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Feds announce plan to reduce methane emissions from oil sector, landfills

On Dec. 16, 2025, the federal government announced new regulations to cut methane emissions from the oil and gas sector and landfills, marking its first added climate policy.
With a high short-term warming effect, methane has more than 80 times the impact of carbon dioxide, mostly from fossil fuel extraction and production and flaring, wasting fuel that could heat over 11 million Canadian homes.
The regulations require that operators ban venting and follow inspection schedules, offering two compliance options including methane-intensity thresholds, while landfill owners and operators must monitor and capture methane emissions.
Government analysis shows the rules will cut 304 million tonnes from oil and gas and 100 million tonnes from landfills, costing roughly $14-billion and funding technologies with nearly $16-million.
After industry pushback, the new regulations, part of the Climate Competitiveness Strategy, are projected to reduce oil and gas production growth by 0.2 per cent between 2025 and 2035, building on 2018 rules.

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