Global gas flaring hits record high despite economic potential

Gas flaring—burning off natural gas produced alongside oil—remains a persistent inefficiency. While the practice has spanned decades, the current scale of loss undermines energy security and climate goals. Nine nations, including Russia, Iran, Iraq, and the United States, account for over 80 percent of the total, often while simultaneously grappling with their own domestic electricity shortages and high fuel import costs.

Eliminating routine flaring would require $70 billion to $100 billion in infrastructure investment, a sum that pales against the recurring annual loss of $54 billion. Experts emphasize that the technologies required to capture and monetize this gas are already available. The barrier is not technical, but structural: weak regulation, lack of market access, and insufficient political will prevent the transition.

Kazakhstan offers a blueprint for success, having slashed its flaring rates by 87 percent since 2012 through consistent regulatory reform and targeted investment. Demetrios Papathanasiou, Global Director for Energy at the World Bank, noted that the economic case for change is now impossible to ignore. For countries struggling with energy access, capturing this gas represents a path toward industrial growth and reliable power, provided that governments shift their focus from extraction to resource management.