Market Opportunity Assessment of Methane in Africa

Methane (CH₄) is a potent, short-lived greenhouse gas (GHG) – roughly 25–34 times more powerful than CO₂ over a 100-year horizon and 80 times over 20 years. Although Africa contributes only  about 4% of global GHG emissions (2020), a large share of its emissions is methane. In 2020 the continent emitted approximately 4.7 Mt CH₄ (about 160 MtCO₂e) from just four sectors: oil & gas (48%), solid waste (35%), wastewater (16%), and coal (1%). Emissions are highly concentrated: five countries (Egypt, Nigeria, Algeria, South Africa, Angola) account for  about 75% of Africa’s methane. Africa’s methane profile is by sector diverse – e.g. Nigeria’s methane (second only to CO₂) is dominated by energy (≈66%), whereas in South Africa agriculture (49%) and waste (40%) prevail – revealing tailored opportunities per region.

Capturing methane offers immediate climate and development co-benefits. Abatement has the fastest and most cost-effective impact on warming, helping keep 1.5 °C in reach. For example, the World Bank notes that the roughly 142 bcm of gas flared globally could power all of Sub-Saharan Africa. Proven technologies (e.g. leak detection, biogas digesters, landfill gas recovery) can reduce 75% of fossil-fuel methane, about 40% at net-negative cost. Methane projects often pay back through energy sales and carbon finance, making them attractive. However, finance flows are far below need: global methane abatement investment was $13.7 B/year (2021–22), whereas $48 B/year is needed by 2030. Crucially, <1% of current funding targets the oil/gas sector (where most cost-effective cuts lie).

The report Market Opportunity Assessment of Methane in Africa, finds significant investment opportunity in methane capture, utilization and trading. Africa has abundant feedstocks (livestock manure, biomass, organic waste, and gas reserves), and policies are converging on methane. Over 150 countries (including Nigeria as a “Methane Champion”) have signed the Global Methane Pledge to cut 30% by 2030. Initiatives such as Agenda 2063 and the SDGs call for clean energy, waste reduction and climate action. Strategic projects (e.g. West Africa Gas Pipeline, Ghana landfill-to-energy, Kenyan biogas cooperatives) exemplify models. Financing can leverage blended public-private funds, green bonds and carbon credits. Key regional blocs (ECOWAS, EAC, SADC) and donors (World Bank GFMR, GEF, CCAC, etc.) are starting to support methane initiatives.

The report’s Key Insights distill these findings. We identify high-impact Strategic Opportunities such as flared gas monetization and integrated waste management. Recommended Actions outline immediate steps: e.g. policy reforms, investor engagements, and pilot projects. The body of the report then provides detailed analysis: methane’s role, emission trends, regional sector profiles, policy context, market and economic analysis, and regulatory landscape. We conclude with priorities for stakeholders and a long-term vision of methane as a valorizable resource in Africa.

You can get the entire report here

Article by Antony Mbandi and Michael Jagongo

Adapted from Linkedin Pulse on 19 January 2026 at 1.08 pm