Methane to Markets
The U.S. Government's Methane to Markets
      Partnership Accomplishments
             Fourth Annual Report

               October 2009

-------
Contents
Letter from Gina McCarthy	3


The Methane to Markets Partnership 	4


U.S. Government Leadership in Reducing Methane Emissions	10

   Agriculture  	14

   Coal Mines  	16

   Landfills  	19

   Oil and Gas Systems 	22


Looking Forward 	24
For additional information, please visit www.epa.gov/methanetomarkets
and www.methanetomarkets.org.

-------
                         Fourth Annual Report


The U.S. Government's Methane to Markets


            Partnership Accomplishments


                            October 2009
   USAID
   FROM THE AMERICAN PEOPLE
USDA
xr •*"*

m

-------
                                       U.S. Government's Methane to Markets Partnership Accomplishments
   October 2009
   Dear Colleagues,

   Collaboration, opportunity, and action. These terms embody the core principles of the Methane
to Markets Partnership. Founded in 2004 to reduce global methane emissions, a potent green-
house gas, Methane to Markets advances the development of projects that recover and use
methane as a clean energy source.
   The work of the Methane to Markets Partnership has never been more relevant or critical to
addressing our shared global climate change, clean energy, and development challenges. While
the international community works together to craft long-term solutions for these important glob-
al issues, this Partnership is having an impact today. By supporting projects that are reducing
methane emissions, Methane to Markets is delivering near-term and lasting climate solutions as
well as local environmental, health, and economic development benefits.
   As a founding member, along with 13 other countries, the United States has been strongly
committed to the success of the Partnership for more  than five years. Over this period, through
the combined efforts of five federal government agencies, the United States has allocated almost
$40 million to project development and is directly supporting more than  170 projects and activi-
ties across the world that are expected to reduce methane emissions by approximately 61 million
metric tons of carbon dioxide equivalent annually.
   Equally significant, this U.S. contribution has assisted and leveraged similar efforts across the
globe. Today, 30 other Methane to Markets Partners are engaged in equally impressive activities
supported by the Partnership's more than 900 private  sector and nongovernmental organizations
in the Project Network. Without the involvement and participation of this Network, the
Partnership could not thrive. This report describes the highlights of U.S.-supported projects and
activities and documents their contribution to energy  security,  clean development, and the envi-
ronment.
   As the Chair of the Methane to Markets Steering Committee and as a  representative of the U.S.
Environmental Protection Agency, I am very proud of our accomplishments in supporting the
Partnership.  I look forward to a continued  U.S.  commitment to addressing climate change through
the Methane to Markets Partnership and in collaboration with  our public and private sector part-
ners.

   Sincerely,
   Gina McCarthy
   Assistant Administrator, Office of Air and Radiation
   U.S. Environmental Protection Agency
   Steering Committee Chair, Methane to Markets Partnership

-------
                                                                                     Vietnam
                                                                      United States
                                                                      of America
   Methane to Markets Partner Countries account for more than 60 percent of the world's anthropogenic methane emissions.
       Climate change is a serious environmen-
       tal challenge that requires a global
       response. Methane is a potent green-
house gas (GHG), second only to carbon diox-
ide in its contribution to climate change. It is of
particular strategic importance given its atmos-
pheric properties and the suite of currently
available, cost-effective reduction options (see
box on page 5). As such, focusing mitigation
efforts on methane can yield near-term climate
impacts along with major economic, air quality,
and energy benefits.
   The United States and 13 other countries
formed the Methane to Markets Partnership in
2004. The goal of the Partnership is to help
reduce methane emissions quickly and cost-
effectively through a collaborative, multilateral
framework that unites public and private inter-
ests to fight climate change by advancing the
recovery and use of methane as a clean energy
source. By engaging public and private sector
parties, Methane to Markets brings together the
technical and market expertise, financing, and
technology necessary for methane capture and
use project development.

-------
                                         U.S. Government's Methane to Markets Partnership Accomplishments
   The Partnership focuses on developing proj-
ects in four major methane emissions source
areas: agriculture, coal mines, landfills, and oil
and gas systems. In each of these sectors, cost-
effective methane emission reduction technolo-
gies and practices are currently available to
capture and use the methane gas as a fuel for
electricity generation, on-site energy needs, or
off-site gas sales. However, despite the avail-
ability of proven technologies and the under-
standing of associated environmental and
financial benefits, methane recovery and use
projects are not yet the global norm. In many
countries, financial, institutional, informational,
regulatory, and other barriers have impeded the
adoption of methane recovery technologies.
Methane to Markets is working to identify and
address these barriers in order to combat cli-
mate change and deliver clean energy to mar-
kets all around the world.
Origins and Structure of the Methane to
Markets Partnership

   The Methane to Markets Partnership is mod-
eled on the United States' suite of domestic
methane emission reduction programs. Since
1993, the U.S. Environmental Protection
Agency (EPA) has operated four highly success-
ful public-private partnerships  to reduce the
market barriers to methane emissions project
development in the United States: AgSTAR, the
Coalbed Methane Outreach Program (CMOP),
the Landfill Methane Outreach Program
(LMOP), and Natural Gas STAR. These pro-
grams have engaged stakeholders, disseminat-
ed information, and catalyzed  partnerships to
remove barriers to project  development and
achieve significant on-the-ground results for
more than a decade. As of 2007,  they have
helped to reduce annual U.S. methane
                               Why Is Methane Important?
   Methane is a hydrocarbon and the primary compo-
   nent of natural gas. It is also a potent GHG that is
   more than 20 times as effective at trapping heat in
   the atmosphere as carbon dioxide (CO2). Methane has
   a much shorter atmospheric lifetime than CO2 (about
   12 years, compared to about 200 years for CO2).

   Due to methane's properties, reducing methane
   emissions can achieve significant near-term climate,
   energy, human health, and economic benefits.
   Identifying and capitalizing on cost-effective oppor-
   tunities to reduce methane emissions lowers the cost
   of GHG abatement over the long term and allows
   time for the development of alternative technologies.
   Also, studies indicate that feasible reductions in
   methane and other non-CO2 GHG emissions can help
   slow climate change over the next 50 years on the
   same scale as similar reductions in CO2 emissions. In
   addition, methane contributes to the growing global
   background concentration of tropospheric ozone, a
   GHG and an air pollutant associated with premature
   mortality. Thus, reducing  methane emissions
   decreases surface ozone everywhere, yielding addi-
   tional climate benefits as well as improvement in
   local air quality.
Methane accounts for 16 percent of all GHG emis-
sions globally, with about 60 percent of these emis-
sions coming from anthropogenic (human-related)
activities.
     Estimated Global Anthropogenic
   Methane Emissions by Source, 2005
         Enteric Fermentation (30%)
    Rice
   (10%)


