The U.S. Environmental Protection Agency (EPA) has indicated that the oil and gas sector will need to reduce methane emissions as part of a new initiative under consideration. This measure is an extension of the Inflation Reduction Act, which encourages industry best practices to decrease pollution through incentives.
In an EPA news release, it was stated that the proposed Waste Emissions Charge would encourage the early adoption of existing technologies and optimal methods to control methane emissions and other airborne toxins before the new regulations come into effect. The initiative will impose a fee on certain large-scale emitters of waste methane from the oil and gas sector that exceed emission intensity levels set by Congress.
EPA Administrator Michael S. Regan commented on this development, saying, "Under President Biden’s leadership, EPA is delivering on a comprehensive strategy to reduce wasteful methane emissions that endanger communities and fuel the climate crisis." He further added, "Today’s proposal, when finalized, will support a complementary set of technology standards and historic resources from the Inflation Reduction Act, to incentivize industry innovation and prompt action. We are laser-focused on working collectively with companies, states, and communities to ensure that America leads in deploying technologies and innovations that aid in the development of a clean energy economy."
According to the release, methane is recognized as a climate "super pollutant" due to its greater threat compared to carbon dioxide. It currently accounts for nearly one third of global warming caused by greenhouse gases. The primary source of methane emissions in America is attributed to the oil and natural gas industry. To counteract rapidly rising global temperatures, reducing methane emissions is viewed as an achievable solution. Currently, the EPA is implementing a three-part outline of the Inflation Reduction Act’s Methane Emissions Reduction Program.
Fred Krupp, President of the Environmental Defense Fund said about this proposal: "EPA’s proposal for a fee on oil and gas methane pollution implements the clean air protections for Americans that were part of the Inflation Reduction Act." Krupp continued, "It’s common sense to hold oil and gas companies accountable for this pollution. Proven solutions to cut oil and gas methane and to avoid the fee are being used by leading companies in states across the country."
