Dr. Kwame Sarkodie, a petroleum engineering expert, has warned that Ghana could risk access to European gas export markets if it does not strengthen measures to control methane emissions and eliminate routine gas flaring. He made this statement at a Technical Consultative Workshop organised by the Public Interest and Accountability Committee (PIAC) on the theme: “Building a Resilient Gas Economy: Collaborative Strategies to Ensure an Efficient Gas Value Chain.”
The European Union is implementing methane regulations that require progressively stronger monitoring, reporting, and verification of methane emissions associated with imported crude oil, natural gas, and coal. The regulations also introduce methane-intensity requirements for certain import contracts from 2030. Dr. Sarkodie noted that Ghana needed to treat the elimination of routine gas flaring as both an environmental and economic priority.
Ghana is already losing substantial economic value through gas flaring. According to recent disclosures by PIAC, about 28.5 million units of gas, representing approximately 10.4 per cent of raw gas produced, had been flared in a single year. Dr. Sarkodie estimated the value of the lost energy at about $170 million, saying the resource could instead have been used to support industries or reduce pressures within the energy sector.
The Petroleum Commission has set a target of eliminating routine gas flaring from Ghana's oil fields by 2026. Dr. Sarkodie said ending routine flaring is not just an environmental imperative; it's an urgent economic necessity. He urged Ghana to strengthen its emissions monitoring systems and ensure that operators complied with measures to prevent routine flaring and methane leakage.
Failure to adapt to the changing regulatory environment could have consequences beyond environmental compliance, affecting Ghana's ability to attract investment and participate competitively in international energy markets. The European Commission says importers will be required from January 2027 to demonstrate that imported oil and gas come from jurisdictions with methane monitoring, reporting, and verification requirements equivalent to EU standards or specified international standards.
From August 2028, importers will have to report methane intensity, while methane-intensity limits will apply to specified contracts from August 2030. Dr. Sarkodie said methane was becoming increasingly important in international oil and gas markets because of its high global-warming potential and the tightening requirements being introduced by major markets.
Dr. Sarkodie’s caution is consistent with Ghana's ongoing efforts to reduce routine flaring. The Petroleum Commission has previously said the country was working towards reducing or eliminating routine flaring by 2026 and improving methane measurement.
Key points
- Ghana risks losing access to European gas export markets if it does not control methane emissions.
- The EU is implementing methane regulations that require stronger monitoring and reporting of methane emissions.
- Ghana aims to eliminate routine gas flaring by 2026.