 Other Ag
     (7%)
    Oil and Gas
    (18%)
 Biomass
 Combustion (3%)
•jr   Fuel Stationary
  'and Mobile (1%)
    - Waste Water (9%)

    Manure (4%)
                            Landfills (12%)
                   Coal (6%)
 Source: Global Anthropogenic Emissions of Non-CO2
 Greenhouse Gases, 1990-2020 (EPA Report 430-R-06-003)

-------
U.S. Government's Methane to Markets Partnership Accomplishments
Figure 1
Methane to Markets
Organizational Structure

r
CoalM
Subcomr
~~[


Steering Committee

Administrative
Support Group

|
nes OI&Gas
nittee Subcommittee
I


i
Landfill Gas A
Subcommittee Sub
1

Project Network

^^
jjriculture
committee
J


       emissions from the target source to 14 percent
       below 1990 levels. The desire to share the suc-
       cess of these program models along with the
       clear opportunity to implement methane proj-
       ects globally was a major force behind the for-
       mation of the Methane to Markets Partnership.
         Using a similar approach to the U.S. domes-
       tic methane programs, Methane to Markets
       brings together industry, nongovernmental
       organizations (NGOs), national governments,
       and other stakeholders to advance project
       development around the world. The Partnership
       is structured around the Steering Committee,
       the Administrative Support Group (ASG), or sec-
       retariat, four subcommittees,  and the Project
       Network (see Figure 1). The Steering Committee
       guides the work of the Partnership and is sup-
       ported by the ASG, which is currently housed at
       EPA. The subcommittees (Agriculture, Coal
       Mines, Landfills, and Oil and Gas Systems) are
       responsible for the technical work in each of the
       Partnership's target sectors. Each subcommittee
       operates as a partnership of government repre-
       sentatives and Project Network members.

       The Project Network: Bringing Expertise to
       International Project Development

         The Project Network is an  engaged commu-
       nity of industry, nonprofit organizations, inter-
       national financial institutions, and other stake-
       holders who actively participate in meetings
and activities as a means of building capacity,
transferring technology, and promoting private
investment. It plays a vital role in the financing,
development, and operation of methane cap-
ture and use projects.
   The Methane to Markets Partnership estab-
lished the Project Network to ensure that
national governments pursuing methane emis-
sion reductions would be able to leverage the
project development knowledge, experience,
and resources of these critical stakeholders
around the world. Today more than 900 organi-
zations  from  countries in Africa, Asia,
Australia, Europe, North America, and South
America participate in the  Project Network.
These diverse organizations (see Figure 2)
identify and implement cost-effective methane
recovery and use projects globally; address the
informational, technical, and institutional barri-
ers to project development; and contribute to
capacity building and technology transfer activ-
ities. At the same time, these organizations can
increase profits, expand their businesses, dis-
tinguish themselves in the marketplace, and
more successfully achieve their strategic
goals—all while helping to address the critical
issue of climate change.
                  Figure 2
   Project Network Members Represent a
         Diversity of Organizations
             Financial	
           Institutions (4%)
   Local,Regional,and
   Other Governmental
   Organizations (3%)
     NGOs (14%)
Researchers
                           Private
                         Sector (70%)

-------
                                      U.S. Government's Methane to Markets Partnership Accomplishments
   Active participation by Project Network
members is critical to the success of the
Partnership, and facilitating Project Network
member involvement is a top priority for the
Partnership. Methane to Markets invites and
encourages Project Network members to partic-
ipate in as many of the Partnership-sponsored
meetings, events, and activities as possible.
Dismantling Barriers and Advancing
Project Development
   Despite Methane to Markets' many success-
es, many barriers to advancing methane recov-
ery and use projects around world remain (see
Table 1). Methane to Markets Partners and
Project Network members are committed to
addressing and overcoming these obstacles
                          Table 1. Barriers to Project Development

Targeted Barriers to Project
Development for Each
Subcommittee*
Lack of financing and/or understanding of how to
apply for funding or investment from multilateral
organizations or other financial institutions
Insufficient in-country knowledge and/or experi-
ence developing methane recovery and use proj-
ects (i.e., national capacity)
Lack of understanding about the legal, regulatory,
economic, and policy frameworks in various coun-
tries (e.g., gas ownership rights, taxes, or incentives)
Lack of country-specific information on the current
status of methane recovery and use activities (e.g.,
market assessments) as well as needs, opportunities,
and priorities (e.g., sector profiles)
Insufficient identification of suitable candidate
sites/facilities for potential methane recovery and
use project assessment and development
Lack of available/appropriate technology (e.g.,
best practices) and/or technical knowledge/
expertise
Lack of demonstrated technical or economic feasi-
bility of technologies and/or projects (e.g., feasibil-
ity studies, demonstration projects)
Difficulty accessing existing documents, tools, and
other resources characterizing methane recovery
and use
Agriculture
X
X
X
X
X
X


Coal
Mines
X

X
X

X
X

Landfills
X
X

X
X
X
X
X
Oil and
Gas
Systems
X

X
X

X


* While additional barriers across all sectors might exist, these barriers were self-selected and prioritized by the
subcommittees' members.

-------
U.S. Government's Methane to Markets Partnership Accomplishments
       through training and capacity building, technol-
       ogy demonstration, market development, the
       development and dissemination of tools and
       resources, and direct project development
       support.
          One central tactic Methane to Markets
       employs to address obstacles is to support
       subcommittees and Partner Countries in their
       creation of action plans and country-specific
       strategic plans, respectively, to guide activities
       and projects. These plans include:
       •  Overview of methane recovery and use
          opportunities.
       •  Descriptions of technologies and best
          practices.
       •  Key barriers/issues to project development.
       •  Possible cooperative activities to dismantle
          barriers and increase methane recovery
          and use.
       •  Strategies to engage Project Network
          members.
          In addition,  the Partnership reduces informa-
       tional barriers to project development through
       the Methane to Markets Partnership's confer-
       ences and events, online tools, and Web site.
Methane to Markets 2.0

   The Methane to Markets Web site has always
served as the primary portal for distributing key
Partnership tools and information as well as a
mechanism to announce upcoming events and
distribute Partnership news highlights. In 2009,
the Methane to Markets Partnership unveiled a
new Web site. It features enhanced content and
navigation to facilitate the use of the
Partnership's tools and resources.
   For example, the new Web site hosts
improved country-specific pages that serve as
portals to the information  most relevant to that
particular county. A new "translate this page"
function delivers content into dozens of lan-
guages to support the Partnership's  non-
English-speaking community. The new Web
site also includes features  that enable users to
track news by category and receive  stories as
they are posted on the Web. Users can also
share their own Methane to Markets-related
news and activities with others through the
Web site. New content has been added such as
success stories, project links, and links to
resources for each subcommittee and country
page to make information easier to  access.
                    Online Tools Make Project and Country Data Easily Accessible
          Methane to Markets has developed a wide array of
          tools that provide accurate and targeted information
          to catalyze project development. All of these tools
          provide critical data and information on project
          opportunities and technologies and are accessible
          through the Partnership's newly enhanced Web site.

