California Dairy Farms Achieve Major Methane Reduction Milestone

Posted on May 20th, 2025 | Filed under Press Releases

California dairy sector is reducing 5 million metric tons of methane (CO2e) annually.

SACRAMENTO, Calif., May 20, 2025 /PRNewswire/ — Dairy Cares and the California dairy sector today announced a major milestone in planet-smart dairy farming. This year, the state’s dairy farms will achieve an annual reduction of 5 million metric tons of methane (5 MMTCO2e/year). This has been accomplished through on-farm projects to improve manure management and continuous gains in milk production efficiency, as the state’s dairy herd continues to shrink.

California’s dairy sector leads the nation in milk production, in addition to methane reduction efforts. Achieving 5 million tons of annual reduction means the state’s family dairy farms are more than two-thirds of the way to delivering their share of California’s world-leading target: to reduce livestock methane emissions by 40 percent below 2013 levels by 2030. California is the only jurisdiction with such a target set in statute (via SB 1383 in 2016). Given methane’s powerful warming effect and short-lived nature, reducing methane is critical to near-term slowing of global warming.

“While many countries and jurisdictions across the globe have pledged to reduce methane, California dairy farmers have demonstrated action and great success,” said dairy farmer Charles “Chuck” Ahlem, Chair of Dairy Cares. “This work has been done through tremendous partnership with the state, displaying an effective model for other regions to follow. Through continuation of the state’s incentive programs, we expect to meet the state’s full goal on time.”

California dairy farms have achieved methane reduction through several ongoing strategies:

Methane Capture and Utilization– California has 168 dairy digesters operating with about 75 more projects in development. Digesters capture methane from manure storage and put it to productive use as carbon-negative transportation fuel or other renewable energy needs. As projects under development come online, methane from manure will be captured from 270 dairy farms, creating either renewable electricity, renewable natural gas, or hydrogen fuel. Estimated total annual reductions from operating projects to date are 2.53 million MTCO2e, according to information from the California Department of Food and Agriculture (CDFA) as well as digester developers.

Methane Avoidance– California dairy farms have implemented more than 128 alternative manure management projects, with another 65 projects funded and in development. Projects include manure separators, compost pack barns, manure scrape and vacuum systems, and other practices that avoid methane creation from manure management operations. Estimated total annual reductions from operating projects to date are 254,000 MTCO2e, according to information from the CDFA.

Milk Production Efficiency/Herd Attrition- California dairy farms continue to shrink their environmental footprint by producing more milk (or consistent total milk volume) with fewer cows. Milk production efficiencies continue to be gained in many ways, including improved animal nutrition, selective breeding, and enhanced animal care and comfort. Overall, while total milk production has remained relatively stable, the number of dairy cows in California has continued to shrink, resulting in far fewer emissions. Estimated total annual reductions achieved to date are 2.13 million MTCO2e, based on herd numbers from the California Air Resources Board’s California Dairy and Livestock Database.

Administered by CDFA, livestock methane reduction efforts are supported through the Dairy Digester Research and Development Program (DDRDP) and the Alternative Manure Management Program (AMMP). A total of $356 million in grants has been made available since 2015. Incentive payments buy down the capital costs of methane reduction projects on farms. Project construction and maintenance is creating jobs and economic growth in rural, disadvantaged communities, while providing significant air quality and public health benefits.

“California has long led the nation in the production of milk and dairy foods,” said Michael Boccadoro, Executive Director of Dairy Cares. “Milk and dairy products are our state’s most valuable agricultural commodity, generating more the $8 billion in annual cash receipts, providing quality year-round jobs, and nourishing lives with wholesome and nutritious foods. Maintaining this leadership and commitment to local communities while successfully reducing 5 million tons of methane is a remarkable feat. Our farmers are setting an example for the world of what can accomplished through sustainable partnerships.”

The state’s methane reduction programs are co-funded with investments from dairy farmers and other private financing. The DDRDP program requires at least 50 percent match per project. The AMMP encourages private matching dollars as well. To date, the DDRDP has leveraged more than $522 million dollars in private investment. The DDRDP is also the state’s second most productive climate program in terms of total greenhouse gas (GHG) reductions achieved. The DDRDP has achieved 20% of the GHG reductions from all of California’s climate investments combined, with just 1.5% of total funds awarded.

Additional funding is now needed as both the DDRDP and AMMP programs are significantly oversubscribed. Achieving the full 40% reduction in dairy methane emissions is within reach if additional funding is made available to continue the state’s programs.

Notably, California dairy’s 5 million metric tons of annual methane reduction (CO2e) has been achieved alongside other important environmental advancements. Methane reduction projects provide significant direct and indirect air quality benefits to communities in the San Joaquin Valley, while improving the protection of groundwater quality. Dairy farms are also creating renewable energy, while reducing their own reliance on fossil fuels.

Today, using digesters alone, California dairy farms are generating enough clean, renewable energy to fuel more than 17,000 vehicles daily. This comes from both the digester projects that create renewable natural gas (enough to fuel more than 3,500 transit buses) and the digester projects that create renewable electricity (enough to power more than 13,500 electric vehicles). This is in addition to the renewable energy generated by more than 175 solar arrays located on dairy farms across the state.

California dairy farmers are reaching ambitious, unparalleled climate goals while maintaining a strong local dairy sector and producing nutritious and affordable milk and dairy foods. The 5-million-ton annual reduction milestone is an important accomplishment and reminder of the need for continued partnership to ensure the long-term success and sustainability of California’s family farms.

Dairy Cares is a statewide coalition of California’s major dairy cooperatives, processors, and trade organizations, with a mission to ensure the long-term sustainability of California’s dairy farm families through strong environmental stewardship and responsible animal care.

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