Reservoir Methane Capture Mechanism
Summary
The Reservoir Methane Capture Mechanism introduces a "methane-as-a-service" model to capture methane from hydropower reservoirs, converting it into biogas for electricity and generating carbon credits. Managed via a special purpose vehicle (SPV), the mechanism aims to reduce risks for hydropower operators. A pilot project involving five plants is planned, with a long-term goal in Brazil to mobilize USD 3 billion in capital and avoid 6.8 million tons of CO2e emissions annually.
Key insights
- The Reservoir Methane Capture Mechanism employs a "methane-capture-as-a-service" approach to allow hydropower operators to implement capture systems without taking on the risks of new technology.
- The mechanism utilizes a special purpose vehicle (SPV) managed by Open Hydro to operate infrastructure and biogas generators, while Bluemethane handles plant design and methane measurement.
- The technical process involves diverting water through a closed-circuit hydro cyclone-like tank at turbine discharges to capture methane, which is then used in a biogas plant to sell energy in the Brazilian market.
- At scale in Brazil, the instrument is projected to mobilize USD 3 billion in capital and avoid 6.8 million tons of CO2e emissions per year, which is equivalent to 3.7 million cattle heads or 1.5 million automobiles.
- Investment opportunities for the mechanism include a USD 6.5 million grant for proof-of-concept and two USD 27 million allocations for pilots using commercial debt and concessional capital.
Cite the original document
- APA
- Climate Policy Initiative (n.d.). Reservoir Methane Capture Mechanism. https://www.climatepolicyinitiative.org/wp-content/uploads/2022/10/RMCM-overview.pdf
- Chicago
- Climate Policy Initiative. Reservoir Methane Capture Mechanism. n.d. https://www.climatepolicyinitiative.org/wp-content/uploads/2022/10/RMCM-overview.pdf.
- Wikipedia
- {{cite report |author=Climate Policy Initiative |title=Reservoir Methane Capture Mechanism |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2022/10/RMCM-overview.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{climatepolicyinitiativendreservoir, author = {{Climate Policy Initiative}}, title = {{Reservoir Methane Capture Mechanism}}, institution = {Climate Policy Initiative}, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2022/10/RMCM-overview.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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