          • Project Tracking Database. This database con-
           nects stakeholders to more than 130 ongoing and
           40 proposed projects. For each project, the data-
           base contains a project description, anticipated
           benefits and outcomes, estimated annual GHG
           emission reductions, and primary contacts.

          • International Landfill Database. With key data on
           more than 480 landfills around the world, this data-
           base helps developers assess and pursue landfill
           gas-to-energy project opportunities.
  International Coal Mine Methane Projects Database.
  This database contains information on more than 230
  coal mine methane (CMM) recovery and utilization proj-
  ects that are operating, in development, or planned in
  13 countries.

  Coal Mine Methane Technology Database.
  Compiled by Australia's Department of Tourism,
  Industry, and Resources, this database provides
  information, contacts, and case studies for a range
  of CMM recovery and utilization technologies.

  ON TIME (Online Tool for Identifying Methane
  Emissions). The government of Canada developed
  this online tool to give policymakers, project devel-
  opers, financiers, and other important stakeholders
  easy-to-access, credible information on cost-
  effective technologies and practices that reduce
  methane emissions in the oil and gas sector.
                                                     8

-------
                                       U.S. Government's Methane to Markets Partnership Accomplishments
   Visit the redesigned Methane to Markets
Web site at www.methanetomarkets.org.

Partnership Efforts Are Yielding Results

   Since its beginning in 2004, the Partnership
has grown substantially in size, scope, and
influence and is already yielding tangible
results. Highlights of these accomplishments,
which stem from U.S.  support of the
Partnership, include:
•  Supported the development of more than 170
   methane emission reduction projects in 16
   Methane to Markets Partner Countries around
   the world. These projects are already deliver-
   ing reductions of 26.7 million metric tons of
   carbon dioxide equivalent (MMTCO2E) per
   year and, when fully implemented, will
   yield approximately 61 MMTCO2E annually
   (see Figures).

•  Recruited more than 900 Project Network
   members from around the world, including
   some of the most well-respected financial
   institutions, consultants, manufacturers,
   project developers, and NGOs in the industry.

•  Expanded from 14  initial Partners to 31, with
   Bulgaria, Chile, the Dominican  Republic,
   and Georgia being  the most recent additions
   in 2009. Together, these Partners  are respon-
   sible for more than 60 percent of the world's
   anthropogenic methane emissions.

•  Held 20 events in 12 countries, bringing
   together methane professionals from a broad
   range of technical disciplines, countries, and
   sector interests.

•  Established an international forum solely
   focused on methane-Hhe Methane to
   Markets Partnership Expo. The first
   Partnership Expo, held in Beijing, China,
   in 2007, brought together more than 700
   members of the international methane
   community and showcased more than  90
   potential methane  capture and use projects
    from around the world. Because of its suc-
    cess, Methane to Markets is planning to hold
    a second Partnership Expo in 2010 in India.

•   Developed and refined the Partnership's
    suite of online tools and resources that facili-
    tate cross-disciplinary communication and
    international project development (see
    description of online tools on page 8).

   The United States estimates that within 10
years, the Partnership has the potential to
deliver estimated annual  reductions in methane
emissions of more than 180 MMTCO2E. This
is the equivalent of recovering more than 760
billion cubic feet of natural  gas, the annual
emissions from 50 million cars, or the annual
emissions from 76 500-megawatt (MW) coal-
fired power plants. If achieved, these reduc-
tions could lead to stabilized or even declining
levels of global atmospheric concentrations of
methane.
Projects displayed at the Partnership Expo in 2007 in Beijing,
China.
                                             9

-------
             Reducing Methane Emissions
                                                                      ^••^f^mVisScvAaK^aKv - •"'!/>;"-''
       The United States has been a strong sup-
       porter of Methane to Markets since the
       beginning of the Partnership, and it
continued its support in 2008. In 2004, the
United States pledged up to $53 million over a
five-year period to facilitate the development
and implementation of methane projects in
developing countries  and countries with
economies in transition. As this funding has
been committed, it is  supporting a broad range
of efforts through the Partnership, such as
training and capacity building, market develop-
ment, feasibility assessments, and technology
demonstrations.
      United States Awards Grants for
      International Methane Projects
In 2009, EPA awarded more than $4 million in com-
petitive grant funding to applicants proposing
methane reduction projects in Methane to Markets
Partner Countries. This was the third EPA Methane
to Markets grant solicitation. As with previous solic-
itations, it was highly competitive. Nearly 100 pro-
posals were submitted for work in 19 different
countries. EPA anticipates awarding funding for 28
cooperative agreements for  methane capture and
use work in 13  Partner Countries. In 2008, EPA
awarded more  than $4.5 million in grant funding to
projects in 12 Partner Countries and all four sectors.
                     Annual Reduction of Methane Emissions From
                          U.S.-Supported Projects, 2005-2008
                      2005
                                                          2008
                                                                  70
                                                                  60
                                                                  50
                                                                  40
                                                                      O
                                                                  30  M
                                                                  20
                                                                  10
                                                                  0
                                  2006         2007
                                        Year
 ' Potential emissions reductions include actual reductions from U.S.-supported projects now online.
                                           10

-------
                                U.S. Government's Methane to Markets Partnership Accomplishments
                             A Multi-Agency Effort
U.S. government efforts under the Methane to Markets Partnership are led by EPA and involve the
collective efforts of the following major agencies and departments of the federal government:
                <*t PR.
 EPA is the lead U.S. agency and, as host of the
 Administrative Support Group, coordinates
 and administers Partnership activities both
 domestically and internationally. EPA builds on
 the success of its voluntary methane reduction
 programs, which have been instrumental in
 reducing U.S. methane emissions in  2007 by
 more than 14 percent below 1990 levels.


              USAID
              FROM THE AMERICAN PEOPLE
 U.S. Agency for International Development
 (USAID) provides technical expertise in the
 economic reform of energy sectors to create
 markets that support private sector  projects in
 developing countries and those with
 economies in transition.
U.S. Department of Energy contributes
expertise in natural gas and CMM technologies.
U.S. Department of State leads international
climate change policies and activities and sup-
ports the development of methane projects.
              USDA
U.S. Trade and Development Agency
(USTDA) facilitates development in emerging
markets by promoting U.S. partnerships in
high-priority overseas projects.
 U.S. Department of Agriculture lends
 technical expertise in the animal waste
 management sector.

