Houston Chronicle

Feds aim to end methane leak oversight

- By Jennifer A. Dlouhy

The Trump administra­tion is readying a plan to end direct federal regulation of methane leaks from oil and gas facilities, even as some energy companies insist they don’t want the relief.

A draft proposal from the Environmen­tal Protection Agency would prevent the federal government from directly targeting that potent greenhouse gas as it restricts emissions from oil wells and infrastruc­ture, despite fears that time is running out to avert catastroph­ic consequenc­es of climate change.

The White House is finishing its review of the EPA plan, which was described by people familiar with the matter who asked not to be named ahead of a formal announceme­nt that is expected within weeks.

The proposal threatens to undermine the oil industry’s sales pitch that natural gas is a climatefri­endly source of electricit­y — a cleaner-burning alternativ­e to coal that can help power an energyhung­ry world for decades to come. Dozens of oil companies have made voluntary pledges to keep methane in check, and some have warned the Trump administra­tion that federal regulation specifical­ly targeting it is essential for natural gas to maintain that reputation.

“Stakeholde­r confidence in natural gas is hanging by the thread, and the EPA is pulling out the scissors with this methane rollback,” said Ben Ratner, a senior director with the Environmen­tal Defense Fund’s energy innovation arm.

More than 60 oil and gas companies have made voluntary commitment­s to pare emissions of methane, the chief ingredient of natural gas, though some of them insist federal regulation is still essential for the highly fragmented industry. For instance, BP and Royal Dutch Shell executives said in March that they favor federal regulation of the oil industry’s methane emissions, with BP asserting in an opinion piece that voluntary actions by a handful of companies “are not enough to solve the problem.”

“Industry gets it,” said David Hayes, a former Interior Department official who leads the State Energy and Environmen­tal Impact Center at New York University School of Law. “They recognize that this is a tremendous liability.”

The oil and gas industry is the leading industrial source of methane, which can escape from pipelines, sneak out of compressor stations and be vented from oil wells as a byproduct. Although methane accounts for roughly 10 percent of U.S. greenhouse gas emissions, it’s been blamed for up to a quarter of the planet’s warming as it has more than 84 times the heat-trapping potential of carbon dioxide the first two decades after entering the atmosphere. Methane’s warming potential over a 100-year time span is at least 28 times that of carbon dioxide.

The EPA’s plan to walk away from specifical­ly regulating methane dovetails with other Trump administra­tion efforts to ease limits on emissions from power plants and automobile­s. Critics cast the proposal as a part of a broad Trump administra­tion retreat from the global fight against climate change.

The Senate’s top Democrat, Chuck Schumer, blasted the plan Wednesday, calling it “another disgracefu­l giveaway to corporate polluters at the expense of the public’s health, our environmen­t and the fight to combat climate change.”

The Obama administra­tion targeted the oil industry’s methane emissions in 2016, by requiring energy companies to frequently seek and plug leaks. Other U.S. requiremen­ts also acted to pare methane emissions but did so indirectly, by targeting other, convention­al pollutants or seeking to stop the waste of natural gas extracted from federal lands.

Those targeted mandates on new wells triggered a legal requiremen­t that EPA also regulate methane emissions from existing oilfield infrastruc­ture — including more than a million wells on private land. However, plugging leaks on some decades-old, low-producing wells could be expensive and unruly — a burden that would fall disproport­ionately on smaller, independen­t oil companies.

“It changes the scope, from our industry, from a rule that’s dealing with 15,000 to 40,000 new sources a year to the million existing wells that are out there,” some 770,000 of which are low-producing sites, said Lee Fuller, executive vice president of the Independen­t Petroleum Associatio­n of America.

Trump’s EPA has already proposed easing the 2016 mandates, but by sweeping away direct methane regulation, the agency can prevent the march to impose them on existing wells.

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