The California Independent Petroleum Association has joined a coalition of fossil fuel groups in opposing the new federal regulation that mandates oil and gas companies to implement equipment upgrades and leak detection measures to address greenhouse gas emissions. This unprecedented rule, published in the Federal Register in March, also targets volatile organic compounds (VOCs) and is part of the Biden administration's broader climate agenda.
Of particular concern is the provision that, for the first time, empowers private citizens to monitor and report methane leaks from oil wells and pipelines. This aspect of the regulation raises significant issues regarding enforcement and operational disruptions.
Additionally, there is a pressing need for clarity on the scope of requirements for storage vessels. Modifications to a single tank may necessitate extensive upgrades across multiple tanks, posing substantial logistical and financial challenges.
Under the Biden administration, this rule requires a dramatic reduction in carbon emissions from existing coal-fired and new natural gas power plants. Specifically, it mandates a 90% cut in greenhouse gas emissions by 2032.
The EPA's rule relies heavily on emissions reduction technologies, particularly carbon capture and sequestration (CCS), which have not been widely implemented in real-world scenarios. These technologies are not yet adequately demonstrated, as required by the Clean Air Act, which is the statutory basis for the rule. We contend that the EPA has overstepped its authority by enacting regulations that could drastically alter the nation's energy grid without explicit authorization from Congress.
For more information, contact Sean Wallentine.
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