-------
U.S. Government's Methane to Markets Partnership Accomplishments
                                                          Figure 4
                                        FY 2008 U.S. Expenditures by Type of
                                                          Activity
                                      General Partnership
                                          Support (12%)
                            Project Development
                        and Implementation (34%)
                                        Market Development
                                           and Finance (8%)
                                                                            Training and Capacity
                                                                            Building (30%)
                                                                          Technology Demonstration
                                                                          and Deployment (16%)
                                                        Figure 5
                                FY 2008 U.S. Expenditures by Recipient Country
                                                      Ukraine (5%)
                                     Thailand (7%)
                                Russia (7%)
                            Poland (6%)
                         Philippines (1%)
                           Nigeria (2%)
                             Mexico (8%)
                                Kyrgyz Republic (1%)
                                (non-partner)
                                         India (6%)
                                              Ecuador (3%)
                                                        Colombia (3%)
                                                                             -Global/Regional (17%)
Argentina (2%)

 Brazil (4%)

 Bulgaria (1%)
 Chile (1%)
                                                                                  China (27%)
                                                             12

-------
                                        U.S. Government's Methane to Markets Partnership Accomplishments
   Leveraging the efforts of fellow Partner
Countries along with the expertise and invest-
ment of the United States and the international
private sector is central to the U.S. commit-
ment.
   U.S. government contributions were critical
in making 2008 another successful year. U.S.
government funding for the Partnership in fis-
cal year (FY) 2008 was $10.4 million, bringing
the total U.S. financial commitment to the
Partnership since its inception to approximately
$40 million. These resources continued sup-
porting pre-feasibility and feasibility studies at
potential project sites, while addressing market,
institutional, and other barriers to project
development and building capacity through
technology transfer and training (see Figure 4).
The United States expends  these resources
across more than a dozen Partner Countries
and regions (see Figure 5) and successfully
                       leverages funding from other sources (see
                       Figure 6). These efforts are directly leading
                       to the development of full-scale projects
                       in many Partner Countries. When fully imple-
                       mented, these projects will deliver estimated
                       annual emission reductions of more than
                       approximately 61 MMTCO2E.
                          EPA also maintains www.epa.gov/methane
                       tomarkets, which details contributions and
                       responsibilities of the six major federal agen-
                       cies involved in the Partnership. The Web site
                       also features basic information on methane
                       capture and use, related EPA voluntary pro-
                       grams, and links to Partnership newsletters and
                       press releases.
                          The following sector-specific updates
                       provide a brief overview of some  of the  most
                       notable U.S. government-sponsored activities
                       in the Partnership's four sectors that were
                       funded in 2008.
      Total U.S.
     Government
      Funding
      Leveraged
      Funding
              $0
                     U.S. Government Funding and Leveraged Funding*
                                     FY2005-FY2008
$40
                     $278
              $100
$200
$300
                                                Million
 * Leveraged funds include financial support from non-U.S. government entities, including other national governments or
 Project Network members.  They also include project investment through loans or other financing instruments.
                                             13

-------
        Globally, agricultural sources of methane
        emissions include enteric fermentation,
        rice planting, and livestock manure.
Methane to Markets' agricultural activities focus
on emissions from livestock manure, although
the Partnership is exploring opportunities to
expand to other methane sources. Methane pro-
duced and emitted during the anaerobic decom-
position of livestock manure can be reduced, cap-
tured, and used as clean energy with anaerobic
digestion technology. In 2005, the total amount of
global methane from livestock manure that could
potentially be utilized in this manner was estimat-
ed to be slightly more than 230 MMTCO2E.
Through Methane to Markets, the United States
spent more than $1.9 million in 2008 advancing
the recovery and use of methane at agricultural
operations. Highlights of these activities  are pre-
sented below.

Support for Livestock and Agro-Industrial
Wastes

    To stimulate the market for methane capture
and use, EPA is conducting anaerobic digester
feasibility assessments and technology demon-
stration projects in 11 countries in Southeast
Asia, Latin America, and Eastern Europe. As a
first step, EPA and in-country partners are
identifying the resource potential for livestock
manure and agro-industrial wastes by evaluating
the methane reduction potential for specific
sub-sectors (e.g., wineries, slaughterhouses, rice
processing, dairy, fruit processing). The team is
focusing on the sub-sectors with the greatest
opportunities for cost-effective implementation of
anaerobic digesters with methane recovery. As
part of this effort, Methane to Markets developed
a methodology for determining the feasibility of
anaerobic digester systems at individual facilities,
   Reducing Methane Emissions in
   Vietnam

   In Vietnam, swine farmers are recovering
   methane through household, farm, multiple-
   family, and communal demonstration systems.
   Many of these projects use recovered gas for
   cooking fuel, reducing the harmful health
   impacts of cooking with wood fuels by improv-
   ing air quality in enclosed kitchen spaces. For
   example, in northern Vietnam's Tu Duong village,
   communal project participants collect pig wastes
   from 100 family-owned backyard piggeries. The
   waste is transferred through a gravity-based vil-
   lage canal system to a series of anaerobic
   digesters. The gas is piped back to the families
   and used as cooking and lighting fuel. The fee
   charged for the gas pays for system maintenance
   and a full-time operator.
   An anaerobic digester in northern Vietnam's Tu
   Duong village helps provide fuel for the kitchen.
|	
taking into account the size of the operation,
waste management systems currently in place,
potential for co-digestion of manure with agro-
industrial wastes, and climate.
   To date, resource assessments have been
completed in Argentina and the Philippines
and are underway for India, Mexico, Thailand,
and Vietnam. During the project's next phase,
                                               14

-------
                                        U.S. Government's Methane to Markets Partnership Accomplishments
feasibility studies will be conducted at five facili-
ties that will provide models for replication at
other locations. As part of this effort, a feasibility
study is being prepared for a covered lagoon for
slaughterhouse wastes in Colombia, which (once
completed) could provide the basis for replicating
the covered lagoon design  for other slaughter-
houses in the country. In the final phase, the proj-
ect will support construction, startup, operator
training, and performance monitoring for systems
at eight locations.

Improving Livestock Waste Management in
Southeast Asia

   Since 2004, EPA and the World Bank have
supported improved livestock waste management
projects in Southeast Asia.  The World Bank has
provided $21 million to China, Thailand, and
Vietnam to develop affordable methods to help
control pollution at livestock waste management
facilities. As part of this program, EPA has
provided financial support for demonstration
projects, reviewed all technical aspects of live-
stock waste management programs, and begun
developing sustainable policies to foster the repli-
cating of and support for pollution control tech-
nologies, such as anaerobic digesters, over the
long term. Individual countries are sharing their
approaches to technical demonstrations, measur-
ing impacts, and developing regional support
infrastructure.  Through the deployment of anaer-
obic digestion  technologies and land application
of waste to crops, these initiatives are mitigating
water pollution from confined swine production
while achieving other environmental and human
health benefits. To date, six projects are in opera-
tion in China, three in Vietnam, and one in
Thailand. A number of other projects are current-
ly in the planning or construction phases.

