Policy Overview

Canada announced its intention to update its 2018 Regulations Respecting Reduction in the Release of Methane and Certain Volatile Organic Compounds (Upstream Oil and Gas Sector) in its September 2022 Faster and Further: Canada’s Methane Strategy. The strategy reiterated Canada’s commitment to strengthen regulations to achieve at least 75% reduction in oil and gas methane emissions below 2012 levels by 2030. The draft regulation, released in December 2023, would set a new standard for leak detection and repair (LDAR), including quarterly-based inspections at facilities. It also proposed a ban on venting, including from equipment such as pneumatic devices, and a new requirement to reduce flaring of associated gas. The regulation enables operators to adopt a performance standards as an alternative to venting and flaring requirements. It is set to come into effect in a phased manner beginning in 2027 and fully by 2030.

Policy Under Development

Following the release of Canada’s draft oil and gas methane regulations proposal in December 2023, a public consultation was open until February 14, 2024. The policy is likely to be finalized later this year. InfluenceMap will continue to track the progress of this policy.

Policy Status

Under consideration - Policy drafted, undergoing public consultation before revision and approval

Evidence Profile

Key

opposing not supporting mixed/unclear
supporting strongly supporting

Policy Engagement Overview

InfluenceMap has detected highly negative engagement from the oil and gas sector on Canada’s methane regulations.

  • Opposition to “prescriptive” approach: Canadian Association of Petroleum Producers (CAPP), Cenovus, Pathways Alliance, and MEG Energy emphasized regulatory burden and opposed what they labeled as “prescriptive” measures in the regulation.
  • Weakening the scope of the regulations: CAPP, Pathways Alliance, and Tourmaline advocated that the 75% methane reduction target should exclude upstream mining emissions. Vermilion raises similar concerns and endorsed CAPP’s comments.
  • Opposition to leak detection criteria and venting and flaring restrictions: Canadian Natural, ConocoPhillips, and Enbridge did not support the restrictions on flaring and venting and advocated to weaken the frequency of fugitive emissions survey requirements. Shell supported the flaring provisions but advocated to weaken the criteria for venting. TC Energy opposed the monthly emissions screening requirements.
  • Advocating for provincial regulations over federal ones: Several oil and gas entities opposed federal regulation of methane and advocated for provincial jurisdiction over methane regulations, including CAPP, Cenovus, Enbridge, Pembina Pipeline, and Vermilion.

Policy Status

Under consideration - Policy drafted, undergoing public consultation before revision and approval

Evidence Profile

Key

opposing not supporting mixed/unclear
supporting strongly supporting

Entities Engaged on Policy

Influencemap Performance BandOrganizationPolicy PositionPolicy Engagement Intensity