The Methane Finance Study Group Report: Using Pay-for-Performance Mechanisms to Finance Methane Abatement

The Methane Finance Study Group, upon the request of the G8, has published a report which considers pay-for-performance mechanisms for methane abatement. The analysis complements the Climate and Clean Air Coalition’s (CCAC) work on finance by focusing on an efficient method to deliver public finance to abate one SLCP (methane). The report has three main findings: (i) paying for methane emission reductions could deliver a "quick-win" as a climate finance pilot; (ii) pay-for-performance instruments should be further adopted by multilateral development banks for methane mitigation; and (iii) over time, pay-for-performance approaches can be used to support nationally appropriate mitigation actions (NAMAs) that focus on methane.