Livestock Waste Management and Emissions
Reductions in China

   Dengdaming Pig Farm is a project demonstra-
tion site located in Changning Township in
Guangdong Province, a major livestock produc-
tion region in China approximately 90 kilometers
from the provincial capital of Guangzhou. This
farrow-to-finish swine farm has a standing pig
population of 3,000, a typical number for swine
farms in this region. An up-flow anaerobic
digester with a separate floating type gas storage
recovers gas to power a 60-kilowatt engine gen-
erator and produces electricity for 12 hours a day.
The Chinese are also starting to demonstrate
digesters that combine gas production with gas
storage in factory fabricated steel tanks. These
technical elements reduce costs and are critical in
China's replication strategy.
Anaerobic digester at Dengdaming Farm in Changning
Township, China.

International Protocol for Anaerobic Digestion

   EPA is developing an international protocol to
evaluate the environmental performance of
anaerobic digestion systems. Currently, compari-
son of various anaerobic digestion technologies is
difficult because  system data have not been col-
lected following a standardized methodology. The
ability to compare different system design
approaches with respect to biogas production,
waste stabilization, and cost effectiveness on a
uniform basis has been lacking. The purpose of
this protocol is to provide a standardized method
to evaluate different anaerobic digestion tech-
nologies and allow for comparison of the tech-
nologies. EPA assembled a panel of interna-
tional experts on anaerobic digestion to review
the protocol in order to assure its  applicability
to systems used in different regions around the
world. The final protocol was completed in
September 2009.
                                             15

-------
                                                                         Coal  Mines
          Methane gas released from coal min-
          ing activities can be captured and
          used as a clean energy source,
resulting in reduced GHG emissions, improved
air quality, and enhanced mine safety. In  2005,
global methane emissions from coal mines
were estimated to be nearly 400 MMTCO2E.
The United States is a leader in CMM recovery
and continues to work with international part-
ners through Methane to Markets to share
information, expertise, and technology to pro-
mote CMM project development.  In this report-
ing year, the U.S. government has supported
these initiatives with more than $2.2 million in
funding. Major activities from this sector  are
summarized below.

Supporting Technology Demonstration
Projects in China and Poland

   EPA is supporting demonstration projects to
showcase cutting-edge technologies to recover
and use CMM. In Poland, EPA is sponsoring a
project to study and demonstrate a technology
A small-scale LNG plant converts CMM into LNG at the Zory
Coal Mine in Poland.
that converts CMM to liquefied natural gas
(LNG). In China, EPA is supporting a project to
evaluate and demonstrate the use of diluted
methane emissions from underground mine
ventilation systems (also known as ventilation
air methane or VAM) using a new technology,
a monolithic catalytic combustor, at a Chinese
coal mine.

Building Capacity and Overcoming
Informational Barriers in India and China

  One significant barrier to developing effec-
tive CMM recovery and use projects is the lack
of information about specific coal mine proj-
ect opportunities and available technologies
and practices. To help project developers
overcome these barriers, the United States is
supporting several initiatives to increase the
flow of information and foster in-country
technical expertise.
  In India, which is currently the world's
third-largest coal producer, EPA, USTDA, and
the government of India established a
CMM/Coalbed Methane (CBM) Clearinghouse.
India's Ministry of Coal and the Ministry of
Petroleum and Natural Gas manage the clear-
inghouse. In 2008, EPA and USTDA organized
a kickoff event to inaugurate this work in
Ranchi, India, and EPA has continued to pro-
vide technical training and funding. India's
coal production is predicted to increase dra-
matically in the near future,  and CMM emis-
sions are expected to increase as well unless
methane recovery and utilization projects are
implemented.
                                           16

-------
                                       U.S. Government's Methane to Markets Partnership Accomplishments
   In China, EPA continued to support the
work of the CBM Clearinghouse in Beijing.
The clearinghouse provides services to a vari-
ety of international organizations, including
the International Energy Agency (IEA), the
Asian Development Bank, and the United
Nations Development Program. It also pro-
vides project developers and  investors with
easily accessible, in-country technical and
regulatory expertise on CMM project develop-
ment.
   In 2008, the United States  also supported a
number of capacity building initiatives in
China.  For instance, USTDA and EPA spon-
sored an in-depth training program for the
China National Development and Reform
Commission in Dalian, China. With technical
assistance from EPA, the training focused on
technical aspects of CMM projects, including
degasification, recovery, and  end-use tech-
nologies.
   EPA also supported several initiatives to
increase awareness and expertise at the
provincial level in China. For example, EPA
funded the CMM Recovery and Utilization
Initiative in  Guizhou Province, a relatively
poor province with more than 2,000 coal
mines producing a total of 100 million tons of
coal  annually. This province has great poten-
tial for CMM recovery and utilization as a
clean energy source, but for most mines it is
not realized due to  lack of information, com-
munication, and market barriers. The initia-
tive provided international project developers
with focused and current information regard-
ing project development opportunities at 45
coal  mines in  Guizhou and included a suc-
cessful workshop to connect  stakeholders
with the international project development
community.
   EPA also supported lEA's efforts to evaluate
the potential for CMM projects in the Guizhou
  Chinese Mines to Use Advanced
  Technology to Deliver CMM-based
  Power

  A recent EPA-sponsored feasibility study is help-
  ing operators at six mines in the Chongquing
  Municipality of China to purify and liquefy
  medium-concentration CMM into LNG.
  Implementing the latest technology for CMM,
  officials from the Songzao Coal Mine plan to inte-
  grate CMM-based power beyond the immediate
  vicinity of the mines and into the country's larger
  energy economy—a technological milestone for
  China.

  The project sponsor, Chongquing Energy
  Investment Group, is pursuing funding while
  waiting for final government approvals.
  Construction is expected to begin in 2010 allow-
  ing operations to start in 2012. When completed,
  the Songzao Coal Mines are expected to gener-
  ate 170 million  cubic meters of LNG to be sold
  into China's booming natural gas market.
  Additionally, newon-site mine-mouth power
  generation facilities, with a capacity of 26.9 MW,
  will use a portion of the CMM pumped from the
  most remote stations as fuel. Total emission
  reductions are expected to reach 44.1 MMTCO2E
  over the 15-year life of the project.
and Sichuan provinces, two relatively over-
looked provinces in terms of CMM develop-
ment. Based on extensive field visits and
interviews, IEA developed a white paper that
outlines recommendations for reducing tech-
nology, policy, and financial barriers. In addi-
tion, EPA funded  a project organized by the
Jackson Hole Center for Global Affairs that
focused on the challenges and opportunities
in the southern part of Shanxi Province,
China's largest coal-producing province. This
effort brought together key stakeholders at a
workshop in Jincheng to address the barriers
to CMM project development in this important
coal region.
                                            17

-------
U.S. Government's Methane to Markets Partnership Accomplishments
          Supporting Pre-Feasibility and Feasibility Studies in Partner Countries
          Pre-feasibility and feasibility studies are key steps in
          project development. Pre-feasibility studies help
          developers determine whether a project has the
          potential to succeed financially and technically.
          This information is necessary to raise needed capital
          and generate interest to move the project forward
          to the next stage of development: the feasibility
          study. The feasibility study provides developers with
          more detailed analysis on costs, challenges, and
          expected results based on project parameters.
          Undertaking either type of study can be challenging
          and expensive.

