Harnessing Methane: From Pollutant to Valuable Resource
Methane is a powerful though short-lived greenhouse gas (GHG), more than 80 times more potent than carbon dioxide at trapping heat in the atmosphere over 20 years and 28 times more powerful over a century. Methane sources--livestock, rice production, the oil and gas supply chain, coal mining, landfills, and wastewater treatment--account for 30 percent of the current rise in global temperatures, and methane’s atmospheric concentrations in 2019 were the highest in 800,000 years. Producing ozone pollution, methane emissions cause about one million premature deaths a year, lower crop productivity, and harm ecosystems.
Yet there’s another side to this dangerous gas that deserves increased attention. It’s a valuable resource with numerous productive applications. Abt partners with governments to craft actionable strategies that not only mitigate GHG emissions but also harness methane’s potential as an economic asset. Our approach aligns with COP 29 objectives and supports international goals in sustainable growth, economic resilience, and environmental stewardship.
Environmental, Economic, and Health Benefits of Capturing Methane Emissions
Eighty percent of the Paris Agreement signatories included methane in their Nationally Determined Contributions for GHG reduction, but only 15 quantified their methane reduction targets. That could be a huge, missed opportunity because reducing methane emissions now could cut the rise in global warming by a quarter of a degree centigrade by mid-century and half a degree by the end of the century.
Half of the available strategies in the next decade come at no net cost, and some can be profitable. That’s because methane is a key component of natural gas, which homes, businesses, and factories all over the world use for heating, cooling, biofertilizers, animal feed, and fuel. Abt has developed tools and methodological approaches that not only quantify the co-benefits of methane mitigation but also monetize them for streamlined integration into financial and economic considerations.
For example, Abt developed the U.S. Environmental Protection Agency’s (EPA) CO–Benefits Risk Assessment (COBRA) tool, a robust screening model that helps state and local governments estimate the economic value of methane mitigation. It converts emissions reductions into air quality improvements, then estimates adverse health impacts avoided such as asthma and workdays lost to heart attacks. COBRA’s ability to monetize benefits can improve decision making at the county, state, and national level.
All of this is important from a public health perspective. But does the private sector have a financial incentive to trim emissions? Can they also benefit from investing in emissions reduction? As our work in India illustrates, the answer is a resounding yes. By transforming methane from liability into an asset, businesses can gain financially while supporting public health and environmental sustainability.
Realizing Methane’s Profit Potential: Strategies in Action
Methane Powered Cooling in India
Abt has worked on a number of projects to promote the transformation of methane from bane to benefit. Collaborating with the EPA, our team conducted a financial pre-feasibility assessment for direct biogas-powered cold storage facilities in Maharashtra, India, and outlined the incentives and the conversion process, providing a solution for rural areas with limited grid and food storage access.
Our assessment suggests that implementing a biogas-powered cold storage facility could offer a profitable refrigeration solution for the rural village experiencing significant post-harvest food loss due to the lack of a reliable cold chain. With refrigerated food storage, farmers would be able to retain and sell more of their produce over time, and at potentially higher prices all while reducing annual methane emissions by an estimated 83%.
Unlocking the Value of Solid Waste in Novi Sad, Serbia
Solid waste, alongside agriculture, is a significant source of methane emissions. Abt's work to reduce these emissions is making an impact across more than 50 cities globally, from Delhi, India, to Novi Sad, Serbia. Using the Solid Waste Emissions Estimation Tool (SWEET), more than 50 cities, including Delhi, India, and Novi Sad, Serbia, have been able to quantify waste-sector emissions and devise strategies that turn waste management into an economic asset. In Novi Sad, for instance, Abt collaborated with the EPA to explore options for diverting organic waste from landfills, using SWEET to project methane reductions and the Global Methane Initiative’s Organics Economics to assess the financial viability of composting and anaerobic digestion. This research laid the groundwork for Serbia's first municipal composting plant in 2020, attracting funding and creating a new revenue stream for the city.
Novi Sad continues to expand its composting efforts, with an updated pre-feasibility assessment projecting an 18.5% reduction in GHG emissions from the expanded plant. Beyond emissions reductions, the compost produced now serves as a cost-effective alternative to purchased soil for public green spaces, illustrating how strategic waste management can drive economic growth. Through data-driven tools like SWEET, cities can transform environmental challenges into economic opportunities, advancing both sustainability and local development.
What are the Barriers?
Barriers to methane conversion abound. Governments often face competing budget priorities, where immediate needs overshadow critical long-term issues like environmental sustainability. Raising awareness of market forward methane emissions migration strategies among the private sector and policymakers is critical in making the case. Awareness of methane’s profit potential alone isn’t enough. A collaborative effort across government decision makers, the private sector and other institutions to bolster technical expertise will also be key to the development of sound strategies that transform methane into a profitable initiative.
Aggravating matters, every region and country has a unique economic and political landscape, presenting its own set of challenges. Tailored strategies, like those formed by Abt’s pre-feasibility analysis, equip policy makers and stakeholders with viable market-based strategies that work with rather than against regional contexts.
Overcoming these challenges may be complex, but like our case studies demonstrate, realizing methane’s value is within reach.
The Path Forward
The need is clear, and the research is in place. It is now essential for academia, industry, and government to work collaboratively to expand efforts that capture methane emissions, transforming this potent greenhouse gas from an environmental challenge into a valuable resource.
The case studies highlighted here represent just a fraction of what is possible. Abt brings extensive experience working alongside government partners to place methane reduction at the center of climate strategies, framing it within broader initiatives to create value from methane-based resources. Through strategic planning, market-driven solutions, and comprehensive analyses to address the barriers to methane transition, Abt has supported governments in developing actionable frameworks for sustainable methane utilization.
Transforming methane into an economic asset is a powerful tool in any climate mitigation strategy. True climate progress will come not only through emission reductions but also by reimagining how environmental challenges can be converted into regenerative solutions that promote growth and resilience.
Learn more about our work in methane.
