Secretary of State John Kerry announced this week that the U.S. will contribute $15 million to limit methane emissions, which he described as “20 times more dangerous and damaging than carbon dioxide.”
Speaking at a Climate Week event in New York City on Monday, Kerry said the $15 million in taxpayer money will be used to “kick-start” the World Bank’s pilot auction program:
“This initiative will set up a guaranteed price for each ton of methane that project developers are able to cut from their facilities, which means that these developers, we hope, will be much more inclined to cut methane from livestock, landfills, waste treatment facilities, because they’ll be able to do so with the confidence that they’re going to be able to get an adequate if not better return on their investment,” said Kerry.
The Pilot Auction Facility (PAF) describes itself as “an innovative climate finance model” intended to stimulate investment in projects that reduce greenhouse gas emissions.
Methane is a by-product of various industrial and agricultural processes – mainly waste and fossil-fuel extraction. Much of it is naturally occurring.