          The United States has funded several pre-feasibility
          and feasibility studies for projects in the coal sector
          to help advance project development in China, India,
          Poland, and Mongolia. These studies provide impor-
          tant information that accelerates project implementa-
          tion. For example, in 2008:

          • EPA conducted three comprehensive feasibility
           studies at Chinese coal mines to assess  the techni-
           cal and economic viability of implementing CMM
           recovery and utilization projects:

           — Liuzhuang Mine in Anhui Province.
           — A group of six mines in the Songzao Coal
              Basin in Chongqing.
           — A group of six mines at Hebi in Henan
              Province.
          • The study for the Songzao mines evaluated CMM
           use for a combined power generation/LNG project
           and estimated the potential to reduce emissions  by
           4.4 MMTCO2E annually.
  In India, EPA funded a study quantifying VAM from
  two mines in the Jharia Coal Basin. EPA is also fund-
  ing a feasibility study of CMM recovery from under-
  ground coal mines in three coal basins: Bokaro,
  Jharia, and the Ranigani Coal Fields.

  In Poland, EPA funded an assessment of VAM at 10
  mines to determine their feasibility for methane
  mitigation or energy recovery projects.

  In Mongolia, EPA funded  a pre-feasibility study
  to evaluate the potential  for CMM recovery and
  utilization at the Nalaikh Coal Mine.
Dr. M. Badarch, General Director of the Mongolia Nature
and Environment Consortium and member of the Methane
to Markets Coal Subcommitee, visits the Nalaikh Coal Mine
near Ulaanbaatar, Mongolia.
       Overcoming Financial and Policy Barriers in
       Russia and Eastern Europe
          The United States has supported a multi-
       year effort by the United Nations Economic
       Commission  for Europe (UNECE) to reduce
       financial barriers to CMM projects in Russia
       and Eastern Europe. In 2008, this project con-
cluded as technical and financial experts
helped develop bankable documents for the
Krasnogorskaya Mine in Russia. This mine
was then showcased before six interested
investors in London.  The final report has been
posted on the UNECE Web site to share les-
sons learned.
                                                       18

-------
                                                                                  Landfills
          Methane is produced from landfills
          when organic matter decays under
          natural anaerobic conditions.
Landfill gas (LFG) can be a source of clean
energy, typically composed of about 50 percent
methane. LFG can be used as a direct substitute
for fossil fuel consumption to generate electric-
ity, or refined and injected into the natural gas
pipeline. Capturing and using LFG in these
ways can yield substantial energy, economic,
environmental,  air quality, and public health
benefits.
  In 2005, global methane emissions from
landfills were estimated to be nearly 750
MMTCO2E. This year, the United States has
been a leader in the recovery of LFG and has
spent more than $3.2 million to expand the
productive use of LFG through Methane to
Markets. Highlights of these efforts are
summarized below.

Building Capacity Through Workshops and
Training in Colombia, Ecuador, and Nigeria

  At the International Renewable Energy
Conference Africa, held annually in the
Nigerian capital city, Abuja, EPA shared inter-
national developments  in the LFG-to-energy
sector and brought organizations together to
stimulate project development at Nigeria's
landfills. More than 100 people from Nigerian
state and federal government agencies, the pri-
vate sector, and academia attended as well as
several participants from other African and
European  countries. The Nigerian landfill sector
is now seeing a burst of activity. Developers are
preparing  a preliminary inventory of landfills,
planning to evaluate the feasibility of LFG
energy at landfills, and working with other
stakeholders in Nigeria's waste management
sector, including the Waste Management
Society of Nigeria, to identify opportunities.
   In Colombia, as part of a national confer-
ence organized by the Colombian Association
of Environmental and Sanitation Engineering,
EPA held a workshop and training session on
the basics of LFG capture, estimating gas
recovery potential, and  energy utilization
technologies. Approximately 100 participants
attended, including landfill and solid waste
officials representing several Colombian
municipalities.
   In July 2008, EPA helped train approximately
150 representatives of Ecuadoran municipali-
ties, including several mayors, in LFG energy
project development. The workshop was inter-
active, allowing participants to share lessons
learned and best practices.

Pre-Feasibility and Assessment Studies
Conducted in Argentina, India, Mexico, and
Ukraine

   Thorough study and  analysis are essential
for launching successful LFG projects. Using
a range of energy recovery technologies, engi-
neers conduct pre-feasibility and assessment
studies to generate important data, such as
the availability of LFG, and determine the
economic feasibility of a specific project.
These data are vital in helping developers
and investors decide if they want to take the
project to full development.
                                           19

-------
U.S. Government's Methane to Markets Partnership Accomplishments
       •  In Bahia Blanca, Argentina, a seaport city in
          the southeast portion of Buenos Aires
          Province with a population of approximately
          300,000, EPA conducted a pump test for an
          LFG pre-feasibility study. EPA estimated that
          projected gas recovery potential in 2008,
          after installation of a gas collection system,
          was approximately 625 cubic meters per
          hour.  EPA completed and presented the
          report to municipal officials in June 2008. A
          potential end-user has been identified and
          EPA continues to work with the municipality
          to advance this project.

       •  In Ahmedabad, India, EPA conducted a direct
          user assessment of five local industries
          around the Pirana Landfill. The local indus-
          tries included a compost factory, cement fac-
          tory, denim factory, dyeing facility, and a
          chemical facility. EPA collected information
          on the energy needs of these facilities as
          well as their distance from the landfill. EPA
          also conducted a feasibility study to deter-
          mine  whether LFG could be used as a source
          of LNG for vehicles in India. The final report
          will be released in late 2009.

