The Obama administration’s goal will be to cut emissions of the greenhouse gas by up to 45% by 2025 from levels recorded in 2012, according to an anonymous source cited by The New York Times.

The Environmental Protection Agency will issue the proposed regulations in the second half of the year, finalising the policy by 2016.

Methane is responsible for about 9% of the nation’s contribution to climate change, while most of the greenhouse blame can be laid on carbon dioxide. Methane is, however, over 20 times more potent.

The new regulations will be specifically geared to curtail methane leaks from wells, pipelines and valves, drilling and the transportation system.

According to a study published last year in the journal Science, methane leaks from oil and gas sites and pipelines rates 50% higher than experts previously thought, while another study published in Proceedings of the National Academy of Sciences journal recorded direct measurements of methane outflow from and near 19 abandoned oil and gas wells in Pennsylvania.

If the 19 wells examined are typical of the overall situation in Pennsylvania, abandoned wells could account for 4% to 7% of methane emissions in the state, the study said.

The oil and gas industry has come out in opposition to the proposed regulations, claiming that the desire to bring the gas to market cause companies to self-regulate and keep on top of leaks.

“We don’t need regulation to capture it, because we are incentivised to do it,” American Petroleum Institute director of regulatory affairs Howard Feldman said.

“We want to bring it to market; we don’t think additional regulation is needed at this time.”

Meanwhile, green groups are hailing the move, with Environmental Defence Fund president Fred Krupp claiming the oil and gas industry would stand to save substantial amounts of gas through the regulations.

"Methane pollution is both an environmental threat and a needless waste that the energy industry has failed to take on," Krupp said.

"Oil and gas companies squander enough natural gas each year to heat almost 6 million homes. The good news is that cost-effective solutions to this problem are readily available, and this new target is absolutely achievable.

“Momentum has been growing on this issue at the state and federal level, and I am pleased to see administration step up and begin the job. There is much more to do."

In his first term of office, President Barack Obama introduced regulations on emissions of carbon dioxide from cars and trucks, and last year proposed rules for carbon dioxide emitted by power plants.

The Department of Interior is additionally expected to propose new standards around the second quarter of the year.

The standards will update decades-old legislation to reduce wasteful venting, flaring and leaks of natural gas from both new and old wells on public land.

On Obama’s plans for methane reduction, DOI secretary Sally Jewell said: “Reducing methane emissions is an important part of the picture as we work collaboratively with federal, state, local and industry partners to harness America's domestic energy potential while also tackling climate change.

“This strategy will help improve public health and safety, and ensure a fair return to taxpayers for developing federal oil and gas resources.

“The president’s strategy will put captured methane to productive use as a source of cleaner energy for power generation, heating and manufacturing, and will spur investment in local economies through modernised natural gas pipeline gathering and processing projects, generating new revenue and creating American jobs."