projects.
For example, the ADB has invested $200 million in CMM projects in
China,
United Nations
Many United Nations (UN) resources are devoted to economic, social,
and sustainable development programs. Three key UN organizations that
provide funding and assistance for CMM projects are the following:
United Nations Development Programme (UNDP) and the United
Nations Environment Programme (UNEP) provide grant funding through
the Global Environment Facility (GEF) for projects in developing or tran-
sitional economies. EPA has provided funding for several GEF projects
involving CMM project development,
United Nations Economic Commission for Europe (UNECE) promotes
international cooperation in energy issues through its Committee on
Sustainable Energy, including facilitating Ad Hoc Groups of Experts on
CMM and Coal in Sustainable Development. EPA has provided a grant
to UNECE to develop CMM projects in Central and Eastern Europe and
the Commonwealth of Independent States,
For More Information
For more information about financial resources for CMM projects, see the
Catalog of Coal Mine Methane Project Finance Sources at
.
For more information about CMM or CMOP's international activities,
please visit our Web page at .
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