       •  In Mexico City,  EPA conducted a preliminary
          assessment of the potential for LEG  recovery
          and utilization at the Bordo Poniente
          Landfill. With a capacity to hold 56 million
          tons of solid waste, the landfill is Mexico's
          largest and serves the 20 million residents of
          Mexico City. The Mexico City municipal gov-
          ernment asked  EPA to conduct this assess-
          ment  to enable it to have an objective third-
          party  evaluation with which to compare LFG
          studies that it and other organizations have
          completed. The assessment found that Bordo
          Poniente is a good candidate for an  LFG
          recovery and utilization project. It would
          have the potential to reduce approximately
          5.15 MMTCO2E through 2012 and produce
          14 MW of electricity at full capacity.
    In Mariupol, Ukraine, near the Sea of Azoz,
    EPA conducted pump tests at a local landfill.
    Three vertical extraction wells, seven moni-
    toring probes, collection piping, and an elec-
    tric blower provided by an adjoining brick
    manufacturing facility were installed, and
    local Ukrainian engineers conducted the
    drilling. Based on the initial results, EPA esti-
    mated LFG recovery to be 290 to 408 stan-
    dard cubic feet per minute, a robust estimate
    considering most landfills in the country are
    controlled but uncapped and uncovered.
    After finalizing the pump test,  EPA examined
    various end users for the gas, including a
    flaring only option as well as direct use by
    the brick manufacturing facility. EPA will use
    data from this pump test, as well as a 2007
    pump test conducted in Chernvtsi, to devel-
    op a Ukraine-specific LFG recovery model in
    2009.
Constructing a test well for a pump test at the Bahia Blanca
landfill in Argentina.
                                                    2O

-------
                                         U.S. Government's Methane to Markets Partnership Accomplishments
Landfill Data Collection Efforts in Argentina,
Russia, Thailand, and the Philippines

   EPA collaborated with Partner Countries in
the collection of landfill data to explore the
capture and use of LFG.
•   In Argentina, working with the Asociacion
    para el Estudio de los Residues Solidos
    (ARS) and Universidad Nacional del Centre
    de la Provincia de Buenos Aires, Olivarria
    (UNCPBA), EPA has launched efforts to col-
    lect landfill profile data on mid-size munici-
    pal landfills and controlled dumps (serving
    populations greater than 100,000) and to
    evaluate potential direct-use opportunities,
    respectively. To date, ARS has identified 40
    landfills and is continuing efforts to collect
    additional profile data. Additionally, UNCPBA
    has evaluated 10 sites that are currently col-
    lecting gas but not using it for energy.  Of
    those sites, two appear to have the potential
    for a direct-use project. EPA will be exploring
    direct-use opportunities at these sites in the
    future.

•   In Novokuznetsk, in southern Siberia, EPA
    assessed candidate sites and assisted a local
    nonprofit organization, the Ecological
    Research Centre  (ERC), with the first com-
    prehensive landfill inventory in Russia. With
    funding from an EPA grant,  ERC has collect-
    ed data from more than 800 landfills repre-
    senting 72 out of Russia's 83 regions. The
    data include critical information on landfill
    location, size, capacity, waste depth, and
    open and closure years. ERC completed the
    database  and presented the results at
    Russia's biannual Waste-Tech Conference in
    Moscow in 2009.
•   With EPA participation, the governments of
    Thailand and the Philippines took part in a
    scoping mission to gather data and informa-
    tion on their landfills. As part of this  effort,
  EPA Assessment Advances Recovery
  Options at Colombian Landfill

  The Dona Juana Landfill, located in and owned by
  the city of Bogota, Colombia, will soon be a source
  of clean, domestic energy. Thanks in part to a 2007
  EPA grant, engineers were able to assess the landfill
  and find significant potential for methane capture
  and use. This led to the site being featured at the
  2007 Partnership Expo in Beijing, China. Since then,
  landfill operators have installed a flaring system
  that began operating in early 2009, and they con-
  tinue to research full methane generation potential
  and consider future options. While site conditions
  and leachate collection system limitations prevent
  recovery of all biogas at the site, EPA estimates the
  landfill could realize annual emissions reductions of
  more than 1.2 MMTCO2E by 2016 when the landfill
  is anticipated to close with more than 48 million
  tons of waste in place.
  Dona Juana Landfill in Bogota, Colombia.
EPA met with LFG energy stakeholders and
visited landfills to obtain additional site-specific
landfill data.

Model Developed for Chinese LFG

   EPA completed the first draft of the Landfill
Gas Emissions Model (LandGEM) simulating
waste and climate conditions in China. This
model will allow users to produce typical LEG
generation and recovery estimates for landfills
located in various regions of China. EPA is
anticipating a full launch of the model to take
place in late 2009.

-------
                                                               Oil and Gas Systems
          Methane emissions from oil and gas
          systems can be the result of normal
          operations, routine maintenance, and
system disruptions. Reducing fugitive emissions
can minimize product losses, enhance energy
security, lower methane emissions, and increase
revenues. In 2005, global methane emissions
from oil and gas systems that could be utilized
were estimated at nearly 1,170 MMTCO2E.
   The United States has collaborated with the
Methane to Markets Partnership to encourage
Partner Countries to implement proven, cost-
effective technologies and practices that improve
operational efficiency and reduce emissions. In
this reporting year, the U.S. government has spent
more than $2.3 million to support the deployment
of these measures. Some of the U.S. govern-
ment's notable 2008 accomplishments and ongo-
ing activities are discussed below.

USAID and EPA Continue to Assist in PEMEX
Efforts to Reduce Methane Emissions

   USAID and EPA are continuing their support of
several project activities with Mexico's state-
owned oil company, Petroleos Mexicanos
(PEMEX). The overall aim is to achieve significant
cost-effective reductions in methane emissions at
PEMEX and implement a sustainable GHG man-
agement program. The key benefits will include
increased projects, improved energy efficiency,
conservation of a valuable non-renewable
resource, and reduced emissions. Ongoing activi-
ties focus on identifying and developing methane
emission reduction projects and building organi-
zational resources to sustain this work. To date,
PEMEX has conducted campaigns at six facilities
to quantify methane emissions, identify emissions
reduction opportunities, and  provide on-the-job
training.
   Through directed inspection, maintenance,
and replacement of wet seals on compressors,
PEMEX has reduced on-site emissions by approx-
imately 30,000 metric tons of CO2 equivalent
(MTCO2E). PEMEX has additional compressor
seal replacement projects underway, which will
reduce emissions by an additional 70,000
MTCO2E. Projects that could yield additional
reductions of approximately 400,000 MTCO2E in
four other facilities have been identified.
   EPA is helping PEMEX management establish
internal leadership and organization to sustain
further methane emissions reduction activities. As
part of this effort, PEMEX is developing a compre-
hensive, corporate-wide emissions inventory. The
inventory will serve as the basis for determining
abatement potential. Specifically, in parallel, EPA
has developed a marginal abatement cost (MAC)
model tailored to the specific attributes of PEMEX.
The MAC model is intended to provide informa-
tion and guidance to PEMEX leadership as it
advances its climate change strategy and sets
methane emission reduction targets.

