The Ukrainian Government and its national energy company Naftogaz are to develop a national initiative to reduce methane emissions in the gas sector.

They have signed an agreement with the European Bank for Reconstruction and Development (EBRD) to work together on the project that will include advanced measurement campaigns, an improved emissions inventory system and the development of an investment roadmap to significantly reduce emissions.

Oil and gas sector methane emissions in the EBRD regions are estimated to be nearly 60 billion cubic metres per year – nearly 40% of the regions’ total greenhouse gas emissions.

The EBRD is also considering a loan of up to €52 million (£45m) to Naftogaz subsidiary, UkrGasVydobuvannya, to help the company invest in advanced waste heat recovery equipment in its gas processing operations and reduce carbon emissions.