Bloom Energy will convert its entire global natural gas fleet to certified low-leak natural gas to prevent the release of harmful methane emissions stemming from upstream gas production. In addition, Bloom Energy and MiQ, a non-profit partnership between RMI and SYSTEMIQ, will collaborate to test and refine elements of the certified gas marketplace and educate Bloom Energy customers and other industry stakeholders on the importance of reducing the environmental impacts of natural gas production.
Certified natural gas differentiates gas production across a range of environmental, social and governance practices through a focus on verified methane performance and associated company practices. Methane is a powerful greenhouse gas, and leakages from the oil and gas industry contribute over 84 million tons of methane to global emissions each year. While progress has been made in recent decades to curb methane emissions, 75 percent of these emissions from oil and gas production can be technically eliminated today with little to no net cost. Achieving these reductions in methane emissions is the CO2 equivalent of replacing 60 percent of the world’s coal-fired power plants with zero-emissions generation.
Bloom Energy’s fuel cell projects are installed at more than 700 sites globally, and it counts many of the Fortune 100 companies as customers. By taking the lead to acquire certified gas on behalf of its customers, Bloom Energy hopes to ensure that leading commercial and industrial companies get early exposure to an important climate solution.
“The consensus among leading climate experts is unequivocally clear – we are at the precipice of a critical tipping point, and we all need to take action now,” said KR Sridhar, founder, chairman and chief executive officer, Bloom Energy. “It will take time for the energy industry to deliver low-cost, widely available renewable and zero carbon solutions that meet the world’s sizeable energy needs. Until then, adopting and promoting the use of certified natural gas is a simple, accessible, and actionable way to reduce harmful methane and carbon emissions now. It is the right thing to do – for our planet, for our customers, and for the whole industry. I challenge other gas consumers to join us by embracing a better and more responsible way of procuring natural gas and accelerating eco-friendly practices to be adopted by gas producers.”
As part of this initiative, Bloom Energy plans to leverage the work of two leading non-profit organizations, MiQ and Equitable Origin, which have built innovative standards and a joint registry system that transforms how natural gas is sourced. Bloom Energy has issued a Request for Proposals for MiQ and EO100™ natural gas certificates matching its customers’ fuel consumption, which is intended to positively impact the climate and support certified gas production both domestically and internationally. Bloom Energy is seeking certificates representing gas production jointly approved under both the MiQ Standard and the Equitable Origin EO100™ Standard for Responsible Energy Development, which together provide production assurance around a broad range of environmental, social and governance (ESG) criteria.
“Reducing methane emissions is no longer a choice, it is something we have to do if we are going to meet our climate goals,” said Georges Tijbosch, Senior Advisor, MiQ. “Innovative gas buyers like Bloom Energy are leading the way and demonstrating how market incentives can help us drive down emissions across the energy sector.”
Bloom Energy’s commitment to supply chain responsibility is just one of several steps it has taken to help transform the energy sector to bring affordable, low- to no- carbon energy solutions to market and enable a net-zero carbon future, including through its electrolyzer, hydrogen fuel cell technology and its biogas, marine, and carbon capture solutions.
Soledad Mills, chief executive officer, Equitable Origin, commented, “Producers seeking EO100™ certification are committed to achieving superior performance on many environmental, social and governance aspects and it is encouraging to see these efforts being rewarded in the marketplace by a company like Bloom Energy that is committed to responsible sourcing of natural gas.”
Bloom Energy intends to source certificates signifying reduced methane emission intensity and other social and environmental attributes beginning in 2022. As the market matures, Bloom Energy intends to support certification across the full value chain.