Work Continues on Reducing Emissions From
Oil and Natural Gas Assets in India

   In 2008, through Natural Gas STAR
International, EPA continued its partnership with
India's Oil and Natural Gas Company (ONGC) to
work on reducing methane emissions. ONGC pro-
vided  detailed operational data on seven of its
sites, and EPA performed analysis to determine
four priority sites. EPA analyzed and aggregated
the emissions measurement results as well as the
economic features for 12 methane recovery proj-
ects at these sites. If fully implemented, these
projects could save approximately 154,000
MTCO2E.
                                            22

-------
                                         U.S. Government's Methane to Markets Partnership Accomplishments
Methane to Markets-ONGC
Collaboration Builds Capacity for
Methane Reductions

The technical collaboration between EPA and the Oil
and Natural Gas Corporation of India (ONGC), adminis-
tered under the Methane to Markets Partnership, is
building a strong base of knowledge and capacity
within ONGC to cost-effectively reduce methane emis-
sions now and into the future. Based on methane
emissions identified and quantified during collabora-
tive measurement studies in May 2008, and a resulting
directive from the Board of Directors to actively imple-
ment mitigation projects, ONGC has reduced methane
by approximately 115.47 thousand cubic feet, which is
approximately 46,700 MTCO2E. ONGC achieved these
reductions through a variety of means, including
repairing pipeline leaks, changing valves and replacing
valve packings, replacing rod packing seals in recipro-
cating compressors, and at times simply tightening
bolts.Thanks to these simple maintenance activities,
ONGC is reaping the benefits of saving natural gas val-
ued at $134,116 (at local natural gas values), increasing
operational efficiency, and enhancing workplace safe-
ty by reducing fire hazard.

And this is just the start. ONGC has formed an internal
measurement team and is currently procuring
methane emission  detection and measurement equip-
ment in order to be able to replicate measurement
studies in the future. EPA and ONGC have collaborat-
ed to train this team on the use of the measurement
study equipment and conducted detailed technical
studies to support implementation plans for more
extensive capital investment projects to reduce
methane emissions in the future. These plans—sched-
uled for completion in late 2010—include capturing
low-pressure vented and flared gas at the Heera and
Neelam Offshore Platforms in order to compress the
gas for sale and internal use and capturing oil storage
tank emissions from ONGC's Uran Plant near Mumbai.
Identifying Methane Emission Reduction
Opportunities in Russia
   Russia is a significant emitter of methane from
oil and gas operations because of its large oil and
gas operations. As Russian natural gas production
continues to grow, identifying opportunities to
reduce emissions is increasingly important.
Several companies in Russia, including Gazprom,
have begun to monitor or mitigate methane emis-
sions from their systems. EPA and Battelle
Memorial Institute, an international science and
technology enterprise that explores emerging
areas of science, have launched a project to work
with Russia on methane mitigation in the Russian
oil and gas sector. The project focuses on three
main areas:
•   Exchanging technical information on
    approaches to reducing methane emissions in
    the oil and gas sector.

•   Developing a network of contacts in Russia to
    enhance awareness of methane identification
    and mitigation opportunities in the natural gas
    sector.

•   Promoting technology transfer and investigat-
    ing opportunities to develop methane mitiga-
    tion projects in the Russian oil and natural gas
    sector.

   In October 2008, Gazprom, VNIIGAZ
(Gazprom's research institute) and EPA, with tech-
nical support from Battelle Memorial Institute,
held a technology transfer workshop on  methane
mitigation in the natural gas and  oil sectors in
Moscow. The workshop focused on exchanging
detailed technical information on proven, cost-
effective technologies and practices to reduce
methane emissions. Participants also visited a
Russian compressor station to view several state-
of-the-art technologies that detect and measure
methane leaks.

-------
       The rationale for engaging in methane miti-
       gation activities has never been stronger:
       a growing body of research demonstrates
how the combined benefits from climate change
mitigation and improvements in local air and
water quality along with increasing demand for
energy are building a market for recovered
methane. For the past five years, the Methane to
Markets Partnership has supported the develop-
ment of more than 170 projects, helped dismantle
barriers to project development, and promoted
projects that complement the United Nations
Framework Convention on Climate Change's
(UNFCCC's) flexibility mechanisms. Under the
Obama administration, the U.S. government is
continuing to promote the Partnership's success,
urging more robust action on reducing methane
emissions and stronger financial commitments to
the Partnership, continuing to engage the private
sector, and ensuring that Methane to Markets
evolves in a manner that is supportive to the
UNFCCC. In particular, the United States will focus
on several key areas:
•  Renewing the Methane to Markets' Terms of
   Reference (TOR). The United States, in its role
   as Chair of the Methane to Markets Steering
   Committee, will lead the process of developing
   a new Methane to Markets' TOR, setting the
   stage for future growth of the Partnership. The
   United States is committed to ensuring that
   the second TOR includes expanded and robust
   commitments to the Partnership to accelerate
   the pace of methane emission reduction proj-
   ect development.
•  Organizing the 2010 Partnership Expo. The
   United States is pleased to be playing a leader-
   ship role in the upcoming Partnership Expo,
   which will take place on 2-5 March 2010 in
   New Delhi, India. The first Expo proved to be
   an effective way to match project develop-
   ment opportunities with relevant skills and
   resources. In New Delhi and beyond, the U.S.
   government agencies will aggressively pro-
   mote partnerships to bring methane recovery
   opportunities to fruition.

•  Providing Expanded Technical Assistance and
   Financial Support for Project Development in All
   Four Methane to Markets Sectors. The United
   States will continue its active support for
   methane reductions in all four sectors of the
   Partnership. Since the beginning of the
   Partnership, the United States has provided fund-
   ing in excess of $40 million, with $10.4 million in
   FY 2008 alone. Several U.S. agencies will contin-
   ue to conduct training, provide grants, and sup-
   port pre-feasibility and feasibility studies in all
   Methane to Markets sectors, including ones that
   may be added through the TOR renewal process.
   The actions of Methane to Markets Partners
and Project Network members have resulted in
real GHG reductions and elevated awareness
among climate policymakers around the world
of the importance of methane in the fight against
climate  change. The U.S. government is proud of
the Partnership's collective achievements, which
demonstrate that developed and developing
countries, along with the private sector, can work
together to effectively mitigate climate change in
the near term.
                                             24

-------
                                     Methane to Markets

                                           October 2009
                         To learn more, visit www.methanetomarkets.org
   ) Recycled/Recyclable-Printed with Vegetable Oil Based Inks on 100% Postconsumer, Process Chlorine Free Recycled Paper

Printing was provided by the U.S. Environmental Protection Agency.

-------